The US Federal Emergency Management Agency (Fema) has made two electric co-ops in Michigan eligible for extra funding to cover restoration efforts after a massive ice storm in March 2025.
Great Lakes Energy and Presque Isle Gas & Electric Co-op were left facing millions of dollars in extra costs after the devastating storm hit the north of the state, knocking down trees, snapping utility poles, and leaving thousands without power. State governor Gretchen Whitmer declared a 13-county disaster area, with snow, wind, and freezing temperatures continuing into April.
The storm affected 8,116 miles of power line and required the repair or replacement of many substations and transformers. GLE also had to replace over 3,155 poles, well above its annual average of 800. PIE&G replaced 2,700 poles compared with a yearly average of 500.
Each of the co-ops have spent roughly US$150m on restoration, not including interest on recovery loans.
Backed by the National Rural Electric Cooperative Association (NRECA), they have been lobbying for government support and Fema has now approved the state of Michigan’s request for Category F funding to cover permanent repairs. The decision enables eligible utilities to seek reimbursement for up to 75% of qualifying expenses.
The co-ops can now seek funds to offset storm recovery costs, reduce pressure for future rate adjustments and harden their systems against future disasters.
Related: US electric co-ops work to restore power after ice storm
“For co-ops, Fema’s Public Assistance Category F is a lifeline,” said NRECA regulatory affairs director Kelli Phillips in an article on the association’s website. “It’s the key that unlocks federal funding to permanently rebuild critical infrastructure after disasters.
“NRECA advocates for this – and for smart Fema policy that help keep recovery costs down to protect and strengthen the resilience of the communities our members serve.”
Fema’s March 13 decision “is an important step for the electric cooperatives and communities still recovering from the devastating 2025 ice storm,” Michigan Electric Cooperative Association CEO John Kran said.
“This progress did not happen by accident. It reflects strong coordination among Michigan’s electric co-operatives, MECA, NRECA, elected officials, and co-op consumer-members who spoke up and helped keep attention on the need in northern Michigan. That partnership mattered.”
Kran said there is still more to learn about what funding will ultimately be approved and how long reimbursement will take, but “this decision is a meaningful step toward reducing the long-term financial impact of the storm on the cooperatives and the members they serve.”
NRECA is now seeking broader reforms to make Fema’s public assistance programme more efficient for all co-ops.
The association is lobbying to advance legislation in Congress called the Fixing Emergency Management for Americans (FEMA) Act, which would speed up delivery of disaster relief funds to co-ops and allow them to be reimbursed on interest for recovery loans they take out while awaiting Fema funds.
The news comes as north Michigan was hit by another storm, in the mid March. This year’s weather event saw Great Lakes Energy report electric power outages for 7,049 members in 18 of its 26 counties. Line crews, contractors, and tree-trimming crews were sent out repair damage utility infrastructure caused by a mix of ice, wind, snow, and rain that saw trees fall on power lines throughout the rural and remote areas of the state.
