Fiscal Year 2006 Leveraging Incentive Grants
THIS CONTAINS INFORMATION ISSUED BY THE U.S. ADMINISTRATION FOR CHILDREN AND FAMILIES
IN LIHEAP INFORMATION MEMORANDUM TRANSMITTAL NO. LIHEAP-IM-2006-06, DATED 3/21/06
TO: LOW INCOME HOME ENERGY ASSISTANCE PROGRAM (LIHEAP)
GRANTEES AND OTHER INTERESTED PARTIES
SUBJECT: Fiscal Year 2006 Leveraging Incentive Grants
RELATED
REFERENCES: Low Income Home Energy Assistance Act, Title XXVI of
the Omnibus Budget Reconciliation Act of 1981,
Public Law 97-35, as amended and Block Grant
Programs Final Rule at 45 CFR Part 96.87, published
May 1, 1995, in the Federal Register (60 FR 21322 et
seq).
PURPOSE: To advise LIHEAP grantees of the total amount of
claimed leveraging activities taking place in FY
2005 that were submitted by LIHEAP grantees in order
to qualify for FY 2006 leveraging incentive awards.
BACKGROUND: The Augustus F. Hawkins Human Services
Reauthorization Act of 1990 (Public Law 101-501)
established a leveraging incentive program to
reward grantees under the Low Income Home Energy
Assistance Program (LIHEAP) that have acquired
non-Federal home energy resources for low-income
households. Leveraging incentive funds are awarded
to those grantees that use their own or other
non-Federal resources to expand the effect of the
Federal LIHEAP dollars. On May 1, 1995, the
Department of Health and Human Services (HHS) issued
implementing regulations for this leveraging
incentive program as part of a final rule published
in the Federal Register (60 FR 21322 et seq).
Under the program, leveraging incentive awards in
one fiscal year (the award period) will be based on
countable leveraged resources that were provided to
low-income households during the previous fiscal year
(the base period). For example, FY 2006 incentive
awards will be allocated to grantees based on
countable leveraged resources that were provided to
low-income households in FY 2005. Grantees desiring
leveraging in incentive funds must submit an
application each year - the LIHEAP Leveraging Report -
which delineates the amount and types of leveraging
activities they carried out during the base period.
HHS then determines whether the reported activities
meet the requirements of the statute and regulations,
and, therefore, are countable under the program for
the purpose of determining allocations of the
incentive funds.
The HHS FY 2006 appropriations law (Public Law 108-447)
earmarked $27.5 million for this program for FY 2006.
CONTENT: We received applications for FY 2006 leveraging
incentive awards from 36 States, 28 tribes or tribal
organizations, and one territory (see attachment).
Sixty-four applications included claims for 683
separate leveraging resources/benefits totaling a
gross claimed value of $2,075,665,342. The final
net value of the claimed resources is $2,075,226,465
after deducting $438,877 for: (1) the grantees' own
funds used to identify, develop and demonstrate the
activities; (2) costs or charges to low income
households to participate in the activities; and (3)
LIHEAP funds used to identify, develop, and
demonstrate the activities (limited to the higher of
$35,000 or 0.08% of a grantee's regular allotment
for State grantees, or to up to 2.0% of the
allotment for Indian tribes/tribal organizations and
territories).
We will review each of the claimed resources to
determine whether it meets all the requirements of the
statute and implementing regulations. Using the final
values approved for each grantee, we will calculate
leveraging grant award allocations for FY 2006 based
upon the formula that was included in the implementing
regulations published in the Federal Register on May 1,
1995. (See 45 CFR 96.87.)
We hope to issue FY 2006 leveraging incentive grant
awards that reward FY 2005 leveraging activities by
June 2006. Awards will be issued no later than
September 30, 2006. The funds must be obligated by
grantees no later than September 30, 2007. Consistent
with the block grant philosophy, grantees must
determine what constitutes an "obligation" under their
own financial laws and procedures.
If you believe you submitted an application for FY 2006
leveraging incentive awards and your organization is
not listed in the Attachment or if you believe the
information is incorrect, please contact us immediately.
ATTACHMENT: Low Income Home Energy Assistance Program Leveraging
Reports Received on FY 2005 Activities in Order to
Qualify for FY 2006 Leveraging Incentive Grants -
Claimed Totals
INQUIRIES TO: Nick St. Angelo, Director
Division of Energy Assistance
Office of Community Services, ACF, HHS
370 L'Enfant Promenade, S.W.
Washington, D.C. 20447
Telephone: (202) 401-5306
Fax: (202) 401-5661
E-mail: nstangelo@acf.hhs.gov
_______________/s______________
Josephine B. Robinson
Director
Office of Community Services
