SENATE BILL REPORT

EHB 2667

BYRepresentatives Phillips, Nutley, Nelson, Holland, Wang, Hankins, Wineberry and Anderson

Changing provisions relating to low-income home energy assistance and creating a joint select committee on low-income home energy assistance.

House Committe on Energy & Utilities

Senate Committee on Energy & Utilities

Senate Hearing Date(s):February 20, 1990; February 22, 1990

Majority Report:  Do pass as amended.

      Signed by Senators Benitz, Chairman; Bluechel, Vice Chairman; Metcalf, Nelson, Owen, Patrick, Stratton, Sutherland, Williams.

Senate Staff:David Monthie (786-7198)

                  February 22, 1990

AS REPORTED BY COMMITTEE ON ENERGY & UTILITIES, FEBRUARY 22, 1990

BACKGROUND:

Winter heating expenses for low-income persons sometimes exceed mortgage or rent payments. One program that provides relief is a limitation on heating energy cut-offs between November 15 and March 15 for low-income persons.  This program allows for a customer to make reduced energy bill payments in the winter, provided that any difference between the reduced winter payments and the cost of service must be made up in the summer (along with paying current bills).

In 1987 the Legislature renewed and added provisions to legislation that limits the ability of utilities to terminate residential space heat during the winter months.  The 1987 legislation added requirements for customers including:  verification on income; agreeing to a payment plan; applying for public and private financial assistance; and applying for weatherization assistance.  Utilities were required to notify customers of the provisions of the legislation and were required to expand the option of budget billing for customers.  This entire program is referred to as the "moratorium" program.

The number of citizens using the moratorium program has steadily declined.  This is at least partly due to the expanded benefits of the budget billing option.  Federal funds for energy assistance and low income weatherization have steadily inclined, as have state funds through the energy matchmakers program.

The 1987 legislation is set to expire June 30, 1990.

SUMMARY:

The winter heat shutoff moratorium program is continued for one year with slight modifications to provisions on reconnections and utility reporting.

A joint select committee on low-income home heating service policies and programs is created to review programs in this and other states and elsewhere and make recommendations to the Legislature by November 1, 1990, on new or revised programs to provide home heating energy assistance for low-income persons.

Appropriation:    none

Revenue:    none

Fiscal Note:      none requested

SUMMARY OF PROPOSED SENATE AMENDMENT:

The review and report by a joint select committee are replaced by a review by December 15, 1990 by the Energy and Utilities Committees of the Senate and the House.  The scope of the review need not include weatherization and efficiency of oil-heated homes.

Senate Committee - Testified: Representative Phillips, prime sponsor (pro); Kathy Kreiter, Department of Community Development (pro); David Girard, Puget Sound Council of Senior Citizens (pro); William Crowell, AARP (pro); Arnold Livingston, Senior Lobby (pro); Ron Newby, Pacific Power (pro)