New Mexico residents devastated by last year’s deadly wildfires and flooding can now begin the process to apply for $137 million in federal disaster recovery grants aimed at helping communities rebuild stronger than before.
The state is collecting intent-to-apply forms for grants funded through the Community Development Block Grant – Disaster Recovery program, which will help residents affected by the South Fork Fire, Salt Fire, and severe flooding in Lincoln County and Chaves County that occurred in 2024.
The largest portion – $100 million – will go directly toward helping New Mexicans rebuild their homes, while additional funds will strengthen infrastructure and disaster planning to prevent future catastrophes.
“People need help to recover and to build back in a way that is resilient,” said Ali Rye, State Director at the New Mexico Department of Homeland Security and Emergency Management, in a press release Monday.
The federal funding comes as New Mexico continues recovering from disasters that killed at least four people and destroyed more than 1,400 structures across multiple counties. The South Fork and Salt fires alone caused an estimated $370 million in damage when they swept through the Ruidoso area in June 2024, while October flooding in the Roswell area broke rainfall records and triggered widespread evacuations.
The grant breakdown prioritizes direct assistance to residents, with $100 million designated for the New Mexico Home Recovery Program. An additional $27 million will fund infrastructure improvements, $1 million will support disaster resilience planning, and $9 million will cover administrative costs over the six-year program period.
The Community Development Block Grant – Disaster Recovery funds, administered by the U.S. Department of Housing and Urban Development, are designed to address unmet needs not covered by insurance, FEMA assistance, or other federal programs. The grants typically prioritize low- and moderate-income households and communities.
The South Fork Fire ignited from a lightning strike on June 17, 2024, near Ruidoso and rapidly exploded to more than 15,000 acres within 24 hours. Combined with the nearby Salt Fire, the blazes ultimately burned more than 25,000 acres, killed two people, and forced the evacuation of thousands of residents.
Investigators determined the South Fork Fire was caused by lightning, while the Salt Fire’s cause remains under investigation. The fires destroyed at least 850 homes among the 1,400+ structures lost, devastating entire neighborhoods and leaving many families with only the clothes on their backs.
Months later, Chaves County faced its own disaster when severe flooding struck the Roswell area in October 2024. The storms brought a record-breaking 5.78 inches of rainfall in a single day – surpassing a record that had stood since 1901. At least two people died in the flooding, which stranded hundreds of motorists and prompted numerous water rescues.
Both disasters received presidential disaster declarations, triggering federal assistance programs. To date, federal agencies have provided more than $34 million in assistance through FEMA grants, Small Business Administration loans, and flood insurance settlements.
Residents interested in applying for the recovery grants can submit an “Intent to Apply” form by calling 505-670-4662 or visiting dhsem.nm.gov/cdbg-dr2025. The intent forms allow the state to gauge demand while awaiting federal approval of its action plan.
Once the New Mexico Home Recovery Program officially opens, residents who completed intent-to-apply forms will be contacted with detailed application information. The state has submitted its action plan to HUD for review and is conducting public comment sessions through May 8.
Rye, who previously led the state’s response to the historic 2022 wildfire season, emphasized the importance of building resilience into recovery efforts to better withstand future disasters.
New Mexico has faced a series of major natural disasters in recent years, from the 2022 Hermits Peak-Calf Canyon Fire – the largest wildfire in state history – to the ongoing recovery efforts from multiple 2024 events. The state’s emergency management agency operates with a core budget of just over $5 million and relies heavily on federal grants to fund most disaster response and recovery programs.
The recovery grants represent a significant investment in New Mexico’s long-term resilience, coming as state officials work to better prepare communities for increasingly severe weather events and wildfire risks.
