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HUD offers no timeline for wildfire disaster recovery package
California Congresswoman Norma Torres pressed for a disaster recovery plan for January 2025 wildfire victims, but HUD Secretary Scott Turner gave no submission schedule, despite existing state mortgage forbearance under AB 238.
At a recent U.S. Department of Housing and Urban Development 2027 budget hearing, California Congresswoman Norma Torres asked when a disaster recovery package would be submitted for California wildfire victims who lost their homes in January 2025. HUD Secretary Scott Turner did not provide a timeline, and instead pointed to local leadership as responsible for the delay, according to HousingWire.
The exchange drew attention to ongoing displacement and the scope of the fires, including the Eaton Fire in Altadena and the Palisades Fire in Pacific Palisades, which ravaged 59 square miles and killed an estimated 440 people. HousingWire reports lawmakers also heard from families describing challenges tied to displacement, insurance delays, and the multi year rebuilding process.
HousingWire notes that California’s Mortgage Forbearance Act, known as AB 238, provides up to one year of mortgage forbearance for homeowners facing financial hardship from the wildfires. Mortgage industry leaders told lawmakers, however, that forbearance is not a stand alone recovery strategy, warning that extending relief without a defined path forward could increase financial strain on borrowers over time.
HousingWire frames the issue as part of a broader chain reaction across housing, insurance, and financial stability, arguing that a coordinated recovery plan is needed to address what forbearance can only temporarily bridge.