Columbia nearly out of utility assistance funds two months into fiscal year

Mitchell Kaminski

COLUMBIA, Mo. (KMIZ)

Just two months into the 2026 fiscal year, Columbia has already nearly exhausted its utility assistance funds.

So far, the city has spent $580,000 of its $600,000 for the year, prompting the Columbia/Boone County Public Health and Human Services to request an additional $200,000 from reserves.

According to a City Council memo, PHHS says the extra funding would keep the program running through December, noting that average nightly lows of about 24 degrees make utility assistance an essential safeguard for vulnerable residents’ health and safety.

The memo also pointed to several economic pressures driving the need for additional funding, with the recent federal shutdown and the pause on SNAP benefits cited as the biggest factors. With colder months approaching, officials say extra resources are needed to prevent service disruptions for households already under financial strain.

“What we’re noticing is this is also a national trend we’re seeing, I believe, about 6 million or so households are about to actually go to collections due to overdue utility bills. So we are obviously part of that national statistic here in  Columbia,” PHHS spokesman Austin Krohn said. “It is surprising that we kind of went through that as quickly as we did this early in the fiscal year. But we are working with the city council and the city manager’s office to kind of remedy that situation.” 

The last time the city found itself in a similar situation was during the COVID-19 pandemic. 

“Things are getting more expensive for everyone.  So that is the leading cause is affordability,” Krohn said. 

Krohn added that the situation is fluid. 

“We’re really going to just try to get this extra money and see where we’re at at that time again,” Krohn said. “We’re certainly going to have to just ride out the situation and see where it takes us.” 

The Utility Assistance Program helps residents pay their electric and water bills, but only certain households qualify. According to the City of Columbia, the program is limited to seniors, people with disabilities and families with children 18 or younger.

Household income must be at or below 200% of the federal poverty level. Applicants are chosen through a monthly lottery and, if selected, receive funding from Oct. 1 through Sept. 30. Assistance is available once per year, with applications accepted from Sept. 1 through Aug. 31.

The amount of help varies by utility provider. City of Columbia electric customers receive $900 annually, while water, sewer and trash accounts are eligible for $600. Boone Electric, Ameren and other public utility district customers can each receive $200 per year.

“We are here to provide that service, that utility assistance service, and we just had an extra volume of people that needed the service or applied for the service. So it’s not like we’re spending the money willy-nilly. It is going to people that need the service,” Krohn said. “Obviously, people can feel how they’re going to feel but I would refrain from just saying we’re burning through the money like that.”

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