Who was standing up for Brownwood's Poor, Elderly and Ill ?

Dear Editor,

Are you one of the sweltering Texans “ endangered by rising electricity rates, hot weather and the Legislature's decision to redirect funds that had been set aside to help poor customers pay their bill ? ”

Are you aware “ The state had raised $427 million through taxes on electric customers' payments to assist with bill payments for the needy. But last year the Legislature diverted those funds to help balance the state budget ? ”

Was your elected representative one of the twenty six standing with the poor, the elderly and the ill petitioning the PUC “ to restrict electric providers from cutting power to needy customers who fall behind on payments this summer ? ”

Do you expect your elected representatives in Austin to re-fund the $ 427 million back into it’s rightful place ? Do you honestly think they will when these same Politicians know that the vast majority of you DO NOT VOTE ?

The decisions made by our elected leaders have a direct impact on our daily lives. It’s been said that “all politics is local”, and this is a perfect example of how political decisions made in Austin directly affect us locally. The politics of this very important health and safety issue are as close as your electric meter !

I recently received an email from Kinky Friedman’s Campaign and I’d like to share a portion of it with you :

“Ever wonder why the average Texan's electric bill has gone up nearly 80% under Governor Perry ? Or why the state's largest power company is also the state's second-largest lobbyist ? Texas has some of the highest energy costs—not to mention the dirtiest air—in the country because we have some of the dirtiest government in the country. Simple as that.“

Do any of you believe it’s time to start asking the tough questions of our political leaders ? They’ll be asking for your support soon. What will you do ?

Steve Harris
Brownwood

source of quotes:

http://cbs11tv.com
and
www.kinkyfriedman.com
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From the Abilene Reporter News
Whose fault is it that ill, old, poor folks suffer ?
By Ken Ellsworth
July 23, 2006

Heat, heat and more heat is coming. And the cost of electric power, and gasoline for that matter, is rising, while my wallet is getting thinner.

So far, I've been able to afford to pay my unbearable electric bill and cool my house. A lot of people aren't so lucky. Some are old, infants, disabled, ill or poor. They turn out the lights and turn off electricity-eating air conditioners. They don't cook. They skimp on medications and food to try to pay electric bills, but can't keep up.

Sometimes power companies, most of which have helpful but limited programs, end up turning off the power for them.

It's life-threatening. These are the sorts of people who have no medical insurance and end up in emergency rooms where costs are high and the bills go unpaid and are absorbed by hospitals. That adds to the increasing cost of medical insurance for those of us who are lucky enough to have it.

I'm steamed that this can be happening, but I'm not blaming the utility companies entirely.

Friday, the Public Utility Commission provided a breath of refreshing, cool air. They banned power providers from cutting off electric power until Oct. 1 for people who have tried in good faith to make payments and keep up with their bills, but can't. It's sort of complicated, though, and too difficult to explain the eligibility requirements in this space.

Anyway, those bills will have to be paid eventually by the customers, but not for several months - which will obviously cost the electric providers, most of which fought against the PUC ruling.

The PUC did the right thing. Anything less would have been immoral. They did the same thing two other times a few years back.

The thing that I'm really steamed about, as usual, is the Texas Legislature. In 2005, our legislators, who allegedly represent us, added a small charge to our electric bills to set aside a fund to help desperate people trying to keep up with both the heat and the rising cost of electricity. It was a reasonably small fee and few of us objected. It seemed OK.

The fund grew to $427 million. Did it help? No.

Because the same legislators, still allegedly representing us, spent the money to try to balance the budget. So again, when push came to shove, the Legislature victimized the poor - again - this time literally heating people up in sweating droves.

That leaves it up to community charities such as the local Community Action Program, 774 China St., which can help with electric bills. And the Salvation Army, which is trying to distribute as many donated fans as possible, but can't keep up with the demand.

It also fills up our air-conditioned public places such as the library and the Mall of Abilene with people trying to stay comfortable.

But now, it so happens, the state has a budget surplus. It's apparently about $9 billion, depending on whom you ask.

