The Federal Emergency Management Agency has hit critically low funding levels and is now severely restricting spending to preserve its remaining dollars in the event of a major disaster, the agency told Congress.
The Disaster Relief Fund, which is what FEMA uses to respond to major natural disasters, has dropped to $1.6 billion, the agency reported Wednesday. Hurricane season, which typically brings the highest likelihood of extreme weather disasters, begins June 1.
FEMA could quickly exhaust $1.6 billion in the event of multiple disasters — or even a single major one. In response to the California wildfires in January 2025, FEMA spent about $2.7 billion in just the first month.