Billions in Federal Disaster Aid Released — But Some Democratic-Led States Left Out

The federal government is releasing more than $5 billion in long-delayed disaster aid to states across the country — but several Democratic-led states will not receive funding in the latest distribution, raising new concerns about how recovery money is being allocated.

The funds, distributed through the Federal Emergency Management Agency, help states recover from natural disasters and strengthen infrastructure against future events. However, California, Illinois, Minnesota, and Colorado are not included in the latest round of payments, according to sources familiar with the plan.

Federal officials say funding decisions are based on project readiness and strict oversight requirements, not politics. But critics argue the exclusions are concerning, especially since governors in those states have had high-profile disagreements with the administration.

California alone is still waiting on more than $1 billion in federal disaster aid tied to recent emergencies, including wildfire recovery efforts such as debris removal and power restoration.

The funding release comes after billions of dollars in aid were held up for months, partly due to stricter approval requirements within the Department of Homeland Security, which oversees FEMA. Under a policy implemented last year, certain spending must receive personal approval from department leadership — a rule that has slowed the process.

State leaders across the country, from both political parties, have expressed frustration with the delays, saying they strain budgets and slow recovery work for communities hit by disasters.

Even with the new funding release, billions of dollars in disaster aid remain backlogged. The distribution will also nearly deplete FEMA’s disaster relief fund, increasing pressure on Congress to provide additional funding for future emergencies.

Explore: NBCPalmSprings.com, where we are connecting the Valley.