FEMA's $10 Billion Disaster Funding Backlog Leaves Communities Exposed

Hundreds of communities across the country are waiting on more than $10 billion in stalled disaster mitigation funding from FEMA, according to internal agency documents reviewed by NPR — leaving wildfire prevention, flood control, and hurricane resilience projects in limbo even as the 2026 storm season approaches.

Why the Money Stopped Moving

The backlog traces to a June 2025 directive from then-DHS Secretary Kristi Noem requiring review of every FEMA grant exceeding $100,000 for "waste, fraud, and abuse." That single policy change effectively froze the pipeline. Although the Trump administration released roughly $5 billion in late February 2026 after Noem's departure, the remaining billions have yet to reach local agencies.

New DHS Secretary Markwayne Mullin formally revoked the review policy in early April, but county officials say the bureaucratic logjam persists.

"We're educating our communities on the importance of wildfire preparedness, but there are no resources for them," said Tanya Harlow, wildfire resilience officer for El Dorado County, California, where a $25 million fire-mitigation project has been stalled for more than a year.

Specific Communities Caught in the Backlog

The funding freeze is hitting rural and fire-prone regions hardest:

• Plumas County, CA — $2.5 million for clearing flammable vegetation around homes remains unfunded.
• Shasta County, CA — A wildfire-safety grant expires in August 2026; the county cannot access the money to begin work.
• El Dorado County, CA — A major Weber Creek fire-mitigation project awaits FEMA environmental review that has not been scheduled.
• Western North Carolina — Storm recovery projects remain stalled months after devastating flooding.

Meanwhile, the Trump administration canceled the Building Resilient Infrastructure and Communities (BRIC) program — FEMA's flagship pre-disaster mitigation initiative — calling it climate-change focused. A federal judge ordered BRIC reinstated, but FEMA has not indicated when canceled awards will be restored.

What Grant Seekers Should Do Now

If your organization holds a FEMA hazard mitigation or pre-disaster grant, contact your FEMA regional office immediately to confirm your award's status. Track deadlines carefully — several grants carry expiration dates that FEMA has not extended despite the freeze. Organizations exploring disaster resilience funding can search active FEMA opportunities on Granted alongside state emergency management programs that may offer bridge funding while federal dollars remain stalled.

Sen. Thom Tillis (R-NC) warned FEMA leadership that the delays may violate federal law. With hurricane season beginning June 1, the pressure to clear the backlog is intensifying by the week.

For deeper analysis of FEMA funding trends and alternative disaster resilience grants, visit the Granted blog.