March 28, 2006

New Funding Pushes Heating Assistance to Historic High

The state Low Income Energy Assistance Program (LIEAP) expects to receive an additional $7.7 million in federal funds this season to help eligible Montanans pay this winter's heating bills and weatherize their homes.

The additional money is part of $1 billion in supplemental funding that the U.S. Health and Human Services Department has announced it will send to states and tribal nations. The new funding will bring to almost $23 million the amount provided by the federal government this year to help keep Montana homes warm.

"This extra money to help folks with energy bills and home weatherization is welcome news," Gov. Brian Schweitzer said Wednesday. "We have made a commitment to help keep people warm with our Warm Homes Montana program, which has weatherized more than 600 homes in 79 communities across the state. By making Montanan's homes more energy efficient, there will be a lasting impact on these families and bring them hope that they will be warm during the cold."

This year's LIEAP allocation represents a "considerable bump" over the $14 million the state received last year, according to Jim Nolan, who manages LIEAP for the state Department of Public Health and Human Services (DPHHS).

"In fact, this is actually a historic high," he said, "and that's good because fuel prices are at historic highs and we've got the highest participation levels in LIEAP in two decades. The money is most welcome."

Nolan noted that applications for LIEAP are running about 10 percent ahead of last year, with about 22,500 Montana households receiving benefits.

According to Nolan, the federal government will allocate about $1 million of the new money to tribal LIEAP programs. Another $1.8 million will be used to repay state funds that the governor made available to the program earlier this year.

"We weren't expecting more federal money at this late date," Nolan said. "We're very grateful that the governor recognized the dire need this winter and provided assistance earlier, when it was cold and people needed help the most. We're also grateful to our congressional delegation for pushing to get us this additional federal money."

Nolan said some of the federal money will be used to buy propane at lower summer rates for use during the next winter season. LIEAP also will be able to winterize an additional 274 homes and will raise the average heating assistance benefit from $459 for the year to $631. The new benefit will cover about half of the average LIEAP household's annual heating costs.

Tribal eligibility and benefits are determined by individual tribes.

Anyone already receiving LIEAP benefits will automatically get the increase. Montanans interested in applying for LIEAP for the first time this season can do so through April 30. To find out where to apply, call the Governor's Citizen's Advocate at 1-800-332-2272.

More information about LIEAP is available online at www.dphhs.mt.gov . Click on A-Z Index and then Low Income Energy Assistance Program.

Page last updated: 06/13/2006