Arkansas Governor Beebe Encourages Effort To Increase Low Income Energy Assistance Funding

Jan 24, 2008 -- LITTLE ROCK – Arkansas Governor Beebe today joined with community leaders and energy officials in calling for additional funding for the federal Low Income Home Energy Assistance Program, also known as LIHEAP. Next week, advocates for low-income assistance will converge on Washington, DC, encouraging Congress to increase LIHEAP funding by $800 million to help elderly, disabled and low-income Americans offset increasing energy costs.

"Home-energy assistance is critically important to low-income working Arkansans in the winter, as well as in the summer," Beebe said. "LIHEAP funds helped 65,000 Arkansas households pay their utility bill last year, which is a good start, but covers less than one-third of eligible Arkansans."

Arkansans living at or below the federal poverty line typically spend about 15 percent of their income on energy costs compared to about three percent for all other households. Assistance groups, like the Arkansas Community Action Agencies Association (ACAAA), depend on federal energy assistance to help families avoid having to make tough choices about where their money goes.

"LIHEAP is a vital part of Community Action's overall effort to help people of low income," said Rose Adams, Executive Director of ACAAA. "It helps alleviate the grinding stress of making hard choices between adequately heating their homes, putting food on the table, putting gas in the car and taking care of medical needs."

Beebe has proclaimed January 30th as Arkansas LIHEAP Day 2008. As advocates from Arkansas join the effort in Washington, DC on that day, Congress is considering both the $800-million increase, as well as another proposal to add LIHEAP to an economic stimulus package.

"Rising energy prices affect everyone, but low-income consumers are particularly vulnerable," said Hugh McDonald, President and CEO of Entergy Arkansas. "We're thankful for the $2.6 billion Congress has already allocated to the program, but it’s simply not enough. Demand for help will only rise with the increase in energy prices and continued predictions of economic downturn."

In 2007, LIHEAP benefitted about 30 percent of eligible Arkansas families. The national average is approximately 16 percent. The overall percentage of low-income families who receive LIHEAP assistance has decreased since the program started in 1981.

For more information about LIHEAP, Arkansans can call the Department of Human Services at 501-682-8715.

Source: Arkansas Governor

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