[Congressional Record (Bound Edition), Volume 147 (2001), Part 15]
[Senate]
[Page 21548]
[From the U.S. Government Publishing Office, www.gpo.gov]



         LIHEAP AMENDMENT TO THE LABOR-HHS APPROPRIATIONS BILL

  Ms. COLLINS. Madam President, I rise today to speak on my amendment 
that would express the sense of the Senate regarding the release of 
emergency funds for the Low Income Home Energy Assistance Program. I 
thank the administration for the significant release of LIHEAP funds 2 
weeks ago. As OMB Director Mitch Daniels and I discussed just before 
the funds were released, this money is critical to Maine and the 
Nation. I thank both Mr. Daniels and the President for releasing $750 
million in fiscal year 2002 LIHEAP funds to help low-income American 
families heat their homes this winter.
  While I am grateful for the release of these funds, I also call upon 
the administration to release the $300 million in fiscal year 2001 
emergency funds provided in the Supplemental Appropriations Act of 
2001. This amount was $150 million greater than the administration's 
request. The report language specifically directed that at least $150 
million of these funds were to be used to address unmet needs resulting 
from last winter's high energy prices. The other half of the money was 
directed to be used to meet the most critical needs arising from energy 
costs increases, significant increases in arrearages and 
disconnections, and increases in unemployment, among other things. 
Despite this direction, the money still has not been released.
  Let me explain why those extra funds are necessary. Last winter was a 
very difficult winter. The price of home heating oil was $1.56 last 
winter, compared to $1.03 the winter before and just 78 cents the 
winter before that. In short, heating oil prices jumped 100 percent in 
just 2 years. In many cases we saw even worse spikes in the price of 
natural gas.
  At the same time, the average LIHEAP benefit fell by over $100, from 
$488 in 1999 to $350 in 2000. Because so many people were in need of 
assistance, the CAP agencies simply didn't have enough money to provide 
the same benefit that they had in prior years. The result was that the 
average LIHEAP benefit bought less than half the oil in 2000 than it 
did in 1999.
  That made for a very difficult winter for many people. In fact, many 
people are still trying to recover last winter's high energy prices. 
This past summer, some families had their power cut off because they 
were unable to pay back their high wintertime heating bills. In Maine, 
26,000 people received disconnect notices in the month of July alone.
  While I am grateful for the administration's recent release of LIHEAP 
funds, that money will do little to help people recover from last 
winter. In the State of Maine, regular year fiscal year 2002 LIHEAP 
money cannot be used to address arrearages or disconnections that 
occurred prior to October 1, 2001. That is one of the reasons we put an 
extra $150 million in the Supplemental Appropriations Act, and included 
language in the conference report directing that the money be spent on 
arrearages, disconnections, and unmet energy needs resulting from the 
high price of energy last winter.
  Some States allow fiscal year 2002 funds to be spent on prior year 
expenses. While that may provide short-term assistance, spending this 
year's funds on last year's winter is likely to lead to a shortage of 
funds this winter as well. It is not a real solution.
  I am also concerned that States will be able to provide less 
weatherization assistance this year. Since an ounce of prevention is 
worth a pound of cure, Maine typically spends the maximum allowable 
amount of LIHEAP funds to weatherize homes. But when we are still 
struggling to recover from the prior winter, less money is available 
for weatherization.
  My amendment expresses the sense of the Senate that the President 
should immediately release the $300 million in emergency LIHEAP funding 
provided by the Supplemental Appropriations Act of 2001. I am very 
pleased that Senators Chafee, Kerry, Snowe, Wellstone, and Sarbanes 
have also joined me on this amendment. This money was intended to help 
people recover from the high energy prices of last winter. It will help 
many of those families most in need of assistance. In these difficult 
economic times, there is just no reason not to release money that has 
already been appropriated that will help people get through the winter. 
I would like to thank the managers of the bill, Senator Harkin and 
Senator Specter, for accepting this amendment.

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