How to cut federal spending, and by how much, is currently troubling congressional Republicans.
Fires are burning through Southern California. But a political storm is about to engulf Capitol Hill.
Natural disaster dynamics have evolved into a recurring fiscal nightmare for Congress. Frankly, the way lawmakers address natural disasters creates huge obstacles to serious reductions in the deficit and national debt.
The expected costs are staggering.
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Destroyed cars remain in the river after flooding from Hurricane Helene in Asheville, North Carolina, about a month ago on October 30, 2024. (Photo by YASUYOSHI CHIBA/AFP, Getty Images)
“This is going to be a very expensive event,” predicted Rep. George Whiteside, D-Calif.
FEMA is bracing for a price tag.
“We know it’s going to be billions of dollars,” said Deanne Criswell, administrator of the Federal Emergency Management Agency.
President Biden has vowed to provide assistance.
“We’re going to pay the price. We have to be prepared to pay the price,” the president said. “We need the U.S. Congress to follow up with funding to provide significant help to our fellow Americans in need.”
Catastrophic natural disasters are now striking different parts of the United States at an alarming rate. In 2023, devastating wildfires devastated Maui. Hot outages — or snowstorms combined with biting cold — darken the grid. Last year, twin hurricanes Milton and Helen devastated the South, destroying property just days apart in the fall. Water overflowed from rivers, creeks, steams, creeks and culverts, flooding entire communities.
Before Christmas, Congress allocated $100 billion to help hurricane victims recover. Some of the funds are used to help people restart their businesses or pay for rebuilding costs. $27 billion of that is to be reinvested into FEMA’s Disaster Relief Fund (DRF) to prepare for future emergencies like the one now burning the Golden State. Milton and Helen exhausted the DRF.
The aftermath of the Los Angeles wildfires could become a fiscal nightmare for lawmakers as the new Congress attempts to address the nation’s growing national debt.
But now Congress is controlled by Republicans. President-elect Trump quickly occupied the Oval Office. When it comes to California and what may be causing the fires, Republicans may be reluctant to provide aid. The Republican mantra, in particular, is to cut $2 trillion in spending. In fact, some Democrats worry that congressional Republicans and President-elect Trump may try to punish California for leaning to the left.
Republicans now control the House and Senate. Mr. Trump takes office next week.
“When it comes to congressional funding, the idea that we’re going to have an open checkbook, no matter how bad your policies are, is crazy,” Rep. Warren Davidson, R-Ohio, told Fox Business.
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Democrats warn against partisan and regional discord when natural disasters strike.
“California has voted for a supplemental plan for hurricanes in the southern United States. Now is the time we need it,” Whitesides said.
Several Northern California Republicans told Fox News that Democrats from Southern California have been particularly helpful in providing aid to parts of the state in the wake of wildfires.
So what happens when the bill comes due for the Los Angeles wildfires?
“We help all Americans,” said Rep. Bennie Thompson, D-Miss., the top Democrat on the House Homeland Security Committee, which oversees the Federal Emergency Management Agency (FEMA).
On January 11, 2025, members of Congress visited the Altadena Mountains Fire District. (Derek Shook, Fox News Digital)
Thompson is confident Congress will meet California’s needs.
“If we need to do more, we will,” Thompson said.
Some Republicans blame the wildfires and their response on liberal Democrats who control much of California.
“This was an epic disaster of mismanagement,” Rep. Byron Donald, R-Fla., said on Fox Business.
“What is What happened in California is the fault of (California Governor) Gavin Newsom (D) and the local Legislature.
“What we’re seeing is a failure of policy in California and a failure of leadership in California,” Sen. Bill Hagerty, R-Tenn., said on Fox. “We have to take real responsibility. We need to have hearings. will come to find out… to find out the truth about what is going on.”
California insurance companies are canceling hundreds of thousands of policies for homeowners in wildfire-prone areas after state regulators banned higher premiums despite the dangers. Some Republicans seized on the issue.
“California made some very bad policy decisions that caused these insurance companies to flee,” said House Majority Leader Steve Scalise. “The people who make these policy decisions must also be held accountable.”
Even some Democrats have questioned the local response.
While serving in the state Legislature, Rep. Jimmy Gomez, D-Calif., worked on a bill to help guarantee water for all Californians when they turn on the tap.
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“Why do they have no water? Is it due to negligence or is it because there are so many fires in so many different areas throughout the city that it’s overwhelming the system?” Gomez asked.
Other Democrats decried Republican criticism of California leaders.
“I think it’s ridiculous,” said Rep. Robert Garcia, D-Calif. “I think the governor has done a great job responding to the outbreak. I don’t think we should blame anyone.”
The damage from the fires could mean Congress needs another infusion of cash into the Federal Emergency Management Agency — just as Republicans begin to seek billions of dollars in cuts, if not more than a trillion dollars. How do lawmakers cut all of this funding while paying for natural disasters?
“It’s always difficult. I think we have to prioritize. And, I think we need to couple any significant spending with cuts on the other side,” said Rep. Tim Burchett, R-Tenn.
“So to be clear, some conservatives want to see some compensation when this bill expires in California?” you ask Burchett sincerely.
Federal Emergency Management Agency headquarters in Washington on October 8, 2024 in Washington, DC. (Kent West Village/Getty Images)
“Of course,” Burchett replied.
If Congress doesn’t allocate more than $100 billion to FEMA and various disasters by Christmas, wildfires will become a major problem. However, some Republicans are skeptical of FEMA’s ability to do the job.
“I doubt the people of California will get the $700 that was promised to them. Because just like what happened in North Carolina and Tennessee, many people were turned away because all their IDs were burned or washed away. .
Florida’s former statewide emergency management director issued an ominous warning.
“I have bad news for you all,” Florida Democratic Rep. Jared Moskowitz said on MSNBC. “Disaster is everywhere.”
More disasters mean more rescue needs. That’s the challenge Republicans face as they try to cut spending.
Some smart people on Capitol Hill are considering developing a new model for responding to natural disasters. The current budget model is to fund funds on the premise that “nothing will happen.” Sometimes it’s a challenge for lawmakers to pass a bill providing additional aid.
So there were two terrible hurricanes in the fall. Wildfire now. What to do next? earthquake? snowstorm? Ice storm? tornado? drought? flood?
There has been controversy over the creation of a “rainy day fund” (perhaps a “monsoon day fund”) that Congress could use to effortlessly dole out large sums of money when natural disasters strike.
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Other natural disasters are inevitable.
But funding from Congress goes far beyond that.
