LIPA hiking storm budget

The News Leader

October 11, 2010 6:55:59 AM PDT
The Long Island Power Authority says it's doubling the amount it budgets for storm damage.

As much as $50 million is being set aside to respond to storms in the 2011 budget. That's a $23 million increase over this year's reserve. The increase means the typical customer will see bills increase $1.50 a month.

The utility says the past two storm seasons have been unusually severe.

LIPA chief operating officer Michael Hervey says he'd rather be overprepared the next time a storm threatens Long Island.

About $54 million of the $180 million spent this year on storms is expected to be reimbursed by the Federal Emergency Management Agency.