Cuts in fuel assistance unveiled > 19,000 Maine families expected to be dropped from LIHEAP

AUGUSTA — Summer is still here, but almost 20,000 Maine families may have felt a slight chill run up their spines on Tuesday afternoon.

The Maine State Housing Authority held a special public hearing here concerning forthcoming changes in the state’s Low Income Home Energy Assistance Program that could leave 19,000 families that received benefits last year without any help for this upcoming winter season.

David Lakani, director of the MSHA, said it hasn’t been easy making changes in the plan.

“We’ve been torn by this,” Lakani said after the hearing. “These are very difficult decisions to make.”

Still, Lakani said, with the state expecting a 25 percent cut in federal funding for the program, changes had to be made.

Last year, 54,000 families received $13 million in fuel assistance from LIHEAP, which provides assistance to low-income households with their winter heating costs by making a one-time payment to the household’s fuel vendor.

The program has been taking numerous cuts over the years. In 1988, a total of $26 million helped 60,000 households. This winter about $10.3 million is expected to be available to fund the program.

The cuts are so drastic, Lakani said, it was decided to cut people out of the program rather than water down the funding method to give everybody less money.

Had the MSHA stayed with the same plan, households would have received $190 in assistance for the entire winter. Under the proposed plan, a total of 35,000 families will each receive $295 to help warm their homes.

Most of those who will be cut out of the program include families who live in heated apartments and people living in subsidized housing who already receive a fuel allowance.

These people make up almost 35 percent of those who benefited from the plan.

While the decisions have torn many of the decision-makers, some people believe the changes are the best way to deal with the cards they’ve been dealt.

“We’re not jumping up and down for joy, but it does make sense to make the most of our resources,” said Jeff Herman of the Maine Municipal Association, who spoke before the committee on behalf of the Maine Welfare Directors.

“We’re in support of the proposed changes because the cuts in funding mean we have to change,” Herman added.

Richard Davies of the Maine Community Action Association said the toughest part of the decisions have to do with cutting people out entirely.

“Do you try to serve as many people as possible, or do you try to pare it down so it doesn’t really help out anybody?” he asked. “The program ought to be focused on the lowest income people with the highest needs. This is a very important program, but it has to go through major changes.”

Lakani said he was surprised that there “was not any emotional testimony, because we’ve really been struggling with this.”

There were no opponents of the plan who spoke at the hearing, although Lakani said written comments were still welcomed until an established Aug. 28 deadline.

The committee plans to offer its recommendation at its September meeting.

LIHEAP money comes from the federal government and is doled out by the MSHA to various Community Action Program agencies, who process the applications and make payments.

The maximum income eligibility is 125 percent of poverty level.