The winter storm that nearly paralyzed Oklahoma, Texas and Kansas in the past week prompted some members of congress to create a bill to help utilities obtain financing in the wake of such federal disasters.
Oklahoma Congressman joined Arkansas Rep. Rick Crawford in the introduction of the Reinforcing Utility Restoration After Losses or RURAL Act.
As explained in an announcement by Congressman Cole’s office, the legislation would give authority to the USDA to create a bridge loan program for rural utility companies experiencing losses in the wake of federally declared emergencies. It would provide companies with access to a line of credit for low-interest loans to cover qualified losses with partial loan forgiveness available in some circumstances.
Rep. Cole said it’s obvious how utility companies suffered in the severe winter weather that resulted in rolling blackouts caused by a lack of power.
“In response, it is important to ensure utility companies in rural areas do not succumb to their losses and families are not left without power,” said the GOP Representative. ” I am proud to join in introducing this critical legislation that would offer a needed line of credit to power companies facing extreme losses so they may continue serving their customers.”
Rep. Crawford, a Republican from the first district of Arkansas said in light of the unprecedented demand for electrical power it is necessary to help the utility providers.
“The RURAL Act ensures that rural Americans are not without vital resources and rural service providers are bolstered during a federal emergency,” said the congressman.
Source: Cole press release