Over the past 15 years, Peggy Grimes has managed to keep food donations rolling into the Montana Food Bank and back out to the 180 agencies across the state that depend upon the organization.

But now, for perhaps the first time, Grimes fears a day in the near future where the Montana Food Bank may have to limit shipments to pantries around the state.

To some, that may mean less to eat.

Grimes called it "the perfect storm" -- a merging of economic events that includes record high fuel prices, soaring natural gas prices, rising electricity costs, a weak dollar, the mortgage crisis and, most recently, the spectre of inflation.

"You've got all these things coming together," she said. "I'm hoping we don't come to the place where we have to limit the amount of food we give to the agencies we serve. But this is what I see happening on the horizon."

Donations to the Montana Food Bank Network have increased 18 percent this year, a sign of the state's philanthropic heart. Yet the need for food across the state has also grown 32 percent, outpacing donations and forcing some food banks to use operational dollars -- money used to keep the lights on and the doors open -- to purchase more food.

The Gallatin County Food Bank in Bozeman has seen a 43 percent increase among those turning to the food pantry for help. The food bank in Great Falls has seen demand there increase 20 percent over last year.

Grimes said the problem is hardly isolated to metropolitan areas. The Custer County Food Bank in Miles City saw 230 families come to the pantry for help in June. That's up from 190 families who turned to the food bank over Christmas, which is typically the busiest time of year for food banks in the state.

"This is the first year I've seen us having to contract for freight within Montana to get the food delivered," said Grimes. "The agencies need that much more food. We can't deliver it all ourselves."

Ann Waickman, executive director of the Helena Food Bank, said around 950 households are now turning to the pantry for food in the greater Helena area. That, she said, equates to around 2,500 people.

"We're seeing pretty consistently an 8 to 15 percent increase each year in the number of folks needing food," she said. "I think we're going to see an even greater increase in that number soon."

While the Helena Food Bank hasn't yet passed the 1,000 household mark, it has seen a surprising increase in first-time users -- around 70 a month, Waickman said.

Adding to the challenges, donations are down in some categories, including milk and butter. Waickman said she now spends more than $1,000 a month to make up for slowing contributions from local grocers.

The rising numbers parallel the troubled economy, which has led to an increase in need among the working poor. That's put pressure on the local charities trying to help. But the charities, like many consumers, are being pinched by rising energy costs.

The price of regular unleaded in Helena has jumped $1.15 a gallon over this time last year to $4.20. NorthWestern Energy has also increased its electric and natural gas rates to near record highs.

Even the city of Helena is looking at new fee increases for water, sewer and trash, among other things. All at a time when food prices are expected to increase another 5.5 percent this year.

"We are seeing massive increases in the cost of food, and massive increases in the cost of running our trucks," Waickman said. "We work to make each run as gas efficient as possible."

The rise in demand has also hit the Helena Salvation Army. While the agency doesn't deal directly in food, it does assist with housing and fuel.

Monte Jones, the corps officer for the local Salvation Army, said he's now giving out nearly $18,000 a month in housing assistance, up from around $3,000 last year. He's also giving out around $700 a month in gas cards to help those in need get to work, or simply reach the grocery store to purchase food.

"We're doing $4,000 a month in utility assistance, and it's not even winter," Jones said. "Our average donor is Joe and Jane Smith who make $40,000 a year and send us $10 a month. Suddenly, they're paying $4.20 a gallon for gas and higher utility bills, and they don't have that $10 to give us anymore."

James said that in March, the local Salvation Army owed around $70,000 to vendors around the city. The agency had just a few thousand dollars in the bank.

Luckily, Jones said, some of the vendors in Helena allowed the agency time to come up with the money.

"Donations this time of year sink into the cellar," he said. "The gas prices are just killing us. The price of everything has really affected us a lot."

Contributing factors

Natural gas

Residential customers of NorthWestern Energy are paying $14.91 per dekatherm for natural gas. That's far more than last summer's price of $9 to $10 a dekatherm. It's as high as prices have been in the past decade.

Electricity

NorthWestern Energy, whose latest electric rate increase was approved by Montana's Public Service Commission, now has rates 20 percent higher than any other major utility in the region.

Fuel

Prices for regular unleaded in Montana hovered at $4.20 a gallon, up from $3.05 last year. It's the highest price ever recorded in the state. Diesel in Montana stood at $4.62 last week, up from $3.01 the week before.

Food

Overall food inflation could double this year. Analysts blame the rising costs of fuel, corn and soybeans. Food inflation hit 4 percent last year, up from 2.4 percent in 2006.

Reporter Martin Kidston: 447-4086 or mkidston@helenair.com