The director in charge of handling compensation claims for New Mexico’s Hermits Peak/Calf Canyon wildfire was put on administrative leave after reports showed he and his wife received more than $500,000 for smoke damage and other losses at their Angel Fire property.
Jay Mitchell and Deputy Director Jennifer Carbajal were placed on leave, according to an internal email reported by Source New Mexico and the Albuquerque Journal on February 12, 2026. The Durango Herald reported that a senior FEMA official is now leading the office and that claims processing will continue as usual.
There are concerns about both the size and location of the payments, including $266,000 given to Mitchell for smoke and ash cleanup at his Angel Fire home. Documents from Source New Mexico and New Mexico PBS show that Mitchell and his wife received over $500,000 from a $5.45 billion FEMA fund set up for victims of the 2022 Calf Canyon/Hermits Peak Fire (Lohmann, 2026). Reports also noted that their property was “far from the wildfire perimeter,” leading to criticism, as some victims have not yet been paid.
Political pressure grew after the news came out. Members of New Mexico’s congressional delegation and Governor Michelle Lujan Grisham called for Mitchell to resign, and protesters gathered outside the Las Vegas claims office. In a joint statement, Senators Martin Heinrich and Ben Ray Luján, along with Representative Teresa Leger Fernández, called Mitchell’s leave a “step in the right direction,” but said there are still “outstanding questions” about how the office is managed and held accountable.
FEMA emphasized that staff should avoid speculation and clarified that Mitchell’s administrative leave does not mean he has been found guilty of any wrongdoing. A spokesperson explained that, so far, there is no evidence of improper actions related to the payments. FEMA underscored its commitment to fairness and transparency, stressing that all claims are reviewed carefully and taken seriously.
Key Facts:
- Who was placed on leave: Director Jay Mitchell and Deputy Director Jennifer Carbajal.
- Why it matters: Jay Mitchell and his wife were paid over $500,000 for smoke damage and business losses. This has raised questions about fairness, especially since some fire victims are still waiting for compensation.
- About the program: The FEMA wildfire compensation fund was set up with $5.45 billion. Of that, about $3.4 billion has already been paid to wildfire victims, according to the latest numbers.
- What happens now: FEMA says claims processing will keep going without any delays.
Next Steps
Lawmakers are asking more questions about how the compensation program is run and whether it’s as transparent as it should be. They want to know how many claims still haven’t been paid, how much money remains, and whether FEMA or Congress will make any changes to how things are done. Representative Leger Fernández said Congress needs regular updates about claims, remaining funds, and timelines, and stressed that the office must keep up with its legal reporting duties.