Trump administration to release billions in disaster aid, excluding several blue states

2026-02-27 - 10:32

The Trump administration is moving to release over $5 billion in stalled disaster aid to states, yet multiple Democratic-led states will be left out of the funding, according to sources familiar with the plan. The Federal Emergency Management Agency funds, critical for disaster recovery and mitigation, have been caught in a backlog exceeding $14 billion partly due to strict spending rules imposed by the Department of Homeland Security, which oversees FEMA. Excluded States and Political Context California, Illinois, Minnesota, and Colorado—all governed by Democrats who have clashed with President Donald Trump over immigration policies and National Guard deployments—are being excluded from this round of funding, sources told CNN. California alone awaits more than $1 billion for wildfire recovery, while Colorado and Minnesota seek reimbursement for storm damage. The exclusion has raised concerns that emergency assistance is being politicized. "They're doing what they should have been doing all along: helping states recover from disasters," one source said, adding that using funds "as a political tool is really tragic." DHS Denies Politics, Cites Merit-Based Process DHS officials denied any political motivation, stating that FEMA prioritizes projects based on readiness and oversight. "Decisions are not based on political considerations; the process is focused on merit and accountability," a FEMA spokesperson said. However, Homeland Security Secretary Kristi Noem's rule requiring her personal approval for any FEMA spending over $100,000 has created bottlenecks, and the ongoing DHS partial shutdown—triggered by Democratic demands for ICE reform following fatal agent-involved shootings in Minnesota—has further complicated aid distribution. Shutdown and State Frustrations The funding impasse has drawn bipartisan frustration, with even some Republicans warning the delays are becoming a political liability. At Tuesday's State of the Union address, Trump blamed Democrats for the shutdown, claiming "we have no money" for disaster relief because of their obstruction. Meanwhile, states like North Carolina await Hurricane Helene recovery funds, and New York expects over $1 billion in backlogged COVID aid. The $5 billion release will nearly deplete the Disaster Relief Fund, likely forcing congressional action to replenish it.