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Extreme Weather Cost U.S. Taxpayers $67 Billion
By Erin Auel and Alison Cassady
One of the most visible and immediate ways climate change has affected—and will continue to affect—Americans is through extreme weather exacerbated by rising global temperatures.
Aerial image of flooding in New Orleans following Hurricane Katrina in 2005.
Between 2005 and 2015, the annual average temperature in the U.S. exceeded the 20th-century average every year, with increases ranging from 0.15 degrees Celsius to 1.81 degrees Celsius above normal. Moreover, the federal government's most recent National Climate Assessment concludes that as temperatures continue to rise, extreme weather events and wildfires will increase in frequency and intensity.
Climate change will worsen heat waves, winter storms, and hurricanes. It will exacerbate extremes in precipitation, leading to more severe droughts and wildfires in some areas and heavier rainfall and flooding in others. And when the damage is done, taxpayers will be left to pick up the bill.
When extreme weather strikes and state and local governments are overwhelmed, the federal government must often intervene. In the worst cases, the president can declare an emergency or a major disaster, which releases federal funds for the damaged areas. The Federal Emergency Management Agency (FEMA) provides financial assistance to local, tribal and state governments, as well as individual households, after the president declares an emergency or major disaster.
The Center for American Progress (CAP) examined FEMA data on weather- and wildfire-related disaster declarations between 2005 and 2015 to identify trends in FEMA disaster spending, which is funded by U.S. taxpayers. CAP found that:
- Between 2005 and 2015, FEMA issued more than $67 billion in grants to assist communities and individuals devastated by extreme weather and wildfires. Overall, FEMA spent about $200 per U.S. resident for disaster assistance during that time period.
- FEMA provided the most disaster assistance to Louisiana and New York, which, combined, received more than half of the agency's total assistance over the 10-year period due to damage caused by Hurricane Katrina and Hurricane Sandy, respectively. Texas, Mississippi, and New Jersey rank third through fifth for FEMA disaster spending between 2005 and 2015.
- The states that received the most FEMA disaster assistance spending per capita were Louisiana ($4,345), Mississippi ($1,607), North Dakota ($843), and New York ($807). In North Dakota, unprecedented flooding events in 2009 and storms in 2011 caused substantial damage, driving up per-person costs among a smaller state population.
These findings likely underestimate the true federal cost—and thus the cost to taxpayers—of extreme weather. FEMA provides assistance in response to the worst natural disasters—those that triggered emergency and major disaster declarations. As a result, the findings do not include the costs of smaller but still destructive storms, costs borne by private insurers, and other government spending, such as the U.S. Department of Agriculture's disaster assistance program.
As the climate warms, these types of extreme weather and wildfire events could impose an even greater burden on American communities and taxpayers. In order to prepare for this reality, communities must invest in climate-resilient infrastructure and integrate climate considerations into their development plans.
Findings: FEMA Is Spending Billions on Natural Disasters
Between 2005 and 2015, the president issued 832 separate emergency or disaster declarations for which FEMA provided either public assistance—defined as funding for state, tribal, and local governments—or individual assistance in the form of grants typically made to homeowners and renters whose home damage was not covered by homeowners insurance.
Between 2005 and 2015, FEMA spent $67.7 billion on household and public assistance in response to presidentially declared emergencies and major disasters. Of this amount, $14.36 billion was spent on individual and household assistance, and public assistance outlays to state, tribal and local governments made up the rest—$53.31 billion.
During this 10-year period, there were extreme weather and wildfire events in all 50 states, the District of Columbia, and several U.S. territories and throughout all seasons. Severe storms were the most frequent cause of disaster declarations, with 470 distinct declarations across the examined time period.
Although less common than severe storms, hurricanes caused the most damage. Between 2005 and 2015, FEMA spent $49.5 billion on public and individual assistance to help communities recover from hurricanes. FEMA spent $12.7 billion for assistance related to severe storms over the same 10-year period.
Center for American Progress
Hurricanes accounted for eight of the top-10 costliest disaster declarations between 2005 and 2010, including hurricanes Katrina, Sandy, Ike, Wilma, Rita, Gustav, Irene and Isaac.
