By LEAH DOUGLAS and NATHAN LAYNE Reuters
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The loss of key staff and low morale at the Federal Emergency Management Agency have derailed the agency’s planning for the June 1 start of hurricane season, according to an internal document seen by Reuters, although the agency chief said on Thursday that FEMA is well prepared.

The agency has lost 2,000 full-time staff, or roughly one third of its total, to terminations and voluntary incentives as part of an effort by President Donald Trump to slash the size and cost of the federal bureaucracy.

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The internal document underscores the potential challenges facing the agency, including possible issues with morale, a lack of coordination with states and resource constraints as it prepares for the start of hurricane season.

Trump and Department of Homeland Security Secretary Kristi Noem have called for the disaster relief agency to turn over much of its work to the states while also floating the idea of abolishing it. FEMA is part of DHS.

The concerns about morale and staffing were included in a 19-page slide deck titled “Hurricane Readiness Complex Problem Solving” and prepared for acting FEMA Administrator David Richardson to use in a meeting with agency leaders, according to a person with knowledge of the matter and a statement from a DHS official.

Preparation at FEMA “has not been normal” for what forecasters are predicting to be a busier-than-average Atlantic hurricane season, according to one of the slides seen by Reuters.

“Most of that process has been derailed this year due to other activities like staffing and contracts,” another line in the slide deck reads in an apparent reference to the staff cuts.

“If an organization hears it should be eliminated or abolished, the resources and cooperation are not there,” one line in the presentation says. Another reads: “Quality of people lost that cannot be replaced right away.”

Earlier this week Reuters reported that FEMA has sharply reduced training for state and local emergency managers this year, possibly leaving storm-prone communities less prepared to handle the aftermath of a big storm.

Richardson, who took the helm at FEMA last week in an abrupt change of leadership, laid out his vision to staff in a Thursday town hall and said he had met with staff earlier in the day to address the year’s disaster planning.

He said he had been working to address what he described as a lack of clarity within FEMA about planning for hurricane season.

“We are to some degree, to a great degree ready for disaster season ’25,” he said.

He vowed to narrow the agency’s operations to only what is spelled out in law and to push more of the cost burden for disaster response down to the states, in line with the wishes of the Trump administration.

“FEMA 2 will look different than FEMA 1. There will be much more emphasis on the states to do response and recovery, to some degree preparedness as well,” Richardson said.

Richardson said states would in the future bear half the costs for responding to natural disasters, up from 25% under current cost-sharing levels. He had advised staff to alert governors to the possibility of an increased cost-share in disaster response.

“I said, ‘Hey, when you talk to the governor, give them a heads up that 50/50 might be coming. It’s 75/25 right now, but 50/50’s coming,’” Richardson said. “So part of it is letting people know as we transition, okay, that if it doesn’t happen this year, it will very, very likely happen next year.”

State officials have told Reuters that they will need more time and resources if they are expected to make up for FEMA funding and staffing cuts.

Richardson, a former Marine artillery officer and combat veteran, also said there would be instances in which states needed more help financially and that FEMA would provide it.

The Thursday town hall was the second time Richardson met with staff after replacing acting FEMA chief Cameron Hamilton last week.

In his initial address to staff, Richardson said he would “run right over” anyone who resisted his efforts to reform the agency.