To authorize financial assistance under the community development block grant program for disaster relief and recovery for communities affected by Hurricane Katrina or Hurricane Rita.

Authorizes additional FY2006 appropriations for Louisiana (60%) and Mississippi (40%) to be administered under their community development block grant programs for disaster and emergency relief for communities affected by Hurricane Katrina or Hurricane Rita.

Prohibits fund use for projects in progress prior to the presidential disaster declaration in connection with such hurricanes, unless such projects were directly impacted by Hurricane Katrina or Hurricane Rita.