A sign warning unlicensed contractors in Altadena after the Eaton Fire.
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Erin Stone
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LAist
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Topline:
More than a third of people impacted by a disaster report experiencing fraud, according to a survey commissioned by the American Institute of CPAs a national organization of accountants. As hurricanes, wildfires, and flooding become more frequent and severe, the disaster economy has ballooned — and with it, opportunities to take advantage of people in crisis.
Fraud and recovery: Post-disaster scams come in many forms. In some cases, contractors ask for money up front and then disappear. In others, they may tear down walls damaged by floodwaters or fires, collect a portion of their fees, and never return to rebuild the home. But in the case of more sophisticated actors, they use insurance companies and the legal system to put homeowners in a bind.
Red flags: Look out for companies that fail to provide detailed estimates of the damage or a scope of work before starting. Door-to-door canvassing after a natural disaster, though common, can also be a telltale sign of predatory behavior aimed at exploiting vulnerable homeowners. Any easy way to protect yourself is to confirm with your insurance company whether they have a track record with the contractor and will cover the repairs.
Read on . . . to learn about one company with a shaky track record that is operating in the areas of the Palisades and Eaton fires.
Three days after the Mountain Fire tore through the hillsides of Camarillo in Southern California last November, Craig Crosby was at home assessing the damage when he spotted two men canvassing the neighborhood. Crosby’s house was still standing, but the blaze had burned down the northwest corner of the structure and his avocado orchard. Every surface was covered in ash and soot. The windows had melted, the doors were scorched, and everything reeked of smoke.
The men eventually made it to his doorstep and introduced themselves as franchise employees of the national restoration company Servpro. They told him they could help with the cleanup, and that they worked with all major insurance firms, including AAA Insurance, where he held a policy.
Crosby, who is a consumer advocate and founder of the Counterfeit Report, was wary. He told them he was not ready to authorize repairs, but that they could assess the damage. When they handed him a one-page access form, he scrawled a few amendments: his insurance adjuster’s information and a line clarifying that he only wanted “evaluation, recommendation, documentation, and inspection.”
“I like to memorialize exactly what I say,” Crosby later recalled. “And it struck me a little unusual that they didn’t have a problem with me changing a corporate form.”
Over the next 10 days, the company sent more than a dozen workers to his house.
They moved furniture, wiped the walls, and dusted surfaces. Along the way, they copied a AAA Insurance representative on emails, leading Crosby to believe that his policy would cover the work. But Crosby started to notice they were cleaning surfaces that probably needed to be ripped out and tossed.
Then they began causing new problems.
As they tore out insulation in the attic, they damaged HVAC pipes and vents. (An HVAC technician would later deem the system inoperable due to the damage.) They also dinged the garage door, stained carpeting, and broke an attic access door.
When Crosby called his insurance adjuster to complain about the company’s shoddy workmanship and excessive billing, he was shocked to learn that AAA had never approved the work.
An authorization form signed by Craig Crosby shows he clarified that he only wanted “evaluation, recommendation, documentation, and inspection.” Craig Crosby / Grist
In fact, they told him One Silver Serve LLC, the franchise that had approached Crosby, was on their internal blacklist.
When he told the cleaning company it would cost roughly $16,000 to replace the HVAC system, they initially offered in writing to cover the cost if he signed a liability waiver. Once he did, the company reversed course. Instead of paying, its lawyer told him he owed the company more than $62,000 for their services.
Then, on Valentine’s Day, the company escalated it further.
Its lawyer filed a mechanic’s lien — a legal claim against a property for unpaid work — on Crosby’s home. He couldn’t believe it. He’d never paid a credit card bill late, let alone had a lien on his property.
“I pay all my bills a month in advance,” he said. “That’s how conscious I am not to jeopardize my reputation and standing.”
A sign in Altadena, California warns people whose homes burned in the Eaton Fire in January of being approached by unlicensed contractors.
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David McNew
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One Silver Serve LLC, based in Encino, is one of Servpro’s roughly 2,300 independently owned franchises. It benefits from Servpro’s national reputation, but operates with little direct oversight from the parent company. The quality of work, billing practices, and ethical standards are entirely left to the local franchise.
About a dozen of Crosby’s neighbors had similar experiences with One Silver Serve after the Mountain Fire, according to county records and court filings. Each was approached by workers at their doorstep in the days after the fire, told insurance would cover costs, signed an authorization form, and later received exorbitant bills for cleaning.
Some, like Robert Perez, a funeral director down the street, received notice of a mechanic’s lien for roughly $58,000. When Crosby, Perez, and others didn’t cough up the money, One Silver Serve sued them in Ventura County Superior Court.
