Welcome to the new Washington Area Fuel Fund web site
We just got an email from Lynn Battle over at Washington Gas announcing the launch of the new Washington Area Fuel Fund (WAFF) web site. The WAFF pays for all types of fuel to heat the homes of people in financial need. During the past five years, the fund has given an average of approximately $870,000 annually to area residents.
The main focus of the site is making it easier for people to give online donations. You can now give as little as $5 through the web site. The site also gives other ways for you to make your donations. These donations are going to become increasingly important as it’s been an especially cold winter already.
These types of programs are critical for people. Especially since the FY2011 budget request to Congress asked for $3.3 billion ($2.51 billion in regular funding and $790,000 in contingency funding) for the Low Income Home Energy Assistance Program (LIHEAP), down from the $5.1 billion that was provided in the current FY2010 appropriation.
Some more history on the fund. The WAFF was established in 1983 by Washington Gas and The Salvation Army. Since then, the WAFF has disbursed more than $19.5 million to more than 232,0000 people helping keep the homes of area residents warm during the winter. That’s a lot of help. If you have a chance drop by the new site and make a donation if you can.
LIHEAP Action Day coming up
Here are the details on the upcoming Low Income Home Energy Assistance Program (LIHEAP) Action Day for which we just sent out information yesterday afternoon.
It’s only five weeks until the National Fuel Funds Network’s (NFFN) LIHEAP Action Day, February 10, 2010 in Washington, D.C. Registration for NFFN’s LIHEAP Action Day is now open. The deadline for discounted hotel rooms is January 21. Please join delegates from across the country in the Nation’s Capitol to kick-off advocacy for at least $5.1 billion for LIHEAP in Fiscal Year 2011.
If you have already registered, thank you. If you have not registered, please help NFFN plan for the event and register now. by visiting www.nationalfuelfunds.org.
We need your participation on LIHEAP Action Day to maintain and increase LIHEAP funding. Here’s why:
On December 18, the National Assistance Energy Directors’ Association released a study that shows how much of a difference the increase in LIHEAP funding made in FY 2009. A record number of households received assistance. The study is available at www.neada.org,
“The number of households receiving heating assistance reached record levels for the second year in a row, increasing from 6.1 million (5.8 million heating and 0.3 million cooling) to 8.3 million (7.7 million heating and 0.6 million cooling). Eleven states reported increases of more than 50%: California 162%, Texas 122%, Florida 104%, Nevada 80%, Arizona 80%, Oklahoma 76.3%, Kentucky 72.1%, Delaware 71%, Tennessee 62%, Oregon 55%, and Washington 54%.”
NEADA also projects “an increase of 20% in the number of families applying for assistance based on initial application rates”. NFFN agrees with NEADA that “The current funding level will not be sufficient to meet the need if current trends continue. In the absence of supplemental funding, states will have few choices other than to reduce benefits, tighten eligibility requirements or close programs early.”
LIHEAP advocates have their work cut out for them to make sure that these choices will not come to fruition. Since 2003, NFFN’s LIHEAP Action Day has been integral to convincing Congress to increase LIHEAP funding to the present $5.1 billion annually. We will need to work hard to secure this level again or more in FY 2011. The action begins on February 10. We need your participation.
NFFN’s LIHEAP Action Day will begin with a breakfast briefing at 8:15 am and end with a reception 4:30 on Wednesday, February 10, 2010. The American Gas Association will provide their Capitol Hill office as central gathering place. NFFN will distribute talking points and background information, expert advice and training in lobbying for LIHEAP for a diverse group of participants.
We expect representatives from fuel funds and other nonprofit organizations, consumer advocacy programs, utility and fuel oil companies and associations, and local, state and Tribal governments. Action Day advocates will fan out over Capitol Hill with a uniform message for legislators – provide needed LIHEAP funding.
NFFN will also have a briefing and reception for early arrivals on Tuesday, February 9 at 4:30, PM, at a location close to the event hotel.
There is no charge for registration. We will update registrants on the legislative situation and other developments between now and LIHEAP Action Day.
NFFN has arranged for discounted hotel rates for February 9 and 10 at the Red Roof Inn in downtown Washington. The hotel is in Chinatown, near the Verizon Center. It is directly accessible on the Metro yellow line from Reagan National Airport, two blocks from the Gallery Place stop. The deadline for the discounted room rate at the Red Roof Inn is January 21. Please register now for the hotel. NFFN will provide bus transportation from the hotel to Capitol Hill on the morning of February 10.
Red Roof Inn
500 H Street, NW, Washington, DC
(202) 289-5959
Room Rate: $149 + tax
Reference No: B254NFF10
For more details on Action Day, please contact NFFN Executive Director George Coling, 202-824-0660, coling@nationalfuelfunds.org. Also, please read a supportive editorial from the New York Times at http://www.nytimes.com/2009/12/28/opinion/28mon2.html?_r=1&ref=opinion.
When Utility Bills are Unpaid We All Pay
Did you ever consider what happens when some people are unable, unwilling, or simply don’t pay their utility bill? Ultimately we all pay. Utilities are companies that operate as businesses just like any other business, except that unlike many businesses they deliver their product first and then ask for payment later. That makes it even harder to recover their costs. Unpaid bills ultimately are just another cost of doing business. And, these costs are passed on to all paying utility customers.
In today’s economy, with high unemployment, home foreclosures and many people simply unable to make ends meet we are experiencing significant levels of unpaid utility bills. The industry refers to this as arrears, bad debt or uncollectible accounts. Recently we estimated that industry-wide there are $3.5 billion in unpaid utility bills, affecting more than 10 million U.S. households.
Many factors play into the issue of uncollectible accounts. In most cold weather localities utilities are required by law to provide electricity and natural gas from October through March, regardless of whether a customer pays his or her bill. During this time many customers get so far behind on their bills that they simply never get caught up. We also know that the utility bill is often the last bill to be paid monthly and if there isn’t enough money to pay all the bills it is the one that goes unpaid.
Utility companies work hard to identify those who should be able to pay their bills through data analysis known as “behavioral scoring.” This methodology helps the utility work with specific customers in ways to encourage payment. Additionally, some utilities report unpaid accounts to the credit bureaus, which can have an adverse affect on a customer’s credit. Ultimately, the best solution is increased personal financial responsibility. For example, discretionary spending on non-essentials should be curtailed so that bills for essential services, such as those utilities provide, can be paid.
LIHEAP Helps Customers Who Cannot Pay Their Utility Bill
For many people, paying their monthly bills is an ongoing challenge. Fortunately our nation is full of people who are willing to share the burden of those who are unable to pay. In many localities one way of helping those who cannot pay their energy bills is the local fuel fund. For example, in the Washington, D.C. area there is the Washington Area Fuel Fund. This fund is administered by the Salvation Army. Contributions are made by local individuals and companies, and funds are distributed to needy customers of the local natural gas and electric utilities. You can also visit the National Fuel Funds Network for information on similar programs.
Weatherization is an additional method of assisting low-income households. The recent federal stimulus provided $5 billion of low-income weatherization funds, which are used to increase insulation and in some cases provide higher efficiency furnaces and water heaters. These methods decrease the energy burden for low-income families.
Ultimately the greatest contributor to households needing energy assistance is LIHEAP, the Low Income Home Energy Assistance Program. In 2008, thanks in great part to AGA’s efforts on Capitol Hill, Congress appropriated a record $5.1 billion for LIHEAP, but even with that level of funding we still find $3.5 billion in unpaid utility bills, due in great part to our stalled economy. It is clearly time to increase LIHEAP funding once again to ensure that needy households continue to have warm, safe homes.
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