Clinton Hails Senate Approval of Relief for Homeowners Facing Soaring Home Heating Oil Prices

September 27, 2008

Urges Action on Her Legislation to Help Middle Class Families

WASHINGTON, DC – Senator Hillary Rodham Clinton today welcomed Senate approval of a measure to provide relief for homeowners struggling with the soaring cost of home heating oil. The Senate voted to fully fund the Low Income Home Energy Assistance Program (LIHEAP) at a level of $5.1 billion as part of the Continuing Resolution that will keep the government running until March. The Bush Administration has severely underfunded LIHEAP, which helps low income families pay their utility bills, and has proposed additional cuts, even as energy prices have skyrocketed. Senator Clinton has repeatedly called for greater support for LIHEAP and this week introduced legislation to offer home heating relief to middle class families as well.

“With winter coming, too many families are facing a chilling choice between paying their utility bill or buying essentials such as medicine or groceries. Prices are rising so fast, there just isn’t enough money in many family budgets to keep pace. That is why we need to offer real relief on home heating oil. Fully funding LIHEAP is a major step forward and will make a real difference to those most vulnerable to high energy costs – low income families and seniors across New York and the nation. We also need to do more to help middle class families feeling the squeeze from energy prices and so many other economic pressures. I have offered legislation to do that and I urge my colleagues to support it,” Senator Clinton said.

Senator Clinton has introduced the Home Energy Affordability Tax Relief (HEATR) Act to provide direct financial assistance in the form of a refundable tax credit for low-income and middle-class homeowners and renters. The bill is a companion to legislation introduced by Congressman John McHugh in the House of Representatives. (See: http://www.clinton.senate.gov/news/statements/details.cfm?id=303614)

The House has already passed the increased LIHEAP funding, so the measure will now go to the President to be signed into law. The measure would increase federal heating assistance to New York to about $550 million, an increase of $250 million over last year’s funding levels.

Home heating oil prices have risen sharply this year and are expected to go even higher this winter. The New York State Energy Research and Development Authority (NYSERDA) forecasts that New Yorkers will pay an average of $4.58 for heating oil this winter, $2.00 higher than the $2.58 per gallon average contract price for heating oil last winter. A typical New York family could see their fuel bill rise by $1,200 for the year. New data from NYSERDA shows that heating oil prices have already risen sharply across New York:

New York Heating Oil Price Increases, 2007-2008
	Price Per Gallon		Current Increase
NY Region	9/22/2008	Year Ago	$ Per Gallon	%
New York Statewide	$3.90	$2.79	$1.11	40%
Long Island Region	$3.98	$2.89	$1.09	38%
New York City	$4.04	$2.98	$1.06	35%
Lower Hudson Region	$3.92	$2.85	$1.07	38%
Upper Hudson Region	$3.84	$2.73	$1.11	41%
Capital District Region	$3.81	$2.67	$1.14	43%
North Country Region	$3.90	$2.70	$1.20	45%
Central Region	$3.78	$2.67	$1.11	42%
Western Region	$3.82	$2.67	$1.15	43%
Source: NYSERDA

Senator Clinton has long fought to fully fund the LIHEAP program and provide relief to low-income families facing rising energy prices. Last month she spoke on the Senate Floor and voiced her strong support for the program. In April,Senator Clinton joined a bipartisan coalition of her colleagues in urging the Senate Appropriations Committee to fully fund LIHEAP at $5.1 billion in 2009. Late last year, as part of her ongoing efforts to ensure working families receive the resources they need to combat rising heating and energy costs, Senator Clinton called on the President to immediately release all funding from the LIHEAP contingency fund, which is available at his discretion.

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