Details of Government Support for Southern California Wildfires

As Southern California addresses the destruction caused by wildfires around the region, SCAG is committed to supporting local agencies in the collective work of recovery and resilience.  

Every level of government, from local to federal, has mobilized to ease the recovery work of communities affected by the wildfires. SCAG’s Legislative Affairs team has been monitoring these developments to inform local agencies in Southern California about the recovery effort, compiling the following list of recovery actions at the federal, state, and city level:

Federal Government

Major Disaster Declaration: On Jan. 8, then-President Biden issued a Major Disaster Declaration related to the Los Angeles fires. This declaration makes available federal assistance funding to help state, local, and Tribal agencies cover emergency response costs. The declaration also includes individual assistance programs for affected citizens and businesses, including temporary accommodation and financial assistance for destroyed property. 

City of Los Angeles

Executive Order No. 1: Los Angeles Mayor Karen Bass issued a sweeping Executive Order to enable Los Angeles residents to rapidly rebuild homes lost in the wildfires and lay the foundation for businesses to rebuild. Mayor Bass also updated the local emergency declaration to account for wildfire devastation and to accelerate the city’s recovery and rebuilding.

Business tax extension: Los Angeles Mayor Karen Bass announced that the deadline to file city business taxes has been extended for businesses directly impacted by the wildfires. The due date for those businesses impacted has been extended from Feb. 28 to April 14. Additional information is available from the Office of Finance.

Chief Recovery Officer: Los Angeles Mayor Karen Bass appointed Steve Soboroff as the chief recovery officer for the city of Los Angeles’ rebuild and recovery effort.

California Governor’s Office

State of Emergency Declaration: On Jan. 7, Governor Newsom proclaimed a state of emergency related to the Southern California fires. This emergency declaration allows state, local, and Tribal agencies to apply for reimbursement from the federal government for activities related to responding to the wildfires.

Executive Order N-10-25: This order suspends certain state tax laws that impose penalties, costs, and interest for late payments of property taxes due in calendar year 2025 until April 10, 2026. Certain additional state tax laws requiring the filing of various property tax statements are also suspended under this order.

Emergency State Funding: A relief package provides at least $2.5 billion in additional funding for ongoing emergency response efforts and to jumpstart recovery efforts for Southern California. The legislature began amending budget bills to release additional funds (more information on proposed legislation can be found later in this article).

Tax Relief for Los Angeles County: This executive order postpones the individual tax filing deadline for Los Angeles County taxpayers to Oct. 15. Additionally, the state extended the sales and use tax filing deadline for Los Angeles County taxpayers until April 30. Governor Newsom suspended penalties and interest on late property tax payments for a year, effectively extending the state property tax deadline.

Coastal Act and California Environmental Quality Act Streamlining for Rebuilding: This Jan. 12 executive order streamlines rebuilding of homes and businesses destroyed by suspending permitting and review requirements under the California Environmental Quality Act and the California Coastal Act.

Executive Order N-14-25: This Jan. 27 order reiterates and clarifies suspension of permitting requirements under the California Coastal Act by Executive Order N-4-25 while helping boost availability of short-term housing by making it easier for those impacted by the Southern California wildfires to stay in hotels and other short-term rentals for more than 30 days.

Building Code and Permitting Review: This Jan. 12 executive order also directs state agencies to identify additional permitting requirements, including provisions of the Building Code, that can safely be suspended or streamlined to accelerate rebuilding and make it more affordable.

Temporary Housing Measures: A Jan. 16 executive order streamlines construction of accessory dwelling units, allowing for more temporary trailers and other housing and suspend fees for mobile home parks.

Eviction Protections: A Jan. 17 executive order prohibits landlords in Los Angeles County from evicting tenants for sharing their rental with survivors displaced by the Los Angeles-area wildfires. 

Price Gouging: A Jan. 12 executive order expands restrictions to protect survivors from illegal price hikes on rent, hotel and motel costs, and building materials or construction. Report violations to the Office of the Attorney General. The order extends price gouging protections for essential building materials, housing and storage services, and repair, construction, and emergency clean-up services until Jan. 7, 2026, in Los Angeles County.

Real Estate Speculators: A Jan. 14 executive order protects wildfire victims from predatory land speculators making aggressive and unsolicited cash offers to purchase their property.

