COMMENT DUE DATE:
January 6, 2009
DATE:
December 16, 2008
Laura Brown FSSD (405) 521-4396
Dena Thayer PMU Manager (405) 521-4326
Pat McCracken PMU Specialist (405) 522-1017
RE:
APA WF 08-20
The proposed policy is Permanent . This proposal will go to the Commission meeting on
CHAPTER 20. LOW INCOME HOME ENERGY ASSISTANCE PROGRAM
Subchapter 1. Low Income Home Energy Assistance Program
OAC 340:20-1-5 [AMENDED]
OAC 340:20-1-10 through 340:20-1-11 [AMENDED]
OAC 340:20-1-14 [AMENDED]
(Reference APA WF 08-20)
SUMMARY: The proposed revisions to Subchapter 1of Chapter 20amend the rules to: (1) change the date claims are paid to the current payment schedule; (2) remove reference to the percentage of the federal poverty level on which the allowable income levels are based; (3) add clarifying language; and (4) update language to current terminology;.
340:20-1-5 and 340:20-1-11 are amended to update language to current terminology.
340:20-1-10 is amended to: (1) update language to current terminology; (2) add clarifying language; and (3) remove reference to the percentage of federal poverty on which the allowable income levels are based.
340:20-1-14 is revised to: (1) update the date payments are made currently; (2) add clarifying language; and (3) update language to current terminology.
PERMANENT RULEMAKING APPROVAL IS REQUESTED.
LEGAL AUTHORITY:Commission for Human Services, Article XXV, Sections 2, 3, and 4 of the Oklahoma Constitution; Sections 96.80 through 96.89 of Title 45 of the Code of Federal Regulations; and Public Law 97-35, as amended.
| OKLAHOMA DEPARTMENT OF HUMAN SERVICES Rule Impact Statement |
To:Dena Thayer, Programs Administrator
Policy Management Unit
From:Mary Stalnaker, Division Director
Family Support Services Division
Date:December 16, 2008
Re:CHAPTER 20. LOW INCOME HOME ENERGY ASSISTANCE PROGRAM (LIHEAP)
Subchapter 1. Low Income Home Energy Assistance Program
OAC 340:20-1-5 [AMENDED]
OAC 340:20-1-10 [AMENDED]
OAC 340:20-1-11 [AMENDED]
OAC 340:20-1-14 [AMENDED]
(Reference APA WF 08-20)
Contact:Laura Brown (405) 521-4396
A.Brief description of the purpose of the proposed rule:
Purpose.The proposed revisions to Subchapter 1of Chapter 20amend the rules to: (1) update language to current terminology; (2) add clarifying language; (3) change the date claims are paid to the current payment schedule; and (4) remove reference to the percentage of the federal poverty level on which the allowable income levels are based.
Strategic Plan impact.The proposed rules achieve the Oklahoma Department of Human Services (OKDHS) goals by continuously improving systems and processes to achieve efficiency.
Substantive changes.
340:20-1-5 and 340:20-1-11 are amended to update language to current terminology.
340:20-1-10 is amended to: (1) update language to current terminology; (2) add clarifying language; and (3) remove reference to the percentage of federal poverty on which the allowable income levels are based.
340:20-1-14 is revised to: (1) update the date payments are made currently; (2) add clarifying language; and (3) update language to current terminology.
Reasons.The proposed revisions provide staff with clear and concise rules to facilitate the accurate delivery of benefits and services to persons who are in need.The percentage of federal poverty the allowable income levels are based on is removed as it can vary depending on funding and is shown on an appendix.
Repercussions. The proposed rules will make policy easier to understand for both human services center (HSC) staff and the public.If the proposed revisions are not implemented, there will be no negative impact.
Legal authority. Commission for Human Services, Article XXV, Sections 2, 3, and 4 of the Oklahoma Constitution; Sections 96.80 through 96.89 of Title 45 of the Code of Federal Regulations; and Public Law 97-35, as amended.
Permanent approval.Permanent rulemaking approval is requested.
B.A description of the classes of persons who most likely will be affected by the proposed rule, including classes that will bear the costs of the proposed rule, and any information on cost impacts received by the Agency from any private or public entities: The classes of persons most likely to be affected by the proposed rules are LIHEAP households and OKDHS staff. The affected classes of persons will bear no costs associated with implementation of the rules.
C.A description of the classes of persons who will benefit from the proposed rule: The classes of persons who will benefit are LIHEAP households and OKDHS staff.
