Bay Area Advocates Alarmed by Mass Firings at Federal Low-Income Energy Program

Bay Area consumer advocates are sounding alarms after the Trump administration this month fired the entire staff running a federal program that helps low-income Americans afford to heat and cool their homes.

The Low-Income Home Energy Assistance Program (LIHEAP) distributes federal funds to help households with their energy needs through services such as providing one-time financial assistance to pay bills, offering emergency help when utilities are disconnected or upgrading homes to make them more energy-efficient.

States use the federal funding to provide those services, but California’s LIHEAP application warns that executive orders affecting LIHEAP’s “operations and program funding” have left such assistance uncertain.

“We encourage you to apply for LIHEAP, but we cannot guarantee a payment assistance benefit, even if you are approved,” the application reads.

The uncertainty comes after around 20 federal employees at the office overseeing LIHEAP were laid off as part of wide-reaching staff cuts across the Department of Health and Human Services in early April.

The Utility Reform Network (TURN), a consumer advocacy group based in Oakland, signed a letter with 220 other groups last week demanding that Congress reinstate the laid-off federal employees.

“If there’s no one working the program, then if you apply, there’s no one going to process that application,” said Lee Trotman, a spokesperson for TURN. “This is a crisis at the federal level. And it’s going to affect Californians.”

LIHEAP helps around 6.2 million households across the country, according to the National Low Income Housing Coalition.

Such aid is especially helpful in Northern California, where the average PG&E bill has gone up by 67% since 2020. A March KQED analysis found that residential ratepayers now pay an average of about $300 a month for their combined gas and electric service, up from $179 in 2020.

A program like LIHEAP “basically lowers energy costs for low-income families and gives people breathing room to minimize trade-offs between their energy needs and food, stable housing or medicine,” Trotman said.

The letter notes that the Department of Health and Human Services still has $378 million of LIHEAP funding for the fiscal year, which runs through September, and it is “unclear how or if these funds will be distributed” to states.

According to the state, California has received over $215 million in LIHEAP funding so far this year.

LIHEAP is overseen by the California Department of Community Services and Development (CSD) and is administered by 31 agencies across the state.

CSD said in a statement to KQED that the department is “committed to understanding the implications of the announcement by the U.S. Department of Health and Human Services (HHS) regarding downsizing in the federal office.”

“As of today, we are not experiencing any impacts to LIHEAP’s ability to provide benefits to low-income households. Our priority remains to ensure all Californians continue to receive uninterrupted access to essential LIHEAP services.”

What can you do if you need help with energy bills?

Californians can still apply for LIHEAP online.

Generally, eligibility for LIHEAP is based on your household’s income as follows:

• $3,170.00 monthly income for a household of 1
• $4,145.41 monthly income for a household of 2
• $6,096.25 ​monthly income for a household of 4.

However, eligibility can be affected by other factors like the source of your household’s income, and CSD recommends applicants reach out to their service providers for more information.

Trotman said that households may be able to enroll in both LIHEAP and their utility provider’s own discount program.

“Federal funding for LIHEAP is limited, and local LIHEAP service providers prioritize benefits and services for particularly vulnerable households,” the state’s website reads. “As a result, some households eligible for LIHEAP may not qualify for a benefit in order to prioritize assistance for households with the greatest need.”

Trotman said applicants should apply for PG&E’s California Alternate Rates for Energy program and Family Electric Rate Assistance (FERA) program.

Read more about these discount guides provided by PG&E and the practical steps you can take to potentially save energy at home.

You can also consult the California Public Utility Commission’s listing options for finding more financial assistance and discounts.