America’s disaster relief agency is in the national spotlight

After a pair of major hurricanes battered the Southeast US in recent weeks, many are turning their attention to the Federal Emergency Management Agency (FEMA), whose mission is to help Americans before, during, and after natural disasters.

How FEMA works: The federal government doesn’t help with every disaster – it generally has to be above the ability of a community or state to handle. In that case, the local governor or tribal authority asks the President for an emergency declaration, allowing for assistance from FEMA to flow.

Among other things, FEMA offers life-saving emergency procedures to victims, helps states cover costs associated with clean-up and debris removal, and assists in rebuilding damaged public infrastructure.

• FEMA also offers financial assistance to individual victims for essentials like food, water, temporary housing, and medical expenses – including a $750 payment to disaster survivors in the immediate aftermath of a major storm.
• This marks the first FEMA payment to disaster survivors, who are also eligible for additional forms of financial assistance once the storm passes.
• In any given disaster where FEMA is involved, the President typically sends a formal budget request to Congress for additional non-emergency funding and programs over the following weeks/months/years.

Worth mentioning: The money used in the immediate aftermath of Helene, Milton, and other major storms comes from FEMA’s Disaster Relief Fund (DRF), which is replenished annually by Congress.

• Last month, US lawmakers approved a $20 billion DRF budget for this fiscal year, the same size as in 2024 – though FEMA has already spent nearly half of that sum just eight days into the 2025 fiscal year.

Where does insurance come in? FEMA assistance differs from homeowner’s insurance in that it only provides the basic needs to make a home safe, sanitary, and functional – and no further than that. If a homeowner in a disaster area does have insurance (which is typically required to obtain a mortgage), they must first file a claim and have it processed before requesting FEMA assistance, since the agency isn’t allowed to pay for any costs covered by insurance.

Looking ahead… FEMA is currently in the process of assessing damages from Hurricanes Helene and Milton, both of which are projected to cost “a multiple of tens of billions of dollars each.” Once the assessments are complete, the Biden admin will ask Congress to approve larger financial aid packages for affected areas across the Southeast US.

📊 Flash poll: In general, how would you best describe your opinion of the Federal Emergency Management Agency (FEMA)?

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