White House Pushes for Immediate Disaster Relief Funding
The Biden administration is pressing Congress to approve a significant $100 billion in disaster relief funding. This financial support aims to restore vital resources and assist communities impacted by hurricanes Helene and Milton, alongside other severe weather occurrences.
This funding formed a crucial part of a bipartisan agreement that collapsed on Wednesday. The breakdown was largely attributed to a series of critical social media comments made by Elon Musk that targeted the deal, exacerbated by President-elect Donald Trump’s insistence on revisiting the contentious national debt ceiling discussions. The failure of these negotiations poses a major setback for Republican Speaker of the House Mike Johnson, who had been striving to reach a compromise to avert a government shutdown just before the Christmas season, only to see his efforts undermined by both Trump and Musk.
With time running out, lawmakers are racing to establish a new agreement before midnight on Friday, when the federal government is set to cease all non-essential operations.
Should the government shut down, hundreds of thousands of federal employees would face furloughs, resulting in halted paychecks until Congress can finalize a new funding agreement. This situation could lead to the closure of national parks and delays in vital food and environmental inspections. While Social Security payments would continue, many related services, such as benefit verification and processing of new applications, would be significantly reduced.
In their attempts to dismantle the broader funding package, Musk and Trump have inadvertently jeopardized the disaster relief funds—one of the few elements of the spending bill that garners bipartisan support. Republican senators from states hard-hit by hurricanes in September and October, such as Sen. Thom Tillis of North Carolina and Sen. Lindsey Graham of South Carolina, have strongly advocated for the approval of these funds. Following the actions of Trump and Musk, Sen. Tedd Budd of North Carolina expressed on X that there could be “no” temporary funding bill “without disaster relief for Western North Carolina.”
The White House has escalated its criticism of Republicans, accusing them of obstructing essential disaster relief and other critical expenditures. White House Press Secretary Karine Jean-Pierre stated on Wednesday night, “Republicans need to stop their political maneuvering with this bipartisan agreement or risk harming hardworking Americans and destabilizing the country. President-elect Trump and Vice President-elect Vance have directed Republicans to shut down the government, endangering support for disaster recovery, farmers, ranchers, and community health services.”
The last federal government shutdown occurred during Trump’s initial term, lasting five weeks and marking the longest shutdown in U.S. history. The Congressional Budget Office estimated that shutdown, which concluded in January 2019, resulted in approximately $3 billion in economic losses.
During the 2013 government shutdown, the Republican Party’s approval ratings plummeted, taking a full year to recover, as highlighted by Republican strategist and pollster Whit Ayres. “Historically, Republicans have faced the brunt of the backlash from government shutdowns,” Ayres noted. “It’s crucial for them to find a way to keep the government running, as both they and the incoming administration could face severe repercussions if they fail.”
For several months, Shalanda Young, director of the White House’s Office of Management and Budget, has been advocating for Congress to pass a standalone disaster relief package. In a memo circulated to lawmakers in November, Young pointed out that comprehensive disaster funding has not been approved in two years. There is an urgent need for additional resources to support communities in Florida, Georgia, and North Carolina that were devastated by Hurricane Helene, the deadliest storm to hit the U.S. mainland since Hurricane Katrina in 2005. Florida also faced another devastating storm, Hurricane Milton, in October. Other affected states include Alaska, Connecticut, Louisiana, New Mexico, Virginia, Pennsylvania, and Illinois, all of which require funds for recovery efforts.
Of the requested $100 billion in disaster funding, about $29 billion is designated to replenish the Federal Emergency Management Agency’s core disaster relief fund, which supports immediate recovery efforts like debris removal, road and power line repairs, and financial assistance for those displaced by natural disasters. Approximately $21 billion is also allocated for farmers facing crop and livestock losses due to storms. The remaining funds are set aside for infrastructure repairs, housing grants to aid community recovery, and low-interest loans for small businesses struggling to rebuild. Without swift action from Congress, the Small Business Administration’s disaster loan program risks running out of funds, which could adversely affect job markets in areas ravaged by recent storms.
When attempts to pass a separate disaster relief bill fell short, lawmakers decided to integrate the disaster funding into the ill-fated compromise bill that would have maintained government spending at current levels for federal agencies until March, when Trump will take office with Republicans holding slim majorities in both the House and Senate.