WASHINGTON – U.S. Senators Jerry Moran (R-Kan.) and Jon Tester (D-Mont.) this week introduced the Improving Rural Access to Power Act. This legislation would increase access to capital for rural electric cooperatives, allowing them to lower energy costs and improve rural electric infrastructure.
“Rural electric cooperatives reach underserved areas far and wide providing dependable electricity to rural Kansans to power their homes, farms and small businesses,” said Sen. Moran. “This legislation would increase access to capital for rural electric providers so they can continue to serve these areas and update their infrastructure in the process, all while keeping the cost to consumers as low as possible. I urge my colleagues to support this sensible measure.”
Rural electric cooperatives have lending associations that help facilitate loans to each individual cooperative to make upgrades and expansions to their local power grids. The bill will specifically increase rural electric cooperatives' access to capital by allowing the Federal Home Loan Banks to voluntarily purchase securities issued by qualified cooperative lending associations. This additional line of capital will inject more funding into electric cooperatives, allowing them to make necessary investment upgrades.
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