Loan interest

Fulton receives $ 3M utility loan

Govt. Mike Parson presented Fulton with a loan of $ 3.39 million to mitigate the impacts of February’s cold snap at natural gas and electricity costs.

The loan was administered through the Ministry of Natural Resources (DNR) Division of Energy and is part of the municipal utility emergency loan program adopted by Parson last month. The General Assembly earmarked $ 50 million in interest-free loans to help local utility companies offset the impact of the storm; According to the DNR, 52 municipalities have applied for the program since it opened this month.

Parson presented the check to the city on Tuesday, touting the opportunity for the state to support utilities struggling with the costs of the extreme weather event.

“The municipal utility emergency loan program offers utilities and city boards the opportunity to recoup the high costs associated with the extreme cold we experienced in February,” said Parson. “The emergency loan of nearly $ 3.4 million to the Town of Fulton will reduce the financial impact on the Town and, more importantly, its residents. This loan program helps municipalities like Fulton in their recovery efforts and saves them from having to immediately pass excessive costs on to customers.

Winter storms hit the Midwest in February, affecting everything from vaccine distribution to the legislator and oblige companies to initiate power outages = blackout. As investor-owned utility companies consider ways to mitigate the impact on customer bills, local businesses are struggling under the weight of smaller budgets; Macon Municipal Utilities chief executive Stephanie Wilson said her company’s annual budget of $ 1.8 million was exhausted over a four-day period as prices soared astronomically, requiring the cost to be passed on to customers and delaying planned infrastructure investments.

the Missouri Public Utility Alliance (MPUA) was a promoter of the fund, participating in a virtual press call with lawmakers in March to defend the fund.

“On behalf of hometown Missouri utilities, we would like to thank the governor and the General Assembly for making these funds available to community utilities statewide,” said the president and chief from MPUA Executive John Twitty. “This program provides much needed help to communities across the state. “

A bipartisan group of lawmakers from both chambers called on Parson to apply for the fund after the February cold snap. Pastor obliged the following week, placing it under the responsibility of a extra budget. The bill was enacted last month.

The division started accepting applications June 2. The loans will be repayable for a maximum period of five years without interest.