D.A description of the probable economic impact of the proposed rule upon the affected classes of persons or political subdivisions, including a listing of all fee changes and, whenever possible, a separate justification for each: The revised rules do not have an economic impact on the affected entities. There are no fee changes associated with the revised rules.
E.The probable costs and benefits to the Agency and to any other agency of the implementation and enforcement of the proposed rule, the source of revenue to be used for implementation and enforcement of the proposed rule and any anticipated effect on state revenues, including a projected net loss or gain in such revenues if it can be projected by the Agency: The probable cost to OKDHS includes the cost of printing and distributing the rules, which is estimated to be less than $20. The revised rules will result in enhanced delivery of services for LIHEAP households.
F.A determination whether implementation of the proposed rule will have an impact on any political subdivisions or require their cooperation in implementing or enforcing the rule: The proposed rules do not have an economic impact on any political subdivision, nor will the cooperation of any political subdivisions be required in implementation or enforcement of the rules.
G.A determination whether implementation of the proposed rule will have an adverse economic effect on small business as provided by the Oklahoma Small Business Regulatory Flexibility Act: There are no anticipated adverse effects on small business as provided by the Oklahoma Small Business Regulatory Flexibility Act.
H.An explanation of the measures the Agency has taken to minimize compliance costs and a determination whether there are less costly or non-regulatory methods or less intrusive methods for achieving the purpose of the proposed rule: There are no less costly or nonregulatory methods or less intrusive methods for achieving the purpose of the proposed rule.
I.A determination of the effect of the proposed rule on the public health, safety, and environment and, if the proposed rule is designed to reduce significant risks to the public health, safety, and environment, an explanation of the nature of the risk and to what extent the proposed rule will reduce the risk: Implementation of the proposed rules will have a positive impact on the health, safety, and well-being of LIHEAP households by facilitating the delivery of benefits and services to individuals who are in need.
J.A determination of any detrimental effect on the public health, safety, and environment if the proposed rule is not implemented: If the proposed rules are not implemented, there will be no detrimental effect on the public health, safety, and environment.
K.The date the rule impact statement was prepared and, if modified, the date modified: Prepared November 4, 2008. Modified December 16, 2008 for permanent rulemaking.
CHAPTER 20. LOW INCOME HOME ENERGY ASSISTANCE PROGRAM (LIHEAP)
340:20-1-5. Coordination with Family Support programs
Revised 12-1-94 6-1-09
The Low Income Home Energy Assistance Program (LIHEAP) will be is coordinated with income support programs such as Emergency Diversion Assistance, Temporary Assistance to Needy Families (TANF), with Children (if the program is available) and Emergency Food Stamps TANF flex funds.If the household's need is for primary home energy, it is to be met through LIHEAP.The Emergency Diversion Assistance to Families or Emergency Food Stamps and TANF flex funds are to be used for emergency needs which would that are not be covered under LIHEAP.Payments made through LIHEAP are to be disregarded in all DHS Oklahoma Department of Human Services (OKDHS) programs.
340:20-1-10. Program factors
Revised 10-1-03 6-1-09
(a) Home energy.Home energy refers to a household's source of energy used for heating or cooling in a residential dwelling.
(b) Primary energy source.
(1) The primary energy source during winter months is the fuel used by the household for heating.
(2) If a cooling program is implemented during the summer months, the fuel type used for cooling is the primary energy source.
(3) In the event funds are available to assist with cooling through the Energy Crisis Assistance Program (ECAP), the primary energy source becomes the fuel used by the household for cooling.
(4) If an interim period is implemented between heating and cooling programs or as part of ECAP, the client may choose the primary energy source.
(c) Household.The term "household" refers to any individual person or group of individuals persons who are living together as one economic unit and for whom residential energy is customarily purchased in common, or who make undesignated payments for energy in the form of rent.There is one authorization for heating or cooling assistance per household.
(d) Subsidized household. A subsidized household is a household that receives assistance through a utility allowance(s) allowance to cover all or part of their energy cost, and/or which receives assistance in paying their rent or house payment on a regular basis.The assistance can be from a government agency, such as a local housing authority, or a private individual person, usually a relative, who helps an individual a person or family pay their utility bills, or the rent or house payment, or allows them to live rent free.Eligible subsidized households with out-of-pocket utility expenses receive the same heating assistance benefit as unsubsidized households.
