Realty Times January 4, 2001

$300 Million Released To Help The Poor Through Winter
by Lew Sichelman

President Clinton has directed the Department of Health and Human Services to release $300 million more in emergency aid to help states assist low-income households facing substantial increases in home heating fuel prices this winter.

The Department of Energy projects that heating oil prices this winter will be 29 percent higher than last, and that natural gas prices will be 40 percent higher. Low-income households are especially burdened by fuel prices increases, forcing many families to forego other essential expenses to stay warm during the cold months.

The 2000-2001 winter is expected to be one of the coldest in many years.

"None of can control the weather," the President said in his weekly radio address to the nation. "But all of us are responsible for how we respond to and prepare for it." The cold weather states in the Northeast and Midwest will receive most of the funds, according to the White House. But since low-income households throughout the country are experiencing sharp energy price increases, all states will receive some assistance. In addition to the nationwide increases in natural gas and fuel oil, electricity prices also are up in some areas because electricity generation often is fueled by oil or natural gas.

The emergency funds will come from the Low Income Home Energy Assistance Program, which has already released a total of $556 million in aid. The latest $300 million release is provided for in the fiscal year 2001 appropriations bill signed by the President on Dec. 21, and should help states continue to meet their citizens' needs throughout the harsh winter.

Many states have adopted higher income eligibility limits in their assistance programs and higher benefit levels in anticipation of greater need for help this winter. LIHEAP not only helps eligible families pay the costs of heating and insulating their homes in the winter, it also helps pay for cooling their homes in the summer.



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