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Federal delay threatens $13M in Minnesota energy assistance funds

Federal staff cuts are delaying $13M in aid for Minnesota’s Energy Assistance Program, which could affect 10,000 families.

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Staff cuts at the Department of Health and Human Services could delay $12–13 million in federal aid for Minnesota’s energy program.
Flickr user midnightcomm via Wikimedia Commons

MINNESOTA — Federal staff cuts at the U.S. Department of Health and Human Services are expected to impact energy assistance funds distributed to all 50 states, including Minnesota.

The Minnesota Department of Commerce says it was anticipating another $12 million to $13 million in approved federal funding to support its Energy Assistance Program. Now, the department says it’s uncertain when—or if—that money will arrive.

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“We are doing absolutely everything in our power to make sure that we get those resources so that they're available to the people who need them,” said Lissa Pawlisch, assistant commissioner of energy resources at the Minnesota Department of Commerce.

This winter, the program has helped more than 100,000 Minnesota households so far. The department says an additional $12 to $13 million could help another 10,000 families across the state.

“If we have three months of down times, that's not going to be the end of it all. Things are going to bounce back. It's just going to take time, and you want to make sure that you're in high-quality investments,” Pawlisch said.

In Clay County, nearly $1 million in benefits has been distributed to more than 2,000 households. In Becker County, $900,000 was paid out to almost 1,400 families. Mahnomen County received over $400,000 in assistance for more than 500 families. In Norman County, 340 households received $240,000 in benefits.

On average, each household has about a quarter of its annual energy bill covered. For example, the average household in Mahnomen County pays nearly $3,000 a year in utility costs; the program typically covers about $800 of that.

“It's real money, and it's the sort of money that people need to not have to make that heat or eat decision — to not decide, ‘Am I going to pay my energy bill or go get that prescription filled?’ It’s a meaningful impact on people's day-to-day welfare and existence,” Pawlisch said.

The program also provides emergency services, such as furnace repairs or propane tank refills, and is open to both homeowners and renters.

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The Department of Commerce is encouraging residents in need to continue applying for assistance. Without the final 10% of the federal allocation, however, officials warn that new applications could be halted as soon as mid-April.

“This is just part and parcel of making sure that families are whole, and we need the federal government to fulfill its obligation and make sure that states receive this funding,” Pawlisch said.

For more information on eligibility, residents can visit mn.gov/energyassistance .

Ryan McNamara joined WDAY as a reporter in late 2024. He is a native of Brooklyn Park, Minnesota and graduated from St. Cloud State University in 2024.


His time as a Husky included copious amounts of time spent at "The Herb" reporting on Husky hockey, or at Halenbeck Hall calling Husky basketball. He also spent two summers with the Northwoods League's St. Cloud Rox. Along with his duties in news and sports, Ryan dons a headset for occasional play-by-play broadcasts for North Dakota and Minnesota high school sports.


When he's away from the station, he's most likely lifting, finding time to golf, or taking in as much college basketball as possible, in order to complete the elusive perfect March Madness bracket.
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