Here's a list from Facing South (an excellent blog, by the way):
Hattie's Blog, tag team live blogging of the storm from Hattiesburg Eyes on Katrina, Biloxi Sun Herald staffer blog Eye of the Storm, team storm blogging from Gulfport and Biloxi Katrina Aftermath, an open citizen journalism blog Looka, by a local music/culture blogger in NOLA Ernie the Attorney, a displaced NOLA lawyer with reports from friends on the scene Beats Per Minutea NOLA evacuee with reports from a friend on the scene Life in New Orleans, a NOLA evacuee, observations and Loyola updates Humid City, a NOLA evacuee blogs and podcasts as he flees to West Memphis A Little Lagniappe, only one last post before the storm, but it is chilling Bobby's World, a Metairie evacuee blogging from Jackson DeadlyKatrina.com, a Katrina news roundup blog Storm Digest, a Katrina news blog
Also see the Jackson Free Press, technically an independent weekly, but the web version is an interesting mix of blogging and conventional online news. JFP's Katrina Blog has a lot of local detail, including much current info on what relief workers and survivors need on the coast in and in Jackson, where people have fled to.
Mississippi Political, a news links page, is also a good portal for news and info on the ground in MS.