FEMA may soon be required to compensate wildfire victims for emotional harm

A federal judge may soon rule that victims of New Mexico’s largest wildfire, sparked by the U.S. Forest Service, deserve compensation from FEMA for the emotional toll of fleeing their homes and losing possessions.

Patrick Lohmann reports for Source New Mexico in partnership with Propublica.


In short:

  • Victims of the 2022 Hermits Peak-Calf Canyon Fire, caused by a controlled burn, sued FEMA for not compensating emotional harm.
  • A federal judge indicated support for victims' claims that noneconomic damages, like stress and loss of home, should be covered.
  • If the ruling favors victims, FEMA may have to create a new rulemaking process to distribute emotional damages from a $4 billion relief fund.

Why this matters:

Without compensation for emotional harm, low-income renters and those with few possessions would face deeper recovery challenges after devastating wildfires, worsening inequities in disaster aid.

Related EHN coverage:

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