Four FEMA Officials Dismissed Over $59M Migrant Hotel Payments in NYC

The Department of Homeland Security (DHS) has terminated four employees from the Federal Emergency Management Agency (FEMA) following the discovery of an unauthorized $59 million payment for hotel accommodations for migrants in New York City.

According to DHS sources who spoke with Fox News, the officials bypassed internal leadership protocols when approving the payment, which funded temporary housing in upscale hotels for migrants.

A DHS spokesperson stated, “Four employees are being fired today for circumventing leadership and unilaterally making the egregious payment.”

The controversy gained traction after tech entrepreneur Elon Musk posted on X (formerly Twitter), claiming FEMA misused disaster relief funds.

“The DOGE team just discovered that FEMA sent $59M LAST WEEK to luxury hotels in New York City to house illegal migrants,” Musk wrote. He also called for the funds to be returned, noting that the money should have been allocated to disaster relief for American citizens.

Trump Criticizes FEMA and Promises Overhaul

The firings come on the heels of renewed criticism of FEMA by President Donald Trump. During a recent trip to North Carolina, Trump announced that his administration is considering sweeping reforms to the federal agency.

“I’ll be signing an executive order to begin fundamentally reforming or possibly phasing out FEMA,” Trump said during a visit to areas still recovering from Hurricane Helene—an event that devastated parts of the state over four months ago. “FEMA has really let us down. Let the country down.”

Trump emphasized that federal disaster relief should be more efficient and cost-effective, adding that states should be empowered to manage their own disaster responses. “You’ll do it for less than half the cost and get a faster response,” he stated.

FEMA’s Delayed Response in North Carolina

FEMA has come under scrutiny for its slow response to Hurricane Helene. According to the U.S. Army Corps of Engineers, only 50% of debris removal has been completed. Thousands of families remain displaced, with many still residing in hotels under FEMA’s Transitional Housing Assistance program.

Initially set to expire at the end of January, FEMA recently extended the temporary housing program through May 26, allowing over 3,000 families to remain in their hotel accommodations as they await permanent housing solutions.

During his visit, Trump assured residents of Swannanoa and surrounding areas that his administration would expedite recovery efforts. “It should have been handled months ago,” Trump remarked, pledging that his team would provide the support needed to rebuild. “North Carolina’s been treated very badly.”

In a Fox News interview with Sean Hannity, Trump also criticized Democratic leaders, suggesting they have neglected the needs of disaster-stricken states. “Democrats don’t care about North Carolina—that’s why I made it my first stop as president in my second term,” he said.

Locals expressed frustration with the ongoing recovery process. “It’s been hell,” said one resident, Michelle of Swannanoa, during Trump’s visit. “We just want to feel like someone is actually listening and doing something.”

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