BEFORE THE DEPARTMENT OF PUBLIC

HEALTH AND HUMAN SERVICES OF THE

STATE OF MONTANA

 

In the matter of the amendment of ARM 37.70.601, 37.70.607, and 37.70.608 pertaining to low income home energy assistance program

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NOTICE OF PUBLIC HEARING ON PROPOSED AMENDMENT

 

TO: All Concerned Persons

 

            1. On August 26, 2022, at 10:00 a.m., the Department of Public Health and Human Services will hold a public hearing via remote conferencing to consider the proposed amendment of the above-stated rules. Interested parties may access the remote conferencing platform in the following ways: 

            (a) Join Zoom Meeting at: https://mt-gov.zoom.us/j/81593946717?pwd=V2hLZytic3pnMmhYdDQyc2xqZXlhdz09, Meeting ID: 815 9394 6717, and Password: 389910.

(b) Dial by Telephone: +1 646 558 8656, Meeting ID: 815 9394 6717, and Password: 389910.

Find your local number: https://mt-gov.zoom.us/u/ksvoSVrc8

 

2. The Department of Public Health and Human Services will make reasonable accommodations for persons with disabilities who wish to participate in this rulemaking process or need an alternative accessible format of this notice. If you require an accommodation, contact the Department of Public Health and Human Services no later than 5:00 p.m. on August 12, 2022, to advise us of the nature of the accommodation that you need. Please contact Kassie Thompson, Department of Public Health and Human Services, Office of Legal Affairs, P.O. Box 4210, Helena, Montana, 59604-4210; telephone (406) 444-4094; fax (406) 444-9744; or e-mail dphhslegal@mt.gov.

 

3. The rules as proposed to be amended provide as follows, new matter underlined, deleted matter interlined:

 

37.70.601 BENEFIT AWARD (1) The department adopts and incorporates by reference the department's LIEAP LIHEAP Benefit Award Matrix and Table of Multipliers, for the 2021-2022 2022-2023 heating season. The LIEAP LIHEAP Benefit Award Matrix is located at the department's web site at http://www.dphhs.mt.gov/hcsd/energyassistance.aspx https://dphhs.mt.gov/hcsd/energyassistance/ or a copy may be obtained from the Department of Public Health and Human Services, Human and Community Services Division, Intergovernmental Human Services Bureau, 1400 Carter Drive, P.O. Box 202956, Helena, MT 59620. These matrices are used to establish the benefit payable to an eligible household for a full heating season. The 2021-2022 benefit matrix will be used for the 2021-2022 heating season, and the 2022-2023 benefit matrix will be used for the 2022-2023 heating season. The benefit varies by:

            (a) through (g) remain the same.

            (2) The benefit payable to an eligible household will be computed by multiplying the applicable amount in the table of base benefit levels found in the LIEAP LIHEAP Benefit Award Matrix for the 2021-2022 heating season by the applicable matrix amount in the table of income/climatic adjustment multipliers found in the LIEAP LIHEAP Benefit Award Matrix for the 2021-2022 heating season.

            (3) Households may claim no more bedrooms than household members except that single elderly and disabled individual households are entitled to claim two bedrooms if their dwelling unit contains more than one bedroom

(4)(3) Publicly subsidized households whose energy costs are included as a fixed portion of their rent, or who reside in publicly subsidized housing and have an out-of-pocket obligation to pay a base-load electric bill, are not eligible for a regular LIEAP LIHEAP benefit computed using the benefit matrices and multipliers in the LIEAP LIHEAP Benefit Award Matrix and Table of Multipliers for the 2021-2022 heating season. However, these households may be eligible for a modified LIEAP LIHEAP benefit. The modified LIEAP LIHEAP benefit is equal to five percent of the amount of a regular LIEAP LIHEAP benefit computed using the benefit matrices and multipliers in the LIEAP LIHEAP Benefit Award Matrix and Table of Multipliers for the 2021-2022 heating season, or a minimum payment of $25, whichever is greater, would be paid to the household annually. Households determined eligible for the modified LIEAP LIHEAP benefit whose economic and housing situation does not change would be determined are eligible for a period of five years.

 

AUTH: 53-2-201, MCA

IMP: 53-2-201, MCA

 

            37.70.607 AMOUNT AND METHOD OF PAYMENT (1) Eligible households that are directly billed for energy costs directly by the fuel vendor will be paid a benefit in the amount computed using the benefit matrices and multipliers in the Low Income Home Energy Assistance Program LIEAP (LIHEAP) Benefit Award Matrix and Table of Multipliers for the 2021-2022 heating season and will be paid as follows:

            (a) remains the same.

