Trump administration says it will release money to help 10,000 Minnesota homes with heat and electric bills

The Trump administration says it is releasing funds that help people pay utility bills and prevent power shutoffs, which Minnesota officials said was at risk when the feds laid off the entire staff of the program that distributes the cash.

Last month, the Minnesota Department of Commerce said it was waiting on an expected $12 million to help 10,000 households through the Low Income Home Energy Assistance Program (LIHEAP) and questioned how the cash would be distributed with no remaining program administrators.

“With today’s announcement, all available LIHEAP funding for this fiscal year will be released,” Andrew Gradison, a Trump official with the U.S. Department of Health and Human Services, said in a news release.

“We will continue to work with our state, tribal, and territorial partners to ensure this funding reaches eligible families,” Gradison said.

The $12 million was about 10% of federal funding for the current program year and approved by Congress, according to the Citizens Utility Board of Minnesota.

Most of the cash is distributed as grants based on income and the cost of energy. The program also offers “crisis” payments to households facing disconnection and emergency repairs.

The program typically helps about 130,000 Minnesota households a year. In April, the Commerce Department said about two-thirds of payments in Minnesota are to households outside the Twin Cities, and since October about half of people getting money were over 60.

The Washington Post has reported that internal budget documents indicate the Trump administration wants to eliminate all $4 billion in funding for LIHEAP. Congress could reject that plan.

The state’s Cold Weather Rule protects customers from losing electricity or heat until April 30 as long as they meet certain conditions. But many people still are disconnected during winter.

Xcel Energy said earlier this week customers should seek help from LIHEAP now that cold weather protections have expired and some households may qualify for other affordability programs and payment options through Xcel itself.