Act No. 170
Public Acts of 2024
Approved by the Governor
December 17, 2024
Filed with the Secretary of State
December 17, 2024
EFFECTIVE DATE: April 2, 2025
state of michigan
102nd Legislature
Regular session of 2024
Introduced by Senators Klinefelt and Singh
ENROLLED SENATE BILL No. 353
AN ACT to amend 2012 PA 615, entitled “An act to provide energy assistance for low-income households; and to prescribe certain powers and duties of certain state departments and agencies,” by amending sections 2, 4, and 5 (MCL 400.1232, 400.1234, and 400.1235) and by adding section 4a.
The People of the State of Michigan enact:
Sec. 2. As used in this act:
(a) “Categorical eligibility” means policies that make a household eligible for energy assistance based on the household’s involvement in other low-income assistance programs that utilize similar eligibility criteria.
(b) “Commission” means the Michigan public service commission created under 1939 PA 3, MCL 460.1 to 460.11.
(c) “Crisis” means 1 of the following:
(i) An individual or recipient has received a past due notice on an energy bill for the individual’s or recipient’s household.
(ii)
A residential fuel tank is estimated to contain not more than 30% of its
heating fuel capacity.
(iii) A stated need for deliverable fuel or a nontraditional fuel source in which there is no meter or regular energy bill provided.
(iv) A notice that the balance in a prepayment account is below a minimum amount.
(d) “Department” means the department of health and human services.
(e) “Eligible low-income household” means, until September 30, 2025, a household with a household income of not more than 150% of the federal poverty guidelines. After October 1, 2025, eligible low-income household means a household with a household income of not more than 60% of the state median income and whose electric utility does not opt-out of collecting the low-income energy assistance funding factor under section 9t of 1939 PA 3, MCL 460.9t.
(f) “Energy assistance” means a program to reduce energy insecurity by assisting eligible low-income households in meeting their home energy costs for their primary residence through payment or partial payment of bills for 1 or more of the following:
(i) Electricity.
(ii) Natural gas.
(iii) Propane.
(iv) Heating oil.
(v) Any other deliverable fuel used to provide heat.
(g) “Federal poverty guidelines” means the poverty guidelines published annually in the federal register by the United States Department of Health and Human Services under its authority to revise the poverty line under 42 USC 9902.
(h) “Funds” means a portion of the money received from the federal low income home energy assistance program block grant that is not used for the home heating credit, money received from the low-income energy assistance fund, or any other money appropriated for this program.
(i) “Program” means the Michigan energy assistance program established in section 3.
(j) “State median income” means the state median income promulgated by the secretary of the United States Department of Health and Human Services in accordance with procedures established under section 2002 of the social security act, 42 USC 1397a, and adjusted, in accordance with regulations prescribed by the secretary, to take into account the number of individuals in the household.
(k) “Vulnerable populations” means eligible low-income households that have at least 1 member that meets the following criteria:
(i) Is a child under 5 years of age.
(ii) Is an individual with a disability.
(iii) Is an individual who is 60 years of age or older.
(iv) Is an individual who has experienced homelessness in the preceding 12 months and who needs energy assistance to secure housing.
Sec. 4. The department shall only use money from the low-income energy assistance fund for energy assistance.
Sec. 4a. (1) The department may establish guidelines for verifying eligibility of all applicants to ensure assistance funds are provided only to eligible low-income households. In establishing guidelines under this subsection, the department shall consider opportunities to incorporate categorical eligibility.
(2) An electric provider, natural gas provider, or other energy provider is not required to verify eligibility of program applicants.
Sec. 5. (1) The department, in consultation with the commission, may contract with different public or private entities or local units of government to provide energy assistance.
(2) The department shall include clear performance metrics in any contract with an entity under this section.
(3) The department, in consultation with the commission, shall set a minimum allocation of funds that must be used by entities with which the department contracts under subsection (1) for energy assistance.
(4) By October 1, 2025, the department, in consultation with
the commission, shall provide guidelines on the provision of self-sufficiency
services. Beginning with the program year that begins on October 1, 2026, the
guidelines must be incorporated into the performance metrics developed under
subsection (2).
(a) Senate Bill No. 880.
(b) Senate Bill No. 881.
(c) House Bill No. 6075.
Secretary of the Senate
Clerk of the House of Representatives
Approved___________________________________________
____________________________________________________
Governor