SACRAMENTO, Calif. (AP) — California Governor Gavin Newsom has reached out to Congress, requesting nearly $40 billion in federal aid to assist the Los Angeles area in recovering from the devastating wildfires that occurred in January. Newsom emphasized that these wildfires could potentially become the costliest natural disaster in U.S. history, putting immense pressure on local economies and infrastructure.
In a letter addressed to key lawmakers, including House Speaker Mike Johnson (R-La.) and Rep. Tom Cole (R-Okla.), who chairs the House Appropriations Committee, Newsom mentioned the economic significance of Los Angeles. He stated, “Los Angeles is one of the most economically productive places on the globe, but it can only rebound and flourish with support from the federal government as it recovers from this unprecedented disaster.”
The total economic loss from the wildfire devastation is estimated to exceed $250 billion, with damages from the Palisades and Eaton fires alone projected to surpass $30 billion, according to an analysis by the Los Angeles Times. The fires have destroyed more than 16,200 structures across affluent areas such as Pacific Palisades, Malibu, Pasadena, and Altadena, leading to significant long-term impacts on the local economy.
Governor Newsom assured that the requested funding would be utilized to rebuild critical infrastructure, homes, schools, and healthcare facilities, while also addressing the immediate needs of those affected by the disaster. He declared, “Make no mistake, Los Angeles will use this money wisely.”
Among the various funding requests, Newsom has asked for an additional $16.8 billion from the Federal Emergency Management Agency (FEMA), primarily aimed at facilitating the rebuilding of property and infrastructure. He also allocated $5 billion specifically for debris cleanup efforts, highlighting the scale of the recovery task ahead.
In addition, Newsom has requested $9.9 billion from the Department of Housing and Urban Development to provide grants to fire victims, including homeowners and renters. Furthermore, he seeks $5.29 billion from the Small Business Administration to support loans for both homeowners and businesses impacted by the wildfires.
In expressing his gratitude, Newsom thanked President Donald Trump for expediting debris removal processes. However, his letter did not address recent statements from the Trump administration regarding potential conditions tied to federal aid. Newsom remarked, “We are eternally grateful,” reflecting the urgency of the situation.
Despite previous tensions between Newsom and Trump, particularly concerning California's water policies, Trump has been vocal about the potential for conditions on any federal assistance. Ric Grenell, a close ally of Trump, indicated that “there will be conditions” attached to any aid for California, raising concerns about the federal government's influence on state policies. One condition being considered is the defunding of the California Coastal Commission, an agency responsible for regulating coastal development and preserving access to public beaches, which Trump has criticized as overly restrictive and bureaucratic.
The aftermath of the wildfires continues to pose challenges for local communities, with numerous structures reduced to ashes and lives significantly disrupted. Governor Newsom's proactive outreach to Congress underscores the urgent need for federal intervention and support to facilitate the recovery process and to ensure that Los Angeles can move forward from this tragic event.