Biden Administration Announces State-by-State Funding to Address Home Energy Cost

On Friday, the Biden-Harris Administration announced a state-by-state breakdown of funding for the Low Income Home Energy Assistance Program (LIHEAP). Thanks to additional funding by the American Rescue Plan, this funding will help states, localities and tribes address home energy costs this winter. The Administration announced that a total of fourteen major utility companies have made commitments to prevent shutting off utilities for Americans applying for aid and expedite assistance, with seven new commitments building on commitments made last November.

In 2021, the Biden-Harris Administration and Congressional Democrats delivered $8 billion in LIHEAP funding nationally, more than doubling typical annual appropriations, thanks to an additional $4.5 billion provided by the American Rescue Plan. These funds represent the largest appropriation in a single year since the program was established in 1981. These resources are already allowing states across the country to provide more home energy relief to low income Americans than ever before.

The American Rescue Plan provides additional resources for utility relief including the Emergency Rental Assistance (ERA) Program, and the State & Local Fiscal Recovery Fund. ERA programs can provide help with past-due utility bills or ongoing assistance with energy costs to help distressed renters avoid shut-offs and keep current on expenses. The State & Local Fiscal Recovery Fund can also be deployed to help deliver energy relief to families.

The Administration took action to ensure that resources were distributed swiftly and equitably this winter by:

• Encouraging states to plan early: In November, the White House called on states, localities, and tribes to plan early to distribute American Rescue Plan funds to address home energy costs this winter.

• Securing commitments from utility companies to avoid shut-offs and expedite aid: The White House called on utility companies to prevent devastating utility shut-offs and help expedite the delivery of unprecedented federal aid. The White House welcomed additional commitments from seven major utility companies across the country, including Atlantic City Electric, Baltimore Gas and Electric, ComEd, Delmarva Power, Pacific Gas & Electric, PECO and Pepco. These commitments join the initial commitments the White House secured in November from seven major utility companies including DTE Energy, Eversource, Green Mountain Power, National Grid, NorthWestern Energy, Portland General Electric and Vermont Gas.

• Calling for coordination of LIHEAP and emergency rental assistance relief to families: To maximize the impact of home heating assistance, the White House called for states, localities, and tribes to coordinate across programs including LIHEAP and ERA. The Department of Health and Human Services and the Treasury Department have issued guidance and co-hosted webinars on LIHEAP and ERA best practices that have attracted over 500 administrators – collectively representing 47 states, the District of Columbia, and 72 tribal governments. More than 50 percent of these administrators now report they are coordinating across these programs.

Funding for the state of Louisiana can be found at https://www.whitehouse.gov/wp-content/uploads/2022/01/LIHEAP-Louisiana.pdf .