If you ask me, though, at least $427 million, and maybe more, should go back to the fund for which it was intended - to protect poor children, elderly, disabled and ill people from killing heat.

To do less would be immoral, deserving of fire and brimstone, and, worse, it should cost your state senators and representatives your vote. They can't treat people this way - even people too poor to contribute to their campaigns.

source: http://www.reporter-news.com/abil/nw_local/article/0,1874,ABIL_7959_4864151,00.html
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From the Waco Tribune Herald
Editorial: Heat on Austin

Sunday, July 23, 2006

It’s the land of high-rises, tall rotundas and long limos with comfort control.

Even in the triple-digits of July, it’s cool for policymakers in Austin. Indeed, this summer it’s too comfy.

Lawmakers left Texas’ neediest to swelter in a hot summer to come. And that summer is here.

In Waco, as elsewhere, hurting people are in desperate need of help. Some face an electric cut-off. Many are completely over their heads with electric bills.

The tragedy is that they were stiffed by Texas lawmakers. Money set aside for the very purpose of helping them was stashed away instead so that the Texas Legislature could crow that it balanced its budget without new taxes. But that’s a bogus claim. In effect, lawmakers took a tax meant for something else and employed it under false pretenses.

Before explaining that callous move, let’s credit a move that showed some heart.

Thursday, the Public Utility Commission voted to prohibit electric cut-offs through Oct. 1. Those who can’t pay their monthly bills can pay a 25 percent increment and resolve the matter when mercury starts to drop, along with bills.

This is the third time the PUC has done something similar in recent years amid heat waves. Ultimately, it’s about saving lives. We’ve all assumed that was the bottom line of state government.

To that end, lawmakers did something unconscionable five years ago, and again last year, when they raided the System Benefit Fund.

It’s funded by a small surcharge on electric bills established when electricity was deregulated. Its only purpose was to help people with energy emergencies or people in need of better energy efficiency.

How much money are we talking about? A whopping $427 million over two years. Scandalously, the Legislature applied that money not to helping the poor but to the general fund to balance its budget.

Gov. Rick Perry has attempted to deflect blame, saying this wasn’t his idea.

But he could do something about it in his position on the Legislative Budget Board. He could press for the state to release that money for its intended purposes.

To its credit, TXU Energy, which supported implementation of the System Benefit Fund, said it is spending $25 million to give low-income customers a 10 percent discount. Federal dollars also are available to help low- income Texans.

These economic straits accent the need for weatherization and smart use of electricity. Contact your energy provider and inquire about ways to reduce electric use.

source: http://www.wacotrib.com/opin/content/news/opinion/stories/2006/07/23/07232006waceditorial.html
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UPDATE: July 26, 2006

Below is the letter I submitted to the Brownwood Bulletin and the Abilene Reporter News (at the same time). The Reporter News ran my letter today. The Bulletin has not run it yet, but The Bulletin's Bill Crist did have an excellent column (see below) in todays Brownwood Bulletin !

Energy rates, elected officials connected

Letter to the Editor

July 26, 2006

Are you one of the sweltering Texans ''endangered by rising electricity rates, hot weather and the Legislature's decision to redirect funds that had been set aside to help poor customers pay their bill?''

Are you aware ''The state had raised $427 million through taxes on electric customers' payments to assist with bill payments for the needy? But last year, the Legislature diverted those funds to help balance the state budget?''

Was your elected representative one of the 26 standing with the poor, the elderly and the ill, petitioning the PUC ''to restrict electric providers from cutting power to needy customers who fall behind on payments this summer?''

Do you expect your elected representatives in Austin to refund the $427 million to its rightful place, when they know that the vast majority of you do not vote?

I recently received an e-mail from Kinky Friedman's Campaign and I'd like to share a portion of it with you:

''Ever wonder why the average Texan's electric bill has gone up nearly 80% under Governor Perry? Or why the state's largest power company is also the state's second-largest lobbyist? Texas has some of the highest energy costs - not to mention the dirtiest air - in the country because we have some of the dirtiest government in the country. Simple as that.''

