LOW INCOME HOUSEHOLD WATER ASSISTANCE PROGRAM (LIHWAP)

Purpose:
To assist households with low incomes in paying arrearages (past due bills) and rates charged to the household for drinking water and/or wastewater services. The priority is to ensure that households whose services have been disconnected due to non-payment, or are about to be disconnected, are able to have their services restored as quickly as possible.

Legislative Authority:
Sec. 533 of the Departments of Labor, Health and Human Services, and Education, and Related Agencies Appropriations Act, 2021 (Division H of the Consolidated Appropriations Act, 2021), which became law on December 27, 2021 (Public Law 116-260).
Section 2912 of the American Rescue Plan Act, which became law on March 11, 2021 (Public Law 117-2).

Appropriations:
In FY 2021, $1.138 billion ($500 million from American Rescue Plan Act of 2021 and $638 million from Consolidated Appropriations Act, 2021)
Eligible Applicants:
States, the District of Columbia, the Commonwealth of Puerto Rico, U.S. territories (America Samoa, Guam, Northern Mariana Islands, and Virgin Islands), and federally and state-recognized tribes and tribal organizations that received FY 2021 Low Income Home Energy Assistance Program (LIHEAP) grants.

Target Population:
LIHWAP benefits target households with low incomes and that have the highest home water burdens, meaning they pay the greatest proportion (amount) of their income towards their home drinking water and/or wastewater services. Each grant recipient sets eligibility criteria for households, including a household income cutoff that is no more than the greater of 150% of the Federal Poverty Line (FPL) or 60% of State Median Income (SMI).  Households will need to check with the state, territory, or tribe in which they live to confirm eligibility rules in their area.

Uses:
Grant recipients must use LIHWAP funding to:

• pay owners or operators of public water systems or treatment works to reduce arrearages of, and rates charged to, recipient households (approved for a benefit);
• cover the costs that grant recipients incur to administer the program; and,
• cover the costs of outreach and eligibility intake services.

Type of Grant:
Mandatory/Formula Grant, though not a Block Grant.

Program Requirements:
Prospective LIHWAP grant recipients were required to submit the following:

• Designation letters that identify the official who is empowered to administer the grant;
• Signed program Terms and Conditions;
• Signed Standard Form 424M (Standard Application Form for Federal Grant Funds); and
• LIHWAP Plan for administering the program.

LIHWAP Plans received public input at the grant recipient level regarding important program details, such as household eligibility criteria, benefit ranges, and related information.

Households interested in applying for program benefits must contact the agency in the state, territory, or tribe in which the household lives to obtain a program application. Federal program and grant recipient contact information can be found on the LIHWAP website under LIHWAP Contact Information.

Program Highlights:
LIHWAP is a new emergency program designed to assist households with paying for drinking water and/or wastewater services in response to needs precipitated by the COVID-19 pandemic. The program is modeled on LIHEAP but has its own unique characteristics.

Preliminary data indicates that during the first two quarters of Fiscal Year 2022 (October1, 2021- March 30, 2022):

• 41 states and over 56 tribes began accepting LIHWAP applications.
• Over 150,000 households received LIHWAP assistance.
• Over 91,000 households had services restored or disconnection prevented through LIHWAP benefits assistance.

Federal funding is available for use through September 30, 2023.

Program Contact:
Low Income Household Water Assistance Program
Division of Energy Assistance
Office of Community Services
Phone: (202) 401-9351
LIHWAP Staff Contacts
LIHWAP@acf.hhs.gov
www.acf.hhs.gov/ocs/programs/lihwap