Low-Income Heating Assistance - Maine

Page history last edited by Robert Hackett 8 mos ago

Note: please note that this issue brief should (a) link back to the issue overview on this topic, (b) be focused either the local, state, national, or global level, and (c) be neutrally presented, based on facts, and include footnotes for each of the items.  See the Research Guide and Information Sources to assist you. 

 

 

Goal Statement


 

 

Scope of the Problem  factual statements on the extent of the problem in the past, current, or future


  • Only 15 percent of eligible families are enrolled in the LIHEAP program.[1]
  • Over the past nine months many complaints have surfaced in regard to the way that Maine chooses to facilitate the distribution of LIHEAP funds.  As it currently stands, each CAP agency accepts applications from individuals and families from July until April.  Once an application has been received the CAP agency will contact the applicant in order to schedule a face-to-face interview.  This interview is used to verify personal information, requiring the applicant to present a Social Security card for every member of the household, proof of personal income for the past three to twelve months, proof of permanent residency, and recent receipts for energy costs.[2] 
  • Between mid-January and early March, Maine Equal Justice Partners (MEJP) in Augusta—an organization I am currently working for—conducted an online survey in an attempt to document the current problems with Maine’s LIHEAP distribution system.  While the survey was not scientific and has obvious shortcomings it does provide some valuable insight.[3] 
    • A significant trend can be found by looking at the survey’s collected data.  Of the 133 respondents, 70 indicated that they were required to have a face-to-face interview in order to complete their application process.  When asked how long they had to wait for an interview to be scheduled an overwhelming majority indicated that they had to wait at least a month, with most waiting between two and three months. 
    • This trend presents the harsh reality of Maine’s LIHEAP system.  As indicated before, the Maine State Housing Authority’s applicant pool is nearly from last year.  MSHA Director Dale McCormick, on an MPBN interview, January 23, indicated that at that time over 59,000 applications had been received, a 25 percent increase over last year.  The rise in applications directly correlates to quick exhaustion of the administrative resources available to the MSHA and the CAP agencies.  Even by looking at this relatively small sampling of applicants, the offices responsible for processing requests and quickly distributing funds are not able to keep up with this increased demand. 
    • The resulting hardship on Maine’s low-income population is clear.  MEJP’s survey found that an overwhelming majority of respondents had or were experiencing added difficulties as a result of having to wait for a face-to-face interview.  Applicants were taking on extra debt to fill their fuel tanks; using money intended for food, medications, or clothing to keep their houses warm.  Some had to use portable heaters or their oven to heat their home, increasing the likelihood of fire or carbon monoxide poisoning.  And some had just run out of fuel and were living without any heat at all. 
    • Not only are folks having to wait for extended periods of time for an interview to be scheduled, but the need to travel to a CAP agency to attend the interview presents an added burden to many Mainers.  A large proportion of LIHEAP recipients are elderly individuals with mobility issues, or lower income persons who cannot afford to maintain a vehicle.  With only ten Cap agencies serving over 33,000 square miles some individuals in more rural sections of the state may have to travel over forty miles—or more—to reach their destination.  For many vulnerable Mainers the need for a face-to-face interview presented an insurmountable barrier.

 

 

Past Policy  key legislation and milestones including significant policy and funding shifts, major studies, etc.


  • A sharp increase in petroleum prices following the Organization of Petroleum Exporting Countries’ (OPEC) embargo of 1973 caused the U.S. Department of Health and Human Services (HHS) to attempt to meet the significant need of families across the country who could not afford to heat their homes through the coldest parts of the year.[4] As a matter of fact, the money distributed by HHS was given to the State of Maine to fund a pilot program called “Project Fuel.” Over the next decade HHS expenditures increased, culminating in the creation of the Low Income Home Energy Assistance Program in 1982, a program now serving nearly 50,000 Mainers.

 

 

Current Policy  summary of current policies in the form of legislation, programs, and funding


  • The intent of the LIHEAP program is “to assist low income households, particularly those with the lowest incomes that pay a high proportion of household income for home energy, primarily in meeting their immediate home energy needs.”[5] LIHEAP is funded each year through a block grant: a large sum of money which HHS distributes to States, territories, and tribal organizations.  Since it was instituted HHS has set eligibility requirements for receiving LIHEAP funds at 150 percent of the established poverty level, or 60 percent of the state median income.[6]  These requirements act as general guidelines for all LIHEAP grantees (i.e. states, territories, and tribes), but the LIHEAP statue[7] allows a certain amount of discretion on the part of each particular grantee. These privileges include being able to define “income;” choosing whether to use the federal poverty guidelines or state median income in order to determine eligibility; and provide categorical eligibility to applicants who are already receiving support through Temporary Assistance for Needy Families (TANF), Supplemental Security Income (SSI), Food Stamps, or certain Veterans benefits.

