Superstorm Sandy Victims Say FEMA’s Role Is Fatally Conflicted. Some excerpts:
The National Flood Insurance Program has a public element, which helps people get money after a disaster to rebuild their homes. The private part comes when FEMA contracts with regular insurance companies.
This week, FEMA began settlement talks with homeowners devastated by Sandy, and there’s a lot to resolve.
Homeowners say engineers hired by insurance companies falsified damage estimates and that the homeowners aren’t being repaid for the actual damage that Sandy caused. Some are questioning whether FEMA can be a watchdog for both disaster victims and taxpayers who subsidize the federal flood program.
The problem arises when FEMA tries to protect the interests of its policy holders while it also makes sure they don’t get paid too much, says Ben Rajotte, a lawyer for the Disaster Relief Clinic at Touro Law
Recovery Diva 
The Federal Aviation Administration had a similar problem. Until just a few years ago, its missions included both encouraging the growth and success of the commercial aviation industry and also promoting aviation safety. These two goals obviously came into conflict when, for example, the National Transportation Safety Board would recommend a policy or practice that would cause (commercial) operators a substantial amount of money. Ultimately, it was decided the safety mission trumped the boosterism mission, which dated back to the early days of the airline business.