A denied disaster-aid request in northern Michigan is showing in real time what happens when FEMA funding dries up. (POLITICO)
The Trump administration rejected Michigan’s request for federal aid after a March ice storm caused $90M in utility damage—nearly 5X the federal threshold—leaving two electric co-ops to recover costs directly from the 160K homes and businesses they serve.
Households are already seeing $17–$20 monthly surcharges, but utility leaders warn customers could face thousands of dollars each in additional rate hikes to replace poles, transformers, and 8K+ miles of damaged lines.
Big picture: FEMA rarely carves out utilities from approved disaster declarations—federal records show no similar exclusion—but the administration is tightening reviews, denying at least nine disaster requests since April.