1 STAFF REPORT
DAT
E: July 25, 2023
T
O: Justin Hess, City Manager
F
ROM: Dawn Roth Lindell, General Manager, Burbank Water and Power VIA: Sean Aquino, Assistant General Manager , Customer Service Operations
BY: Arineh Sarkissian, Manager Customer Service Operations, Customer Service Operations
S
UBJECT: Adoption of a Resolution Authorizing the Agreement with the State of California to Receive Funds to Assist Low -Income Customers Through the Low-Income Home Energy Assistance Program
RE
COMMENDATION
Adopt A RESOLUTION OF THE COUNCIL OF THE CITY OF BURBANK AUTHORIZING
THE AGREEMENT BETWEEN THE CITY OF BURBANK AND THE STATE OF
CALIFORNIA FOR PARTICIPATION IN THE LOW -INCOME HOME ENERGY ASSISTANCE PROGRAM (LIHEAP) DIRECT PAYMENT PROCESS (Attachment 1).
BACKG
ROUND
The State of California sponsors the Low -Income Home Energy Assistance Program (LIHEAP). LIHEAP is a federally funded program, authorized under Title XXVI of the Omnibus Budget Reconciliation Act of 1981 (Public Law 97- 35), that is administered by the California Department of Community Services and Development, and is aimed at assisting low-income households that pay a high portion of their income to meet their energy needs. LIHEAP delivers critical short-term aid to our most vulnerable residents. It is an essential resource for the most underserved population, including the working poor, those making the difficult transition from welfare to work, disabled persons, elderly, and families with young children.
I
n 1999, Council adopted a resolution approving an agreement between the City of Burbank and the State of California for participation in the LIHEAP program and authorizing the General Manager of the utility to execute the agreement. Participation in this program ensures that the City of Burbank can also receive funds for our low -income residents. In 2015, Council approved for BWP to continue participating in the LIHEAP
WATER AND
POWER
Sean Aquino
Arineh Sarkissian
2 program and, in turn, assisting our underserved customers with their water and power utility bills.
DISCUSSION
Some City of Burbank residents receive State assistance for payment of their utility services. The State allows one assistance check pe r household per year. Customers apply for LIHEAP assistance through a State-authorized agency and must prove eligibility based on income. Once deemed eligible, the State sends BWP a direct payment , whereupon we act as a pass-through for the funds to be applied to the balance due.
Since January 2022, LIHEAP assisted 380 Burbank residents with $ 232,923 in funds.
Renewing this agreement allows BWP to continue accepting these funds to apply toward applicable customer utility accounts. There is no limit to the amount a customer may receive from this program. If the customer qualifies, the state will determine the total amount the customer is eligible to receive.
The Direct Payment Agreement is subject to a budget contingency clause that allows the State to cancel the agreement due to insufficient funds.
ENVIRONMENTAL REVIEW
This activity has no potential for resulting in either a direct physical change in the environment, or a reasonably foreseeable indirect physical change in the environment, and as such, is not a “project” subject to the requirements of the California Environmental Quality Act (CEQA) 14 Cal. Code Regs § 15378.
FISCAL IMPACT
There is no cost to the City of Burbank for this program.
CONCLUSION
To request Council approval in renewing a Direct Payment Agreement with the California Department of Community Services and Development from April 1, 2023, through March 31, 2026, and authorize the General Manager to execute subsequent agreements for LIHEAP on substantially similar terms and conditions, in order to receive direct payments from the State for our low-income customers.
ATTACHMENTS
Attachment 1 – Resolution
Attachment 2 – Standard Agreement