DHS Chief Revokes $100K Approval, Boosting FEMA Relief Prospects

Mo. Basuony

Published: April 2, 2026 10:43 PM ET

DHS Chief Revokes $100K Approval, Boosting FEMA Relief Prospects

Homeland Security Secretary Markwayne Mullin on Wednesday rescinded a directive requiring his office to personally approve any Department of Homeland Security expenditure above $100,000. The policy had been put in place last June by former DHS leader Kristi Noem. Officials said the change will ease a contracting bottleneck that hindered FEMA’s disaster response.

Policy background and delays

Noem’s directive required personal sign-off for all DHS spending over $100,000. Emergency managers and state officials argued the rule slowed routine FEMA contracts and reimbursements. A Senate committee’s Democratic members reported at least 1,000 delayed FEMA contracts, grants, or reimbursements by September.

News reports linked the approval rule to unstaffed call centers. The rule also delayed deployment of Urban Search and Rescue teams to Texas during deadly floods last July. Critics said the bottleneck harmed mitigation and preparedness programs.

Reactions from emergency officials and lawmakers

Josh Morton, president of IAEM-USA, praised the reversal. He called the move common sense and said IAEM looks forward to working with the secretary. Michael Coen, a former FEMA chief of staff, described the step as progress toward transparency and stability.

Sen. Thom Tillis of North Carolina sharply criticized the prior management of FEMA at a Senate hearing. Two days later, the predecessor was removed from office. Filmogaz.com first reported Mullin’s decision, and a DHS spokesperson said the secretary re-evaluated contract processes.

Money in the queue and fund concerns

FEMA data seen by Filmogaz.com showed roughly $2.2 billion in recovery and mitigation dollars awaiting DHS approval. Officials warned that lifting the approval rule will not immediately speed all payments. The agency faces additional constraints from the ongoing DHS funding impasse.

The Disaster Relief Fund is also low. A FEMA official told lawmakers the fund had about $3.6 billion remaining. The DHS appropriations bill would add just over $26 billion to that account.

Agency staffing and policy reviews

Mullin said at his March confirmation hearing he would keep FEMA adequately staffed. The agency lost over 2,400 employees last year. He is also considering nominees for a permanent FEMA administrator.

DHS officials said the agency is reviewing other policies. The department paused purchases of new immigration detention warehouses this week while it reviews contracts signed under the prior leadership.

What changes mean for FEMA relief

The DHS chief revoked the $100,000 approval requirement. Officials said the move could be instrumental in boosting FEMA relief prospects. Still, lawmakers and emergency managers cautioned that resolution of the shutdown and funding shortfalls will determine how fast aid reaches states, tribes, and territories.