Supporting Students and Schools: A separate Jan. 14 executive order makes it easier for schools damaged or destroyed in the fires to use temporary facilities and allows displaced students to attend school outside of their district by suspending a number of state rules.

Small Business Tax Relief: A Jan. 13 executive order directs state tax agencies to extend business tax deadlines and relieve interest and penalties.

Small Business Recovery: On Jan. 21, Governor Newsom announced expanded access to small business support centers and the California Office of the Small Business Advocate to issue resource guides.

Mortgage Relief Programs: Governor Newsom announced commitment by five major financial institutions to offer mortgage relief for property owners in designated fire areas. These institutions will provide a 90-day forbearance on mortgage payments, 90-day waiver of late fees, and 60- to 90-day moratorium on new foreclosures.

Support Workers Suffering Job Loss: The state directed $20 million to create temporary jobs in impacted areas and provide these workers with supportive services through awards from the Employment Development Department.

California Department of Insurance

Emergency Declaration: California Insurance Commissioner Ricardo Lara issued an emergency declaration for Los Angeles and Ventura counties, which requires non-licensed claim adjusters from out of state to follow all California laws.

One-Year Moratorium on Insurance Cancellations:  This moratorium expands emergency insurance protections by preventing homeowners insurance cancellations and non-renewals in areas impacted by the wildfires.

Maintaining Healthcare for Impacted Consumers: This notice directs California health insurers to submit emergency plans detailing how they will ensure continued access to medically necessary healthcare services for the duration of the declared state of emergency. These include allowing for 90-day prescription drug refills and suspending refill waiting periods for all drug tiers, including specialty drugs.

Preventing and Prosecuting Insurance Fraud: A partnership with the Los Angeles County District Attorney to launch a rapid response effort to prevent and prosecute insurance fraud targeting wildfire survivors. 

California State Legislature

Budget

SBX1-3 (Weiner; Gabriel): This legislation proposes to amend the 2024 state budget to expend $1 billion for emergency protective measures, evacuations, sheltering for survivors, household hazardous waste removal, assessment and remediation of post-fire hazards such as flash flooding and debris flows, traffic control, air quality and water and other environmental testing, and other actions to protect health, protect the safety of persons or property, and expedite recovery.

SBX1-4 (Weiner; Gabriel): This bill would appropriate up to $1.5 billion in one-time funding from the state General Fund, or other available funds, for uses noted previously under SBX 1-3.

Climate Bond: The recently passed climate bond includes a $1.5 billion set aside for wildfire preparedness. Senate Pro Tem Mike McGuire said that funding from the climate bond could be used for removing dead trees, managing dry vegetation, and building fire breaks and defensible space around homes and businesses.

Policy

AB 226 (Calderon; Alvarez): The FAIR Plan insurance bill would support the FAIR Plan with additional liquidity through the California Infrastructure and Economic Development Bank.

AB 238 (Harabedian): This proposed legislation would permit borrowers affected by the wildfires to request mortgage forbearance due to financial hardship. Borrowers must confirm their hardship without extra documentation. It also requires servicers to provide a 180-day forbearance, extendable by another 180 days upon request, without fees or penalties, and foreclosures are prohibited during this period.

AB 239 (Harabedian): This bill would require the California Department of Housing and Community Development and the California Governor’s Office of Emergency Services to form a disaster force for Los Angeles County. This task force will coordinate efforts with the Federal Emergency Management Agency and local governments to rebuild housing after wildfires, starting Jan. 7. A state disaster housing coordinator will be appointed to expedite resource delivery. The task force must report to the legislature on rebuilding status by April 1, 2026, and quarterly thereafter.

AB 246 (Bryan) Rent Relief: This legislation would prohibit an owner of residential real property from increasing the rental rate for a dwelling or a unit located in Los Angeles County more than the rental rate for the dwelling or unit charged on Jan. 7. The rent cap will stay in effect for 12 months after the state of emergency is over.

SCAG

Previous SCAG News articles have shared lists of resources for residents and business owners displaced by the fires as well as a list of resources for communities beginning to recover and prepare for future wildfires and extreme weather events. SCAG will continue updating the SCAG News channel as new resources become available.

SCAG’s Joint Policy Committee meeting on Feb. 6 will feature a discussion of recovery and resilience lessons for the region, including SCAG’s involvement with the L.A. County recovery task forces. The agenda for the meeting will be published online 72 hours before the meeting—attendance is available online or in person at the SCAG offices in downtown Los Angeles.