President Donald Trump has announced new restrictions barring federal disaster preparedness funds from states or cities that boycott Israeli companies. This move is expected to further divide Trump's base as it goes against the "America First" agenda. To receive aid from FEMA, states must now demonstrate no policy of severing business ties with Israeli companies. At least $1.9 billion in federal grants is at stake. Critics argue that Republicans prioritize Israel's defense and funding needs over American citizens' well-being.
President Donald Trump's administration has announced new restrictions that bar federal disaster preparedness funds from states or cities that boycott Israeli companies. This move is expected to further divide Trump's base, as it goes against the "America First" agenda. To qualify for aid from the Federal Emergency Management Agency (FEMA), states must now demonstrate a policy of not severing business ties with Israeli companies. At least $1.9 billion in federal grants is at stake [1].
The new requirement applies to at least $1.9 billion that states rely on to cover search-and-rescue equipment, emergency manager salaries, and backup power systems, among other expenses. This is part of the Trump administration's ongoing efforts to use federal funding to promote its views on Israel. The Department of Homeland Security, which oversees FEMA, had already prohibited states and cities receiving its grants from boycotting Israel [2].
The new policy targets the Boycott, Divestment, and Sanctions (BDS) movement, which seeks to pressure Israel economically to end its occupation of Palestinian territories. The BDS movement has seen increased support in recent years, particularly following the conflict between Israel and Hamas in 2023 [3].
Critics argue that the move prioritizes Israel's defense and funding needs over the well-being of American citizens. The American Jewish Committee supports the policy, stating that it is a necessary measure against antisemitism [3].
The requirement is largely symbolic, as at least 34 states already have anti-BDS laws or policies. However, the move could have significant implications for states and cities that rely heavily on federal disaster preparedness funds. FEMA will require major cities to agree to the Israel policy to access part of $553.5 million earmarked for terrorism prevention in high-risk urban areas. New York City is slated to receive $92.2 million, the largest share, based on FEMA's analysis of each city's "relative risk of terrorism" [1, 2].
References:
[1] https://www.usatoday.com/story/news/politics/2025/08/04/trump-blocks-some-disaster-aid-to-states-that-boycott-israel/85513323007/
[2] https://www.ynetnews.com/article/h17luladgl
[3] https://www.newsweek.com/donald-trump-israel-companies-partners-dhs-funding-2108673
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