Center for American Progress
Accordingly, although the total assistance by state varied widely, FEMA directed significant disaster spending to states that experienced historic hurricane damage during the period examined. These states include Louisiana and Mississippi, where Hurricane Katrina hit hardest in 2005, and New York and New Jersey, where Hurricane Sandy landed in 2012.
Nationwide, FEMA spent more than $22 billion in assistance responding to Hurricane Katrina, including allocations for states that provided assistance related to evacuations. The agency provided nearly $16 billion in household and public assistance grants in response to Hurricane Sandy.
Non-hurricane events can cause significant and costly damage as well. In August 2016, Baton Rouge, Louisiana, experienced historic flooding from torrential rainfall. As of Aug. 23, the floods had killed 13 people, and more than 100,000 people had applied for federal assistance. Preliminary analysis from Climate Central and the National Oceanic and Atmospheric Administration found that increased temperatures due to climate change increased the likelihood of intense downpours in Louisiana by 40 percent.
Floods are among the most costly extreme weather events that can hit an area, as they can destroy large areas of property and can take a long time to recede. Between 2005 and 2015, flooding caused eight of the 10 costliest non-hurricane disaster declarations and occurred across several different regions.
Looking at the per-capita costs of extreme weather reveals that these disasters have a profound impact on individuals and communities. Louisiana received $4,345 per person in FEMA disaster spending between 2005 and 2015, the most of any state. Mississippi received the second-highest amount per capita—more than $1,600. Overall, FEMA spent about $200 per U.S. resident for disaster assistance between 2005 and 2015.
Damage is not just limited to coastal areas. States in the central U.S. with relatively small populations have been hit hard by extreme weather and subsequently received significant assistance from FEMA. North Dakota, for example, ranks third for per-capita FEMA assistance over the analyzed decade due largely to eight distinct flooding events. Iowa ranks fifth for per-capita FEMA spending and seventh for total spending because of severe storms that caused major statewide flooding in 2008. Of the 10 states with the highest per-capita spending, half are located in the central U.S.
Extreme weather is already costing taxpayers and the federal government valuable public dollars and resources. Americans have recognized these costs; in a 2015 New York Times survey, 83 percent of respondents said that unmitigated climate change poses "a very or somewhat serious problem in the future."
Because of the damage already caused to the climate, communities in the U.S. and around the globe will experience more frequent and intense extreme weather events, even if world leaders take immediate action to cut greenhouse gas emissions.
Faced with this reality, FEMA has proposed a rule that would establish a deductible for disaster assistance in order to encourage states to make investments in resilience measures before disasters occur. This rule could incentivize states to invest in climate-smart infrastructure to minimize the financial and human toll of extreme weather.
The FEMA proposal is one among many efforts to push communities to better prepare for storms, floods, and other natural disasters—an effort made even more urgent because of climate change—rather than focusing only on responding to a disaster's aftermath. Resilience, however, is only one prong in a coordinated response to climate change. The world must also focus on mitigating the worst impacts of climate change by reducing greenhouse gas emissions and transitioning the global economy to cleaner, low-carbon forms of energy.
CAP examined FEMA data on presidential declarations of major disasters and emergencies between 2005 and 2015. The data reflect the two primary disaster declaration types: major disaster and emergency. CAP analyzed FEMA data on public and individual/household assistance spending in response to these declarations. The data were last updated on July 12.
For the per-capita analysis in Table 3, CAP used population data obtained from the U.S. Census Bureau. To calculate the per-capita costs by state, CAP averaged the state population totals from 2005, 2010 and 2015. The national per-capita figure in Table 3 reflects FEMA disaster assistance to all 50 states, the District of Columbia, and the U.S. territories.
CAP developed a methodology for excluding and including disasters to ensure the analysis only includes declarations that reflect the types of events that could become more common with unmitigated climate change.
We included public and individual assistance payments made in response to major disaster declarations and emergency declarations for the following types of incidents: coastal storms, drought, flooding, freezing, hurricanes, mudslides from flooding, severe ice storms, severe storms, snow, tornadoes, typhoons and wildfires. We excluded public and individual assistance payments made for the following types of incidents that occurred between 2005 and 2015: water main breaks, terrorism, explosions, earthquakes, chemical spills, tsunamis, the 2009 presidential inauguration, bridge collapses and volcanoes.
