The Low Revenue Home Energy Program ( LIHEAP ) is the first US federal social services program established in 1981 and is funded annually through congressional appropriations. LIHEAP's mission is to help low-income households, especially those with the lowest incomes who pay the majority of household income for home energy, especially in meeting their immediate home energy needs. The program, part of the US Department of Health and Human Services (HHS), is funded by grants taken from the federal government.
Video Low-Income Home Energy Assistance Program
Funding funding
Funding is distributed to each of the fifty states, US territories and tribal governments through the US Department of Health and Human Services (HHS). Program administration is submitted to state, territorial, or tribal governments. The Congress also gives the President of the United States a limited contingency fund each year, which is provided for emergency situations and is released at the discretion of the President.
The state legislature often provides additional allocations every year to supplement the federal LIHEAP fund.
LIHEAP offers one-time financial assistance to qualify low-income households who need support in paying home or cooling heating bills. Applicants must have less than 150% income from federal poverty or 60% of the state median poverty rate to qualify, but some states have expanded their program to include more households (for example, in Massachusetts, applicants must be in 60 % of Estimated Median State Revenue).
The Low Income Home Energy (LIHEAP) program provides funding assistance to low-income households, targeting the most vulnerable: disabled, elderly, and families with preschoolers. Funding is distributed to other countries or government entities, which manage the program and comes from four sources including: Block grants, Residential Energy Assistance Challenges Program, Contingency Funds, and Leveraging Incentive Programs. Allocation is based on the local climate, economic, and demographic formula. Additional funds may be available in emergency situations or as match funds when contributions are made by local governments, private businesses or non-profit organizations. The distribution of final funds is made through program beneficiaries, who are able to design their programs to meet consumer needs while following LIHEAP's goals and policies.
In most states, the program is run on the basis of who he can quickly. This usually results in a rush to implement and receive assistance, because once the funding pool is empty many energy assistance offices close their doors. In some states, the legislature or governor may make popular political cues to extend eligibility for additional individuals through emergency bills or executive orders, although this may result in previously claimed funds in winter.
The Home Energy Assistance Program (H.E.A.T.) is a Utah State program in which funds are distributed to the target population. The program is specifically managed by the state and various Government Associations (AOG). The Mountain land AOG provides H.E.A.T. assistance to people in Utah, Wasatch, and County Summit.
Many state LIHEAP institutions also offer weather support, where contractors are sent to residence to make physical changes to help maintain heat or install more fuel-efficient stoves. Sometimes, acceptance of weatherization process is mandatory with approval for LIHEAP assistance.
Several states have attempted to enact the Revenue Pay Percentage (PIP) plan within or alongside traditional LIHEAP grant models. Although overall funding has increased since 2002, future funding may be limited due to recent trends in budget cuts based on building codes that require energy efficiency, modern equipment with low energy usage standards, and concerns about the sustainability of the federal budget. As the program moves forward, the budget cut along with the appearance of the applicant are two major challenges it faces.
Maps Low-Income Home Energy Assistance Program
History
LIHEAP's history began in 1980 when the congress created the Low Income Energy Assistance Program (LIEAP), as part of the Crude Income Tax Act to address concerns about energy price increases in the 1970s. In 1981, LIEAP was replaced by LIHEAP as part of the Omnibus Budget Reconciliation Act. In 1984, the Human Services Re-Services Act added a new goal to provide funds to cool low-cost household expenses. Congress also requires the use of more recent population and energy data, which means the transition of funds from cold weather countries to countries with warm weather. In 1988, there was another major change in which the National Center for Appropriate Technology (NCAT) began operating the LIHEAP Clearinghouse.
Administration
LIHEAP is managed by the Department of Health and Human Services. Some federal divisions provide oversight and direction to the program. These include the Administration for Children and Family Services, the Office of Community Services, and the Energy Assistance Division. The National Center for Appropriate Technology is an additional advisory body in the program before the funds are awarded to grantees. The federal government does not provide LIHEAP assistance to the public. In contrast, the federal government provides funds to state, federal or federal Indian tribes, tribal organizations, and archipelagic areas to manage.
The group receiving the funds is considered the recipient of the grant in the program. LIHEAP grant recipients have the flexibility to design their programs, in a vast federal guideline, to meet the needs of their citizens. Each state may have different departments or divisions to disseminate funds. What is shown above is the program flow from federal to local level in the State of Utah. In Utah, LIHEAP funding is administered through the Home Energy Assistance Target (HEAT) program, which is handled by the state or the Association of Government (AOG). The Mountainland AOG provides direct supervision for assistance to local government agencies in Utah, Wasatch, and County Summit. MAG receives almost $ 2.5 Million per year. The State of Illinois has announced in 2014 that residents may apply to two regional agents; one household can be eligible with monthly income up to $ 1,459; two households up to $ 1,966; a family of three can earn up to $ 2,474; and a family of four can earn up to $ 2,981.
