FundingAppropriationsInformation on LIHEAP appropriations are available nationally for Fiscal Years 1982-2008. In the event that funds are not appropriated by the beginning of a fiscal year, Congress passes one or more continuing resolutions CRs), which provide a percentage of funds for the LIHEAP program based on the previous fiscal year appropriation level. The President's Budget Request for LHEAP is made public several days after the President delivers the State of the Union Address at the end of each January. The President's LIHEAP Budget Request for FY 2009 is for $1.7 billion in block grant funds and $300 million in emergency contingency funds. Further information about the President's Budget Request for FY 2009 is available in a downloadable file (DOC - 454 KB). Block Grant AllotmentsMost of the LIHEAP federal appropriations are allotted or disbursed as block grants, as described below. State allotments: The allotment of LIHEAP block grants for the 50 States and the District of Columbia are based on allocation formulas. Depending on the annual amount of the Congressional appropriation for LIHEAP, the allocations are based on either the LIHEAP allocation formula that Congress established in Fiscal Year (FY) 1982, or the allocation formula that Congress established in FY 1985. Tribal allotments: The LIHEAP statute and the HHS block grant regulations provide for Federally-recognized Indian tribes, state-recognized Indian tribes, and tribal organizations applying on behalf of eligible tribes to receive LIHEAP funds directly from HHS, rather than receiving LIHEAP assistance from the states. In such cases, section 2604(d)(2) of the LIHEAP statute directs that each tribe's regular LIHEAP grant allotment bear the same ratio to the allotment of the state in which the tribe is located as the number of eligible tribal households bears to the number of eligible households in the state, or a larger allotment amount as agreed on by the tribe and state. Insular area allotments: Section 2604(b)(1) of the LIHEAP statute mandates that, "after evaluating the extent to which each jurisdiction...requires assistance under this paragraph for the fiscal year involved," HHS "shall apportion not less than one-tenth of 1 percent, and not more than one-half of 1 percent, of the amounts appropriated for each fiscal year to carry out this title on the basis of need among" the Commonwealth of Puerto Rico, Guam, American Samoa, the Virgin Islands, and the Northern Mariana Islands. Under the HHS block grant regulations, these eligible insular areas are entitled to receive the same percent of the total LIHEAP appropriation (approximately 0.14 percent) as they had received in FY 1981. Block Grant FundsA Federal block grant is an amount of federal funds awarded to a state or local governing agency based on a formula. The funds are to be spent in broadly defined areas. Relatively few restrictions are mandated from the Federal government. Block grants are based on the premise that a state or local governing agency should be free to target federal funds and design administrative mechanisms to provide services to meet the needs of their citizens. Under the block grant, grantees, rather than the federal government, are the primary interpreters of the law. Block grant funds are the primary source of LIHEAP funds. The Department of Health and Human Services awards LIHEAP block grants to the following types of grantees.
In applying for a LIHEAP block, the above entities must meet the application requirements that are set out in Section 2605 of the LIHEAP statute. LIHEAP block grant applications must be submitted to the Department each federal fiscal year. Indian Tribes and Tribal organizations must submit their applications by September 1, unless the State(s) in which the tribe or tribal organization is located agrees to a later submission date. Applications from States and insular areas must also be submitted by September 1 unless the Department agrees to a later date. List of current LIHEAP grantees. LIHEAP grantees use the funds to provide several types of assistance. In addition, grantees can use the funds for other uses, as specified by the LIHEAP statute. Finally, the LIHEAP statute places certain limits on the use of LIHEAP funds. The most recent information on LIHEAP block grant funds is for FY 2008. Emergency Contingency FundsThe Human Services Amendments of 1994 (Public Law 103-252) amended section 2602(e) of the LIHEAP statute to provide for a permanent authorization of an emergency contingency fund. Under this provision, up to $600 million may be appropriated each fiscal year, in addition to other funds that may be appropriated, "to meet the additional home energy assistance needs of one or more States arising from a natural disaster or other emergency." Funds appropriated under this section are considered to be emergency requirements under the terms of section 251(b)(2)(D) of the Balanced Budget and Emergency Deficit Control Act of 1985, and are to be made available only after the President submits a formal budget request to the Congress for all or a part of the funds appropriated under this section, providing the request designates the amount requested as such an emergency requirement. The President can request all, part, or none of the LIHEAP emergency contingency funds; can distribute any amount so requested to all LIHEAP grantees or to just a portion of them; and can use the regular LIHEAP block grant formula or a different formula. The most recent information on LIHEAP block grants is for FY 2008. Leveraging Incentive FundsLIHEAP leveraging incentive funds reward grantees that add private or non-federal public resources to provide home energy benefits to low income households beyond what could be provided with federal resources. The LIHEAP statute authorizes $50 million through FY 2007. Information is available on LIHEAP leveraging incentive funds awarded in FY 2007. Leveraging funds were not awarded in FY 2008. Residential Energy Assistance Challenge Program (REACH) FundsThe Human Services Amendments of 1994 (Public Law 103-252) added section 2607B(b) to the LIHEAP statute to establish the Residential Energy Assistance Challenge Program (REACH). HHS may set aside for REACH up to 25 percent of LIHEAP leveraging incentive funds. REACH funds are awarded on a competitive basis to LIHEAP grantees that submit qualifying plans for HHS approval. Innovative plans are implemented through local community-based agencies to help LIHEAP eligible households reduce their energy vulnerability. more Information is available on REACH funds awarded in FY 2007. REACH funds were not awarded in FY 2008. Training and Technical Assistance (T & TA) FundsSection 2609A of the LIHEAP statute authorizes the Secretary of HHS to reserve not more than $300,000 each fiscal year to: (a)(1) to- (A) make grants to State and public agencies and private nonprofit organizations; or (B) enter into contracts or jointly financed cooperative arrangements or interagency agreements with States and public agencies (including Federal agencies) and private nonprofit organizations; to provide for training and technical assistance related to the purposes of this subtitle, including collection and dissemination of information about programs and projects assisted under this subtitle, and ongoing matters of regional or national significance that the Secretary finds would assist in the more effective provision of services under this title; or (2) to conduct onsite compliance reviews of programs supported under this title. (b) No provision of this section shall be construed to prevent the Secretary from making a grant pursuant to subsection (a) to one or more private nonprofit organizations that apply jointly with a business concern to receive such grant. (42 USC 8628a). The largest portion of the funds support the technical assistance efforts that the LIHEAP Clearinghouse provides to grantees and interested parties. For FY 2007, a total of $294,250 in available LIHEAP T & TA funds were used for the following projects:
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