In terms of the immediate damage, I think that's going on. In terms of next time, see http://nielsenhayden.com/makinglight/archives/006707.html#006707 for a very good summary of how the system ought to work. Key point, IMHO: there is one and only one person in command, during the incident. It can, in theory, scale up from something as small as a traffic accident all the way to a national disaster. Authority gets delegated down to where it's needed, but there is a clear chain of authority, so that if, say, Governer Smith and FEMA Director Jones are giving contrary orders to the same people, everybody knows whose decision counts, and who is just talking. (This includes both Smith and Jones, btw.)

It means, in effect, that if Federal troops come in, either the whole disaster is under Federal command, or they're coming in under control of the State or even possibly local authorities.