Unpaid utility bills soar as economy sags

[flashl]

CHICAGO — Hundreds of thousands of utility customers are at risk of disconnections as the sagging economy drives up the number of past-due home heating bills and the amounts owed, utility companies in cold-weather states say.

...

The extent of the problem is becoming apparent now because most states in the Midwest and Northeast have moratoriums on disconnecting utilities in winter months. Those restrictions typically end March 31 or April 15. Companies try to work out payment plans before curtailing service, and aid is available for some low-income customers.

A record $40 million was owed by 226,670 delinquent customers of rate-regulated utilities statewide in March, says Jerry McKim of Iowa's Bureau of Energy Assistance. "What we have is a crisis that never goes away," and more federal and state assistance is needed, he says.

In March, 89,002 disconnect notices were issued, up from 86,035 in March 2007, McKim says. Iowa's moratorium applies only to customers who qualify and apply for low-income energy aid.

USA Today

[rurallib]

1. Iowa has a population of about 3 mil. So probably @1 million households

Which makes 229,000 damn near a quarter of all households. That is scary. It gets cold, damned cold in Iowa in the winter.