(e) Vulnerability.A household is vulnerable if it is responsible, either totally or partially, for the cost of home energy.A vulnerable household includes a household whose source of home energy has been temporarily discontinued.
(1) Apartment rental rates.If apartment rental rates in college or university-owned apartment complexes are deliberately set lower than other apartments in the community in order to help the student, the household is considered a subsidized household.¢ 1
(2) Non-vulnerability.Non-vulnerable households are those which that do not bear any of the expense of home energy.
(A) Examples of non-vulnerable living arrangements include:
(i) congregate or domiciliary facilities, such as nursing facilities and college or university dormitory, fraternity, or sorority housing;
(ii) households whose primary energy source is totally paid by someone other than a household member; and
(iii) subsidized households whose heating costs are included in their rent.
(B) Some subsidized households may be assessed an energy surcharge during the operation of the Low Income Home Energy Assistance Program (LIHEAP).These households might be eligible for heating assistance if they can document assessment of the surcharge.
(f) Eligible households.An eligible household may include an illegal alien.All households must:
(1) be vulnerable by being totally or partially responsible for the cost of home energy; ¢ 2
(2) not exceed the income and resource standards as shown on Oklahoma Department of Human Services (OKDHS) Appendix C-7, Low Income Home Energy Assistance Program Income and Resource Level by Household Size.The income amounts are established at 110% of the applicable Federal Poverty Guidelines; and
(3) must include at least one citizen or legal alien as defined in OAC 340:20-1-8; and
(4) may include an illegal alien.
(g) Benefit amount. The household benefit amount is based upon the household's size, income, and type of fuel.The benefit amount is not changed during the program year due to changes in household composition, income, or fuel type.However, it It is adjusted after the end of the heating application period if the total number of households finally approved for heating assistance in relation to the total federal funding available for heating assistance payments requires an adjustment.¢ 23
(1) There is no difference in the benefit levels between subsidized and unsubsidized households.
(2) Subsidized households whose heating costs are included in their rent are not vulnerable unless assessed a surcharge.Refer to OAC 340:20-1-10(e)(2).
INSTRUCTIONS TO STAFF 340:20-1-10
Revised 10-1-03 6-1-09
1.The worker may need to contact the campus housing office(s) to determine whether rental rates have been set lower for college or university-owned apartments.
2.Subsidized households whose heating costs are included in their rent are not vulnerable unless assessed a surcharge.Refer to OAC 340:20-1-10(e)(2).
23.(a) If erroneously teleprocessed income, fuel type, or household size created an the worker discovers that an incorrect benefit level that causes an overpayment or underpayment was approved prior to the benefit being issued, the worker must contact the Supplemental Nutrition Assistance Program (SNAP)/Low Income Home Energy Assistance Program (LIHEAP) Unit Section in Family Support Services Division (FSSD) to provide the corrected information.The worker may contact the FSSD SNAP/LIHEAP Section by:
(1)e-mail at LIHEAP2@okdhs.org,;
(2) telephone,; or
(3) memo explaining and providing the corrected information.
(b) After a payment has been made, if an error is discovered which created the worker discovers that the household received a higher benefit level than should have been paid it was eligible to receive, the worker must write a memo explaining the reason for the overpayment, and submit it to the Food Stamps SNAP/LIHEAP Unit Section.
340:20-1-11. Income and liquid resources
Revised 6-1-08 6-1-09
(a) Income.All gross earned and unearned income received by the household is considered in determining financial eligibility except for those income sources shown at (b) of this Section.Eligible households must meet the income standard less the earned income deduction as shown on Oklahoma Department of Human Services (OKDHS) Appendix C-7, Low Income Home Energy Assistance Program Income and Resource Level by Household Size.
(1) Income which that is received on an annual basis is prorated over 12 months to arrive at the average monthly income.
(2) If the income is not received on a regular monthly basis, refer to OAC 340:10‑3‑31.
(3) Total income is rounded to the nearest dollar.
(4) When an individual's a person's income is reduced due to recoupment of an overpayment or garnishment, the gross amount before the recoupment or garnishment is considered.
(5) When an illegal alien is part of an eligible household, the countable portion of his or her income is computed as outlined in (A) through (E) of this subsection.
(A) For each employed household member, subtract the earned income deduction as shown on OKDHS Appendix C-7.
(B) Add the unearned income of the illegal alien.