Do any of you believe it's time to start asking the tough questions of our political leaders? They'll be asking for your support soon. What will you do?

Steve Harris

Brownwood

source: http://www.reporter-news.com/abil/op_letters_editor/article/0,1874,ABIL_7984_4870090,00.html
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Wednesday July 26, 2006
Brownwood Bulletin
Op Ed: Columnists

Legislature should follow PUC’s lead to keep cool heads — Bill Crist

As the summer heat continues to blaze down on the area, different utility bills continue to rise. Some of us are trying desperately to keep our yards some shade of green, driving our municipal water bills through the roof. Although the main motivation for keeping a green yard lies mostly in vanity - or fear of the neighbors’ snickers - there are economic concerns about the cost of replacing a yard should it die.

Electric utility bills are also on the rise as the heat of summer continues to simmer over much of the country, especially the Southwest. The string of 100-plus degree days continues to grow, and that means that for nearly everyone, their electric bills will continue to soar with the temperatures. Maintaining adequate cooling and heating in a home are not a matter of vanity, though. They can be a matter of life and death.

In 1999 the state legislature introduced a measure that helped low-income families pay for their electric bills by including a small fee on the statements of all electric customers. That program went away in 2005, at least the portion that assisted people. The fees are still collected, but instead of helping low-income families they go into the state’s general budget.

In recent weeks, the four challengers for governor have been campaigning, at least in part, on the idea that some consumers may need relief from rising utility bills. Without a safety net in place, the utility companies were free to disconnect customers who had fallen behind in their payments. The candidates urged Gov. Perry and lawmakers to take action to ensure that customers would not have their electricity disconnected - particulary in the dangerous heat.

Although the governor and our elected officials have not announced plans to move funds back into a utility fund, last Friday the Public Utility Commission (PUC) passed emergency measures to make sure that low-income residents and senior citizens were protected from disconnections at least through the summer. The rules, which took effect immediately, state that electric providers are prohibited until Oct. 1 from disconnecting all critical care customers (customers in which a suspension of electric service will create a life-threatening situation). Electric providers are also prohibited from disconnecting all low-income customers who are at least 65 years old. Low-income customers under age 65 can prevent disconnection through September with a deferred payment plan payment of no more than 25 percent of their bill.

“People need to be financially responsible by paying their bills; however, utility prices have drastically risen due to the overwhelming heat that hits the pocket book hard,” said Texas House Rep. Jim Keffer in announcing the PUC’s action. He is right that consumers must be responsible for the debts they incur, whether those expenses are for goods or services.

However, there are two issues that the PUC’s action does not address; raising taxes for one purpose and then shifting those monies to another, and a long-term solution to climate control (cooling in the summer, heat in the winter) for low-income Texans.

Some might argue that the fees imposed on our electric bills are not taxes; however they are not optional and the money goes to the state government. To most of us, that means the money collected is a tax. Since it was designed to assist with energy bills, the money should be dedicated to that end. By doing so, our legislature would be in a position to assist those on low and fixed incomes who often choose to live in dangerous conditions because they cannot afford to cool or heat their home.

We can choose whether or not to water our yard. Choosing not to keep green grass during a drought provides little risk to health for the homeowner or renter. Air conditioning and heating are not the same, though, and the decision to do without either can have fatal consequences during many months of the year. It is good that the PUC took the action it did. Now the legislature must follow that action with a viable energy assistance program, much like the one put in place in 1999.

Bill Crist is associate publisher of the Brownwood Bulletin. His column appears on Wednesday. He may be reached by e-mail at bill.crist@brownwoodbulletin.com.

source: http://www.brownwoodbulletin.com/articles/2006/07/26/op_ed/columnists/opinion04.txt
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How many Brownwood poor, elderly and ill heard this message (below) from Chris Bell when he visited Brownwood recently ?

