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New Jersey and Nevada Release Low-Income Program Evaluations

The first evaluation of the New Jersey Universal Service Fund (USF), one of the nation's newest programs that use public benefits funds (also known as universal service funds or systems benefits funds) to help address low-income energy needs, is complete and is available on the website of Applied Public Policy Research Institute for Study and Evaluation (APPRISE).

Completed in April APPRISE, it analyzes the program's operations and results from its start in October 2003 through FY 2005. Program participants are required to pay no more than six percent of their annual income toward electric and gas bills ─ three percent for electric and three percent for gas or six percent for all- electric heat customers, with the remainder covered by the USF. During 2005 the program served 120,000 households and provided USF credits totaling $74 million, plus $22 million for forgiveness of preprogram arrears.

The third evaluation of Nevada's state-funded energy assistance and weatherization program is available on the program’s website. Titled State Fiscal Year 2005 Evaluation of the NRS 702 Energy Assistance Program & Weatherization Assistance Program, it is the third mandatory annual evaluation.

The program coordinates funds from a universal energy charge (UEC) that is assessed on most gas and electric utility customers with federal and other funds to create a statewide affordability and energy efficiency program. Program participants pay no more than the state median household energy burden, 3 percent, for their energy bills, with the remainder covered by UEC funds and LIHEAP. The UEC generates about $11 million annually with about 75 percent distributed to the Nevada State Welfare Division, the state LIHEAP grantee, and the remainder to the state weatherization grantee, the Nevada Housing Division.

During SFY 2005 the program spent $12.5 million in UEC funds, serving 14,431 household with those funds; including $2.2 million for arrearage assistance and $10.3 million for energy assistance benefits.

Completed in May by H. Gil Peach & Associates LLC., the evaluation summarizes program progress through SFY 2005, which the evaluation team sees as the mid-point in a five-year implementation period.

More information about the program can be found in the 2006 program plan , available on the Nevada LIHEAP website.

Source: NJBPU, Nevada SWD

Page Last Updated: January 27, 2010