Newsom seeks billions to rebuild Los Angeles after fires


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California Gov. Gavin Newsom has submitted an urgent request to Congress, seeking approximately $40 billion in federal assistance to aid Los Angeles’s recovery from January’s catastrophic wildfires, which he anticipates could become America’s most expensive natural disaster to date.

The governor directed his appeal on Friday to key congressional leaders, including House Speaker Mike Johnson and House Appropriations Committee Chairman Tom Cole, emphasizing Los Angeles’s critical role in the global economy.

“Los Angeles is one of the most economically productive places on the globe, but it can only rebound and flourish with support from the federal government as it recovers from this unprecedented disaster,” Newsom wrote.

The devastating fires have inflicted massive economic damage, potentially exceeding $250 billion, with property losses in the Palisades and Eaton areas alone possibly reaching $30 billion, according to Los Angeles Times analysis.

The inferno’s destruction encompassed over 16,200 buildings across Pacific Palisades, Malibu, Pasadena, and Altadena communities.

The governor outlined plans to channel the funds toward rebuilding essential infrastructure, including homes, businesses, educational facilities, religious institutions, and healthcare centers, while providing support for affected residents.

“Make no mistake, Los Angeles will use this money wisely,” Newsom wrote.

His funding proposal includes $16.8 billion from FEMA primarily for reconstruction efforts and debris removal, $9.9 billion from HUD for various grant programs, and $5.29 billion from the SBA for loans to affected parties.

While expressing gratitude to President Trump for expediting debris removal assistance, Newsom’s letter notably avoided addressing recent suggestions that federal aid might come with conditions.

“We are eternally grateful,” Newsom said.

The relationship between Trump and Newsom has been marked by disagreement, particularly regarding California’s water management. Trump’s special envoy, Ric Grenell, indicated that federal assistance might be contingent on certain requirements.

One proposed condition involves eliminating funding for the California Coastal Commission, an organization Trump has criticized for its strict regulatory approach and perceived impediment to reconstruction efforts.