Low-Income Home Energy Assistance

The objective of the Low Income Home Energy Assistance Program (LIHEAP) is to make awards available to states, the District of Columbia, U.S. territories, and Native American tribes and tribal organizations for the purpose of assisting eligible households to meet immediate home energy needs. The target population is low-income households, especially those with the lowest incomes and the highest home energy costs or needs in relation to income and family size. There are four components of LIHEAP: (1) block grants, (2) energy Emergency Contingency funds, (3) Leveraging Incentive awards, and (4) the Residential Energy Assistance Challenge Program (REACH). Block grant funds are distributed by formula to recipients who design their own programs according to very broad federal guidelines. Emergency Contingency funds may be awarded to recipients in the event of a natural disaster or other emergency and typically must be utilized under the normal statutory and regulatory requirements that apply to block grants. Leveraging Incentive funds allows for HHS to set aside a portion of appropriated funding to reward recipients that have acquired non-federal resources to provide services to LIHEAP-eligible households beyond what could be provided by other federal funds. The REACH program makes competitive awards available to recipients to help eligible households reduce their energy vulnerability through community-based organizations. Contingency funds, Leveraging Incentive awards, and REACH funding are only administered when funding for those components is available and allocated to them. This program is administered by the Department of Health and Human Services (HHS) Administration for Children and Families (ACF) Office of Community Services.

All States, the District of Columbia, federally and State-recognized Indian Tribal governments and organizations, the Commonwealth of Puerto Rico, Guam, American Samoa, the U.S. Virgin Islands, and the Commonwealth of the Northern Mariana Islands may receive direct awards. Only LIHEAP recipients active in FY 2024 received IIJA LIHEAP awards. They did so without the need for a separate application.

Households with incomes up to the greater of 150 percent of the Federal Poverty Guidelines (FPG) or 60 percent of the estimated State Median Income (SMI) are eligible for benefits—depending on the parameters set by the Recipient State, Tribe or U.S. Territory. Recipients may establish lower income eligibility levels, but they may not set the limit below 110 percent of FPG. Training and Technical Assistance Grants/Contracts: States, the District of Columbia, Indian tribes or tribal organizations, and Territories managing LIHEAP programs are the intended beneficiaries of the technical assistance services. Citizens of Compacts of Free Association (COFA) countries (the Federated States of Micronesia, the Republic of the Marshall Islands, and the Republic of Palau) residing in the United States are included in the definition of qualified non-citizens and are eligible as of March 9, 2024, for LIHEAP.

Each State. Territory, or Tribe desiring to receive an allotment for any federal fiscal year shall submit an application (LIHEAP Model Plan) via the ACF Online Data Collection (OLDC) system no later than September 1st each year, unless otherwise directed by ACF. The prospective recipient's Model Plan must contain certification of the federal LIHEAP assurances by the chief executive officer of the State (Tribal Chief/Chairperson), or his/her designee. The Model Plan must include an explanation of how the entity sought public participation on the Model Plan and to what extent their Model Plan and policies changed as a result of the public comments received.

Block Grants are made following congressional appropriation and upon receipt of a complete LIHEAP Model Plan each fiscal year by the Administration for Children and Families (ACF), Office of Community Services via the OLDC system. Leveraging Incentive Funds can be awarded based on applications submitted by recipients when sought by ACF. Instructions will be issued if emergency contingency funds are released. The Residential Energy Assistance Challenge (REACH) is a competitive award program within LIHEAP dependent on congressional appropriation. ACF has not awarded REACH awards in last 10 years but if awards are made available in the future, instructions and award procedure would be made available to applicants.

For Block Grants, the Department reviews plans for completeness and compliance and will act on the plans submitted as quickly as possible. Leveraging Incentive and REACH applications will be reviewed and acted upon within deadlines. The range of review time varies for training and technical assistance applications depending upon the nature and complexity of a request for proposals and as established by the Department. Separate instructions will be issued if emergency contingency funds are released.