US links $1.9 billion in state disaster funds to Israel boycott stance [View all]

Source: Reuters

August 4, 2025 12:26 PM EDT Updated 45 mins ago


WASHINGTON, Aug 4 (Reuters) - U.S. states and cities that boycott Israeli companies will be denied federal aid for natural disaster preparedness, the Trump administration has announced, tying routine federal funding to its political stance.

The Federal Emergency Management Agency stated in grant notices posted on Friday that states must follow its "terms and conditions." Those conditions require they certify they will not sever “commercial relations specifically with Israeli companies” to qualify for funding.

The 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, according to 11 agency grant notices reviewed by Reuters. The requirement is the Trump administration's latest effort to use federal funding to promote its views on Israel.

The Department of Homeland Security, the agency that oversees FEMA, in April said that boycotting Israel is prohibited for states and cities receiving its grant funds. FEMA separately said in July that U.S. states will be required to spend part of their federal terrorism prevention funds on helping the government arrest migrants, an administration priority.

Read more: https://www.reuters.com/world/us/us-links-19-billion-state-disaster-funds-israel-boycott-stance-2025-08-04/