
CNN
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The Department of Homeland Security announced Tuesday that it fired four Federal Emergency Management Agency officials over payments provided to New York City to house migrants, arguing without evidence that the officials circumvented leadership.
The firings come after Elon Musk, who’s running President Donald Trump’s Department of Government Efficiency and its efforts to dismantle some federal agencies, accused FEMA on X early Monday of violating the law by sending $59 million to New York last week and said his DOGE team will demand the money back. The tech billionaire suggested earlier this week that the agency may be one of his next targets, writing on X, “FEMA is broken.”
The payments appear to stem from an existing program that was the target of Republican attacks during the 2024 presidential campaign. The Shelter and Services Program is administered by FEMA, in partnership with US Customs and Border Protection, to aid cities sheltering migrants. It is a separate pot of money unrelated to disaster relief. In fiscal year 2024, Congress appropriated $650 million for the program, according to the agency.
New York City is among its recipients after grappling with a surge of migrants in recent years. The city received $119 million in federal funds, including $81 million last week, according to a City Hall spokesperson. Some of that went to direct hotel costs. The city has $37 million left to claim, the spokesperson said.
“The Adams administration has not received any information or request asking for any money back or about any claw back process. The administration is in direct contact with the White House about the funding and seeking more information,” a City Hall official told CNN.
Former Homeland Security officials told CNN that generally cities identify the lodging and later submit for reimbursement.
“There’s a whole set of guardrails around it to make sure it’s administered according to the law,” one former DHS official said.
In a statement, a Homeland Security spokesperson said: “Effective immediately, FEMA is terminating the employment of four individuals for circumventing leadership to unilaterally make egregious payments for luxury NYC hotels for migrants.”
FEMA’s chief financial officer, two program analysts and a grant specialist were among those who were fired.
CNN reached out to DHS for additional information on what the employees did that amounted to circumventing leadership and if the payments fell under the existing Shelter and Services program.
The Homeland Security spokesperson said more information would be provided when available.
Trump’s team has suggested doing away with FEMA.
When touring North Carolina flood damage last month, Trump floated eliminating FEMA, which he’s criticized as bureaucratic and slow in its rescue responses. He suggested he may soon abolish the agency and instead send money directly to states to manage their own disaster relief efforts.
And DHS Secretary Kristi Noem, who has oversight of FEMA, told CNN on Sunday that she would support ending “FEMA the way it exists today” should the president ask her.