The best (and worst) scenarios for LA disaster aid

Your afternoon must-read briefing on politics and government in the Golden State
Jan 29, 2025 View in browser
 
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By Katy Murphy

Two people embrace in the ruins of a building burned by fire.

Khaled Fouad (left) and Mimi Laine embrace as they inspect a family member's property that was destroyed by Eaton Fire on Jan. 9, 2025, in Altadena, California. | Justin Sullivan/Getty Images

LIVIN’ ON A PRAYER: Joe Biden prayed about it. President Donald Trump threatened to hold it up, and then promised to help. Gov. Gavin Newsom says he is working behind the scenes to secure it.

Federal aid for wildfire-ravaged swaths of Los Angeles County has become a deeply partisan question in Washington, as our Melanie Mason reported this month — floated as leverage for divisive policies on voter ID at the polls, the federal debt limit and California water policy.

But how would such a negotiation actually play out in practice? What kind of federal aid is at stake, and when? What does it all mean for Los Angeles?

Tom Frank, a reporter with POLITICO’s E&E News, knows the politics and mechanics of disaster aid inside and out after covering the subject for six years. (You might have seen his piece with colleague Scott Waldman last fall in which a former Trump official said the president at times hesitated to give disaster aid to areas he considered politically hostile — such as California after its deadly 2018 wildfires.)

Tom breaks it down for us, and explains why the major disaster declaration Biden approved at the end of his term will help little if the Trump administration decides to delay the money or impose conditions on it.

President Trump said publicly last week that disaster aid for California would be contingent on the state conceding on two issues: requiring voter ID at the polls and sending more water from Northern California to the rest of the state. What type of aid is he talking about, and how would this work?

Trump didn’t specify the type of aid, but it’s likely he was talking about Federal Emergency Management Agency funds that pay for disaster cleanup and repairs/rebuilding to damaged roads, parks and buildings such as sewer plants and schools.

President Joe Biden in his final days authorized California to receive FEMA aid, which is paid as reimbursement to the state. California will get FEMA money when its receipts are approved by FEMA and the White House Office of Management and Budget.

Presidents fully control FEMA aid. The operative word in federal disaster law is “may,” as in: “The President may make contributions to a State or local government for the repair, restoration, reconstruction or replacement of a public facility damaged or destroyed by a major disaster.”

Trump or any president is probably free to withhold FEMA aid or impose conditions. And any governor would probably sue any president who withheld FEMA aid after it was authorized.

A simpler and more-likely scenario would be to amend federal law and add conditions for states to receive FEMA disaster aid. That seems likely the next time Congress approves FEMA disaster funding, which could be as soon as March.

Does the major disaster declaration Biden approved for Los Angeles County buy California any time before it finds itself at the mercy of Washington for assistance?

Biden’s approval buys nothing for the reasons explained above.

Disaster recovery cannot begin until wildfires are extinguished. That hasn’t happened. California has not requested any payment from FEMA and won’t for several months.

Biden’s approval did allow residents in the wildfire area to seek and receive a small amount of emergency cash from FEMA. As of Wednesday morning, FEMA had given 24,000 households roughly $2,200 each and has continued to approve applications since Trump took office.

Trump has called for overhauling or outright dissolving FEMA. Does that seem like a real possibility — and what might that look like in practice?

Overhauling — yes. Dissolving — no.

There’s been talk for years about overhauling FEMA. Trump himself signed a law in 2018 that changed some FEMA procedures.

Trump’s recent comments about wanting to give states more control over disasters — and implicitly more financial responsibility — are nothing new. Both the Obama administration and Trump’s first administration proposed shifting recovery costs from FEMA to states.

But the proposals ran into opposition from members of Congress and states. Even the most ardent budget hawks want federal money for their constituents.

Trump recently created the Federal Emergency Management Agency Review Council to recommend changes. The appointees include the three House members — all Republican — whose districts were hit by Hurricane Helene. Will they advocate weakening an agency that is about to give them billions of dollars? Doubtful.

Congress enacts revisions to FEMA every few years. The revisions are marginal and have not changed FEMA’s fundamental role. I’d be surprised to see a major overhaul.

What happens next in Congress with respect to decisions about LA’s recovery aid, and when? 

There’s already been talk in Congress about imposing conditions on disaster aid in a budget extension in March. It’s unclear if conditions would target California exclusively or apply nationally.

What is the best-case — and the worst-case — scenario for Los Angeles?

Best case: The Trump administration handles California’s reimbursement requests as usual, AND President Trump agrees to pay 100 percent of the recovery costs instead of the customary 75 percent.

Worst case: FEMA stops processing aid applications from households in the LA area and the Trump administration ignores California’s reimbursement requests, which significantly delays recovery.

Most likely: Trump helps California recover. Trump has personal ties to the LA area and spoke at length at a roundtable in Los Angeles Friday about restoring the area as quickly as possible. There’s no political gain for a president to interfere with disaster recovery, even in a state he lost badly.

IT’S WEDNESDAY AFTERNOON. This is California Playbook PM, a POLITICO newsletter that serves as an afternoon temperature check on California politics and a look at what our policy reporters are watching. Got tips or suggestions? Shoot an email to lholden@politico.com.

WHAT YOU NEED TO KNOW TODAY

NEVER MIND? The Trump administration today rescinded its order freezing federal assistance, our colleague Megan Messerly reports — a move that unleashed widespread panic and confusion over billions of dollars in federal funding before it was temporarily blocked on Tuesday by a federal judge.

The two-sentence memo outlining the reversal did not include a detailed explanation. White House press secretary Karoline Leavitt said in a statement that the budget office pulled the order “to end any confusion on federal policy created by the court ruling and the dishonest media coverage.”

