City Water, Light and Power (CWLP) will repay nearly $800,000 in
tornado damage reimbursements that the federal government says the
utility shouldn’t have received.
After fighting
with the Federal Emergency Management Agency for years over claims for
damages from the tornadoes that hit Springfield on March 12, 2006, the
utility says it has exhausted all its appeals. CWLP will seek city
council permission in the next few weeks to pay FEMA $794,732 from the
electric emergency repair account.
City Water,
Light and Power paid $11.6 million to re-erect power lines and poles,
repair infrastructure and restore power to more than 50,000 people after
the 2006 tornadoes — the most expensive weather-related incident in the
utility’s history.
FEMA reimbursed the utility
about $7.6 million. The utility says those expenses were approved by
on-site FEMA representatives at the time.
Three
years later, however, FEMA sent a team of auditors to pore over
storm-related documents at city hall for about a month. The agency found
the utility had been paid nearly $2 million for expenses that were not
eligible for reimbursement.
Through the years, the
utility and city attorney’s office flied multiple appeals and were able
to reduce the amount in question from nearly $2 million to nearly
$800,000.
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