Rep. Haley Stevens’ bill targets disaster loans for small businesses and families facing mounting losses from Michigan power outages.

Michigan power outage relief legislation proposed by Rep. Haley Stevens could redefine how the federal government responds to extended electricity disruptions—particularly relevant after a brutal March storm season left thousands in the dark for days across Northern and Southern Lower Michigan.

Michigan Power Outage Relief Bill Offers Disaster Loan Lifeline

In the aftermath of record-breaking storms and tornadoes in late March, Congresswoman Haley Stevens introduced the Prolonged Power Outage Relief Act, a proposed amendment to the Small Business Act that would allow disaster loan eligibility for households and businesses hit hard by prolonged electricity loss.

The bill, introduced in early April, comes as Michigan families and small businesses are still reeling from extended outages triggered by back-to-back weather events. Between March 28–30, ice and windstorms battered Northern Michigan, followed by a sudden outbreak of 14 tornadoes in the southern half of the state. As of mid-April, some communities remain without power.

“Families and small businesses shouldn’t have to shoulder the cost of power outages alone,” Stevens said. The bill reflects input from a roundtable of Michigan community and business leaders, including support from the Detroit Regional Chamber and the Michigan Public Service Commission.

How the New Bill Changes Federal Disaster Loan Eligibility

The proposed bill would define “prolonged power outage” as a situation where at least 25 homes or businesses lose power for over 48 hours. If this threshold is met, those impacted would qualify for low-interest federal disaster loans traditionally reserved for floods, hurricanes, or other officially declared disasters.

The bill specifically allows loans to be used for:

Repairing or replacing damaged property and equipment
Purchasing backup power systems like generators, batteries, solar panels, or microgrids
Replacing spoiled food or drinks lost during the outage

“This expands the federal definition of a disaster in a meaningful way,” said Brad Williams, Vice President of Government Relations at the Detroit Regional Chamber. “We lose millions in productivity and revenue every hour power is down, especially in manufacturing-heavy regions like Michigan.”

Michigan Grid Reliability in the Crosshairs Amid Climate Change

Severe weather is now a frequent disruptor of Michigan’s energy infrastructure. According to Dan Scripps, Chair of the Michigan Public Service Commission, power reliability in the state is increasingly compromised by climate-driven extremes.

“The bill helps strengthen community resilience,” Scripps said. “This is one more tool we can use to adapt our grid and recovery systems for the realities of our changing climate.”

Michigan consistently ranks among the top five U.S. states for most and longest power outages, according to data from the U.S. Energy Information Administration. Rural areas, where tree cover and aging infrastructure compound storm damage, are particularly vulnerable.

Bipartisan Momentum Growing for Energy Resilience Solutions

Haley Stevens, a Democrat representing Michigan’s 11th Congressional District, has framed the bill as part of a broader economic protection agenda. It gives local governments authority to declare energy-related disasters and facilitates faster aid delivery.

Business owners like Rifino Valentine, founder of Valentine Distilling Co., have voiced support. “When outages happen, we lose product and time. It’s encouraging to see concrete steps toward helping small manufacturers like us recover.”

Meanwhile, municipal leaders like Farmington Hills Mayor Theresa Rich call the bill “a vital lifeline” that empowers mayors and counties to take action during long-term outages.

If passed, the measure could set a national precedent, embedding energy resilience into federal disaster planning. It’s especially timely as utilities in Michigan face increased scrutiny over response times and infrastructure investments.

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