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Low Income Home Energy Assistance Program assistance with heating and cooling costs

Announcement of FY 2007 grant awards under the Residential Energy Assistance Challenge Program (REACH)

THIS CONTAINS INFORMATION ISSUED BY THE U.S. ADMINISTRATION FOR
CHILDREN AND FAMILIES IN LIHEAP INFORMATION MEMORANDUM TRANSMITTAL
NO. LIHEAP-IM-2007-9, DATED 8/13/07                            
                           

TO:            LOW INCOME HOME ENERGY ASSISTANCE PROGRAM (LIHEAP) 
               GRANTEES AND OTHER INTERESTED PARTIES
SUBJECT: Announcement of FY 2007 grant awards under the Residential Energy Assistance Challenge Program (REACH) RELATED REFERENCES: The Revised Continuing Appropriations Resolution, 2007 (Public Law 110-5); the Low-Income Home Energy Assistance Act, Title XXVI of the Omnibus Budget Reconciliation Act of 1981 (Public Law 97- 35), as amended; LIHEAP-AT-2007-2, dated April 30, 2007, for the Residential Energy Assistance Challenge Program (REACH). PURPOSE: To advise grantees that grant awards totaling $1.135 million were made to two (2) States, four (4) Tribes, and one (1) Insular Area under the Residential Energy Assistance Challenge Program (REACH) for FY 2007. BACKGROUND: The Human Services Amendments of 1994 (Public Law 103-252) added a new Section 2607B to the LIHEAP statute, establishing a new Residential Energy Assistance Challenge Program (REACH), funded for the first time in FY 1996. REACH is designed to help low income households reduce their energy vulnerability, and the funds are available only to LIHEAP grantees (States, Tribes/Tribal organizations and Insular Areas). In FY 2007, $27,225,000 was set aside for leveraging incentive and REACH grant awards. Of this amount, $1.5 million was earmarked for REACH grants. On April 30, 2007, OCS issued Action Transmittal (AT) LIHEAP-AT-2007-02 to inform LIHEAP grantees that applications were being accepted for the REACH program, and that significant changes were being implemented in the program design and application requirements for REACH funds in FY 2007. Eligible LIHEAP grantees that wished to obtain REACH grants were required to submit applications to be received by HHS no later than June 1, 2007. The AT provided that up to $1.5 million would be set aside for a limited number of REACH awards. In addition, LIHEAP-AT-2007-02 outlined several changes to REACH, including the provision for one year REACH programs and the reduction in award levels from previous years. Under the new rules, States could receive up to $300,000, and Tribes/ Tribal Organizations and Insular Areas could receive up to $50,000. In addition, successful applicants that submitted Energy Efficiency Education Services (EEES) plans would be considered for additional monies, with States able to receive up to $35,000 and Tribes/Tribal Organizations and Insular Areas up to $10,000. In order to be considered for REACH, applicants had to submit complete applications that complied with the new instructions for FY 2007, were innovative, and focused on health and safety initiatives for vulnerable households. CONTENT: REACH applications were received in a timely manner from eight (8) States, fourteen (14) Tribes and two (2) Insular Areas. We awarded a total of $1.135 million in REACH funds to two (2) States, four (4) Tribes and one (1) Insular Area. Attached is a listing of the grantees funded in FY 2007 under the REACH program. Both State grantees qualified to receive an additional $35,000 under the EEES program. In addition, three (3) Tribal grantees and the Insular Area qualified to receive additional funds to operate EEES programs. Each FY 2007 REACH grantee will receive an official notification letter that will detail new reporting requirements on the use of these funds. Funds were issued to cover administrative costs for States that requested them for their FY 2006 and FY 2005 REACH programs. These states received up to 2.5% of their original grant amount for the second and third years of their three-year projects, in the total amounts of $100,000 for FY 2006 and $75,000 for FY 2005. (In FY 2008, we will fulfill the administrative cost commitment made to FY 2006 States under the previous rules, but note that the provision for REACH administrative costs will discontinue beginning with the FY 2009 program.) The remaining portion from the $1.5 million REACH set-aside was returned to the leveraging incentive program. Please refer to LIHEAP-IM-2007-8, dated August 10, 2007, for more information on FY 2007 leveraging awards. INQUIRIES TO: Ms. Charlotte Abney Energy Assistance Program Specialist Division of Energy Assistance Office of Community Services, ACF, HHS 370 L'Enfant Promenade, S.W. Washington, D.C. 20447 Telephone: (202) 401-5334 Fax: (202) 401-5661 ATTACHMENTS: (1) Listing of FY 2007 grantees and funding amounts under the REACH program (2) Summary descriptions of FY 2007 REACH programs ______________/s_____________ Nick St. Angelo Director Division of Energy Assistance Office of Community Services Attachment 1 FY 2007 RESIDENTIAL ENERGY ASSISTANCE CHALLENGE PROGRAM (REACH) LIST OF FY 2007 GRANTEES STATES ($670,000) GRANT EES TOTAL AMOUNT FUNDS AWARDED Michigan $ 300,000 $ 35,000 $ 335,000 Nebraska $ 300,000 $ 35,000 $ 335,000 TRIBES ($230,000) GRANT EES TOTAL AMOUNT FUNDS AWARDED Karuk Tribe (California) $ 50,000 ---- $ 50,000 Grand Traverse (Michigan) $ 50,000 $ 10,000 $ 60,000 Pueblo of Jemez (New Mexico) $ 50,000 $ 10,000 $ 60,000 Tulalip Tribe (Washington) $ 50,000 $ 10,000 $ 60,000 INSULAR AREAS ($60,000) GRANT EEES TOTAL AMOUNT FUNDS AWARDED Northern Mariana Islands $ 50,000 $ 10,000 $ 60,000 TOTAL, FY 2007 REACH GRANTS $ 960,000 Administrative Cost Grants $ 175,000 (2-1/2 percent of original grant amount, excluding any EEES portion) FY 2006 FY 2005 District of Columbia $ 25,000 Maine $ 25,000 Illinois $ 25,000 Massachusetts $ 25,000 Montana $ 25,000 Rhode Island $ 25,000 Ohio $ 25,000 FY 2006 Total $100,000 FY 2005 Total $ 75,000 TOTAL, ALL FY 2007 REACH FUNDS $ 1,135,000 Attachment 2 Summary of FY 2007 REACH Programs States Michigan (CBO - Three agencies to be selected) The state is proposing to use REACH dollars to establish the "Michigan Working for Intelligent Safe Energy (WISE)" initiative, which will award REACH and EEES funds to three qualifying agencies that will administer Michigan WISE locally. WISE will target elderly and young children households, as well as higher energy burden households, and provide comprehensive case management and support services necessary to address energy- related health and safety issues. The WISE grantees will work with the local utilities to identify target households. A major effort will be made to address the lack of heat or unsafe heating methods as it contributes to Sudden Infant Death Syndrome (SIDS). The state WISE programs will collaborate with Tomorrow's Child (previously known as the Michigan SIDS Alliance) on a public information campaign promoting safe sleep habits and training to participating WISE households with infants. Nebraska (CBO - Lincoln Action Program) Nebraska wants to implement a program that will provide families with education on the health risks associated with poor indoor air quality, and materials to make simple inexpensive, yet effective improvements in their homes that also increase energy efficiency. The Lincoln Action Program will work with the Lincoln Area Agency on Aging and the Early Head Start/Head Start Programs to identify and target assistance to elderly and small children households with residents that suffer from asthma, allergies, or other upper respiratory illnesses. Under EEES, the agency will provide a Kids REACH initiative for children in grades K through 5. The "Working Together as a Family to Make a Difference" curriculum will teach kids about energy conservation and promote healthy, safe options for energy efficiency through education and family practice. Tribes Karuk Tribe (California) The tribe plans to work with elementary school children to educate them on energy safety and conservation. This effort includes the development of a coloring book designed to teach young students about the importance of residential energy conservation. The Junction Elementary School will work with participating students and their families to develop an individual "residential energy conservation plan" that includes health and safety features, with guidance from LIHEAP and the Karuk Housing Authority. An additional effort is being made to reach out to tribal elders to educate them on the proper use of space heaters and electric blankets, the annual cleaning of swamp coolers, and ways to maintain health and comfort in the home while conserving energy. Grand Traverse Band (Michigan) The primary focus of the tribe's REACH program will be the prevention of carbon monoxide poisoning. As the price of home heating surges, tribal members seek low cost alternatives to heat their homes, which often pose safety risks such as fire and personal injury. The tribe will provide outreach to tribal elders on carbon monoxide hazards, as well as services to detect possible carbon monoxide risks. The benefits and services will include heating equipment, chimney inspections and cleanings, inspection of wood burning stoves, and identification of ventilation problems in the selected homes. Pueblo of Jemez (New Mexico) Most tribal members depend upon unsafe means to heat their homes, such as basic wood burning and fossil fuels like propane. The tribe's proposal will focus on educating its members about newer renewable energy-efficient alternatives for heating and/or cooling their homes, and new technologies that will target vulnerable households (elderly, disabled and young children). The tribe will outfit 2 homes with model systems-one with a pellet fuel appliance (stove) and evaporative air-conditioning (EAC) system; the other will have a geothermal heat pump system installed for year round climate control. The intent is to compare the savings and efficiencies of both systems, demonstrate reduction in energy crises and costs to the selected households from their previous heating/cooling methods, and put forth an active outreach campaign to publicize the expected, positive results from this testing. Tulalip Tribe (Washington) The tribe plans to install heat pumps for those low income households living on the reservation and compromised by health problems. Most tribal members use wood stoves as either their primary or secondary heating source. Not only are these stoves more than 20 years old in most cases, they also pose significant and pervasive health risks associated with wood smoke. The heat pumps are more safe and efficient, and the tribe will target the assistance to vulnerable groups. As part of this REACH effort, the tribe plans to provide all client homes with an energy efficiency assessment and health and safety information, and will provide heat pumps to those households facing the most serious health hazards. Insular Areas Northern Mariana Islands Northern Marianas will provide multiple initiatives under its REACH program. Primarily, it will offer one-on-one client counseling-this is particularly important because most elderly are not well enough or have the means or the transportation to physically come into the LIHEAP office. This proposal will enable LIHEAP staff to conduct home visits to health challenged clients, identify any home energy problems and educate them on the risks to their health due to unsafe energy use. In addition, Northern Marianas will conduct health and safety workshops in collaboration with the Department of Public Health, and work with its sole utility company to put on an Energy Fair with information and various energy discounts for low income households.