In response to last year's ice storm in northern Michigan, federal emergency officials have allocated millions to help local agencies and a utility co-op recover.
In total, $15.8 million will be allocated, with most going to the Presque Isle Electric and Gas Co-op, who serve much of northeast lower Michigan. They will receive $14.7 million to reimburse costs for debris removal and transformer repair.
The co-op says it has spent over $150 million in costs from the 2025 ice storm and took out an emergency line of credit to pay it down. The company says it replaced over 2,800 utility poles and 3,800 miles of power lines.
The money is from FEMA's Public Assistance fund, which is intended to support infrastructure repairs and utilities.
Months after the historic weather event, aid for utilities, or Category F within FEMA's Public Assistance Program, was initially denied. Governor Whitmer appealed the decision and members of Michigan's congressional delegation advocated for the funds, which were later granted.
Allan Berg is the CEO of the co-op. He said he's grateful for the grant and more money may be on the way.
“There are many more dollars in the application phase. We have submitted over $145 million in cost reimbursement to FEMA,” he said.
The company raised rates for members by $20 per month shortly after the storm. Berg said the surcharge will remain in order to keep paying off interest on an emergency line of credit.
“The interest is still accruing daily, which is about $24,000 a day in interest,” he said.
Berg says the money has been allocated, but has not yet been sent to the utility co-op.
“When we do receive the $14.7 million, we of course would in turn go and pay down that $152 million line of credit,” he said. “We're going to still be left paying a lot of money in interest.”
In addition, the Charlevoix Road Commission received $642,000 for debris removal costs. The commission did not immediately respond to WCMU's request for comment.
The Michigan Department of Technology, Management and Budget, which is the state agency in charge of government business operations, was given around $383,000 for infrastructure repairs.
The money would reimburse repairs for "public safety communication towers, satellite dishes, electrical poles and fiber optic cables throughout the state affected by ice accumulation," according to a FEMA press release.
"FEMA has been working closely with Michigan state to brief prospective applicants on the available assistance," the agency said in its release.
In March, Karen S. Evans, who was the acting FEMA administrator at the time, said the Category F funding will “help several rural electric cooperatives and other impacted utilities repair their systems faster and help stabilize energy costs."
