Fulton city leaders reach a deal with the state to help them recover from the financial hit they took when natural gas rates skyrocketed this past winter.
The Fulton City Council approved a $3.4 million dollar loan agreement with the Department of Natural Resources this week. Mayor Lowe Cannell says they don’t need the money now, but it’s nice to have an interest-free loan available if the need it.
“We had to dip into our gas reserve fund because of that crisis, so this would make us whole again as far as where we are comfortable with having our reserve at.”
The city had to pay extremely high rates for natural gas in February after gas wells in Texas and Oklahoma froze. The resulting natural gas shortage resulted in prices rising as high as ten times their normal rate.
Cannell says the City is still considering an increase in natural gas rates but that won’t be huge.