(C) Subtract the need standard on OKDHS Appendix C-1, Schedule of Maximum Income, Resource, and Payment Standards Schedule IX, for the appropriate number of persons.Persons counted for the need standard are the illegal alien and his or her illegal alien dependents who:
(i) are claimable for federal personal income taxes;
(ii) live in the same household; and
(iii) are not included in determining the Low Income Home Energy Assistance Program (LIHEAP) benefit level because they are illegal aliens.
(D) Subtract the actual amounts paid by the illegal alien to dependents not living in the household as well as actual child support and alimony payments to non-household members.
(E) The remaining amount is the amount considered available to the household members eligible for LIHEAP.
(b) Income disregards.In determining income, disregard:
(1) the food benefit amount under the Food Stamp Act of 1977 Food and Nutrition Act of 2008;
(2) any payment received under Title II of the Uniform Relocation Assistance and Real Property Acquisition Policies Act of 1970;
(3) educational grants, including work study, or scholarships, that are contingent upon the student regularly attending school.The student's classification, whether graduate or undergraduate, is not a factor;
(4) loans, regardless of use, if a bona fide debt or obligation to pay can be established.
(A) Criteria to establish a loan as bona fide includes an acknowledgment of obligation to repay or evidence that the loan is from an individual a person or financial institution in the loan business.
(B) If the loan is from a person(s) not in the loan business, the borrower's acknowledgment of obligation to repay, with or without interest, is required to indicate that the loan is bona fide;
(5) Indian payments including judgment funds or funds held in trust and distributed per capita by the Secretary of the Interior Bureau of Indian Affairs (BIA) or distributed by the tribe subject to approval by the Secretary of the Interior.Also, disregard any interest or investment income accrued on such funds while held in trust or any purchases made with judgment funds, trust funds, interest, or investment income accrued on such funds.Any per capita payments, for example, headrights of Osage tribe, income from mineral leases, or other tribal business ventures, are disregarded as long as they meet the distribution requirements as stated in this paragraph.Any interest or income derived from the principal or produced by purchases made with the funds after distribution is considered as any other income;
(6) special allowance for school expenses made available upon petition in writing from trust funds of the student;
(7) benefits from State and Community Programs on Aging [Title III].Income from the Older American Community Service Employment Act [Title V], including American Association of Retired Persons (AARP) and Green Thumb organizations as well as employment positions allocated at the discretion of the Governor of Oklahoma, is counted as earned income;
(8) unearned income received by a child receiving Temporary Assistance for Needy Families (TANF), such as a needs based payment, cash assistance, compensation in lieu of wages, or allowance, from a program funded by the Workforce Investment Act (WIA) including Job Corps income, and WIA earned income received as wages, not to exceed six months in any calendar year;
(9) payments for supportive services or reimbursement for out-of-pocket expenses made to individual volunteers serving as foster grandparents, senior health aides, or senior companions, and to persons serving in the Service Corps of Retired Executives (SCORE) and Active Corps of Executives (ACE);
(10) payments to volunteers under the Domestic Volunteer Service Act of 1973, Volunteers in Service to America (VISTA), unless the gross amount of VISTA payments equals or exceeds the state or federal minimum wage, whichever is greater;
(11) the value of supplemental food assistance received under the Child Nutrition Act or the special food service program for children under the National School Lunch Act;
(12) any portion of payments, made under the Alaska Native Claims Settlement Act to an Alaska native, which are exempt from taxation under the Settlement Act;
(13) Experimental Housing Allowance Program (EHAP) payments made under Annual Contributions Contracts entered into prior to January 1, 1975, under Section 23 of the U.S. Housing Act of 1937, as amended;
(14) earnings of a minor dependent child who is a full-time student;
(15) rental or housing subsidies by governmental agencies, for example, United States Department of Housing and Urban Development (HUD), received in-kind or in cash for rent, mortgage payments, or utilities;
(16) reimbursements from an employer for out-of-pocket expenditures and allowances for travel or training to the extent the funds are used for expenses directly related to such travel or training.Uniform allowances are disregarded if the uniform is uniquely identified with company name or logo;
(17) advance payments of Earned Income Tax Credit (EITC) or refunds of EITC as a result of filing a federal income tax return;
(18) refunds of state EITC as a result of filing a state income tax return;
(19) payments made from the Agent Orange Settlement Fund or any other fund established pursuant to the settlement in the IN RE Agent Orange Product Liability Litigation, M.D.L. No. 381 (E.D.N.Y.) are not considered as income or as a resource in determining eligibility for or the amount of the benefit;
(20) payments received for Emergency Assistance to Needy Families with Children;
(21) Medicare buy-in premium;
(22) work related expenses that are applicable under the TANF Program;
(23) payments made by others on the household's behalf;
(24) in-kind benefits received by an employee from an employer in lieu of wages or in conjunction with wages;
(25) payments made under the Radiation Exposure Compensation Act (P.L. 101-426) enacted October 15, 1990;
(26) federal major disaster and emergency assistance provided under the Disaster Relief Act of 1974, and comparable disaster assistance provided by states, local governments, and disaster assistance organizations;
(27) interests of individual Native Americans in trust or restricted lands;
(28) income up to $2,000 per year received by individual Native Americans, which is derived from leases or other uses of individually-owned trust or restricted lands.Any remaining disbursements from the trust or the restricted lands are considered as income;
(29) payments made to individuals persons because of their status as victims of Nazi persecution; and
(30) monetary allowances as described in Section 1823(c) of Title 38 of the United States Code (USC) provided to certain individuals persons who are children of Vietnam War veterans.