Bell: PUC should stop disconnections
TAXPAYERS SUBSIDIZED $6K BILL FOR PERRY, WHO RAIDED SBF
JULY 09, 2006


Democratic gubernatorial nominee Chris Bell today formally joined a bi-partisan group of consumer advocates in asking the Public Utility Commission to impose an emergency moratorium on utility disconnections for the summer. He also accused Rick Perry and the legislative leadership of blatant cruelty and dishonesty for raiding $427 million from the System Benefit Fund, which was created to subsidize the utility bills for senior citizens and poor Texans. This gross misapplication of funds amounts to fraud against Texas electric consumers that is especially galling since the taxpayers subsidize 100% of the electric bill at the Governor’s Mansion that was $5,522.86 in May 2006.

A bi-partisan coalition of groups, including AARP Texas, Texas Ratepayers Organization to Save Energy, Texas Legal Services Center, Gulf Coast Community Services Association, Gray Panthers of Austin and the Barnabas Connection of the Wimberly United Methodist Church, submitted Petition 32874 calling for the emergency PUC rule. The PUC is currently accepting public comment and will rule on the petition on Jul. 20.

“We need to remember that our state budgets are moral documents that affect people’s lives, and our leaders need to start acting like it,” said Bell at a press conference at his Houston headquarters.

He also called on Rick Perry to either cease collecting the System Benefit Fund fee from ratepayers or to start using it for its intended purpose, which is subsidizing the utility bills for low-income or senior Texans. In 2005, Rick Perry and the Legislature raided $427 million from the System Benefit Fund and transferred it into General Revenue to spend on whatever it wanted. This can only be described as fraud and eliminates the very tool designed to prevent the need for the moratorium we are calling for today.

“As utility prices rise with summer temperatures, Texans are getting no help from Rick Perry. In fact, he stole the safety net and defrauded the people of Texas. I know these are strong words. But when our state government takes $427 million from consumers intended for senior citizens and poor people with no intention of using it for them then it’s time to put polite to bed and say ‘enough is enough.’”

While Rick Perry took this $427 million from the System Benefit Fund, taxpayers subsidize 100% of his electric bill at the Governor’s Mansion. In July 2005, that bill was $4,843.41; it rose to $5,522.86 in May of this year.

“It’s morally offensive that we’re subsidizing a $5,500-a-month electric bill for the same politician that raided utility subsidies for senior citizens and poor folks,” said Bell. “If Rick Perry’s willing to make us pay for an electric bill that costs as much as a used car every month, then he should have no problem meeting his responsibilities to ratepayers who deserve the same help.”

source: http://www.chrisbell.com/releases/07112006_puc?t=7
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Householders feel zapped
Some electric customers qualify for help