Crosby’s insurance adjuster eventually declared the home a total loss from the fire — a determination that restoration professionals typically identify during their initial assessment, before cleaning commenced. Crosby has since filed counterclaims for fraud, breach of contract, property damage and elder abuse.
An attorney for One Silver Serve declined to comment. Kim Brooks, director of communications for Servpro, said the company is aware of the lawsuit against Crosby and does not comment on pending litigation.
Craig Crosby/Grist
A growing problem
More than a third of people affected by a disaster report experiencing fraud, according to a survey commissioned by the American Institute of CPAs, a national organization of accountants. About 8% said they experienced contractor fraud, and another 10% reported vendor fraud, which involves improper payments to real or fictitious businesses.
Post-disaster scams come in many forms. In some cases, contractors ask for money up front and then disappear. In others, they may tear down walls damaged by floodwaters or fires, collect a portion of their fees, and never return to rebuild the home. But in the case of more sophisticated actors, they use insurance companies and the legal system to put homeowners in a bind.
“Any component that involves people who have been impacted and are vulnerable, people will try to find a way to capitalize,” said Niambi Tillman, a regional director with the nonprofit National Insurance Crime Bureau. “You’ll see people price gouging or inflated costs with excessive billing, trying to convince people to make decisions very quickly and cough up money on the front end, and then not delivering the services.”
As hurricanes, wildfires, and flooding become more frequent and severe, the disaster economy has ballooned — and with it, opportunities to take advantage of people in crisis. Disaster survivors who have already lost homes, and in some cases, loved ones, are left further traumatized and financially strained.
The National Insurance Crime Bureau estimates that upward of 10% of post-disaster spending is lost to scams every year. With nearly $183 billion in infrastructure losses from weather-related disasters in 2024, contractor fraud has become a lucrative business.
And its consequences ripple throughout the economy. The rising cost of recovery, fueled in part by fraudulent activity, then causes insurance premiums to rise and insurers to reduce coverage or leave a region altogether. According to the National Insurance Crime Bureau, fraud, particularly as perpetrated by contractors and other third parties, is “a threat to the stability of the insurance market.” USI Insurance Services, one of the largest insurance brokerage and consulting firms in the country, estimates that fraud is responsible for $900 more in premiums per policyholder.
One of Crosby’s neighbors, who asked for her name to be withheld, was not home when the Mountain Fire ripped through her neighborhood and burned part of her house. One Silver Serve charged more than $100,000 to clean the property — an amount she never agreed to — and put a mechanic’s lien on her house when she didn’t pay. Since the fire, she’s rented an apartment in the nearby city of Oxnard and has been coordinating repairs with a licensed contractor. For now, she’s focused on rebuilding and plans to deal with the lien afterward.
“In my whole 82-year-old life, I have never come across such absolute crooks,” she said. “Here you are, a devastating thing that your house … has burned, and they come and do this. It’s horrible. Right now, I don’t know how to get the lien off of my house.”
In the aftermath of wildfires, hurricanes, and flooding, state attorneys general, the Federal Emergency Management Agency, and local law enforcement officials have taken to warning homeowners to be on the lookout for scammers.
Servpro franchises aren’t the only offenders in post-disaster contractor fraud. But Servpro’s national reputation and professional branding lend an air of credibility to franchisees’ operations, making them harder to scrutinize.
Servpro was founded in 1967 as a small painting operation in Sacramento, California. Within two years, the company launched as a franchise cleaning business and began expanding its operations. By 2000, it had 1,000 franchises, and by the end of the decade, it made more than a billion dollars in revenue. Today, the company has a network of over 2,300 franchises and is a multibillion-dollar organization that can serve 97% of the country’s ZIP codes within two hours.
Once franchisees are approved, they receive classroom and hands-on training at the company’s headquarters in Gallatin, Tenn. The company requires that franchisees use Servpro-branded equipment and professional cleaning products, paint any service vehicles with the company’s green logo and decals, and wear its black and green uniforms.
“Servpro has a proprietary brand identity guide that establishes and maintains a consistent professional customer-facing image for brand awareness and professionalism,” the company’s website notes.
But it’s unclear if Servpro has processes in place to hold franchise owners accountable for questionable practices. Across the country, there are hundreds of complaints with the Better Business Bureau and other consumer websites about price gouging, overcharging and engaging in intimidation tactics by Servpro franchises. For instance, the Better Business Bureau profile for Servpro Northeast Salem in Oregon has multiple complaints of fraudulent liens placed on homes after the company damaged property and overcharged for work. Similar complaints exist for franchises in Naperville, Ill.; Douglasville, Ga.; and Marietta, Ga.
