Committee adopts amendment to fully fund Power Cost Equalization, backfilling community assistance

The committee adopted Amendment 17 by a roll call vote of 6 to 5 after extended briefing from staff and Legislative Finance. Sponsor and backers said the amendment’s purpose is to avoid prorating Power Cost Equalization (PCE) payments to rural households by increasing the PCE appropriation to the best available estimate (roughly $56.1 million) and using excess PCE earnings and a $15.2 million general‑fund backfill so the Community Assistance Fund receives a total of $20 million in FY27.

Legislative Finance Director Alexi Painter explained the mechanics: the PCE program is normally funded by a POMV draw (about $49 million this year) and a statutory ‘‘waterfall’’ directs excess endowment earnings to community assistance and other programs; this amendment uses part of the excess earnings for the PCE program and general fund dollars to make up the balance so community assistance still reaches the $20 million target. Committee proponents said the change prevents households from seeing prorated PCE checks and protects critical rural subsidies.

Representative Foster and others framed the amendment as preserving benefits for rural households facing sharply higher fuel costs, and described it as a short‑term reallocation to avoid immediate hardship. Opponents warned about setting new precedents for mixing fund sources, but the committee voted to adopt the amendment.

The amendment carried 6–5. Members asked Legislative Finance to remain ready with updated estimates as fiscal assumptions evolve.