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Gov. Gavin Newsom is asking Congress to approve additional $39.7 billion in aid to help Los Angeles recover from the devastating damage that the January fire broke out.
Newsom sent a letter on Friday to House Speaker Mike Johnson (R-La.). House Minority Leader Hakeem Jeffries (DN.Y.); Rep. Tom Cole (R-Okla.), Chairman of the House Budget Committee. Connecticut Rep. Rosa Delauro is the leading Democrat on the committee and is looking for their support.
“Los Angeles is one of the most economically productive places in the world, but we can rebound and thrive with just federal support to recover from this unprecedented disaster,” Newsmom said. I am writing.
According to a Times analysis, estimates of total economic losses from the Firestorm have increased to more than $250 billion. A total of 16,251 structures have been destroyed. Fires tore through 37,400 acres of Pacific Palisade, Malibu, Pasadena and Altadena.
Newsom’s letter outlines how requested funds will be used to rebuild homes, infrastructure, businesses, schools, churches and healthcare facilities, and residents, workers, affected by catastrophic fires. Supports children’s needs.
“No doubt Los Angeles will spend this money wisely,” Newsom wrote.
His biggest demands are an additional $16.8 billion from federal emergency management agencies, mostly aimed at restructuring real estate and infrastructure, with $5 billion allocated to debris cleanup It is being done.
Newsom also requested $9.9 billion from the Housing and Urban Development Agency for grants to fire victims, homeowners, renters and businesses. $52.9 billion from homeowners and business loans from small business managers. He demands a $4.32 billion recovery grant from the Economic Development Bureau to local governments, and from the Internal Revenue Service from the $2 billion low-income housing tax credit.
The letter does not get caught up in a conflict over the Trump administration’s threat of imposing conditions on federal aid. Instead, we would like to thank President Trump and his administration for their support for the removal of fire debris that they are rapidly tracking, and to provide an all-in-hand approach to recovery.
“We are forever grateful,” Newsom wrote. “And if we work together, Los Angeles will continue to serve as a beacon to the world, and will place the city firmly on the ground in the coming years to host the FIFA World Cup and the Olympics, and will flourish for the century. I’m sure. Come.”
Whether these requests are approved depends on the willingness of Republican lawmakers to allocate funds at a time when the administration focuses on cutting spending, and the conditions that may accompany it. It depends on the willingness of Democratic lawmakers to accept it.
Some Republicans have proposed linking aid to certain policy changes at the state level, including changes to California’s water policy and the imposition of new voter ID requirements. In the past, Trump has threatened to withhold federal funds for states that do not support his agenda. He is a frequent critic of Newsom and California’s water policy.
Rick Grenell, a longtime Trump alliance who serves as the president’s envoy for special missions, said on Friday “there are conditions.”
One potential condition being discussed is a refund from the California Coastal Commission, he said. Trump criticizes it as an overly restrictive bureaucratic institution that hinders timely reconstruction efforts.
“I think squeezing their federal funds and making sure they can’t get the funds and putting strings on them to get rid of the California Coastal Commission would make California better,” Grenell said in a suburb of Washington. said at the Conservative Political Action Conference.
Newsom’s request to Congress also includes:
$3,600 for $101 million for $350 million for water infrastructure resilience efforts for rebuilding and repairing water infrastructure $2.5 million for vulnerable children for low-income housing energy support brownfield cleanup and nurturing youth $2 million for air quality monitoring
He also asks the Small Business Bureau to raise the maximum loan limit for home reconstruction from $500,000 to $2 million.
Rep. Brad Sherman Oaks, who represents Pacific Palisade, praised Newsom’s demands and thanked him for insisting on raising this limit.
“This current limit is very insufficient to rebuild an uninsured home in Pallisard in the Pacific,” he said in a statement. “The majority of my constituents who answered the survey questions show that their top priority is increasing the limits on SBA Home Disaster Loans when Los Angeles is rebuilt.”
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