In 2023, when a major storm blew through central California and dumped nearly 5 inches of rain over 24 hours, the floodwaters damaged Wee Shack, a family-run burger restaurant in seaside Morro Bay. The restaurant’s owner, Hoai Duc Ngo, hired Servpro of Morro Bay/King City for water and mold remediation.
The company required him to sign a contract to receive an estimate and later told him the work would cost about $130,000 — nearly equal to his entire insurance coverage. When he refused to pay the charges, the company filed a mechanic’s lien against the property and sued him, despite the fact that they hadn’t provided an estimate up front, had done minimal restoration work, and had caused additional property damage. Ngo later had the work completed for about $15,000, and filed counterclaims against the company for negligence, misrepresentation, fraud and concealment, among other charges.
Owners, volunteers and community members clean up mud and debris at a coffee shop in Marshall, North Carolina, after Hurricane Helene in 2024.
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Jabin Botsford
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The Washington Post via Getty Images
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Some franchises have faced regulatory action.
After Hurricane Florence hit North Carolina in 2018, Servpro of Boise, an Idaho-based franchise, sent workers to the region for cleanup. They approached residents of an apartment building that had suffered water damage, conducted cleanup and then filed a lien and a lawsuit against the condo owners for $100,000 when they refused to pay what they saw as an exorbitant bill. The North Carolina attorney general’s office took on the case and ultimately settled with the company, canceling the outstanding lien and dismissing the lawsuit. (According to the Better Business Bureau, Servpro of Boise also includes a nondisparagement clause in its contracts with customers, prohibiting them from filing complaints or posting negative reviews.)
But the accountability that happened in North Carolina is rare. Since the rules and regulations for how contractors are required to operate change from one region to another, fraudsters often cross jurisdictional lines after natural disasters to seek out work in regions with the least protections.
Amelia Hoppe, co-founder and executive director of Emergency Legal Responders, an organization dedicated to advancing civil rights and justice after natural disasters, said that homeowners need to be particularly careful about out-of-state businesses.
“The vetting for local governments is really paying attention to who’s coming in from out of state,” she said.
In at least one case, the national Servpro headquarters does appear to have taken action against a franchise.
After multiple complaints from customers of excessive billing, charging for work not performed and intimidation, the company terminated its agreement in 2018 with Servpro of Rosemead/South El Monte. When the franchise continued to operate with Servpro’s logo on a van, the company sued. A federal court ultimately sided with the national company.
According to California records, Servpro of Rosemead/South El Monte’s business license is suspended, though where its owners and past employees have gone since is uncertain.
Mountain Fire aftermath
In Camarillo, One Silver Serve displayed red flags typical of fraudulent contractors, experts said. For one, door-to-door canvassing after a natural disaster, though common, can be a telltale sign of predatory behavior aimed at exploiting vulnerable homeowners. The practice is so prevalent among unscrupulous actors that state laws often require a three-day rescission period, giving homeowners and businesses a brief window to cancel contracts signed under pressure at their doorstep. California is one of the states with a three-day rescission period, and for contracts signed in regions with a disaster declaration, the law guarantees seven days to rescind the agreement.
“The lien tactic, especially, we warn about that a lot,” said Hoppe. “It’s legal leverage without informed consent. Even when it’s technically allowed, it often plays out as coercive. People are overwhelmed, underinformed and don’t have good options.”
Another red flag was that One Silver Serve never provided Crosby an estimate of the damage or a scope of work before starting. Without a detailed breakdown of the planned repairs and their costs, the company could later demand virtually any fee it wanted, consumer advocates warned.
In one Camarillo homeowner’s case, the bill they eventually received stretched dozens of pages, with line items like “clean baseboard,” “clean recessed light fixture,” and “clean closet organizer and rod.” None of those items needed cleaning at all — they had to be ripped out and replaced because of fire damage.
A final warning sign, experts said, is failing to confirm whether the insurance company has a track record with the contractor and will cover the repairs.
“A call to the insurance company, an estimate of benefits from the insurance company, these can be valuable checks on the validity of that relationship,” said Keegan Warren, executive director of the Texas A&M Health Institute for Healthcare Access, who has advocated for the role lawyers can play in identifying and combating harmful practices after a disaster.
U.S. Army Corps of Engineers contractors clear the remains of a church burned in the Eaton Fire.
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Mario Tama
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For Crosby and others, their experience with One Silver Serve has left them shaken and mistrustful of the disaster-restoration industry. Crosby has since moved back into his house and has been slowly making repairs to the sections that were damaged by the fire. His neighbor, however, faces a longer road to recovery. She’s in the midst of securing permits to rebuild the deck and other parts of the house that burned down. She hopes to be back in her home by January.
