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The Katrina Effect: The unexpected and huge expense of dealing with Hurricane Katrina could force the Pentagon to divert funds from new space programs, Boeing official George Muellner told reporters at AFA’s Air & Space Conference. Faced with a tight budget picture before Katrina, the added pressure could tip the scale. According to Muellner, likely candidates for cuts would be transformational space systems—many of which have had trouble staying within their existing budgets.