Post on 25-Dec-2015
2014 Energy Assistance Public Hearing
Cleveland
07/23/2013
AgendaAgenda
• HEAP and Winter Crisis Updates• Guideline Changes• Percentage of Income Payment Plan (PIPP) Plus
Updates• Testimonies & Questions
HEAP and Winter HEAP and Winter Crisis UpdatesCrisis Updates
2013 Energy Assistance Programs2013 Energy Assistance Programs
Funding Source Amount
LIHEAP $123,075,026
HWAP Transfer (up to 15%) $21,719,122
Total Energy Assistance: $144,794,148
Utility Community Assistance Account
$1,450,925
2014 Energy Assistance Programs Proposed 2014 Energy Assistance Programs Proposed Funding LevelFunding Level
Funding Source Administration’s Budget*
Senate and House Appropriations Committees**
LIHEAP $144,000,000 $165,465,332
HWAP Transfer (up to 15%)
$21,600,000 $24,819,800
Total Energy Assistance: $122,400,000 $140,645,532
*Estimate based upon Ohio’s allocation of projected funding level for LIHEAP as proposed by the Administration.
**Both the Senate and House Appropriations Committees have approved approximately $3.4 Billion which is approximately the same as last year’s level
Need updated based on information shared by NEADA
2013 HEAP Program Summary2013 HEAP Program Summary as of 7/5as of 7/5
66%6%3%1%
24%
Fuel Type
Gas / Natural Gas
Propane / Bottle Gas
Fuel Oil / Kerosene
Coal / Wood
Electric
2013 HEAP Program Summary as of 7/52013 HEAP Program Summary as of 7/5
Poverty Ratio Households Percent
1 Below 75% 215,375 47.43%
2 75% to 100% 88,400 19.47%
3 101% to 125% 64,047 14.10%
4 126% to 150% 47,775 10.52%
5 151% to 175% 24,748 5.45%
6176% to 200% * One Time - Utility Community Assistance Account
13,745 3.03%
Total 454,090 100.00%
Average HEAP Benefit $ 216.72
Comparison 2008-2013 Eligible Applications
2013 HEAP Program Summary as of 7/52013 HEAP Program Summary as of 7/5
387,226
393,939
425,230
457,367
459,057
454,090
2013
2012
2011
2010
2009
2008
2013 Winter Crisis Program Summary2013 Winter Crisis Program Summary
Poverty Ratio Households Percent
1 Below 75% 77,045 51.84%
2 75% to 100% 28,514 19.18%
3 101% to 125% 18,402 12.38%
4 126% to 150% 13,013 8.76%
5 151% to 175% 7,160 4.82%
6176% to 200% * One Time - Use Utility
Community Assistance Account4,485 3.02%
Total 148,619 100.00%
Total Households Served by Federal Poverty Ratio
Average WCP Benefit $ 277.30
• July 22, 2013 – Begin outreach. Elderly and disabled will be sent applications first. Applications will then be sent to all other households previously found eligible for HEAP in 2013.
• Completion date—August 30, 2013
• Over 400,000 applications will be distributed to individuals when mailing is completed.
• August 1, 2013—Applications will begin to be distributed by Community Action Agencies, Second Harvest Food Banks, and other Agencies.
• Total distribution of applications will be about 500,000.
2014 HEAP Outreach Summary2014 HEAP Outreach Summary
2012-2013 Income Guidelines2012-2013 Income Guidelines
To be eligible a household must have total household income for the last 12 months or 90 days equal to or less than 175% percent of the federal poverty guidelines. The period to be used in determining annual income must not be more than twelve months, or less than the ninety-day period preceding the request for assistance by the household.
Size of Household
Total Household Income for 12
Months
1 up to $20,107.50
2 $27,142.50
3 $34,177.50
4 $41,212.50
5 $48,247.50
6 $55,282.50
7 $62,317.50
8 $69,352.50
* For households with more than 8 members, add $7,035 per member.