EcoWatch Daily Newsletter
By Patti Lynn
2018 was a groundbreaking year in the public conversation about climate change. Last February, The New York Times reported that a record percentage of Americans now believe that climate change is caused by humans, and there was a 20 percentage point rise in "the number of Americans who say they worry 'a great deal' about climate change."
England faces an "existential threat" if it does not change how it manages its water, the head of the country's Environment Agency warned Tuesday.
By Jessica Corbett
A new analysis revealed Tuesday that over the past two decades heat records across the U.S. have been broken twice as often as cold ones—underscoring experts' warnings about the increasingly dangerous consequences of failing to dramatically curb planet-warming emissions.
By Madison Dapcevich
Ask any resident of San Francisco about the waterfront parrots, and they will surely tell you a story of red-faced conures squawking or dive-bombing between building peaks. Ask a team of researchers from the University of Georgia, however, and they will tell you of a mysterious string of neurological poisonings impacting the naturalized flock for decades.
The initial cause of the fire was not yet known, but it has been driven by the strong wind and jumped the North Santiam River, The Salem Statesman Journal reported. As of Tuesday night, it threatened around 35 homes and 30 buildings, and was 20 percent contained.
The unanimous verdict was announced Tuesday in San Francisco in the first federal case to be brought against Monsanto, now owned by Bayer, alleging that repeated use of the company's glyphosate-containing weedkiller caused the plaintiff's cancer. Seventy-year-old Edwin Hardeman of Santa Rosa, California said he used Roundup for almost 30 years on his properties before developing non-Hodgkin's lymphoma.
"Today's verdict reinforces what another jury found last year, and what scientists with the state of California and the World Health Organization have concluded: Glyphosate causes cancer in people," Environmental Working Group President Ken Cook said in a statement. "As similar lawsuits mount, the evidence will grow that Roundup is not safe, and that the company has tried to cover it up."
Judge Vince Chhabria has split Hardeman's trial into two phases. The first, decided Tuesday, focused exclusively on whether or not Roundup use caused the plaintiff's cancer. The second, to begin Wednesday, will assess if Bayer is liable for damages.
"We are disappointed with the jury's initial decision, but we continue to believe firmly that the science confirms glyphosate-based herbicides do not cause cancer," Bayer spokesman Dan Childs said in a statement reported by The Guardian. "We are confident the evidence in phase two will show that Monsanto's conduct has been appropriate and the company should not be liable for Mr. Hardeman's cancer."
Some legal experts said that Chhabria's decision to split the trial was beneficial to Bayer, Reuters reported. The company had complained that the jury in Johnson's case had been distracted by the lawyers' claims that Monsanto had sought to mislead scientists and the public about Roundup's safety.
However, a remark made by Chhabria during the trial and reported by The Guardian was blatantly critical of the company.
"Although the evidence that Roundup causes cancer is quite equivocal, there is strong evidence from which a jury could conclude that Monsanto does not particularly care whether its product is in fact giving people cancer, focusing instead on manipulating public opinion and undermining anyone who raises genuine and legitimate concerns about the issue," he said.
Many regulatory bodies, including the U.S. Environmental Protection Agency, have ruled that glyphosate is safe for humans, but the World Health Organization's International Agency for Research on Cancer found it was "probably carcinogenic to humans" in 2015. A university study earlier this year found that glyphosate use increased cancer risk by as much as 41 percent.
Hardeman's lawyers Jennifer Moore and Aimee Wagstaff said they would now reveal Monsanto's efforts to mislead the public about the safety of its product.
"Now we can focus on the evidence that Monsanto has not taken a responsible, objective approach to the safety of Roundup," they wrote in a statement reported by The Guardian.
Hardeman's case is considered a "bellwether" trial for the more than 760 glyphosate cases Chhabria is hearing. In total, there are around 11,200 such lawsuits pending in the U.S., according to Reuters.
University of Richmond law professor Carl Tobias told Reuters that Tuesday's decision showed that the verdict in Johnson's case was not "an aberration," and could possibly predict how future juries in the thousands of pending cases would respond.