PA95 Low Income Energy Assistance Fund

The Village of Paw Paw has joined the Low Income Energy Assistance Program with the State of Michigan. This is part of Public Act 95 (PA95).

What is PA 95:

Section 9t of Public Act 95 of 2013 (ACT95) created the low-income energy assistance fund (LIEAF) that is being mandated by the State of Michigan. Under PA 95, all electric providers within the State of Michigan are required to have funding available for low-income customers that are having difficulty paying for their electricity and heating. We are required to have funding available to pay for their electric bills, as well as having funding available for their heating costs such as natural gas, liquid propane, fuel oil, or electric heat. This program is overseen by the State of Michigan through the Michigan Energy Assistance Program (MEAP).

Who is eligible for assistance:

Eligibility is primarily based on income, which would be 60% of the State Median Income. The number of people living in the residence will also make a difference, one person living in a house will have a different financial threshold than a family of four living in a house.

How to get utility assistance:

Residential customers: If you have an urgent need for energy assistance, you can apply for State Emergency Relief (SER) in the following ways:

  • Online through MI BRIDGES at NewMiBridges.Michigan.Gov.
  • You can also pick up a paper application at your local MDHHS office, complete the application and return it to your local MDHHS office. Contact MHDDS at Michigan.Gov/MDHHS/Contact-MDHHS
  • If you need help finding a community partner, call 2-1-1 or go to Mi211.org
  • When requesting assistance, you will be asked several questions to verify that your household would qualify for this assistance.

How this program is funded:

This program is funded by electrical customers through their electric bills; this will be shown on your electric bill as “LIEAF Surcharge”. This fee is currently $1.25 monthly, and the program is mandated by the State of Michigan. It is important to note that under this program, utilities may shut off electric services for non-payment at any time of the year, so if you are low-income and having difficulty paying your energy bills, please reach out for help.

What are SER and LIHEAP?

The State Emergency Relief (SER) Program provides financial assistance to Michigan residents facing extreme hardship or emergencies that threaten health and safety. One part of this program, the Low Income Home Energy Assistance Program (LIHEAP), consists of federal funds for crisis assistance for energy-related services like heat and electricity. Low-income households that meet all SER eligibility requirements may receive assistance with heat and electric costs.

To avoid exhaustion of LIHEAP funding, MDHHS has implemented SER policy changes for energy-related services (natural gas, electricity, propane, wood, wood pellets, fuel oil and coal) as follows:

  • Service Caps – The maximum benefit for the fiscal year for natural gas, wood, wood pellets and electricity is $500, and for propane, fuel oil and coal is $800.
  • Single Payment – SER requests for an energy-related service are subject to one payment for heat-related (natural gas, propane, wood, wood pellets, fuel oil and coal) and one non-heat electric. To receive a single payment, an individual or household must have a past due account or shut-off notice on an energy bill or the propane tank is estimated to contain no more than 25% of its heating fuel capacity or has more thank 25% and the tank has been locked by the provider. All other SER eligibility requirements must be met.
  • Crisis Season – Payments will only be issued during the crisis season, which begins October 1st and continues until resources are exhausted.

Other State Resources

An applicant that has received a single payment for heat or non-heat electricity service during the crisis season means the household qualifies for additional energy services through the Michigan Energy Assistance Program (MEAP). The applicant is encouraged to call 2-1-1 for a referral to MEAP grantee to determine eligibility for other assistance. They may also log in to MI Bridges (Michigan.gov/MIBridges) to explore additional resources.

Additional Resources

If you are having trouble affording your utility bills, you may also be able to get assistance from local and regional agencies such as United Christian Services, Southwest Michigan Community Action Agency, or the Salvation Army.

Here are the websites:

United Christian Services
Southwest Michigan Community Action Agency 
Salvation Army

Energy Smart Program 

In today’s climate, energy costs continue to rise. The Village of Paw Paw is participating with the Michigan Public Power Agency (MPPA) and Franklin Energy to offer the energy smart program. The goal of this program is to reduce the amount of energy your home or business requires. When visiting the website, you will find Rebates for Income-qualified Residential Customers, Rebates for Business Customers, and Rebates for Residential Customers, we also offer appliance recycling. Please visit the website in the link to obtain more information on these energy saving programs. If you have questions after visiting the website you can call the Department of Public Services, and I will help answer your questions.

More information and applications for Energy Smart rebates can be found here.

Tim Brandys
Director of Public Services
Village of Paw Paw
269-657-3169