Key facts
- A federal audit found that only 25% of approximately $14 billion in federal funds allocated for Puerto Rico's power grid after Hurricane Maria has been disbursed.
- Of $11 billion obligated by FEMA, only $2.7 billion has been disbursed.
- The audit cited issues including staff turnover, complex review processes, and the financial state of Puerto Rico’s Electric Power Authority.
- A policy requiring high-level approval for DHS expenditures over $100,000, implemented in June 2025, further delayed fund release.
- The Government Accountability Office recommended FEMA and the Department of Energy update guidance and clarify roles.
- The Department of Homeland Security stated that Puerto Rico's government is ultimately responsible for rebuilding the electrical grid.
A federal audit has revealed that nearly a decade after Hurricane Maria devastated Puerto Rico's power grid, only a fraction of the allocated federal funds has reached the U.S. territory. The U.S. Government Accountability Office (GAO) found that of approximately $14 billion in federal funds obligated for grid recovery, only about 25% has been disbursed.
Specifically, the U.S. Federal Emergency Management Agency (FEMA) obligated $11 billion, but only $2.7 billion has been disbursed, primarily for equipment, materials, and design costs. The report, based on audits from August 2024 to June 2026, highlights the slow progress in restoring power to the island, which experienced one of the longest outages in U.S. history following the 2017 storm.
U.S. Democratic lawmakers, including Rep. Jared Hoffman, have voiced frustration over the delay, stating that "billions get appropriated and almost none of it arrive." The island's power grid has continued to suffer from chronic blackouts, with about half of recent incidents attributed to vegetation overgrowth on transmission lines. Despite federal funding, only 400 miles of a planned 16,000 miles of transmission lines have been cleared.
Several factors are impeding progress, including staff turnover, complex project review processes, and the ongoing financial struggles of Puerto Rico’s Electric Power Authority, which is attempting to restructure over $10 billion in debt. A policy implemented by former Homeland Security Secretary Kristi Noem in June 2025, requiring personal approval for DHS expenditures over $100,000, further delayed fund release until it was rescinded in April by current Secretary Markwayne Mullin.
Beyond FEMA, other federal agencies have also disbursed limited funds. The U.S. Department of Housing and Urban Development (HUD) allotted $2.9 billion for grid modernization and repair, but only $589 million had been disbursed as of February. The Department of Energy (DOE) disbursed $255 million of $1 billion obligated, redirecting $365 million originally intended for solar projects to the power grid for immediate repairs. The DOE also canceled up to $350 million in solar grants.
The GAO has called on FEMA to update its guidance and the DOE to clarify roles and create a collaboration plan. While both agencies concurred with the recommendations, the Department of Homeland Security emphasized that "the government of Puerto Rico is ultimately responsible for developing a comprehensive solution and rebuilding the electrical grid."