IRVINE – As wildfires continue to devastate huge parts of California, Republicans in Congress have been working overtime to ensure that homeowners in the Golden State can’t get the relief they need: eliminating the deduction for wildfire losses, opposing Democrats’ October attempts to secure $7.4 billion in federal disaster assistance, and failing to act on the AFG and SAFER Program Reauthorization Act of 2017 which would reauthorize funding for equipment, training, and personnel to local fire departments.
“Republicans in Congress have made their priorities clear – passing massive tax cuts for millionaires and corporations and sticking working families and our communities with the bill,” said Drew Godinich, DCCC Spokesperson. “Even as California families are battling for their homes and livelihoods, Washington Republicans are turning a blind eye and focusing their attention on their wealthy donors. Their failure to act is a national disgrace, and voters will remember next November.”
Los Angeles Times: As California burns, Congress plans to slash tax write-offs for fires and other disasters
As California burns, Congress is planning to limit taxpayers’ ability to write off losses from future wildfires and other disasters.
The disaster write-off is one of the many little-known deductions set to be mostly wiped out in the GOP tax plan, but it’s getting fresh attention because of the fires that have devastated parts of Southern California over the last week.
The House tax bill entirely eliminates the deduction that allows people to claim uninsured losses after all types of disasters; the Senate version allows people to take the deduction only if the president declares a federal disaster.
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The House tax bill does include a limited deduction for the victims of this year’s hurricanes in Texas and Florida, and even 2012’s Superstorm Sandy. But it leaves out relief for the victims of recent big fires, which Democrats have used to criticize their California colleagues.
“It’s appalling Republicans are taking money from any wildfire victims to pay for tax cuts for the rich,” Sen. Dianne Feinstein (D-Calif.) said in a statement. “A family who loses everything in a wildfire shouldn’t have to pray for a federal declaration so they can recover. Tax relief should be available to help all victims regardless of the type of natural disaster.”
House Minority Leader Nancy Pelosi (D-San Francisco) also took California Republicans to task Thursday for supporting the House GOP tax bill, saying they “voted to discriminate against victims of fire. We certainly want to have the deduction for victims of hurricanes and the rest, but why are they doing this to our state?”
Some Republicans have said they want fire victims to get the same benefits as hurricane victims, but they aren’t clamoring for the broader deduction to be preserved.
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KQED: California Republicans Decline to Join Push for Federal Aid After Deadly Fires
The poisonous partisan divide within California’s congressional delegation was laid bare Friday when just one Republican signed on to a letter sent to President Trump requesting $7.4 billion in federal disaster assistance following the recent wildfires in Northern California’s wine country.
The letter, sent Friday morning by Gov. Jerry Brown and signed by Sens. Dianne Feinstein and Kamala Harris along with 39 members of California’s 52-member House delegation, included just one Republican name: Ed Royce, who represents the 39th Congressional District in Orange County.
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We reached out to several House Republicans from California who refused to sign the letter, but none responded.
Republican political consultant Luis Alvarado, whose clients do not include any GOP House members, was at a loss to explain why Republicans would decline to join the request for federal help, unless, he said, it included funding for items they felt were superfluous.
“Like a desalination plant or a requirement that construction work be done by union people,” Alvarez said.
The $7.4 billion request included no desalination plants, instead focusing on construction of housing, schools and businesses, hazardous waste removal and help for growers and others whose agricultural lands were damaged or destroyed by the fires.
International Association of Firefighters: Urgent Action Needed to Save FIRE and SAFER Grants
Legislation (S. 829) to reauthorize the FIRE and SAFER grant programs passed the U.S. Senate months ago, but the U.S. House has failed to act, despite numerous opportunities.
Unless the U.S. House of Representatives acts swiftly, the FIRE and SAFER grant programs will be abolished on January 2 — in less than one month. It is critical that these essential programs are reauthorized NOW!
House Republican leadership promised America’s fire fighters they would get the job done. It’s time to live up to their word. In less than two legislative weeks, Congress adjourns for the Christmas Recess. We are running out of time.
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The FIRE and SAFER grant programs have long helped protect public safety in local communities. These crucial programs help ensure local fire departments have the necessary training, equipment and personnel to respond to more than 30 million emergencies every year.
Fire departments in nearly every congressional district have received funding from FIRE and SAFER grants.
Absent immediate House action, these crucial life saving-grants will be eliminated effective January 2.
OC Register: Tax-reform plan would eliminate deduction for wildfire losses
Tax-reform plans before Congress would limit or eliminate the natural-disaster deduction, meaning future victims of wildfires like the ones raging throughout Southern California could no longer deduct losses of property that is uninsured or under-insured.
The House and Senate proposals, which are in the process of being reconciled, would not affect natural-disaster deductions filed for the 2017 tax year.
Democrats have been most vocal in maintaining the natural-disaster deduction after this year. California Republicans in Congress also have expressed a desire to help victims of wildfires – but not necessarily by continuing existing provisions.
Rep. Mimi Walters, R-Laguna Beach, is sponsoring a bipartisan bill that would expand current tax relief for victims of the October wildfires. In addition to current deduction provisions, the measure would allow those with losses to make penalty-free withdrawals from retirement accounts. There is discussion of amending the bill to include victims of this week’s fires.
Responding to inquiries by the Southern California News Group, none of the GOP House members in Orange, Los Angeles, Riverside and San Bernardino counties explicitly called for the current disaster deductions to be continued – or eliminated. However, several indicated they could be open to maintaining the deductions.
East County Magazine: Burned Out? Robbed? Accident Victim? Tax Bill Takes Away Deductions For Personal Casualty Losses
KCRA: Tax plan could spell disaster for NorCal wildfire victims
Los Angeles Times: GOP tax bill would end deduction for wildfire and earthquake victims — but not recent hurricane victims