“When you tell this story, it’s like, ‘Oh, come on, I had to be stupid,’” she said. “But it’s just unscrupulous. You lose your faith in humanity.”
Grist is a nonprofit, independent media organization dedicated to telling stories of climate solutions and a just future. Learn more at Grist.org.
Meanwhile, One Silver Serve continues to operate in Southern California. In January, after the Palisades Fire took 13 lives and burned more than 23,000 acres in and around Los Angeles, One Silver Serve filed at least seven lawsuits in the Los Angeles Superior Court for breach of contract and other allegations. It’s not clear how many of these cases are similar to the ones the company filed against homeowners in Camarillo.
In an April Facebook post, Servpro highlighted the work of its many franchises, including the cleanup One Silver Serve did after the Palisades Fire. “When Servpro franchises come together, wonderful work results,” the post said.
Federal changes may cause drastic drop in coverage
Aaron Schrank
has been on the ground, reporting on homelessness and other issues in L.A. for more than a decade.
Published May 4, 2026 4:58 PM
County officials estimate that recent Medi-Cal changes could put coverage at risk for hundreds of thousands of residents.
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Maya Sugarman
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Topline:
The number of Californians without health insurance could double from 2 million today to 4 million by 2030, according to a report from the Legislative Analyst's Office. It’s the state budget office’s preliminary attempt to quantify how federal legislation known as the “One Big Beautiful Bill” will reshape healthcare access statewide.
Losing coverage: The One Big Beautiful Bill is driving nearly 90% of the projected coverage loss, according to the LAO report. It's mostly Medi-Cal enrollees who are expected to be dropped when new work requirements take effect in 2027. The remaining 10% are largely people leaving the state's health insurance marketplace, Covered California, after enhanced federal premium subsidies expired last year.
L.A. County impact: County officials estimate that recent Medi-Cal changes could put coverage at risk for hundreds of thousands of residents and cost the county’s health departments about $800 million a year. A U.C. Berkeley Labor Center analysis projected more than 1 million Medi-Cal enrollees could lose coverage by 2028.
Why it matters: More uninsured people means hospitals and clinics provide more services without getting paid. The LAO projects that uncompensated care costs at hospitals could grow by several billion dollars statewide by 2030. Clinics face steeper losses because they run on smaller budgets and depend more heavily on Medi-Cal revenue. The LAO also projects premiums on the individual health insurance market will rise as healthier people drop coverage.
What's being proposed: The LAO itself doesn’t recommend new spending and instead urges lawmakers to track what happens to hospitals, clinics and county programs before taking action. But both L.A. County and state officials are pushing tax efforts to combat federal cuts. LA County voters will decide June 2 onMeasure ER, a half-cent sales tax that would generate about $1 billion a year for hospitals and clinics. ANovember statewide ballot initiative would impose a one-time 5% tax on Californians worth over $1 billion and direct 90% of proceeds to Medi-Cal.
The number of Californians without health insurance could double from 2 million today to 4 million by 2030, according to a report from the state Legislative Analyst's Office. It’s the state budget office’s preliminary attempt to quantify how federal legislation known as the “One Big Beautiful Bill” will reshape healthcare access statewide.
The One Big Beautiful Bill is driving nearly 90% of the projected coverage loss, according to the LAO report. It's mostly Medi-Cal enrollees who are expected to be dropped when new work requirements take effect in 2027. The remaining 10% are largely people leaving the state's health insurance marketplace, Covered California, after enhanced federal premium subsidies expired last year.
What's the impact to coverage?
L.A. County officials estimate that recent Medi-Cal changes could put coverage at risk for hundreds of thousands of residents and cost the health departments about $800 million a year. A UC Berkeley Labor Center analysis projected more than 1 million Medi-Cal enrollees could lose coverage by 2028.
The LAO report also warns that county indigent health programs for uninsured residents will soon face a surge in demand they’re not prepared to meet. Those county programs had enrolled about 850,000 people statewide before the federal government expanded Medicaid coverage in 2014. Total enrollment is currently 10,000 statewide, but the trend is going to reverse, according to the report.
What's the impact to health-care providers?
More uninsured people means hospitals and clinics provide more services without getting paid. The LAO projects that uncompensated care costs at hospitals could grow by several billion dollars statewide by 2030. Clinics face steeper losses because they run on smaller budgets and depend more heavily on Medi-Cal revenue.
The LAO also projects premiums on the individual health insurance market will rise as healthier people drop coverage.
What are proposals to help?
The LAO itself doesn’t recommend new spending and instead urges lawmakers to track what happens to hospitals, clinics and county programs before taking action. But both L.A. County and state officials are pushing tax efforts to combat federal cuts.
