Hot Topics at OLR: 2011-2012 Energy Assistance Plan

OLR Report 2011-R-0355 gives a summary of the 2011-12 Connecticut Energy Assistance Program (CEAP) plan recently approved by the Energy and Technology, Human Services, and Appropriations committees.

CEAP is a federally funded program that helps low- and moderate- income households pay their heating bills. The Department of Social Services (DSS) administers the program through the state's 12 community action agencies. DSS projects that approximately 122,000 households will participate in the program this heating season.


The funding level for this year's program is not known at this time, but is likely to be substantially less than last year's funding. In part this is because, unlike last year, there are no carry-over funds. Congress appears likely to appropriate less for the program this year than last. In addition, DSS projects that the program's caseload will increase by 4% over least year. The approved plan projects spending $ 61.6 million on CEAP in the 2011-12 program year, compared to approximately $ 115 million last year.

The structure of the program is largely the same as in previous years. However, to address the expected reduction in funding, the 2011-12 plan substantially reduces benefits. Under this year's plan, the program is available to eligible households with incomes up to 60% of the state median income. As in prior years, the plan limits the amount of liquid assets a participating household can have.

As in prior years, the plan provides three major types of benefits, with greater benefits for “vulnerable” households, i.e., those with an elderly or disabled member or young children, than non-vulnerable households. Homeowners and renters who pay their heating costs directly are eligible for a basic benefit, whether they use a deliverable fuel such as heating oil or heat with natural gas or electricity. As in prior years, the program's crisis assistance and safety net benefits are available only for households who heat with deliverable fuels. A safety net benefit is available only for households who have exhausted their crisis benefit and are in a life-threatening situation. In addition, there is a small benefit for certain low-income renters whose heat is included in their rent.

Under the plan, all of the benefits are contingent on the availability of funding. If the state anticipates that funds are in danger of running out, it reserves the right to close the program or parts of it early. If funding exceeds the amount anticipated in the plan, it authorizes DSS to take various steps, including increasing the crisis assistance or safety net benefits, providing an additional benefit for utility-heated households, and providing heating assistance to DSS-funded homeless shelters.

The plan also describes the program's schedule and how participating heating oil dealers are paid, among other things.

Under CGS § 16-262c, households who heat with natural gas or electricity who (1) have arrearages in their accounts (2) are eligible and apply for CEAP are also eligible for payments to match payments the household may make to reduce its arrearage. The matching payments are financed by other ratepayers.

For more information, read the full report.