As somebody in the thick of all this, let me put my 2 cents in.
Yes, things are as bad as they seem in New Orleans. They do not have the help they need. Rescue workers are getting shot at. The shelters are grossly understaffed and there is no way to get these people urgent medical care.
However, these people ARE refugees. There really is no other word for them. They have lost everything but the clothes on their back and what they could carry. They embrace that term themselves.
Finally, please remember that the news agencies only report the bad news. There are countless outpourings of generosity occurring at the same time. People from my town, Houma have gathered so much food, clothing, blankets for the refugees they are starting to tell us not to send anymore. Restaurants and businesses have been cooking and taking food into Jefferson parish to feed the stranded citizens at the Superdome and along the way. Individuals are sharing prescriptions for strangers because they can't get to the drug store to get needed medication, scrounging items out of their attics to donate, sharing their homes with strangers from New Orleans so families don't have to live in makeshift shelters. Every day we hear new stories of hope and recovery down here. I wish these stories were getting spread nationwide to counterbalance the negative reports.