FEMA cancels $750 million disaster protection grant program

The Trump administration is canceling a grant program that has given states funding to protect against natural disasters, according to a Politico E&E News article.

Federal Emergency Management Agency (FEMA) acting Administrator Cameron Hamilton stated in a memo in early April 2025 that the agency will not allocate the planned $750 million for Building Resilient Infrastructure and Communities (BRIC) grants.

According to FEMA, the BRIC program supports states, local and territorial governments and Tribal Nations as they work to reduce their hazard risk. The program aims to support communities as they build capability and capacity.

The BRIC program also does the following:

• Encourages and aids innovation
• Helps partnerships grow
• Supports infrastructure projects
• Fosters flexibility and consistency

FEMA announced in a press release that it will be cancelling all BRIC applications from Fiscal Years 2020-2023. If grant funds have not been distributed to state, tribes, territories and local communities, funds will be immediately returned to the Disaster Relief Fund or the U.S. Treasury.

Approximately $882 million of funding from the Infrastructure Investment and Jobs Act (IIJA) will be returned to the U.S. Treasury or reapportioned by Congress in the next fiscal year. The 2021 law made $1 billion available for BRIC over five years, $133 million to date has been provided for about 450 applications. FEMA estimates more than $3.6 billion will remain in the Disaster Relief Fund to assist with disaster response and recovery for communities and survivors.

Politico reports that, according to FEMA records, BRIC has distributed $5 billion in grants since it began in 2020, and that the grants typically pay 75% of a project’s cost. Some projects have received as much as $50 million.

Notable projects utilizing BRIC funding

Some communities and utilities across the U.S. have already committed to projects using BRIC funding. With the announcement of cancellation, they will be required to pivot funding sources to ratepayers or other means of funding.

Notable projects include:

• Richmond, Virginia: Loss of $12 million in funding for water treatment plant upgrades.
• Tulsa, Oklahoma: Loss of $19.5 million in funding for flood control infrastructure.
• Stillwater, Oklahoma: Loss of funding for a backup water line project.
• Salisbury, North Carolina: Loss of $22.5 million in funding for a water resiliency project.
• Portsmouth, Virginia: Loss of $24.2 million in funding for repairs and flood protection.