New Mexico is taking FEMA to court after the federal agency twice denied reimbursement for tens of millions of dollars the state spent responding to a wildfire sparked by the federal government.
The dispute centers on funding used to deploy the New Mexico National Guard during a disaster that disrupted lives across northern New Mexico and left communities dealing with years of fallout.
Here's what to know
On Sept. 8, Gov. Michelle Lujan Grisham said New Mexico had sued FEMA over at least $61 million in National Guard expenses linked to the 2022 Hermits Peak-Calf Canyon Fire, according to Source NM.
Covering about 534 square miles in northern New Mexico, the fire became the largest in state history after two federal prescribed burns escaped containment and fused together.
Congress set up a $5.5 billion compensation program for families, businesses, and government agencies affected by the blaze, with FEMA tasked with administering it.
The governor's office noted that the National Guard assisted with evacuations, debris removal, and efforts to reduce flooding after the fire.
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Despite that, the office said FEMA's Hermits Peak-Calf Canyon Fire Claims Office has denied the state's Guard-related claims twice.
More background
According to Source NM, New Mexico has 22 additional claims still awaiting FEMA review. In all, the state is seeking $128 million in compensation.
The Hermits Peak-Calf Canyon Fire was not just a wildfire, but a prolonged community crisis. Families were forced to evacuate, land was destroyed, and the aftermath brought additional dangers, including debris and flooding.
Recovering from that kind of disaster can take years, especially in rural communities with fewer resources to absorb mounting costs.
FEMA figures showed that about $3.8 billion from the compensation fund had been distributed as of Aug. 31.
What's being done?
In suing FEMA, New Mexico is asking a court to require the agency to cover costs the state maintains are directly related to the federal government's actions.
"It's unconscionable that FEMA refuses to pay for a National Guard response that must continue for many years due to federal negligence," said Lujan Grisham.
Where can I learn more?
New Mexico's lawsuit is part of a bigger fight over who pays for disaster recovery after fires and floods.
FEMA rules, frozen federal money, and the long tail of wildfire damage can affect the aid people and states actually receive.
• In Colorado, officials were denied federal aid after historic wildfires and floods.
• FEMA announced a significant overhaul to disaster-assistance applications to make the process easier.
• More than 20 states sued over canceled funding for the Solar for All program.
• States have challenged withheld EV charging funds after billions were frozen by Washington.
Recovery conflicts often drag on long after the flames are out, and New Mexico's reimbursement battle could extend beyond this one dispute.
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