L.A. County voters will decide June 2 on Measure ER, a half-cent sales tax that would generate about $1 billion a year for hospitals and clinics. ANovember statewide ballot initiative would impose a one-time 5% tax on Californians worth over $1 billion and direct 90% of proceeds to Medi-Cal.
California says insurer mishandled wildfire claims
Erin Stone
covers climate and environmental issues in Southern California.
Published May 4, 2026 4:40 PM
An insurance office burned by the Eaton Fire in Altadena.
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Kevin Tidmarsh
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Topline:
California regulators say State Farm has illegally delayed, underpaid and denied claims from policyholders affected by the 2025 L.A. fires — something fire survivors have said for months.
The investigation: The state analyzed 220 randomly selected claims filed in response to last year’s fires and found hundreds of violations by State Farm in more than half them — what state attorneys dubbed a “troubling pattern” in their filing.
The insurer's response: State Farm denied the allegations and called them politically motivated.
Read on ... for more on the state's action against its largest home insurer.
California regulators say State Farm has illegally delayed, underpaid and denied claims from policyholders affected by the 2025 L.A. fires — something fire survivors have said for months.
The California Department of Insurance announced Monday that it has taken the first step in the process to bring the allegations to a public hearing before an administrative judge. That could result in the state’s largest home insurer paying up to about $4 million in penalties, and suspension of its license for up to a year, meaning it could not write new policies in California during that time.
“Our investigation found that State Farm delayed, underpaid, and buried policyholders in red tape at the worst moment of their lives,” state Insurance Commissioner Ricardo Lara said in a statement.
The state analyzed 220 randomly selected claims — out of more than 11,000 filed with State Farm in response to last year’s fires — and found hundreds of violations in more than half them. Attorneys for the state called it a “troubling pattern” in their filing.
State Farm denied the allegations and called the state’s move “politically motivated” in a lengthy statement posted to its website.
Every Fire Survivors Network, a coalition representing thousands of L.A. fire survivors, pressured the state for months to investigate State Farm’s handling of wildfire claims.
Joy Chen, who co-founded the group after her home was damaged in the Eaton Fire, said the state’s action is far from enough.
“It’s just very disappointing to see our regulator issue a report that shows his own failures over the last 16 months,” she told LAist.
Only a few dozen homes have been rebuilt so far in both Altadena and Pacific Palisades since the fires destroyed more than 16,000 buildings, mostly homes, in those communities and nearby areas.
A survey by the nonprofit Department of Angels last year found that nearly three-quarters of L.A. fire survivors reported delays, denials and low payouts of their claims across all insurers.
“What we need is for all State Farm contracts to be enforced so that Los Angeles families can have the money that we need to move forward with getting back home,” Chen said.
The state’s alleged violations carry a fine of up to $5,000, and up to $10,000 if the violations are found to be willful. The case will be heard by a state administrative law judge, who will provide a recommendation to Insurance Commissioner Ricardo Lara on a possible penalty.
The Insurance Department said people with homeowners policies from any insurer can report problems with their claims at insurance.ca.gov or by calling (800) 927-4357.
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Adolfo Guzman-Lopez
is an arts and general assignment reporter on LAist's Explore LA team.
Published May 4, 2026 3:15 PM
The FIFA World Cup trophy is displayed during the official draw ceremony held at the John F. Kennedy Center for the Performing Arts in Washington, D.C. on Dec. 5, 2025.
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Topline:
Details are out for FIFA’s World Cup Fan Zone parties in LA County in June and July. Watch tournament matches at ten locations from Venice Beach to Pomona, from free to $$$ with food, drink, and big screens.
Why it matters: The FIFA Fan Zones offer people an opportunity to get a taste of the tournament while not breaking the bank to pay for tickets.
The locations: The Original Farmers Market in L.A., June 18-21; The City of Downey, June 20; LA Union Station, June 25-28; Hansen Dam Lake, July 2-5; Magic Johnson Park, July 4-5; Whittier Narrows, July 9-11; Venice Beach, July 11; The Fairplex, July 14-15, July 18-19; West Harbor, July 14-15, July 18-19; Downtown Burbank, July 18-19
Some are free: The Fan Zones in the city of Downey, Union Station L.A., “Magic” Johnson Park, and Whittier Narrows are free of charge.
Yes, you could put a screen in your backyard and call up your friends to watch a particularly compelling World Cup game after the tournament begins June 12.
But FIFA is turning each game into a public celebration, sponsoring 10 outdoor Fan Zone watch parties with large viewing screens across L.A. County through the final on July 19.
Details were released on Monday, including locations, dates and prices.
