The Politics of Brownwood Utility Bills

State leaders' inaction leaves Texas' old, sick steeped in utility bills

Tuesday, September 12, 2006

By Cindy V. Culp

Tribune-Herald staff writer

Temperatures may be dropping after this summer’s scorching heat, but there are still plenty of Texans reeling from high electricity bills who could benefit from a state utility relief program — if the money weren’t in governmental limbo.
That’s the message AARP Texas is trying to get out, after learning last week that $256 million collected to help the poor, elderly and disabled pay their electric bills is sitting in state coffers untouched.
Originally, state leaders said the money was needed to help pay for other programs such as Medicaid, said Amanda McCloskey, advocacy manager for AARP Texas, which advocates for senior citizens.
But Friday, AARP learned that most of the money has not been used for anything.
“It’s designed to help people who are suffering and dying,” said Rafael Ayuso, communications manager for AARP Texas. “But that has not happened.”
The money in question is contained in the state’s System Benefit Fund.
Begun when the state’s electricity market was deregulated in 2002, the fund consists of money collected monthly from every electric customer in deregulated areas.
It is calculated based on the number of kilowatt-hours customers use and averages about 65 cents per household per bill.
That money is supposed to be used to give a 10 percent discount to low-income Texans, including the elderly and disabled.
However, the Texas Legislature decided not to fund the program this past session, saying the state needed the money for other programs.
Angered by the move, the AARP asked Gov. Rick Perry to raise the issue during this year’s special session. But that request was denied, and all but about $7 million of the money has been left untouched, McCloskey said.
To fix the situation, the AARP now is calling on Perry to work with the Legislative Budget Board to fund the program immediately. Waiting until the Legislature reconvenes in January isn’t a good option, McCloskey said.
“People are now getting their August utility bills, and they are having trouble paying them,” she said.
A spokesman from the governor’s office said such action is not possible because the budget board only has the power to work with money that already has been appropriated. However, he said Perry supports the program and has asked the Public Utility Commission to include it in its budget request for the upcoming biennium.
Local agencies who help low-income residents said they don’t care who’s right about the details behind the red tape. They just want the program funded. Caritas, for example, is receiving 30 calls a day from people requesting help with electric bills, said Lidia Chavez, director of emergency services. But because of limited funds, only the more dire cases get help.
At the Economic Advancement Opportunities Corporation, the situation is much the same. About 200 people came to the agency Monday morning for assistance, executive director Johnette Hicks said. That’s nearly quadruple the normal number.
But money is tight. Last month alone, the agency paid out $238,000 in electricity assistance for people in the six counties it serves, Hicks said.
“We absolutely need to get this money released for low-income Texans,” she said.
People who want to express their opinions about the situation can call a toll-free hot line set up by AARP. Calls are routed to the governor’s office. The number is (888) 633-3650.

cculp@wacotrib.com

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source: http://www.wacotrib.com/news/content/news/stories/2006/09/12/09122006wacelectricbillhell.html