U.S. Senator Susan Collins and Jack Reed (D-RI), co-chairs of the Senate Northeast/Midwest Coalition are calling on the Senate Appropriations Committee to approve an additional $1 billion in emergency funding for the Low Income Home Energy Assistance Program (LIHEAP). Senators Collins and Reed are joined by a bipartisan group of 19 additional Senators in making the request to the Senate Subcommittee on Labor, Health and Human Services, and Related Agencies, the panel that oversees funding for LIHEAP.
With the price of crude oil hovering near $100 per barrel, the Energy Information Administration is estimating that many American households can expect to pay between 10 to 26 percent more to heat their homes during the coming winter. The rising cost of energy will put a greater strain on the LIHEAP Program prompting the request of this emergency funding.
“With winter already here, I deeply concerned with the rising price of heating oil and the strain it places on Maine families,” noted Senator Collins. “LIHEAP funding is critically-important for those who would otherwise be forced to sacrifice the necessities of life such as food, rent, and prescription drugs to pay heating costs. Record high energy prices necessitate increased program resources to ensure that no family is forced to suffer through a severe winter without heat. The assistance provided by LIHEAP is crucial for Maine and other states this winter.”
Each year, more than 48,000 households in Maine rely on LIHEAP to assist with the costs of heating their homes each year.
A Full Text of the Letter Follows:
Dear Chairman Harkin and Ranking Member Specter:
We are writing to request that you include an additional $1 billion in emergency funding for the Low Income Home Energy Assistance Program (LIHEAP) in fiscal year 2008 to provide for a total of $3.412 billion. We recognize the difficult budget constraints that the Subcommittee faces and appreciate your support for additional funding for the LIHEAP program in FY2008 Labor, Health and Human Services, and Related Appropriations Conference Report that was vetoed.
With the price of oil hovering near $100 per barrel, and the Energy Information Administration (EIA) estimating that households can expect to pay between 10 to 26 percent more for heating fuels than during the 2007-2008 winter, states need additional funding immediately to reduce the energy burden of families, individuals with disabilities, and senior citizens and ensure their health and safety this winter.
Between FY2003 and FY2007 the number of households receiving LIHEAP assistance increased by 26 percent from 4.6 million to about 5.8 million or about 15.6 percent of the eligible population. During this same period, the federal appropriation increased by only 10 percent with the resulting average grant declining from $349 to $305. Unfortunately, energy prices are not decreasing proportionally, but instead continue to rise. As a result, there has been a significant decrease in the program’s purchasing power. According to the National Energy Assistance Directors Association, states are planning to reduce the number of households served by about 15 percent in the absence of additional federal and supplemental state funding. The result would be a decline in the number of households served from about 5.8 million in FY2007 to 4.9 million. For these reasons, we believe an additional $1 billion in emergency funding is warranted.
LIHEAP is vital to protecting the public health and safety of low-income families. According to the Children’s Sentinel Nutrition Assessment Program (C-SNAP) out of Boston Medical Center, babies and toddlers who live in energy insecure households are more likely to suffer poor health, require hospitalization, manifest developmental problems, and lack adequate food. C-SNAP found that when families do not have access to sufficient energy, they may resort to unsafe heating methods and do not have the proper means to refrigerate or prepare food for their children. In addition, without a sufficient LIHEAP benefit, seniors living on fixed incomes often have to decide between buying life-saving prescriptions and paying utility bills. For individuals and households that may have to face these difficult choices, LIHEAP makes a real difference in their ability to cope with adverse circumstances.
Moreover, the program helps low-income homeowners weatherize their homes to save energy and lower their energy burden. Weatherization, on average, reduces heating bills by 31 percent and overall energy bills by $200 to $250 per year.
Thank you for your consideration. We look forward to working with you to increase funding for the LIHEAP program to ensure that low-income seniors, individuals with disabilities, and families have the resources that they need to stay warm this winter.
Sincerely,