(c) Resources.Liquid resources, such as cash on hand, checking or savings accounts, certificates of deposits, stocks or bonds, cannot exceed the allowable resource level as shown on OKDHS Appendix C-7.The applicant's statement is accepted as verification unless the information received is inconsistent or questionable.
340:20-1-14. Actions, method of payment, and notifications
Revised 6-1-03 6-1-09
Contingent upon the receipt of federal funding, one payment is made during the federal fiscal year to or on behalf of households included in paragraph (1) of this Section unless a situation arises which causes two payments to be made.Examples of situations that cause two Two or more payments to may be made include when there is a delay in federal funding or the release of contingency funds by the President.
(1) Approvals.Maximum household benefit levels are determined by fuel type, household size, and household income.Normally, one direct payment is made to designated energy suppliers on behalf of approved households.The payment is normally made in February on a weekly basis.The amount of the payment is the original household benefit level as adjusted, if necessary, based upon the total encumbrance for heating assistance in relation to federal funds available for payments.
(2) Direct payments.The same payment schedule in paragraph (1) of this Section applies for unsubsidized renters and roomers with utilities included in their rent, and for households whose energy source is wood, coal, heating oil, or kerosene, except payments are made directly to approved households.
(3) Closures.The county office worker authorizes closure of cases in which the household is no longer eligible.Closure is not authorized before the county worker has contacted the designated energy supplier and determined that the household has no outstanding debt with the supplier.If there is an outstanding debt, the case is not closed.The case automatically closes after the household's program benefit level has been paid.
(4) Computer-generated notices.Computer-generated notices are mailed from State Office to the applicant or recipient showing the action taken on an energy case.
(A) Notice #1, Form LIHEAP-37-A, Notice of Eligibility/Authorization, is mailed to the applicant.
(B) Notice #2, Form LIHEAP-37-C, Notice of Eligibility, is mailed to the recipient. This notice is mailed for each authorization for a roomer or renter when fuel is included as a part of the shelter payment, and for households whose fuel source is wood, coal, kerosene, or oil.
(C) Notice #3, Form LIHEAP-37-D, Notice of Payment, is mailed to the recipient as notification that payment has been made to the energy supplier on his or her behalf.
(D) Notice #4, Form LIHEAP-37-E, Notice of Denial, is mailed to the applicant when an application has been denied.
(E) Notice #5, Form LIHEAP-37-F, Notice of Closure, is mailed to the recipient when the county office worker closes an authorization.
(F) Notice #6, Form LIHEAP-37-K PSNEN37K, Special ABCDS Authorization Utility Account Verification and Pre-Approval Notice, is mailed to A, B, C, D, and S clients who were pre-authorized for Low Income Home Energy Assistance Program (LIHEAP) heating assistance benefits.The notice advises the recipient that his or her heating assistance eligibility has been predetermined.
(G) Notice #7, Form LIHEAP-37-M, Expedited Services/ECAP Energy Crisis Assistance Program Notice of Payment, is mailed to the recipient as notification that payment has been made to the supplier on his or her behalf.
(5) County Worker-generated notices.The county office worker mails or issues Form LIHEAP‑37‑J 08LH003E, Notice of Eligibility for Energy Crisis Assistance, to the energy provider or to the recipient for delivery to the energy provider unless the provider is specifically exempted by the Family Support Services Division.The notice is issued by the county worker whenever the household meets eligibility requirements for crisis assistance.