Federal funding
LIHEAP is funded by an annual allocation to the Department of Health & amp; Human Services. Funding for fiscal year 2017 was $ 3.09 billion.
Funding is distributed to each of the fifty states, US territories and tribal governments through the US Department of Health and Human Services (HHS). Program administration is submitted to state, territorial, or tribal governments. The Congress also gives the President of the United States a limited contingency fund each year, which is provided for emergency situations and is released at the discretion of the President. The state legislature often provides additional allocations every year to supplement the federal LIHEAP fund.
Funding source
The amount of funding available for actual assistance comes from four main sources including: Block grant, Residential Energy Assistance Challenge Program, Contingency Fund, and Generator Incentive Program. Here is a synopsis of how these sources bind to LIHEAP.
Block a grant
Block grants account for most of the dollars distributed for the LIHEAP program. To obtain block grants, states, territories, Indian tribes, and tribal organizations seeking to help low-income households in meeting home energy costs, can apply for a block grant of LIHEAP.
Residential Energy Assistance Challenges Program (REACH)
The Residential Energy Assistance Resistance Program (REACH) "provides grants that fund demonstration projects to test approaches to help low-income families reduce their energy use and become more self-sufficient in meeting their home energy needs." Local community-based agencies that implement innovative plans to help LIHEAP eligible households reduce their energy vulnerabilities can receive these funds.
In 2001, 54 REACH grants have been funded by creating an annual budget of $ 6 Million, or half of one percent of the total funding for the LIHEAP program. This grant has been used to make weathering materials, workshops on energy efficiency measures for homes, budget counseling, and have established consumer cooperatives to purchase home energy. The state project lasts for three years, and the grantee country is required to contract for a third party evaluation and report after the project's conclusions on the effectiveness of the approach they have tried.
Contingency financing
Contingency funds are funds released to help with home energy needs due to emergency situations. They may be allocated to one or more grant recipients, or to all grantees, on the basis of criteria appropriate to the nature of the emergency. Generally, these funds are released in response to extreme weather conditions or rising energy prices. In the 1980s, contingency funds were only used twice. In the 1990s, it was used eight times, and since 2000 there have been calls for contingency funds every year.
Utilizing Incentive Program
The Leveraging Funding Program is designed to reward grant recipients who have acquired non-federal financed resources for their LIHEAP program.
This encourages grantees to find ways to add non-federal dollars or other resources to their LIHEAP program. In addition, grant recipients are encouraged to integrate and coordinate with other energy assistance programs to provide non-federal energy assistance to low-income households that meet the LIHEAP eligibility criteria. Participation in the program is optional, but if a non-federal dollar is reported, the grantee may receive additional LIHEAP funds. An example of this program is to leverage discounts on timber negotiated by LIHEAP tribal coordinators with timber suppliers. The discount amount, which is given to eligible LIHEAP households, will be reported as leveraged or non-federal resources and eligible for additional funding for the tribe.
How LIHEAP and WAP work together
The Low Income Energy Assistance Program (LIHEAP) and Weather Aid Program (WAP) work together to help low-income individuals and families pay energy bills and reduce energy costs. This article gives an overview of each program and explains how they work together. LIHEAP and WAP literature are also examined. Finally, the section detailing literacy in low-income consumers is included.
Overview
The mission of the Low Income Energy Assistance Program (LIEAP), also created in 1981, is to help low-income households, especially those with the lowest income who pay a high proportion of income households for home energy, especially in meeting their immediate home energy needs. The program, part of the US Department of Health and Human Services (DHHS), is funded by grants taken from the federal government.
LIHEAP pays part of winter energy bills for eligible individuals and families. Payments are usually made directly to local utility companies or vendors. To be eligible, the level of individual income should not be more than 150% of the federal poverty rate. The payment amount is determined according to the size and type of your house, as well as the type of fuel.
A press release from the Department of Health and Human Services on June 5, 2013, shows that $ 187.4 million has been released to the state to help homeowners and low-income tenants with rising energy costs. These funds supplement $ 3.065 billion in grants available earlier in the year through The Low-Income Home Energy Assistance Program (LIHEAP).
