We Are The Large Public Power Council

Current permitting and licensing requirements create delays in project timelines, which drives up project costs and slows our ability to meet surging energy demand. Streamlining federal and state licensing will help public power build critical projects like transmission infrastructure, low-carbon generation, pipelines, and storage. And since public power utilities are not-for-profit organizations, savings are passed directly to American consumers.

To accelerate energy infrastructure development, policymakers must:

• Reform the federal permitting process. Clear coordination between federal agencies, state regulators, and the courts is key to speeding up energy project approvals.
• Advance sensible transmission planning to expand the grid while keeping costs fair for consumers. As community-owned utilities, public power systems should have a voice in the process, and new projects must show clear benefits, with costs fairly allocated and overseen by FERC to prevent excessive charges.
• Implement faster licensing for nuclear, hydro, and pipeline projects. Reforms at the Nuclear Regulatory Commission and in Congress are needed to reduce delays, lower costs, and ensure these proven clean and reliable energy sources can help meet America’s growing electricity demand.

With demand for electricity surging, the U.S. is struggling to build infrastructure fast enough. While well-intended, the timelines within EPA’s Power Plant CO₂ Rule make compliance impractical given the rule’s reliance on nascent technology and current supply chain challenges, risking higher costs for consumers and strained electricity supply during a period of rising demand.

To safeguard energy reliability and affordability, LPPC priorities for the EPA’s Power Plant CO₂ Rule include: 

1. Permit the most efficient plants without unnecessarily raising costs
2. Address supply chain constraints that could drive up costs and delay infrastructure development
3. Prevent premature coal plant retirements that threaten grid reliability and America's near-term power supply

Additionally, LPPC urges federal agencies to:

• Ensure policies offer flexible compliance that acknowledges and allows for regional resource differences
• Rely on NERC-led technical studies to safeguard grid reliability
• Support the deployment of innovative energy technologies

Many LPPC member utilities are leaders in investing in zero- and low-carbon resources and offer some of the cleanest generation portfolios in the industry. Smart policies must balance clean energy goals with the reality of rising demand.

Building and maintaining critical energy infrastructure starts with affordable financing. Public power utilities rely on tax-exempt bonds and credits to fund critical projects that power American homes, businesses, and growing industries. 

To ensure public power utilities can develop affordable energy infrastructure, policymakers must:

1. Maintain access to tax-exempt financing
2. Preserve elective pay tax credits
3. Restore tax-exempt advance refundings
4. Provide sequestration protection for Build America Bonds
5. Update Treasury’s private use rules for tax-exempt bonds

These policies lower costs for not-for-profit, community-owned public power utilities investing in and building new energy infrastructure. These are proven policies that will help keep electricity costs low for American families and businesses.

When disasters strike – hurricanes, wildfires, floods – restoring electricity is one of the most critical steps in helping communities recover. FEMA plays a vital role in supporting local communities and utilities through recovery funding. Over the past decade, LPPC members have received significant FEMA support for storm recovery costs and to strengthen and harden electric grids against future disasters.

We value FEMA as an essential partner. But like any organization, there is room to improve. Too often, utilities face unnecessary delays, red tape, and a one-size-fits-all approach that slows recovery and increases costs.

LPPC supports commonsense FEMA reforms that help public power utilities restore service faster and build resilience. There is encouraging momentum for the bipartisan Fixing Emergency Management for Americans (FEMA) Act of 2025 (H.R. 4669) introduced by Chairman Sam Graves (R-MO) and Ranking Member Rick Larsen (D-WA) of the House Transportation and Infrastructure Committee. This bill provides project-based grants to rebuild damaged infrastructure, helping to cut years of approvals and delays, which would save time and money, reduce bureaucracy, and strengthen resiliency.

Principles for FEMA Reform

To ensure public power utilities can deliver a timely recovery and strengthen resilience, LPPC builds on the already excellent FEMA Act by suggesting:

• Recognize industry standards. FEMA should broaden what counts as a “building code” to include electric industry and utility safety standards — particularly when those standards are designed for the kinds of disasters common in that region.
• Streamline approvals. Reviews of projects should be timely, as outlined in the bill— paired with detailed feedback when items are rejected — to help utilities stay on track and avoid unnecessary resubmissions or delays.
• Account for the unpredictable. Project estimates should allow for a one-time adjustment if unexpected, unforeseeable challenges arise.
• Set realistic timelines. The current two-year window to adjust project estimates is often too short, given the time required to bid, hire, and procure goods in a FEMA-compliant manner. Longer timelines would help ensure success and reduce rushed, costly decisions.
• Support utility readiness. Utilities that develop and follow their own disaster readiness and resiliency plans should qualify for a higher federal cost share.
• Respect proven procurement processes. Utilities should be allowed to use their own procurement processes — the same ones they use when spending their own money — rather than being forced to re-procure goods and services solely to meet federal rules, often at higher cost and with significant delays to the project.
• Permitting the reimbursement of prudent pre-event preparedness activities — such as staging, transporting, and pre-positioning equipment and other resources to protect lives, property, and public health — is critical. These actions are essential for a rapid grid recovery but discouraged by FEMA’s interpretation of the Stafford Act, which focuses on whether the resources are ultimately used. By the time a storm’s trajectory is certain, it is often too late to deploy resources effectively. Today, FEMA generally reimburses pre-positioning costs only if the resources are used during a federally declared disaster, with two limited exceptions, although some entities have successfully litigated this interpretation. Clarifying that prudent pre-positioning is eligible for reimbursement would promote proactive response, faster restoration, and reduce the need for litigation after the fact.

Additional Areas for Improvement

FEMA should also improve communication and staffing continuity. Currently, utilities may experience turnover of 4–6+ FEMA staff handling a single grant, creating confusion and lost institutional knowledge. Establishing a dedicated utility liaison with expertise in the electric industry would help resolve misunderstandings and streamline decisions.

Our Commitment

LPPC members are committed to restoring power quickly and safely after disasters, and to making the grid stronger and more resilient. FEMA is a critical partner in this mission. By reforming its policies and programs, FEMA can help utilities recover faster, cut red tape, and deliver the reliable service that millions of Americans depend on.