•Social Security Disability (SSDI)•Supplemental Security income (SSI) •Railroad Pensions•Retirement and/or Company Pensions•Social Security•Veteran’s Pensions•Veteran’s Compensation•Company Disability and Black Lung•Strike Benefits•OWF/TANF/DA•Alimony•Unemployment Benefits•Workers’ Compensation•Unearned income paid to or on the behalf of minors
•Estate and Trust Settlements (excluding attorney fees)•Capital Gains (Example: Proceeds from sale of property, home and stock)•Utility Allowances (as discretionary income)•Immigrant Relocation Allowance•Adoption Assistance•Child Support•Garnished Wages•Active Military Pay•Cash Gifts•Lump Sum Distribution (prorated when payment is designated for a set period of time)
Countable IncomeHousehold income is defined as the total annual gross income before taxes (minus exclusions) of all household members, except earned income of dependent minors under 18 years of age. All income sources and some exclusions must be documented. Head of household and spouse may never be considered minors. Gross household income includes wages, interest dividends,annuities and pensions. Additional sources of countable income include but are not limited to the following:
Excluded Income
•Food Stamps/Cash Payment for food stamps•Assets from bank withdrawals•Tax refunds and rebates•Handicapped Income- self-sufficiency programs (e.g., work expenses for the blind)•Loans from individuals or institutions requiring repayment of either principal or principal and interest•Funds/training stipends designated for specific purposes (i.e., educational grants for tuitionand/or books) •Work Allowances (i.e., LEAP)•Transportation Allowances (i.e. Workforce Investment Act (WIA))•Title V Wages – Older Americans’ Act
•Medicare payments•Stipend for Foster Care•Agent Orange Compensation/Benefit•Vista or other Americorp Stipends•Health Insurance Premiums (dental, vision and health insurance, supplemental health insurance)•Prevention, Retention, Contingency (PRC), assistance to attempt to divert families from long-term financial dependency•Title III DREAP•Documented Child Support Paid•Military allowances for subsistence; housing, family separation, etc.
energyhelp.ohio.gov
Kaizen Event Recommendations
• OCA begins to develop an on-line application process based on recommendations from a Kaizen Event.
• OCA enhances efforts to collect more e-mail addresses from clients to cut postage costs and reduce paper.
• More information on OCA Kaizen event can be found by accessing the lean.ohio.gov website.
Social Security Number/Citizenship Requirements
•Social Security Numbers will be required for all household members, regardless of age.
•The Energy Assistance Application will continue to request documentation of citizenship or resident alien status for all household members, but it will only be required for the primary applicant.
Program Integrity/Internal Controls
• Requirement by U.S. Department of Health and Human Services (HHS) that States supplement their plans with a “Program Integrity Assessment “ in order to receive LIHEAP funding
• Part of an effort to ensure that internal controls are in place to prevent, detect, monitor, and prosecute improper payments due to fraud.
• Office of Community Assistance (OCA) has established a formal program integrity/fraud prevention section to develop and update procedures for reporting, deterring, and detecting fraud, and for taking corrective actions.
Percentage of Income Payment Plan Plus (PIPP
Plus) Data
Arrearage Example $2400
This was to be calculated by the Electric Utility at the first billing cycle in November 2010 (old debt owed to utility as of 11/1/10)
Monthly Bill Example$100
The customer’s monthly usage charge
PIPP Plus Installment Example$60
What the customer must pay each month in full and on time (6% payment example for an electric PIPP Plus customer with $1000 monthly income)
Current Bill Balance Example$40
This is the current bill balance that is credited (monthly bill minus PIPP Plus installment)
Arrearage Credit Example$100
This is the arrearage credit (1/24th of the old debt owed)
Arrearage Remaining after one year of on time full payment of installments
$1200
What one year of on-time, in-full payments would do to reduce the customer’s arrearage.
