SF2132 Summary

• Establishes a 2021 Polar Vortex Loan Account managed by the Commissioner of Commerce to provide zero-interest loans up to five years to municipal utilities that purchased natural gas at unusually high prices during the critical period of February 12-17, 2021.

• Loan amount for each utility cannot exceed incremental cost (price difference between critical period and February 5-10 baseline) multiplied by incremental volume (volume difference between the two periods), with proportional reductions if demand exceeds available funds.

• Creates a low-income assistance program requiring utilities to provide bill credits to eligible low-income households (those receiving LIHEAP, in payment agreements, or with missed payments since October 2020) to defray elevated natural gas costs from the February 2021 price spike.

• Appropriates $15,000,000 in fiscal year 2021 for municipal utility loans and administration, with an unspecified amount for low-income household bill credits to be allocated among public utilities, municipal utilities, cooperative associations, and district heating systems.

• Requires that any federal funds or settlement proceeds related to the natural gas price spike be deposited in the general fund and used to offset the low-income assistance appropriation.