Government proposes coastal buyout

? The federal government is considering buying out as many as 17,000 homes along the Mississippi coast and remaking the land into a vast hurricane-protection zone, raising anxieties that it could destroy the waterfront lives many residents are struggling to rebuild after Katrina.

The Mississippi Coastal Improvement Program could cost $40 billion, including buying the homes, building levees and restoring barrier islands. The land could be converted into wetlands or other public uses, such as golf courses or bike trails, but could not be sold for private development.

The buyouts would be voluntary, and the Army Corps of Engineers plan envisions allowing casinos, hotels and restaurants to continue operating on the coast from Bay St. Louis to Biloxi.