The Fan Zones open in a staggered schedule from one day to four days each, starting with the Original Farmers Market on June 18 - 21, and then popping up across the region until the glorious end on July 19 in downtown Burbank.
Fan Zones across L.A. County:
The Original Farmers Market in L.A., June 18-21 The City of Downey, June 20 LA Union Station, June 25-28 Hansen Dam Lake, July 2-5 "Magic" Johnson Park, July 4-5 Whittier Narrows, July 9-11 Venice Beach, July 11 The Fairplex, July 14-15, July 18-19 West Harbor, July 14-15, July 18-19 Downtown Burbank, July 18-19
Ticket prices range from free (City of Downey, Union Station L.A., “Magic” Johnson Park, Whittier Narrows) to over $300 for a VIP experience with a viewing lounge and a concert at the downtown Burbank Fan Zone on the day of the World Cup final match on July 19.
Fan Zone kick off
At the first Fan Zone, at The Original Farmers Market from June 18 for four days, entry will cost you $5 per day or $17 for all four days. Kids age 3 and under are free. (FIFA says the zones are family friendly).
You’ll be able to see four matches there each of the four days, including Mexico vs. South Korea on June 18 at 6 p.m. and USA vs. Australia on June 19 at noon.
FIFA World Cup 2026 scarves are displayed during the ribbon cutting for the LAX/Metro Transit Center rail and bus public transportation station at LAX on June 6, 2025.
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You won’t have to squint to find your favorite player or catch the goals. The Farmer’s Market will include a 30-foot viewing screen as well as a 15-foot secondary screen to watch the games. There will be beer gardens, and you can purchase food from the Market's dozens of establishments.
Other Fan Zones
The West Harbor L.A. Fan Zone will give people an opportunity to experience the newest major development along the San Pedro waterfront, a 42-acre waterfront district that’s been years in the making.
The Union Station L.A. Fan Zone on June 25 is free and includes match viewing, music, food, and immersive fan experiences, featuring live DJs.
The final Fan Zone opens July 18 and 19 in downtown Burbank for the World Cup’s last two matches. FIFA says it’ll include “an adjacent international street fair filled with global flavors and cultural experiences.” Tickets range from $25 to over $300
This of course, isn’t the only opportunity to watch World Cup matches with groups of people in SoCal. The city of L.A. will host its own watch parties.
Many college campuses either don’t track their populations of rural students.
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Topline:
Up against a massive court backlog that can drag their cases for years, asylum seekers face steep costs when pursuing their dreams of college in California.
Facing a double blow: Asylum-seeking students in California often face a double blow: they are charged higher tuition for nonresidents and excluded from most financial aid. For students and their families, this can mean thousands of dollars paid out of pocket and years of financial stress as their immigration cases remain unresolved. Before establishing residency, asylum-seeking students are charged non-resident rates, which are about three times what state residents pay for public universities and roughly eight to 13 times more for community colleges, depending on the district.
Policy changes stoke uncertainty: As of February 2026, a little over 2.3 million immigrants are awaiting asylum hearings nationwide, according to Syracuse University’s Transactional Records Access Clearinghouse, which tracks federal activity. The most recent data shows California alone had about 169,000 pending asylum cases in its immigration courts by the end of 2023 — the second-largest backlog of any state. The average wait for an asylum hearing in California was 1,412 days at that time. The Trump administration paused asylum cases in November, creating even further delays. The administration has now allowed cases to resume for applicants from all but 40 countries.
Up against a massive court backlog that can drag their cases for years, asylum seekers face steep costs when pursuing their dreams of college in California.
Asylum-seeking students in California often face a double blow: they are charged higher tuition for nonresidents and excluded from most financial aid. For students and their families, this can mean thousands of dollars paid out of pocket and years of financial stress as their immigration cases remain unresolved.
Before establishing residency, asylum-seeking students are charged non-resident rates, which are about three times what state residents pay for public universities and roughly eight to 13 times more for community colleges, depending on the district.
All asylum seekers are disqualified from federal financial aid. The few who qualify for California’s state aid may never know their options, or face hurdles in obtaining it due to a patchwork of financial aid processes.
The state’s higher education systems are not mandated to track asylum seekers, making state budget impacts nearly unquantifiable during legislative attempts to expand financial aid eligibility.
“I only see them struggling,” said Eric Cline, social services program director at OASIS Legal Services, which supports LGBTQ+ asylum seekers across the Bay Area and Central Valley. “I’m always surprised (when) a few clients tell me 'I just graduated from college.’ I think, ‘Wow, how did that happen?’”
