Category: Ketchikan Local

By: Corinne Smith, Alaska Beacon

The Trump administration has denied Alaska’s request for full reimbursement for disaster relief efforts immediately following last October’s devastating Western Alaska storms, despite the Dunleavy administration’s claim that the federal disaster declaration meant the state would be fully reimbursed.

That leaves the state on the hook for millions of dollars for disaster recovery, however the full amount is still unknown. 

The state’s request for federal support for 100% of disaster relief efforts in the first 90 days after the storms hit was denied on Dec. 20, according to a spokesperson for the Alaska Division of Homeland Security and Emergency Management on Thursday. 

The state appealed the denial on Jan. 15, and asked for a 90% federal cost reimbursement, but has not yet gotten a response from the Federal Emergency Management Agency. 

“We have not heard back from FEMA on approval or denial and there is no timeframe requirement,” said Jeremy Zidek, public information officer for the division, by email. 

A spokesperson for Dunleavy’s office did not respond to a list of questions, but confirmed the appeal on Friday. “An appeal has been filed and the administration will await the federal government’s decision,” said Jeff Turner, Dunleavy’s communications director. 

In the meantime, the federal government is reimbursing Alaska’s disaster recovery efforts at roughly 75%, leaving the state to cover 25% of its costs, with some exceptions for certain relief programs, Zidek said. 

Following the West Coast storm disaster in October, Dunleavy quickly declared a state disaster emergency. On Oct. 22, his office announced that the Trump administration approved the state’s request for a federal disaster declaration, and the state’s full costs would be covered immediately following the storms.

“President Trump was deeply concerned with the wellbeing of Alaskans who lost their homes and livelihoods to this historic storm,” Dunleavy said in a statement along with the announcement. “I want to thank him and his administration for approving the disaster declaration because now Alaskan families have local, state and federal support for rebuilding their lives in the months ahead.”

“The federal disaster declaration authorizes a 100 percent federal cost share for all categories of relief assistance for the next 90 days,” the statement said. 

Dunleavy’s office did not respond to questions about his previous statement or whether his office had communication from the Trump administration about why the request was denied. 

Alaska’s Republican U.S. congressional delegation applauded the federal disaster declaration and Trump’s support for the Western Alaska disaster response last year. All three members said through spokespeople Friday that they support the state’s appeal. 

U.S. Sen. Lisa Murkowski has been actively engaged with FEMA and state officials throughout the disaster relief efforts, said her communications director, Joe Plesha, in a statement on Friday. “Alaska’s vast geography and many rural communities make disaster response more challenging and recovery efforts significantly more costly,” he said. “She supports the state’s appeal and will work to secure the maximum amount of federal support available to Alaskans who have suffered so much from this devastating storm.”

A spokesperson for U.S. Sen. Dan Sullivan, Amanda Coyne, said the senator has advocated for the 100% federal cost share, as well as organized a delegation of FEMA and other Trump administration officials to visit Western Alaska. 

“Given the severity of the storm and its devastating impacts on communities in Western Alaska, Senator Sullivan believes an increased federal cost share is warranted,” Coyne said. “He will continue strongly advocating with FEMA and other senior officials in the Trump Administration for an increased federal cost share as the state’s appeal goes through the process.”

A spokesperson for Alaska’s lone U.S. Representative, Nick Begich III, said on Friday that he supports the appeal and will continue to advocate for those impacted by Typhoon Halong at the Congressional level. “Our office is in communication with the Administration to ensure recovery efforts in Western Alaska remain a priority,” spokesperson Silver Prout wrote.

Western Alaska storm recovery is ongoing

The Western Alaska storms and particularly ex-Typhoon Halong brought record-breaking winds and flooding — damaging thousands of structures, roads, boardwalks, airports and other critical infrastructure. It prompted the state’s largest mass evacuation of residents from their homes to other villages, Bethel and Anchorage.

While some Western Alaska residents are continuing to rebuild through the winter, other residents who evacuated to Anchorage are living in temporary housing. As of Thursday, the Alaska Division of Homeland Security and Emergency Management reports that 471 residents are still sheltering in hotels in Anchorage. 

The state is administering public assistance programs, which reimburse costs of repairing public infrastructure and utilities, as well as provide individual disaster assistance, in partnership with other agencies, including FEMA.

FEMA has awarded $31.2 million in individual assistance to date, Zidek said. 

More than 2,000 residents have been awarded state individual assistance, and 1,794 households have registered for federal assistance from FEMA.

Those applications for state and federal assistance are still open until Feb. 20. 

State disaster relief funding under debate

The state’s disaster relief funding is a point of ongoing debate among lawmakers and the governor, as they kick off discussion of Dunleavy’s proposed $7.75 million budget and its $1.5 billion deficit. 

Last year, legislators approved $23.3 million in state disaster relief funds, but Dunleavy vetoed $10.3 million of that sum last summer, leaving $13 million in the budget. In November, following the federal government shutdown, Dunleavy announced a state disaster to help provide food aid, transferring $10 million to the state’s disaster relief funding from the Department of Environmental Conservation’s Village Safe Water and Wastewater Infrastructure program. 

This year, the governor has requested an additional $40 million in the state’s supplemental budget, which is a routine ask for additional money to pay the state’s bills for the previous year. 

Sen. Bert Stedman, R-Sitka, a co-chair of the Senate Finance Committee, didn’t mince words about the governor’s back and forth with disaster spending. “Ill-advised and foolish,” he said. “It makes no sense what he did to me, frankly, and it’s embarrassing for him, his veto.”

But Stedman said he hopes the state’s federal appeal is approved, and expects legislators to pass the governor’s request for the additional $40 million. “Obviously, 100% is better than 90 and 90 is better than 75,” Stedman said of the federal cost share. “So that’s pretty much a given there. But we will fund the disaster request as the governor puts it on the table, through next week’s amendments.”

Sen. Jesse Kiehl, D-Juneau, also a member of the Senate Finance Committee, commended the governor for his record on disaster response, and echoed hope for the appeal to move forward. “There’s no question in my mind that this is exactly what the federal disaster relief programs exist for. So I think the governor’s request was the right thing, and if it came back at less than full funding from the feds, that’s the wrong call,” Kiehl said.

Kiehl described the state’s fiscal picture, with rising costs and ongoing debates on how to raise more revenues, as “bleak.” “So there isn’t cash just sitting around for disaster assistance,” he said. “We have to step up for western Alaska financially. That’s going to stink, but we have to do it, as far as I’m concerned.”

A typical cost share between the federal government and a state for disaster relief efforts is a 75% federal and 25% state cost split. 

“We have dozens of federal declared disasters we are currently working on that have the 75/25 cost share structure,” said Zidek, with agency. “Large disasters are occasionally given a modified cost share structure adjustment, but it is not guaranteed. When we have a large disaster, we ask for modification to reduce the amount of state funding needed because as managers of state funds it is the responsible thing to do.”