            (b) The amount of the benefit or adjusted award remaining after the application of (1)(a) will be paid by check directly to the fuel vendor and will be applied by the fuel vendor against any unpaid, including any future, eligible energy costs of the household in accordance with the department-provided vendor application and contract. Any credit balance in excess of $50 attributable to the benefit or adjusted award after the end of the heating season must be returned to the department. For the 2021-2022 and 2022-2023 heating seasons only, any LIHEAP attributable credit balance in excess of $500 must be returned to the department no later than August 31, 2023.

            (c) Application for benefits for the current heating season will not be processed until the credit balances for each of the household's fuel vendors attributable to previous years' program awards total $50 or less. This does not apply if the department has extended the heating season and has allowed LIHEAP attributable credit balances to remain on the recipients' accounts until spent.

            (d) remains the same.

            (2) Eligible households that pay energy costs for heating their homes that are not billed directly by the fuel vendor because the fuel account is not in the name of a household member of the household will be reimbursed for eligible energy costs paid by the household, provided that the amount paid to the household for the heating season does not exceed the benefit amount computed using the benefit matrices and multipliers in the LIEAP LIHEAP Benefit Award Matrix and Table of Multipliers for the 2021-2022 heating season. Reimbursement will be made by check payable to the household. The household must provide receipts to document paid eligible energy costs claimed. The household must provide receipts to support the paid eligible energy costs to the local contractor by June 20 or the end of the heating season, whichever is later.

(3) For eligible households that have their energy costs included in their rental payments:

(a) The household will be paid a benefit computed on a monthly basis. For each month of the current heating season for which the household provides a paid rent receipt, the household will be reimbursed a pro rata prorated portion, determined by dividing one by the number of months in the heating season, of the benefit amount provided in ARM 37.70.601;. provided, however However, that the benefit paid to the household for any month must not exceed 50 percent of the rent paid for that month as evidenced by the rent receipt. Failure to provide rent receipts to the local contractor by June 20 or the end of the heating season, whichever is later, will result in the forfeiture of any benefits to which the household would otherwise be entitled.

            (b) remains the same.

            (4) Benefits for eligible households using wood to heat their dwelling will be paid as follows:

            (a) remains the same.

            (b) at the option of the local contractor, by payment directly to the household for future purchases of wood;. provided, however, that households Households which receive a direct payment will not be entitled to any additional benefits for the current heating season which the household might otherwise be entitled to receive due to a move moving to a different dwelling or other change in circumstances, except in an emergency as defined in ARM 37.70.901; or

            (c) when the household provides receipts to verify that the household has purchased wood between July 1 and the end of the heating season of the current state fiscal year, by a payment directly to the household reimbursing the household for wood already purchased. Households which are reimbursed by a direct payment based on paid receipts do not lose their right to additional benefits for the current heating season as provided in (4)(b). Failure to provide receipts verifying wood purchases to the local contractor by June 20 or the end of the heating season, whichever is later, will result in the forfeiture of any benefits to which the household would otherwise be entitled.

 

AUTH: 53-2-201, MCA

IMP: 53-2-201, MCA

 

 

37.70.608 ADJUSTMENT OF PAYMENTS TO AVAILABLE FUNDS

(1) When funds are not available to serve all eligible households, the department may, at its option, take any or all of the following steps as needed:

(a) remains the same.

(b) limit eligibility to only financially needy households with a member 60 years of age or older, or with a member who is disabled and receiving supplemental security income or social security income based on permanent and total disability; or

(c) remains the same.

(2) If additional funds become available to serve eligible households, the department may, at its option, take any or all of the following steps as needed:

(a) remains the same.

(b) extend the duration of the current heating season beyond April 30; or

(c) increase the maximum income standards for eligibility, if permitted by federal law.;

(d)  allow LIHEAP attributable credit balances to remain on the recipients' accounts through the end of the 2022-2023 heating season. Any credit LIHEAP attributable credit balance in excess of $500 needs to be returned to the department by August 31, 2023; or

(e)  extend the deadline to submit paid receipts to correspond with the end of the heating season.

 

AUTH: 53-2-201, MCA

IMP: 53-2-201, MCA

 

            4. STATEMENT OF REASONABLE NECESSITY

 

The Department of Public Health and Human Services (department) proposes amending ARM 37.70.601, 37.70.607, and 37.70.608 pertaining to Low Income Home Energy Assistance Program (LIHEAP). LIHEAP is a federally funded program to help low income households pay their home heating costs. The department proposes the following changes to its administrative rules governing LIHEAP.

