Shutdown threatens Hurricane Helene recovery as FEMA's Disaster Relief Fund runs low

The DHS shutdown procedures plan identifies about 84% of FEMA employees as excepted and allowed to continue operations during a funding lapse.

Hurricane Helene struck the U.S. Gulf Coast in late Sep. 2024 and caused major flooding and damage across multiple southeastern states, including 🌴Florida, 🍑Georgia, the Carolinas, 🎸Tennessee and 🏛️Virginia.

The Disaster Relief Fund had roughly $2.3 billion on hand at the end of Aug. 2025, a level that analysts and former officials describe as low for ongoing recovery needs.

FEMA's immediate search-and-rescue and lifesaving missions are staffed by excepted employees and continue during a shutdown. Long-term recovery projects and reimbursements can be delayed when Congress does not appropriate supplemental funds.

The National Flood Insurance Program has about millions of active policies and has essential staff, but claim processing can slow during a shutdown.