  • At the state level the distribution of LIHEAP funds is overseen by the Maine State Housing Authority (MSHA). MSHA in turn delegates primary responsibility for local distribution to eleven Community Action Agencies (CAPs), whose staffs meet directly with, and monitor recipients. 

  • Due to the increase in LIHEAP funding for FY 2009, Maine has received $76.2 million in total, an increase of nearly $30 million over last fiscal year.[8]  However, the revised guidelines mean that nearly 84,000 Maine households will be eligible to receive LIHEAP funds over the coming year, as apposed to the 50,000 households who were eligible during the past heating cycle.[9]

 

 

Policy Options   


 

 

Key Organizations/Individuals   contacts for public and private organizations and key individuals


  • Maine State Housing Authority

    • Dale McCormick, Director

    • Kathy Millay, Energy Assistant

  • Community Action Programs (CAPs)

    • Aroostook County Action Program: Presque Isle

    • Community Concepts, Inc.: South Paris

    • Kennebec Valley Community Action Program: Waterville

    • Penquis Community Action Programs: Bangor and Rockland

    • Peoples Regional Opportunity Program: Portland

    • Waldo Community Action Partners: Belfast

    • Washington-Hancock Community Agency: Millbridge

    • Western Maine Community Action: East Wilton

    • York County Community Action Corp.: Sanford

  • State Representative Patrick Flood: Winthrop

 

 

Glossary of Terms


 

 

Bibliography   web sites, reports, articles, and other reference material 


  • Low Income Home Energy Assistance Program.” Maine State Housing Authority.

  • Maine Equal Justice Partners (MEJP) Survey on Maine's LIHEAP Distribution System, March 2009.

    • The survey was hosted by the online company called surveymonkey.com. A link was posted on MEJP’s website as well as published in the monthly newsletter of the Maine Association of Interconnected Neighborhoods, a group of low-income individuals who act as MEJP’s primary client. This is significant because it notes the “type” of person answering the question.

Footnotes

  1. Maite Jullian, "Maine to get $79 million in heating assistance," Bangor Daily News, 10/16/08. http://www.bu.edu/washjocenter/newswire_pg/fall2008/stories/jullian/MaineLiheap.htm
  2. "Low Income Home Energy Assistance Program." Maine State Housing Authority. http://www.mainehousing.org/PROGRAMSLiheap.aspx?ProgramID=37
  3. The survey was hosted by the online company called surveymonkey.com. A link was posted on MEJP’s website as well as published in the monthly newsletter of the Maine Association of Interconnected Neighborhoods, a group of low-income individuals who act as MEJP’s primary client. This is significant because it notes the “type” of person answering the question. My unscientific opinion would speculate that because of the way the survey was publicized, a disproportionate number of the respondents completed the survey in order to express their concern or outrage, a fact that might skew the data somewhat. Also, many of the questions we asked were not answered, with some of the data set showing more persons skipping a question rather than answering it. It is very important that these facts are made clear. MEJP’s survey was not meant to be a scientific study; it did not attempt to prove that the way Maine is currently distributing LIHEAP funds is not functioning properly but simply wanted to see if tangible evidence could be found showing the link between the face-to-face interview requirement and hardships experienced by families collecting LIHEAP funds. Such evidence was found by this survey.
  4. "Low Income Home Energy Assistance Program (LIHEAP) Chronology."; United States Department of Health and Human Services. http://www.acf.hhs.gov/programs/ocs/liheap/about/chronology.html
  5. "Low Income Home Energy Assistance Program (LIHEAP) Fact Sheet."; United States Department of Health and Human Services. http://www.acf.hhs.gov/programs/ocs/liheap/about/factsheet.html
  6. "Low Income Home Energy Assistance Program (LIHEAP) Fact Sheet."; United States Department of Health and Human Services. http://www.acf.hhs.gov/programs/ocs/liheap/about/factsheet.html
  7. Title 45: Public Welfare, Part 66—Block Grants.
  8. Maite Jullian, "Maine to get $79 million in heating assistance,"; Bangor Daily News, 10/16/08. http://www.bu.edu/washjocenter/newswire_pg/fall2008/stories/jullian/MaineLiheap.htm
  9. Maite Jullian, "Maine to get $79 million in heating assistance,"; Bangor Daily News, 10/16/08. http://www.bu.edu/washjocenter/newswire_pg/fall2008/stories/jullian/MaineLiheap.htm

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