 

ARM 37.70.601 and 37.70.607

The department proposes changing all references to Low Income Energy Assistance Program (LIEAP) to Low Income Home Energy Assistance Program (LIHEAP). This change is necessary to reflect the change in program name.

 

ARM 37.70.601

The program proposes changing the LIHEAP benefit calculation to be based on the number of bedrooms and not household members. The reasoning for this is that it costs more to heat a 5-bedroom home than a 2-bedroom home. Since this is a "heating" program, the benefit needs to correlate with the size of the home, not the number of people in the home. This change is necessary to ensure the LIHEAP benefit is calculated based on the size of the home not the number of household members.

 

An updated URL for the department's website is provided.

 

The Intergovernmental Human Services Bureau name and physical address are added to the contact information.  These changes notify the public of where they can obtain the information produced and relied upon by the department.

 

ARM 37.70.601, 37.70.607(1) and 37.70.607(2)

ARM 37.70.607(1)(c)

The department intends to clarify the rule to allow LIHEAP attributable credit balances to remain on the recipient's accounts until spent when the department extends the heating season. This change allows the department to continue to meet the heating needs of low-income Montanans in years when additional funds are available.

 

ARM 37.70.607(1)(b) and ARM 37.70.608(2)(d)

To address the influx of American Rescue Plan Act (ARPA) funds and the use of these funds, the department proposes increasing the amount of LIHEAP attributable credit balances that can remain on a recipients' fuel accounts from $50 to $500. This change only applies to the 2021-2022 and 2022-2023 heating seasons. Any credit balance more than $500 attributable to the benefit or adjusted award after the end of the heating season must be returned to the department. This change will allow LIHEAP recipients more time to utilize the LIHEAP benefits paid during the 2021-2022 and 2022-2023 heating seasons.  It will also reduce the amount of administrative strain on fuel vendors.

 

ARM 37.70.607(2), (3)(a), (4)(c) and 37.70.608(2)(e)

The department proposes changing the deadline from June 20 to the end of the heating season to submit paid receipts for reimbursement. This change will provide a clear deadline for submission of receipts for reimbursement and ensure recipients who are reimbursed based on paid receipts are treated the same as other LIHEAP recipients.

 

Fiscal Impact

 

LIHEAP is 100 percent federally funded. Congress has not yet appropriated funds for the LIHEAP 2022-2023 heating season. However, based upon the information available at this time, the department estimates Montana will receive funding comparable to last heating season. Benefit levels for households using all types of heating fuel and for all dwelling types are expected to be comparable to the 2021-2022 heating season. It is estimated that 18,000 households will qualify for LIHEAP benefits this year, which is comparable to last year. As in past years, if LIHEAP funds for the 2022-2023 heating season are appropriated at a higher level, the additional funding will allow subsequent payments to be issued to each LIHEAP recipient. The department does not anticipate any significant fiscal impact.

 

5. The department intends for the proposed amendments to be effective retroactively to October 1, 2021.

 

            6. Concerned persons may submit their data, views, or arguments either orally or in writing at the hearing. Written data, views, or arguments may also be submitted to: Kassie Thompson, Department of Public Health and Human Services, Office of Legal Affairs, P.O. Box 4210, Helena, Montana, 59604-4210; fax (406) 444-9744; or e-mail dphhslegal@mt.gov, and must be received no later than 5:00 p.m., September 2, 2022.

 

7. The Office of Legal Affairs, Department of Public Health and Human Services, has been designated to preside over and conduct this hearing.

 

8. The department maintains a list of interested persons who wish to receive notices of rulemaking actions proposed by this agency.  Persons who wish to have their name added to the list shall make a written request that includes the name, e-mail, and mailing address of the person to receive notices and specifies for which program the person wishes to receive notices. Notices will be sent by e-mail unless a mailing preference is noted in the request. Such written request may be mailed or delivered to the contact person in 6 above or may be made by completing a request form at any rules hearing held by the department.

 

9. The bill sponsor contact requirements of 2-4-302, MCA, do not apply.

 

10. With regard to the requirements of 2-4-111, MCA, the department has determined that the amendment of the above-referenced rules will not significantly and directly impact small businesses.

 

 

 

/s/ HEIDI SANDERS                                   /s/ CHARLES T. BRERETON                   

Heidi Sanders                                             Charles T. Brereton, Director

Rule Reviewer                                             Department of Public Health and Human Services

 

 

Certified to the Secretary of State July 26, 2022.