Policy changes stoke uncertainty for asylum seekers
Asylum seeking is one of the least-protected immigration statuses in the U.S. Asylum seekers, who’ve fled their home countries fearing persecution and are asking the U.S. for protection, differ from refugees, whose status is granted before they enter the country. Asylum seekers apply upon arriving in the U.S.
Applicants can stay as their cases remain pending for years, though experts say the Trump administration is expediting deportations for numerous asylum seekers and ending cases before they can receive a full hearing.
As of February 2026, a little over 2.3 million immigrants are awaiting asylum hearings nationwide, according to Syracuse University’s Transactional Records Access Clearinghouse, which tracks federal activity. The most recent data shows California alone had about 169,000 pending asylum cases in its immigration courts by the end of 2023 — the second-largest backlog of any state. The average wait for an asylum hearing in California was 1,412 days at that time.
The Trump administration paused asylum cases in November, creating even further delays. The administration has now allowed cases to resume for applicants from all but 40 countries. In the San Francisco immigration court system, which is popular among asylum seekers due to higher acceptance rates, a combination of firings by the Trump administration, retirements and relocations whittled the 21 immigration judges to two, according to reporting in Mission Local. Left behind is a caseload of nearly 119,000 immigration cases, the highest of any immigration court in California.
President Trump’s “Big Beautiful Bill” also established new fees for asylum seekers, placing additional pressure on an already low-income population. Applicants must now pay an initial $100 application fee plus $100 per year while their case is pending, $550 for a work permit, and $745 each year to renew the permit. In addition, a new rule proposed by the Department of Homeland Security would effectively end the ability of asylum seekers to obtain work permits at all.
Royce Hall on the UCLA campus
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Genaro Molina/Los Angeles Times via Getty Imag
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As they await a decision, asylum seekers are excluded from federal aid and some state financial aid programs, including Cal Grants under California law.
For one asylum seeker, Carol, being ineligible for financial aid meant she had to take time off from school to work to make ends meet. CalMatters is not using her full name because she fears speaking publicly may jeopardize her asylum case.
Carol did speak before the Assembly Higher Education Committee in 2023 urging lawmakers to pass AB 888, which would have expanded Cal Grant eligibility to certain asylum seekers. The bill ultimately did not pass.
She said she arrived in the United States at 17 and had spent more than six years waiting for her case to move through immigration courts, a period during which she said she was ineligible for financial aid.
“I’ve had to delay my educational journey several times, including going part-time and even taking a semester off from school to work,” Carol told lawmakers.
Without access to aid, she said she experienced homelessness, couch surfing and at one point slept on a mattress topper on a hardwood floor because she could not afford a bed. She worked multiple jobs at a time, skipped meals and attended class without the required course materials.
Her story, she said, was not new. Carol told the committee that four years earlier her brother had testified with a nearly identical experience on behalf of a previous bill that was ultimately vetoed, a cycle she argued could have been prevented.
“Had California taken action then, I wouldn’t have had to face the harrowing experiences that I shared with you today,” she said.
Despite the barriers, Carol graduated from Cal State Long Beach and worked as a caseworker with the International Rescue Committee, helping resettle refugees and asylum seekers. She told lawmakers she hopes to pursue a law degree and become an international human rights attorney.
The narrow path to college aid for asylum-seeking students
Many asylum seekers arrive eager to continue studies they began abroad, but quickly run into what Cline calls “a brick wall."
“All of our clients are low-income … they’re almost never eligible for generalized financial aid,” he said. “When you take away the financial aid aspect, it makes (college) pretty inaccessible.”
For California residents, annual undergraduate tuition is $15,588 at the University of California, $6,838 at the California State University and about $1,380 for 30 units at a community college. Students classified as non-residents — including some asylum seekers before establishing residency — can pay $54,858 at a University of California, about $20,968 at a Cal State before campus-based fees, and roughly $10,140 to $13,560 for 30 units at a community college, depending on the district. These figures do not include campus-based fees, housing or living expenses.
Even when students do manage to establish residency, the cost is still steep. For the many asylum seekers who arrive in the United States as adults, they may not have attended a California school previously, barring them from qualifying for state financial aid.
AB 540, the 2001 law that exempts undocumented students from paying non-resident tuition, only applies if the student attended a California high school or community college for three years.
Those who qualify through AB 540 can fill out the California Dream Act Application for state financial aid, such as Cal Grants, university system-specific grants, state loans, and the state’s middle class scholarship.
The application process can still be confusing for asylum seekers whose status is not fully accounted for in the design of the application. For example, asylum seekers often have Social Security numbers for work authorization, but affirming so while answering the financial aid pre-screening questions leads to undetermined eligibility because the questions don’t take into account the nuances of applying as an asylum seeker.
