For Immediate Release:
March 5, 2021
State Treasurer rolls out City Utility Low-Interest Loan Program 24-hours after it becomes law
Kansas State Treasurer Lynn Rogers announced today during a press conference that the City Utility Low-Interest Loan Program is now open. Applications were published on the website by 8 a.m. Friday morning, less than 24-hours after House Substitute for Senate Bill No. 88 was published in the register, officially becoming state law.
“Getting to this point took the cooperation and hard work of dozens of people, and it was never a matter of Republicans and Democrats, but a matter of Kansans coming together to help other Kansans,” said Kansas State Treasurer Lynn Rogers. “These cities don’t have the option of not paying their bills, and their pending bills have them on the brink of bankruptcy. Doing nothing simply was not an option.”
The City Utility Low-Interest Loan Program was established after quick action was taken by the Kansas Legislature and Governor Laura Kelly earlier this week. It allows for up to $100 million of idle funds to be loaned to any city in Kansas that has incurred extraordinary electric and/or natural gas costs during the extreme winter weather event of February 2021. Cities have up to 10 years to pay these loans back. Loan proceeds may not be used to pay electric or gas utility bills that the city would otherwise pay as a consumer.
“We all recognize this is not an ideal situation, but we also refuse to financially ruin these cities because of Kansas weather. These are our friends, our neighbors, and our families in rural Kansas communities,” said Rogers. “I want to genuinely thank everyone for coming together so quickly to make the best out of a bad situation back in February.”
Cities are asked to complete the application materials available on the State Treasurer’s website at www.KansasStateTreasurer.com. Consumers who are struggling to pay their utility bills can apply for funds available through the Low Income Energy Assistance Program, as outlined by Governor Kelly earlier this week, at http://www.dcf.ks.gov/services/ees/Pages/EnergyAssistance.aspx.