Trump Blocks Disaster Aid, Leaving Farmers, Businesses in Limbo

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Trump Blocks Disaster Aid, Leaving Farmers, Businesses in Limbo \ Newslooks \ Washington DC \ Mary Sidiqi \ Evening Edition \ Farmers, small business owners, and disaster survivors are left in financial limbo after President-elect Donald Trump rejected a bipartisan disaster aid bill. The $100 billion package included critical relief for victims of Hurricanes Helene and Milton, which caused catastrophic damage across the southeastern U.S. With Congress gridlocked, communities struggle to recover as federal relief remains out of reach.

Disaster Aid Deadlock: Quick Looks

Trump’s Rejection: A bipartisan $100 billion disaster aid bill, including relief for hurricane victims, is stalled.
Impacted Groups: Farmers, small business owners, and homeowners await federal assistance to rebuild.
Critical Funding: $21 billion for farmers, $2.2 billion for small business loans, and $12 billion in housing grants.
Human Toll: Hurricanes Helene and Milton left 221 dead and caused $60 billion in damage in North Carolina alone.
Broader Scope: The aid also supports recovery from droughts, wildfires, and other recent natural disasters.

Deep Look

Trump’s Rejection Leaves Aid Bill in Limbo

President-elect Donald Trump’s sudden rejection of a bipartisan disaster aid bill has created uncertainty for millions of Americans affected by Hurricanes Helene and Milton, two of the deadliest and costliest storms in recent U.S. history.

The proposed $100 billion aid package was designed to provide vital relief to farmers, small business owners, and communities ravaged by natural disasters. Now, with Congress deadlocked, those who lost everything to these storms remain without federal support to rebuild their lives.

A Region in Crisis After Back-to-Back Hurricanes

Hurricane Helene, the deadliest storm to hit the U.S. mainland since Katrina in 2005, claimed 221 lives, nearly half of them in North Carolina. Floodwaters and high winds caused an estimated $60 billion in damage, leaving entire communities devastated. Hurricane Milton followed shortly after, compounding the destruction and overwhelming recovery efforts across the southeastern U.S.

Farmers, business owners, and residents are bearing the brunt of the financial fallout as they wait for Congress to act. For many, the disaster aid package represents their last hope of recovery.

Small Businesses Struggling to Survive

Jessie Dean, the founder and CEO of Asheville Tea Co. in North Carolina, knows the stakes all too well. Her company’s building, equipment, and inventory were washed away during Helene’s flooding.

“I’m tracking this bill like a hawk right now,” Dean said. Her small business employs 11 people and partners with local farmers to source herbs for its teas. So far, she has received no assistance from the U.S. Small Business Administration (SBA), despite applying for a disaster relief loan.

Dean said the lack of support is forcing tough conversations among local business owners. “I’m talking to friends every day who are struggling with the decision around whether or not to continue to run their business, whether or not they can,” she said.

Farmers Face Financial Ruin

The situation is equally dire for farmers like Scott Hudson, who grows pecans on 2,600 acres in southeastern Georgia. Helene’s winds uprooted thousands of his trees, and he estimates losing up to 70% of his crop in certain counties.

“Without federal disaster money right now, or without some assistance, people like me will not be farming much longer,” Hudson said.

For Hudson and many others, disaster aid isn’t about profit—it’s about survival. “American ag needs this money … not to be profitable, to just stay in business,” he said.

Homeowners Left Waiting

Retired engineer Thomas Ellzey, 71, has been living in his mud-filled home in Fairview, North Carolina, for nearly three months. Although pre-approved for an SBA loan to rebuild, Ellzey was told that the agency lacks the funds to distribute the money.

“I budgeted carefully for my retirement, trying to prepare for every possible emergency,” Ellzey said. “But I couldn’t have predicted a hurricane.”

With no insurance coverage and no federal aid, Ellzey faces the daunting prospect of going into debt late in life to repair his home.

What Was in the Disaster Aid Bill?

The proposed disaster aid bill included funding critical for recovery:

$21 billion for farmers affected by hurricanes, wildfires, and droughts.
$2.2 billion for SBA disaster recovery loans for businesses, nonprofits, and homeowners.
$8 billion to rebuild damaged roads and highways.
$12 billion for community recovery block grants through HUD to help homeowners and communities rebuild.

The aid package also addressed recovery efforts for past disasters, such as the 2023 Maui wildfire that destroyed Lahaina. According to disaster recovery experts, these funds are essential not only for addressing current crises but also for paying long-term bills from previous events.

Broader Implications of the Stalemate

Stan Gimont, a former HUD official and senior adviser for community recovery at Hagerty Consulting, highlighted the long-lasting nature of disaster recovery. For instance, cleanup efforts in Maui took a full year, with ongoing costs continuing to strain resources.

“Even though that event occurred in the past, the bills for that are going to come due in the future,” Gimont said.

The stalled aid bill leaves the U.S. unprepared for future disasters while communities from past events remain in financial limbo.

A Call for Immediate Action

Farmers, small business owners, and disaster survivors across the nation are urging Congress to resolve the impasse. As one Georgia farmer put it, “Whether you’re a Democrat or Republican, we need this money just to stay in business.”

The human and economic toll of these disasters continues to grow, and without federal intervention, many fear they won’t recover. For now, millions are left waiting, with their futures uncertain.