This funding works to help families pay for their heating and electricity, and make weather-related improvements in their homes. This helps prevent these families from disrupting service.
George Shelton, assistant secretary of HHS acting for the Administration for Children and Families, stated that high temperatures translate into high energy bills for families already struggling to make ends meet.
Overview of Weather Assistance Program (WAP)
The United States Weatherization Help Program (WAP) was created in 1976 to help low-income families reduce energy consumption and costs. WAP is governed by various federal regulations designed to help manage and quantify resources provided by the Department of Energy (DOE). WAP funding comes from the annual allocation of the Congress. Each year, the Senate and Internal Interior Allocations committee decides how much funding to allocate to the Program.
WAP technicians perform energy audits at home to help find efficiency problems. After the audit is complete, the program can help by isolating walls and windows, replacing broken glass, and testing, repairing, and/or replacing combustion equipment. Like LIHEAP, the individual income level must be below or below 150% of the federal poverty rate to qualify for WAP. Many state and LIHEAP WAPs work together to provide the best energy services for low-income households.
WAP
LIHEAP and WAP are the cornerstones of all public energy assistance programs. Often, the two programs do not just work together, they automatically intertwine. At Montana's energy assistance office, clients are automatically registered in the WAP when they are registered with LIHEAP.
This fitting association is that LIHEAP and WAP are usually located in the same office. In Butte, Montana, the Office of Energy Assistance and the Weatherization department (which is part of the Human Resources Council, District XII) is responsible for LIHEAP and WAP. Each department offers several other programs that help low-income individuals and families with heating and energy issues.
When clients complete and change applications for LIHEAP, they are automatically registered in WAP. Once the app is processed, it usually takes one to two weeks to receive financial aid for their heating and energy bills. During this time, the applicant is contacted by the WAP department. Before a client's home can experience bad weather, the auditor comes home to complete an energy audit. Auditors are trained to determine the most cost-effective austerity measures for homes.
Weatherization steps may include caulking, weatherproofing, insulation, ventilation dampers, replacement of broken glass, repair or replacement of the main door, and furnace tune-up. Weatherization workers may not be able to install all the materials, but they will do the most important weatherization within the allowed dollar limit.
When the house is scheduled for weatherization service, the crew will come to install the necessary materials at home. After the work is done, the client will be asked to sign a statement saying that the job was done properly and for client satisfaction. Surveys have shown that weathering homes can significantly reduce winter heating or energy bills.
In addition to working together to provide energy assistance, LIHEAP and WAP programs across the country have emphasized energy conservation lately. The literature of the program contains more than just information about the program, the literature offers tips on how to reduce energy consumption. Tips include replacing light bulbs with compact fluorescent bulbs and using Energy Star equipment.
Future Problem
Trending Funding
Congress adjusted $ 3.47 Billion against the program in 2012. Over the past decade, funding for LIHEAP has tended to be close to winter fuel prices, except for the 2009-2011 federal fiscal year, when funding jumped above the winter fuel price index tracked by the Center on Budget and Policy Priorities (CBPP). The President's budget proposal in 2012 significantly reduces the amount of allocations to "return LIHEAP funds to historic levels received for 2008 before the surge in energy prices." The two main reasons why budgets have been cut for 2012 are because first, building codes now require energy efficiency, modern equipment with low energy usage standards and secondly, concerns about the sustainability of the federal budget have led federal officials to consider LIHEAP funding reductions. Changes in future funding need to consider the effectiveness of program management, energy costs, the number of recipients, and other potential aid sources. Performance Measurement and Reporting
ANNUAL TARGET SEARCH RESULT ANNOUNCEMENT 1A. INCREASING TARGET TARGET INDEX SCORE OF HOUSEHOLDS LIHEAP HAVING AT LEAST ONE MEMBER 60 YEARS OR MORE. (OUTCOME) 2009 96 August-10 2008 96 August-9 2007 94 August-8 2006 92 74 2005 84 79 2004 82 78 2003 Baseline 79 LIHEAP COURAGE is regularly monitored through its retirement target index. This index quantifies the extent to which eligible household assistance receives LIHEAP assistance. The biggest focus of eligibility is a household with a parent, a disabled, or a small child. An index score above 100 indicates that LIHEAP serves household target groups at a higher level than the prevalence of eligible LIHEAP earning families who belong to that group. The table on the right reflects the target score of the 2004/2009 Fiscal Year (TA) for households with elderly members. This table also shows what the actual national targeting scores for FY 2004-2006 are. Every December, LIHEAP receiving countries are required to report the following LIHEAP Grant Survey data for the previous federal fiscal year:
- LIHEAP fund resources
- use of LIHEAP funds
- average household benefits for help
- the maximum revenue cut selected by the State for a four-person household
Data from the LIHEAP Grant Survey are included in the LIHEAP Report to Congress. The latest available data is for FY 2003 LIHEAP and related data obtained from reports and surveys of LIHEAP recipients, national household surveys, and other federal agencies. Most of the data is published on LIHEAP Home Energy Notebook and LIHEAP Report to Congress.
