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The state will help needy families winterize their homes this year through a new fee on all New Yorkers’ electric bills.

State officials said the fee — about equal to the cost of a cup of coffee a month — will help families improve the energy efficiency of their homes and stay warmer as heating fuel prices rise sharply.

In total, New York will add $49 million to the cause. That’s a fraction of the $800 million Assembly Democrats said was necessary to keep poorer New Yorkers from choosing between heat and food. But with cold months approaching and the Legislature unable to agree on a spending increase that would draw funding from other areas of the budget, the small increase was all Gov. David Paterson said he could do in the face of looming deficits.

A Web site will be set up so New Yorkers can determine if they qualify for various heating assistance programs.

In June, the Assembly proposed increased funding to pay for more heating bill subsidies and weatherization of apartments and houses. The Republican-led Senate, however, sought a tax deduction to offset heating costs.

In addition to the weatherization funds, Paterson said the state Office of Temporary and Disability Assistance plans to increase the maximum Home Energy Assistance Program grant to $800 per season from the previous $540 cap. But without additional federal money, some families may still get smaller pay outs to help pay heating bills.

“The federal government must not ignore the reality of record high heating prices when considering funding levels for this essential program,” he said.

New York is also expanding eligibility for assistance, so a family of four with up to $45,312 in annual income can receive benefits.

“We are pleased that the governor has presented an administrative plan that provides important relief,” said Assemblyman Kevin Cahill, a Kingston Democrat and the chair of the Assembly energy committee. “Still, the Assembly believes we must increase home heating assistance grants.”

Most of the new funds will go to improve energy efficiency. The state is spending $696 million on improving efficiency for residential and commercial energy customers.

The maximum HEAP emergency benefit will also increase from $700 to $800. The changes to HEAP don’t reflect an increase in the program’s $347 million in funding this year, but a different way of distributing the money. The most needy will be able to get more money, but as funds begin to dwindle, families will get smaller payouts — unless the federal government or lawmakers intervene with more funding.

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State officials said the fee — about equal to the cost of a cup of coffee a month

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Most of the new funds will go to improve energy efficiency. The state is spending $696 million on improving efficiency for residential and commercial energy customers.

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CAPITOL
Heating assistance increased for winter
BY JASON SUBIK Gazette Reporter
Reach Gazette reporter Jason Subik at 395-3198 or jsubik@dailygazette. net.

    State officials announced Friday that the maximum regular benefi t available under the Home Energy Assistance Program will increase from $540 to $800 for the 2008-09 heating season, despite expected cutbacks in federal funding for the program.
    “This is a first step in New York’s efforts to address the high cost of heating fuel this winter,” Gov. David Paterson said in a released statement. “We are taking this action to provide additional funding to help the state’s residents reduce their energy bills, at little or no cost, while maintaining the level of comfort New Yorkers deserve.”
    Anthony Farmer, the assistant director of public information for the state Office of Temporary and Disability Assistance, said New York expects to receive $213 million of the $1.7 billion proposed for the federal Low Income Home Energy Assistance Program by President Bush this season. He said that would be less than the $248 million New York was allocated last season. Farmer said Bush also has $300 million in a contingency fund usually given to states for an additional emergency LIHEAP benefit, of which New York’s share is projected to be $45 million, less than the $109 million in contingency funding the state received in 2007-08.
    In total, New York state expects to receive $258 million for its HEAP program, $99 million, or 28 percent, less than last year. But even with less money, state officials have decided to increase the maximum benefi t by 33 percent and increase the number of people eligible for HEAP by raising the amount of income a person may earn and still qualify to receive the benefit.
    “That’s why there’s such a concern that Washington hasn’t stepped up yet and committed more money to this,” Farmer said. “The way the program is designed is the people with the greatest need get the greatest benefit from the program, but otherwise it’s a first come first served program. Once the funds are gone, the funds are gone.”
    The amount of HEAP-eligible applicants will receive depends on a point system that factors the percentage of that person’s income spent on heating fuel. HEAP eligibility is determined by total income and the number of people living in a family. State officials increased the income allowed for HEAP recipients, such that a family of four may earn $45,312 and still be eligible this season, up from $43,308 last year.
    Paterson is lobbying Bush to increase the LIHEAP fund to $5.1 billion, the maximum allowed by congress for the program.
    “The federal government must not ignore the reality of record high heating prices when considering funding levels for this essential program. To keep LIHEAP funding at last year’s level when heating costs are 30 to 40 percent higher this year would be unconscionable and place vulnerable New Yorkers at even greater risk,” Paterson said.
    Applications for HEAP will not be considered until after Nov. 3. Farmer encouraged interested citizens to visit http://www.myBenefits.ny.gov  to determine if they are eligible for HEAP.
    David Kircher, the Albany County deputy commissioner of social services, said HEAP money is distributed by county departments like his own. He said he doubts New York state will run out of HEAP money even though more members of the middle class are eligible for the program and there are fewer dollars available.
    “We’ve found from our experience over the years managing the HEAP funding on the local district level that we have never in any year had deficient funds to meet the needs of our community. We’ve never run out of money,” Kircher said.
    Farmer said the state still has about $25 million of HEAP money remaining from last year’s fund that will go automatically to temporary assistance or food stamp recipients who are eligible for HEAP.
    Fulton County Office for the Aging Director Andrea Fettinger said state officials conducted a conference call with county-level officials Monday advising them to be prepared to explain all benefit programs potentially available to HEAP recipients, especially ones pertaining to weatherization and energy efficiency. She said she suspects state officials increased the maximum benefit to $800 to try to prevent more HEAP recipients from having to apply for an emergency benefit later in the season.
    “I just think we’re in a predicament and we’re going to have to do the best we can to make sure we do our best job completing people’s applications,” Fettinger said. “Some people believe they can rely on the HEAP program for the whole season, when in reality it’s designed for just one payment to help subsidize their heating costs. It’s not for them to rely on like an entitlement.”
    State officials also announced Friday that the New York state Public Service Commission has increased by $32 million the amount required of utility companies to fund energy efficiency programs for low-income home owners. Also, the New York State Energy Research and Development Authority has increased by $2 million the money available in its Energy Star program, which provides money for home energy audits and offers incentives of up to 50 percent of the cost of recommended energy savings projects up to $5,000.
    Paterson said the state will soon unveil a new Web site and hot line number hosted by NYSERDA that will provide information on all the state’s heating-related programs.