The Federal Emergency Management Agency has rejected Alaska’s request for a 90% federal reimbursement to cover millions in damages caused by the October 2025 storms in Western Alaska.
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That’s according to a denial letter the agency sent to Alaska Gov. Mike Dunleavy on Sunday.
The additional funds would have been limited to disaster relief during the first 90 days after the storms. It would have covered the bulk of costs of debris removal and emergency protective measures, which the state said reached $20 million in the first weeks after ex-Typhoon Halong.
The decision means the typical cost share for disasters will apply, according to Division of Homeland Security and Emergency Management spokesperson Jeremy Zidek.
“We’re (going) to the typical cost share that we see for many other disasters here in the state, which is 75% funded by the federal government and 25% funded by the state,” Zidek said.
FEMA said in the letter that it could still consider granting a 90% federal cost share that more broadly applies to all public assistance costs but did not provide a timeline.
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Just days after ex-Typhoon Halong brought widespread damage to the Yukon-Kuskokwim Delta in October 2025, Gov. Dunleavy said FEMA would reimburse the state for 100% of the costs incurred during the first 90 days. FEMA denied the request, and in January 2026 the state appealed that decision with the 90% reimbursement request.
The state claimed in its appeal to FEMA that the lack of a 90% cost share would lead to cuts to essential local services in storm-impacted communities that could hinder disaster preparedness.
But Zidek said that funds added to the state’s supplemental budget during the recent legislative session improved the state’s outlook.
“An additional $35 million has been allocated to the state’s disaster relief fund, which is going to bring the total for the Halong response and recovery effort to $72 million,” Zidek said.
Even with the lower federal cost share, Zidek said state emergency managers are confident that the state will be able to cover its share of the recovery funding.
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