Trump floats 10% bonus for California rebuilders

By Andrew Rice
The Center Square

President Donald Trump on Wednesday proposed a 10% bonus for residents in Los Angeles County who are rebuilding after deadly wildfires.

The president suggested several changes to override state and local permits as residents rebuild.

Trump offered Lee Zeldin, EPA administrator, a new role to lead efforts in overriding state and local rebuilding permits. His offer follows an executive order announced on Tuesday to expedite permits and remove state and local delays in Los Angeles County, as reported previously by The Center Square.

“Now, more than a year later, they don’t have permits,” Trump said. “Almost no one is building.”

In January 2025, the Palisades Fire struck the Pacific Palisades neighborhood in Los Angeles, as well as nearby Malibu and Topanga Canyon. The fire killed 12 people, burned 23,448 acres and destroyed 6,837 buildings.

Additionally, the Eaton Fire killed 17 people, burned 14,021 acres and destroyed 9,418 structures further inland in the Pasadena/Altadena area.

Along with expedited permits, Trump floated the proposal to give a 10% bonus for residents who are rebuilding their homes. It was immediately unclear where funding for the bonus would come from.

“They can build a house 10% larger than they had before if they want for all the suffering they’ve been caused,” Trump said.

Trump rebuked proposals for the area to be developed into low-income housing.

“I don’t want a big section of the area built into low-income housing,” Trump said. “This is one of the richest neighborhoods in the world.”

In May 2025, the California Senate passed a bill to develop low-income housing in the areas affected by the wildfires. The bill was paused in The California House in July 2025 after fierce opposition.

In early January, Gov. Gavin Newsom announced a $107.3 million investment dedicated to “new, affordable rental homes” for families impacted by the fires. The new homes would not be built in burn areas.

“By creating affordable homes in multiple communities across the county, the state is instead relieving the pressure on housing supply without concentrating all new housing in burn areas,” Newsom’s office wrote.

Trump’s executive order on Tuesday pointed to the U.S. Department of Homeland Security and the Small Business Administration as agents to preempt local authorities. Zeldin’s role in permit expedition was not immediately clear at the time of Trump’s announcement.

“I think we’re going to override the local authorities because they’re never going to have it,” Trump said.

The president appeared to reference the Supremacy Clause of the U.S. Constitution, which allows federal law to override conflicting state measures during an emergency.

“There’s a provision where you can override the local authority to get things done in case of a national emergency,” Trump said. “What they’ve done to these people is horrible.”

In a statement to The Center Square on Tuesday, Los Angeles Mayor Karen Bass argued Trump had no authority to control local permit processes. She called on the president to speed up Federal Emergency Management Agency funding to the city.

“In fact, I’m calling on the President to issue a new Executive Order to demand the insurance industry pay people for their losses so that survivors can afford to rebuild, push the banking industry to extend mortgage forbearance by three years, tacking them on to the end of a 30-year mortgage, and bring the banks together to create a special fund to provide no-interest loans to fire survivors,” Bass said.

California Gov. Gavin Newsom’s press office responded to the executive order in a post on social media. He also called for further release of federal funds, rather than overriding the permitting process.

“Mr. President, please actually help us. We are begging you,” Newsom’s office said. “Release the federal disaster aid you’re withholding that will help communities rebuild their homes, schools, parks, and infrastructure.”

Trump criticized Bass and Newsom on their responses to the wildfires. He called Bass a “grossly incompetent person.”

“These people are incompetent,” Trump said. “Between the mayor and the governor, they’re incompetent. They’ll never get approved.”