Stickers and flyers on a table in the Undocumented Community Center at the College of San Mateo in San Mateo, on Nov. 28, 2023. At this center, undocumented students can access financial and legal aid as well as guidance in navigating grant applications.
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Amaya Edwards
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CalMatters
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Asylum seekers often require extra help from financial aid counselors, but even counselors may not know how to help navigate eligibility rules. Students often wind up seeking help from undocumented student resource centers on public campuses, which are designed to help students who lack legal residency and those from mixed-status families find aid and academic support.
Kaveena Singh, the director of immigration legal services at the East Bay Sanctuary Covenant, which provides legal services to low-income immigrants, noted that she herself has written letters to financial aid offices to help explain the in-between nature of the few asylum-seeking students she has served.
As an asylum-seeking student in his mid-20s, L. ended up qualifying for state financial aid through AB 540. However, he misunderstood for six years exactly what aid he qualified for. L. wished to withhold his name and the names of the institutions he’s attended for fear of negative impacts on his pending asylum case.
Initially, community college didn’t cost him anything — but when he transferred to a large four-year university, the cost of college soared. He went to his university's financial aid office for help so often that all the staff there knew his name. It was a "big relief” when he was finally able to successfully fill out the California Dream Act Application, and obtain financial aid for his summer and fall quarters.
L.'s asylum case has been pending for nine years. He, his dad, mom and younger brother arrived in the United States in the winter of 2016, claiming asylum under fear of political retribution. His father organized political assemblies in China, and his mother was forced to have an abortion under the one-child policy.
“I just wish I could go home and visit family and friends and catch up for a good few weeks in the summer here and there to reconnect with my past,” L. said. “It's like there's two separate lives, like two entities being artificially cut.”
L. worked throughout high school and college, and worried about affording school.
Most days, the combination of family trauma and the limbo of waiting for his case means L. survives through “constant compartmentalization.”
In the meantime, he tries to carry on — he studies politics, and is interested in international relations and human rights.
"As rough as all that's happened, the silver lining is that one day hopefully I get a passport and a green card," L. said. "To help other people avoid such a hassle will be just as fulfilling for me."
Previous legislative efforts have failed
Legislative bills to extend state financial aid eligibility to asylum-seeking students have been introduced at least twice in recent years but have failed.
One attempt came in 2019, when Sen. Ben Allen, a Democrat from El Segundo, introduced SB 296, a bill that would have extended Cal Grant eligibility to students with pending asylum applications. The measure passed the Legislature with some bipartisan support, but was vetoed by Gov. Gavin Newsom, who said that it would "impose costs on the General Fund that must be weighed in the annual budget process."
“That was frustrating, but I understood it,” Allen told CalMatters. “The real issue is that we don’t have good data. Our schools don’t track asylum seekers, so we can’t easily calculate the cost.”
UC data on asylum-seeking students is protected due to privacy policies, according to Stett Holbrook, a UC spokesperson. The Cal State system reports it has less than 500 students with "asylum status," which includes both those who have an asylum granted and asylum seekers, according to Cal State spokesperson Amy Bentley-Smith. The numbers are self-reported during the admissions process.
In spring 2025, 13,507 students self-identified as “refugee/asylee” across the California Community Colleges — up from 11,537 the prior semester — per the CCC DataMart. The data does not include a category for just asylum seekers. Students can self-identify their immigration status while applying, but asylum seekers are not specifically tracked, according to the college system’s spokesperson Melissa Villarin.
Four years after SB 296 failed, Democrat Sabrina Cervantes — then representing Riverside in the Assembly and now as a state senator — revived the proposal through AB 888, introduced in 2023. Like Allen’s earlier bill, AB 888 sought to make Cal Grants accessible to students with pending asylum applications by creating a direct eligibility pathway outside the AB 540 residency requirements. The bill passed the Assembly unanimously but was held in the Senate Appropriations Committee last September, effectively ending its chances for the year.
Cervantes declined an interview with CalMatters. “My Assembly Bill 888 would have created a new pathway for pending asylum seekers in California to apply for Cal Grant financial aid in pursuit of their higher education,” Cervantes wrote in a statement.
Newsom’s office declined to say whether he would support a future version of the proposal, pointing instead to his brief 2019 veto message.
“There’s nervousness around anything that involves new expenses," Allen said. “... We’re going to have to spend some time seeing what information we can get with regards to better data to get better estimated costs. I think that will help to better inform the conversation."
Andrea Baltodano and Chrissa Olson are contributors with the College Journalism Network, a collaboration between CalMatters and student journalists from across California. CalMatters higher education coverage is supported by a grant from the College Futures Foundation.