Energy Cost
While program administrators use the above steps and reports to understand how the program works, there is a greater concern that insufficient funds are brought into the program to prevent fuel price increases. A surge in funds in 2008 is needed to cope with the sharp increase in home heating oil. The recent decrease in allocations before 2008 levels may not be enough to address the rising heating costs and their impact on many low income households. Receiver
Not only fuel prices continue to increase, program recipients continue to increase. This can be illustrated in the following chart showing the increase in households serviced by the program in relation to the amount of LIHEAP funds allocated to the State of Utah. Some statistical records for the State of Utah include:
- SEALworks notes that 1,619 households are turned off before logging in for HEAT assistance
- The HEAT program helps prevent 10,243 households, who have turned off notifications, from turning off
- Nearly $ 375,769 in regular HEAT Crisis assistance helps 1,373 families in 2011
- This program serves 18,592 families with young children in 2011
- This program helps 10,875 elderly households to receive HEAT assistance in 2011
- This program helps 17,947 people with disabilities in 2011
Coordinate with Outer Programs
In addition to providing matching funds through the Leveraging Incentive Program, LIHEAP seeks to coordinate efforts with private and nonprofit utility companies where federal funding is not available. In the State of Utah, other sources include the Lifeline Electric Lifeline Rocky Mountain and the Lending Program, the Questar Energy Assistance Fund and the REACH program, Catholic Community Service, the American Red Cross and the Murray City Relief Program. HOT. funding applicants may be referred to this private aid group or if there is not sufficient LIHEAP funds.
References
External links
- Department of Health and Human Services, Administration for Children and Families, Community Service Office, LIHEAP Program
- Campaign for Home Energy Aid
- LIHEAP National Clearinghouse
- EERE Energy Support Program's EERE Weather Aid Program
- Help Center Help Center Program Help Center (WAPTAC)
- Country LIHEAP Program
- California LIHEAP
- LIHEAP Illinois
- LIHEAP Massachusetts
- LIHEAP Maine
- LIEAP Montana (Butte)
- LIHEAP New Hampshire
- LHEAP New York State
- LIHEAP Pennsylvania
- LIHEAP Clearinghouse (2012, 3 October). Utahns to Reduce the Benefits of LIHEAP. Retrieved from LIHEAP Clearinghouse: https://web.archive.org/web/20160303235006/http://liheap.ncat.org/news/mar11/utah.htm
- Hansell, D. A. (2012). Appendix FY 2012 Online. Washington D.C: Department of Health and Human Services.
- Henetz, P. (2011, October 7). Less Federal Assistance Expected for Low Utah-Revenue Heating Bills. Retrieved from The Salt Lake Tribune: http://www.sltrib.com/sltrib/news/53201355-78/federal-income-low-utah.html.csp
- Perl, L. (2010). LIHEAP Formula: Legislative and Legal History Today. Washington D.C.: Congressional Research Service. Retrieved from https://web.archive.org/web/20120417031043/http://www.neada.org/publications/2010-07-06.pdf
- US. Department of Health and Human Services Administration Service, (2012, 5 October). LIHEAP Fact Sheet. Obtained from the Community Services Office, Office of Administration for Children and Families: http://www.acf.hhs.gov/programs/ocs/resource/liheap-fact-sheet-0
- US. Department of Health and Human Services Administration Services for Children & amp; Family, (2012, 2 October). Retrieved from LIHEAP Clearing House: https://web.archive.org/web/20121018090108/http://liheap.ncat.org/wwa.htm
- Stone, C., Sherman, A., & amp; Shaw, H. (2011, February 18). Rationale for Administration Thought to Cut Heavy in Home Assistance Income of Low Loss Is Weak. Retrieved 19 September 2012, from Budget and Policy Priority: http://www.cbpp.org/cms/index.cfm?fa=view&id=3406
- Wein, O. (2012, October 1). Low Income Home Energy Program (LIHEAP). Retrieved from the National Consumer Law Center: http://www.nclc.org/images/pdf/energy_utility_telecom/liheap/liheap-2page.pdf
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