But, as Megan notes, this development wouldn’t stop the White House from issuing another order to halt federal funds, as the administration has maintained that such an action falls within the power of the executive branch. And HuffPost today cited a confidential OMB document that, it reported, laid out a policy of provoking a constitutional challenge over spending in pursuit of a legal precedent affirming such presidential powers.

Meanwhile, another federal judge said today that he would issue a new block on the funding freeze, citing Leavitt’s statement that the policy was still in effect, our colleagues Kyle Cheney and Josh Gerstein report.

“I’m inclined to grant the restraining order,” U.S. District Judge Jack McConnell said during a court hearing on a lawsuit filed Tuesday by Democratic attorneys general. “I fear … that the administration is acting with a distinction without a difference.”

 

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IN OTHER NEWS

Tony Thurmond, D-Richmond, then a candidate for superintendent of public instruction, appears at a debate in Sacramento, Calif. California's State Board of Education votes Thursday, March 18, 2021, on a long-anticipated model ethnic studies curriculum for high schools across the state. The process took over two years, multiple versions, and drew nearly 100,000 public comments. "We've worked to bring justice to what we believe the ethnic studies movement to be about," Thurmond told reporters.

Tony Thurmond, California's superintendent of public instruction. | AP Photo/Rich Pedroncelli

CLASSROOM CULTURE WARS: California is expected to fight the Trump administration again if it follows through on executive orders that would ban federal funding for schools teaching what it describes as “gender ideology and critical race theory” and prioritizing funding for school-choice programs. The orders were expected to be signed as soon as today.

Chief Deputy Superintendent David Schapira told Playbook that Superintendent Tony Thurmond plans to challenge the orders in court, citing federal law that prohibits the government from taking away grant money over a school’s curriculum.

California Teachers Association President David Goldberg called the reported school choice order “a shameless attempt to move critical funding out of our public schools and into the pocketbooks of wealthy privatizers.” He cited nationwide test scores released earlier today showing stagnant math and reading scores for California students as highlighting “the impact of increasing resources in our public schools.”

"President Trump continues to hurt our students, communities and public schools with divisive policies intended to weaken our education system,” Goldberg said in a statement to Playbook. — Eric He

NEW YORK, NEW YORK - MARCH 13: In this photo illustration, the TikTok app is seen on a phone on March 13, 2024 in New York City. Congress is set to vote and pass a bill that could ban the popular app TikTok nationwide and be sent to the Senate for a vote. The bill would force the Chinese firm ByteDance to divest from TikTok and other applications that it owns within six months after passage of the bill or face a ban. Lawmakers argue that ByteDance is beholden to the Chinese government making the app a national security threat.

A photo illustration of the TikTok app | Photo Illustration by Michael M. Santiago/Getty Images

BIG TECH KEEPS WINNING: A federal appeals judge sided with a tech industry lobbying group yesterday by preventing California from enforcing a law that blocks social media platforms from showing kids “addictive” content feeds until at least April.

The law, which was slated to take effect on Jan. 1 after Newsom signed it back in September, would have required platforms to obtain parental consent before showing kids algorithmic social media feeds (like TikTok’s “For You Page”), among other features aimed at protecting kids from social media addiction.

But it’s been tied up in court thanks to a lawsuit filed last year by NetChoice — a trade group that represents companies like Google and Meta — which argues the law violates free speech protections. A district court judge initially blocked parts of the law before halting it in full earlier this month while NetChoice appealed to the Ninth Circuit.

Tuesday’s order from the Ninth Circuit extends the temporary block until the court hears the case in April.

Both NetChoice and Attorney General Rob Bonta’s office expressed confidence in their case after the order. Paul Taske, NetChoice associate director of litigation, hailed the extension as another win against California’s “online censorship regime” in a statement yesterday, while Department of Justice spokesperson Elissa Perez said in a statement to Playbook today that the state remains “committed to vigorously defending this commonsense statute.” — Tyler Katzenberger

TURNING UP THE HEAT: The El Cajon City Council voted down a resolution last night that would essentially take away the city’s sanctuary status and reaffirm its intention to comply with federal law enforcement on immigration enforcement.

“We had four hours of testimony,” Mayor Bill Wells, who originally proposed the resolution, told Playbook. The pressure to reject the bill was enough for the council to pan the resolution that Wells originally believed it would approve.

“I was just trying to kind of plant my flag and hopefully give other jurisdictions the courage to say, ‘Hey, they did it. We could do it,’” he said.

California law limits cooperation with federal immigration agents, and Wells says the Laken Riley Act, immigration legislation that Trump signed into law today, only widens the conflict between federal and state law. — Nicole Norman

 

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WHAT WE'RE READING TODAY

Trump today signed a bill supported by a number of battleground Democrats in California that expands the power of federal authorities to deport undocumented immigrants accused of crimes. (Associated Press)

Sen. Adam Schiff will join fellow Democrats Mark Kelly of Arizona and Lisa Blunt Rochester of Delaware as vice chair of the Democratic Senatorial Leadership Team. (Axios)

— Here is how every California sheriff responded to questions about balancing state laws with immigration enforcement under Trump. (CalMatters)

AROUND THE STATE

— Trump’s executive order rolling back Biden-era infrastructure laws has put nearly every project in the Bay Area at risk, according to Rep. John Garamendi. (Sacramento Bee)

— Some SoCal faith leaders remain committed to protecting immigrants in churches even after Trump rescinded a policy that prohibited immigration officers from making arrests in sensitive areas. (Los Angeles Times)

— The president of a janitors’ union in San Francisco said that immigration officials showed up at two buildings downtown on Friday. But ICE denied that the agency had any involvement. (San Francisco Chronicle)

— compiled by Nicole Norman

 

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