[Congressional Record (Bound Edition), Volume 147 (2001), Part 2]
[Extensions of Remarks]
[Page 2073]
[From the U.S. Government Publishing Office, www.gpo.gov]



    INTRODUCTION OF THE MIDDLE INCOME HEATING ASSISTANCE ACT OF 2001

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                           HON. BOBBY L. RUSH

                              of illinois

                    in the house of representatives

                      Wednesday, February 14, 2001

  Mr. RUSH. Mr. Speaker, today I rise to introduce the Middle Income 
Home Heating Assistance Act of 2001 (MIHHAA).
  In the face of this winter's natural gas crisis, there has been a 
great deal of discussion nationwide, about raising the LIHEAP 150% 
poverty level eligibility cutoff. While LIHEAP funding and eligibility 
limits must be increased to protect the increasing number of people who 
desperately need assistance, the tremendous cost associated with such 
legislation, must be supported by other legislative initiatives 
designed to accomplish similar assistive goals.
  Consider the statistics in Illinois alone. In Illinois, when the 
eligibility cutoff was 125% of poverty level, LIHEAP covered 633 
thousand households. At the current eligibility cutoff of 150% of the 
poverty level, 740 thousand households will be covered. If raised to 
175%, as some have proposed, close to 1.4 million households will be 
covered. This would more than double the number of homes currently 
covered, and would according to State officials, result in an 
additional $130 million in administrative costs.
  Instead of altering LIHEAP, my bill would pick up where LIHEAP leaves 
off. The importance of relief for those earning just above the 150% 
poverty rate is especially clear in a year when many individuals have 
received increases in Social Security benefits, and have been pushed 
just beyond the cutoff.
  My bill does the following: where a taxpayer, in any given year, pays 
an average of 50% more per therm, over the average per therm cost for 
the previous three years, she is entitled to a refundable tax credit. 
The maximum credit, which is phased out from the 150 to 300% poverty 
level, is $500. Under this bill, a family of four, with an annual 
income of $25,575 would be entitled to a $500 credit. The phase-out, 
for a family of four would end at one with an income of $51,150.
  While we must find solutions to the United States' energy problems, 
we in Congress must also attend to the consequential costs which those 
problems levy against the average consumer. The Middle Income Home 
Heating Assistance Act of 2001 focuses on the middle income consumer, 
and ensures some relief in years where current law offers none.

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