By MARJON ROSTAMI, mrostami@sastandardtimes.com or 659-8265
July 27, 2006

WTU Retail Energy, the Price-to-Beat electricity provider for the San Angelo area, is giving its customers a 13.5-percent discount for the three hottest months of the year - but that's not the bargain it seems to be.
The company says electricity prices reflect those of natural gas, a commodity used to generate electricity. Since Jan. 1, natural gas prices have gone down about 25 percent, according to the Public Utilities Commission.
''There is one glaring missing element,'' said Tim Morstad, a utility specialist with the Office of Public Utility Council, a state residential utility advocate group. ''The company has to request an adjustment to their Price to Beat - usually based on natural gas prices. WTU didn't request any adjustment until July 1.''
San Angeloans are feeling the energy pinch along with the rest of Texas and much of the nation amid a heat wave that is breaking records in many places. Some limited relief is on the way for WTU's Price-to-Beat customers, as well as for low-income residents in San Angelo and statewide.
WTU recently announced a discount of 13.5 percent to begin July 1, or six months after natural gas prices began to decline. The decrease is only temporary - effective for usage in July, August and September.
Lisa Dornan, spokeswoman for WTU, said the retailer aims to keep rates constant for customers.
''We've been able to stabilize rates and provide aggressive discounts to the customer,'' she said. ''In the long run, it works to the advantage of the customer because they are not having those constant highs and lows.''
That means the company intends to hold rates steady for a time when natural gas prices go back up as well, Dornan said. For now, the bills remain above average for San Angelo.
''I never did care for another house payment,'' said Ervin Hejl of San Angelo, who has lived in his 4,000-square-foot house since 1971.
For June, Hejl said he paid a $639 electric bill, about $200 more than his monthly house payment. His house has two central air-conditioning units that he uses strictly one at a time.
''If I kept them both running, my bill would be more than $1,000,'' he said.
After electric utility deregulation in 2002, the Public Utilites Commission established a Price-to-Beat. Competing companies then base their rates around the Price-to-Beat.
Rates vary for different areas of Texas. The WTU Price-to-Beat in San Angelo is 16.3 cents per kilowatt hour. The retailer serves about 200,000 customers statewide.
Among them is Melanie May, who moved to San Angelo from Lubbock last fall and recently switched to WTU. Last summer, at her home in Lubbock, she paid $150 for both electricity and water. Now, she pays about $500 in a similar size home; her electricity bill for June was $330.
''Of course you expect your bill to go up in the summer months,'' she said, ''but I wasn't prepared to have such high rates.''
May said her family uses about the same amount of kilowatts per hour in San Angelo as they did in Lubbock - between 1,100 and 1,600 - but the price per usage is far higher.
''It's very shocking for me to see the cost of living so high in such a small town,'' May said. ''Our income isn't equivalent to the cost of living.''
Since they moved nearly a year ago, the Mays have taken extra precautions to try to save on their bill, May said. They installed about $800 worth of extra insulation, added double-paned windows and keep their thermostat between 75 and 80 degrees Fahrenheit.
''We're waiting to see if the bill for July is any smaller because of the WTU deal,'' May said.
The city and the state recognize problems with rising energy costs, said Daniel Montez, social services director for San Angelo.
''We understand energy levels are high, and we want to let people know that there is help available,'' Montez said.
The city is offering assistance to low-income families, to pay for a percentage of their bill. Priority is given to the elderly and disabled, and households with children younger than 6.
On the state level, the Public Utilities Commission signed the Emergency Rule on Friday. The rule says ''at-risk'' Texas households that cannot afford the current monthly utility payments and are facing disconnections can call their electric company and say they are unable to pay their bill right now.
The phrase ''at-risk'' classifies two low-income populations: people who are 65 and older and people who need medical electric units in their homes.
Customers who are eligible for the rule must still pay the accrued bills after Oct. 1, but they will be interest-free.
''This is an extraordinary summer where high usage has been exacerbated by very high electric rates. When you put those two together, you've got a situation where electric bills are sometimes just out of reach for customers, and they may face disconnection,'' said Morstad, with the Office of Public Utility Council. ''In some cases, this could prevent heat-related deaths.''
For now, retail companies are advising customers to increase their thermostat and caulk windows to keep the cool air in.
In a competitive market, shopping around for a deal is not always successful.
Hejl said he switched from WTU to Reliant Energy in 2002 and paid 7 cents per kilowatt hour. Now, he is paying nearly 20 cents per kilowatt hour.
''In my opinion, it is gouging,'' he said. ''Someone is really sticking their hands in our pockets.''

To get help

Electric bill relief is available to eligible low-income residents.

Locally

Social Services Division for San Angelo, (325) 657-4400.

What to bring: Social Security card for everyone in your household, picture identification, proof of income, proof of residence, current gas or electric bill (must be in the head of household's name).

State help

Public Utility Commission, (512) 936-7000.

Office of Public Utility Council, (512) 936-7500.

Tips on how to save

Increase the thermostat temperature. Even 1 degree can make a difference.

Turn off lights that are not needed.

Use a lower-watt bulb.

Caulk windows to keep the cool air inside.

Check your hot water temperature. It does not need to be any higher than 140 degrees Fahrenheit for washing purposes.

Source: WTU Web site

How does San Angelo compare?

Price per kilowatt hour

San Angelo - 16.3 cents.

Dallas - 15.0 cents.

Houston - 16.3 cents.

Abilene and Midland are both under the WTU Price-to-Beat and are the same level as San Angelo.

source: http://www.sanangelostandardtimes.com/sast/news_local/article/0,1897,SAST_4956_4873721,00.html