PIPP Plus Clientsas of 5/31/12
Company
Active PIPP
Clients
Graduate Minimum payment
Waiver Post
AEP 123,001 9,814 15,612 6,424 38CEI 53,876 2,642 7,664 3,992 15,305Columbia Gas 78,790 2,588 11,967 0 0Dominion Gas 105,614 9,393 15,033 2 0DP & L 38,843 1,107 5,813 905 1,654Duke Energy 31,818 1,161 7,944 1,989 10,997Ohio Edison 76,994 4,797 9,004 6,483 23,735Toledo Edison 26,089 1,444 3,755 2,211 8,567Vectren 20,641 350 3,857 12 0
555,666 33,296 80,649 22,018 60,296
Distinct clients 410,783
Trends in PIPP Plus
May-12 Apr-12 Oct-11 Aug-11Active 555,666 565,150 537,805 523,111Distinct 410,783 416,844 410,817 408,759
May Payments
Company
Received an
arrearage credit
% of payments made by
active PIPP
Accrued Arrearages
Credits Applied
Accruing Arrearages
Credits Applied
AEP 60,282 49% $4,121,944.53 $4,353,659.71CEI 24,457 45% $1,641,850.29 $1,299,730.05Columbia Gas 18,707 24% $2,515,045.69 $585,893.33Dominion Gas 26,551 25% $10,882,976.58 $1,331,863.20DP & L 19,631 51% $964,651.30 $1,639,343.06Duke Energy 26,372 83% $2,165,302.41 $898,321.98Ohio Edison 37,097 48% $3,136,809.82 $2,350,014.77Toledo Edison 11,997 46% $969,303.42 $766,356.36Vectren 4,534 22% $307,206.67 $92,767.54
229,628 41% $26,705,090.71 $13,317,950.00$40,023,040.71
Payment Percentage Comparison
Company May-12 Apr-12 Oct-11 Aug-11AEP 49% 47% 50% 51%CEI 45% 40% 46% 50%Columbia Gas 24% 24% 27% 28%Dominion Gas 25% 25% 22% 27%DP & L 51% 50% 54% 53%Duke Energy 83% 81% 73% 68%Ohio Edison 48% 44% 49% 51%Toledo Edison 46% 42% 48% 50%Vectren 22% 20%
41% 40% 41% 44%
Utility Issued 14 day Disconnection Notices
Company May-12 Apr-12 Dec-11AEP 0 2,562 0CEI 22,642 21,621 540Columbia Gas 10,710 9,996 8407Dominion Gas 1,750 2,337 2071DP & L 6,319 5,000 6957Duke Energy 7,199 7,570 6922Ohio Edison 31,161 29,482 1270Toledo Edison 11,450 10,688 239Vectren 4,756 4,671
95,987 93,927 26,406
PIPP Plus Customers Disconnectedfor Non-Payment
May-12 Apr-12 Oct-11 Aug-11AEP 0 0 4 2CEI 790 520 539 664Columbia 636 442 570 1212Dominion 599 751 289 1058DP & L 1,120 404 981 917Duke 853 621 1027 1138Ohio Ed. 1,682 1,125 1265 1576Toledo Ed. 514 250 239 379Vectren 504 369
6,698 4,482 4914 6946
Disconnections for Failure to ReverifyMay 2012
AEP 717CEI 1,085Columbia Gas 1,108Dominion Gas 2,692DP & L 763Duke Energy 1,124Ohio Edison 1,261Toledo Edison 323Vectren 340
9,413
Other Statistics
• 115,074 Number of PIPP Plus clients who used the Winter Crisis Benefit
• 144,418 Number of PIPP Plus clients who never received an arrearage credit in PY 2011
• 6,407 Number of PIPP Plus clients who made 12 consecutive payments
Current Issues
• Working to clean up data issues with the CIR– Notified utilities of “PIPP Plus participants” with very
old reverification dates– First Energy stopped sending some required data
fields which is impacting the reverification process• The reverification process is looking at last year’s
reverification letters sent to the client and continuing the process from that last letter sent
Next Steps
• Fix the reverification process• New educational focus to encourage clients to
make all their monthly payments
Questions or Questions or Testimony Testimony
When asking questions or giving testimony, please state your name and the agency you are representing, if any.
The State of Ohio is an Equal Opportunity Employer and Provider of ADA Services
ADDITIONAL TESTIMONY
Mail to:Janet Cesner
77 S. High St., 25th FloorColumbus, OH 43215