EPB is waiting to be formally notified of reimbursement for storm damage from the Federal Emergency Management Agency or receive funds dating back to 2024, utility officials said.
FEMA’s Atlanta office announced Tuesday that EPB would receive $3.3 million to repair its electric system from a severe winter storm. The funds were part of nearly $15 million for Tennessee recovery from the winter storm and Hurricane Helene, though the agency did not specify which winter storm.
The Tennessee funds were part of more than $348 million FEMA announced for nearly 170 projects across the U.S., the agency said.
“It is normal for funds to be announced long before we actually receive them,” EPB spokesperson J.Ed. Marston said in a statement.
(READ MORE: Nine wild facts show Hurricane Helene’s historic test of TVA)
EPB could not confirm if the $3.3 million from FEMA was for Winter Storm Fern in January without a formal notice, Marston said. EPB is still waiting on around $4 million in FEMA reimbursement from severe storms, tornadoes and flooding on May 8-9, 2024.
“Like many public utilities, EPB files for reimbursement for eligible storm damage under FEMA’s Public Assistance program to help keep costs lower for our customers,” EPB spokesperson Sophie Moore said in a statement. “We have applied for funding for storm damage in May 2024 as well as the January 2026 ice storms. We have not received formal notice or funds for either application at this time.”
At an EPB board meeting in July, former CEO David Wade, who retired Sept. 1, said the delay in signing a contract with the federal agency was notable. The Chattanooga municipal power and internet provider distributes electricity generated by the Tennessee Valley Authority to more than 200,000 customers.
“That’s pretty incredible to think it’s been over two years, and we still don’t have a signed contract,” Wade said. “I think it’s a reasonable expectation you’re going to get one in at least 18 to 24 months.”
The delay in receiving the 2024 funds contributed to EPB’s operating costs being $18.3 million over budget for the fiscal year ending June 30.
Pop-up thunderstorms that cost the utility $6.8 million in damages in June and July were another major factor.
The FEMA News Desk in Atlanta was not available to answer questions by phone on Wednesday afternoon.
Other Tennessee projects that will receive FEMA funding announced Tuesday are:
— $4.8 million to Centerville-based Meriwether Lewis Electric Cooperative to repair damage to electrical system
— $2.1 million to Hendersonville for debris removal
— $1.9 million to Fairview for debris removal
— $1 million to Nashville-Davidson County for emergency protective measures
— $861,000 to Savannah for debris removal
“These projects are the latest examples of billions of dollars in disaster recovery provided by FEMA to support state and local communities as they work to rebuild from recent natural disasters,” the agency said in a press release.
Contact business reporter Daniel Dassow at [email protected] or 423-757-6318.
Daniel Dassow is a business reporter for the Chattanooga Times Free Press. He earned degrees in English and religious studies from the University of Tennessee, Knoxville in 2023, where he served as editor-in-chief of The Daily Beacon. He previously worked as a tech and energy reporter for the Knoxville News Sentinel. He is the youngest of six siblings. Contact him at 423-757-6318 or [email protected].
