HomeMy WebLinkAboutAgenda Report - August 3, 2022 C-15CITY OF
CALIFORNIA
COUNCIL COMMUNICATION
11
AGENDA ITEM C
I
AGENDA TITLE: Adopt Resolution Authorizing Increase to Customer Assistance and Relief Energy (CARE)
Program Maximum Emergency Assistance Benefit Payment from $110 to $150
MEETING DATE: August 3, 2022
PREPARED BY: Electric Utility Director
RECOMMENDED ACTION: Adopt a resolution authorizing an increase to the Customer Assistance and
Relief Energy (CARE) Program Maximum Emergency Assistance Benefit
Payment from $110 to $150.
BACKGROUND INFORMATION: Since 2004, Lodi Electric Utility (LEU) has administered the CARE Program
providing income eligible customers suffering financial hardship an
emergency assistance payment on the electric portion of their utility bill.
Income eligibility is by household size and is 60 percent of the state median income or lower. The program,
administered by third party contractors, authorizes one payment to a customer every six months by application.
During COVID, LEU temporarily expanded availability of this program to assist customers who were facing
financial difficulty as a result of job loss, layoffs, or income loss/reduction.
LEU once again recognizes these are difficult times for customers. Inflation is outpacing wage growth, customers
are seeing their purchasing power weaken, and California faces a number of challenges including drought,
wildfires, energy shortfalls, and prolonged heat — all of which are driving consumer electric costs upward. As a
result, LEU customers are experiencing unprecedented increases to the Energy Cost Adjustment this summer
and hence, their monthly utility bills. While LEU electric rates still remain competitive when compared to
neighboring PG&E, staff recognize the need to provide additional financial assistance to customers having
difficulty paying their utility bill.
Therefore, staff recommends increasing the CARE Program maximum emergency assistance benefit from $110
to $150. The benefit will continue to be available to qualifying customers once every six months and more closely
aligns with amounts offered by other utilities as part of similar financial assistance programs.
FISCAL IMPACT: Based on the average number of CARE Program applications approved each year,
this will result in an increase of less than $7,500 annually.
FUNDING AVAILABLE: Sufficient funds are available in Account No. 50465300.72921.
APPROVED: Steve Schwabauer
Stephen Schwabauer, City Manager
Adopt Resolution Authorizing Increase to Customer Assistance and Relief Energy (CARE) Program Maximum Emergency Assistance
Benefit Payment from $110 to $150
August 3, 2022
Page 2
Andrew Keys
Andrew Keys
Deputy City Manager/Internal Services Director
Jeff Berkheimer
Electric Utility Director
Prepared by: Astrlda Trupovnleks, Business Development Manager
Signature: l/ouj,� x / Signature: ._5, 2022.14;03 PDT)
Email: akeys@lodi.gov Email: sschwabauer@lodi.gov
RESOLUTION NO. 2022-199
A RESOLUTION OF THE LODI CITY COUNCIL AUTHORIZING AN
INCREASE TO THE CUSTOMER ASSISTANCE AND RELIEF ENERGY
(CARE) PROGRAM MAXIMUM EMERGENCY ASSISTANCE BENEFIT
PAYMENT FROM $110 TO $150
WHEREAS, since 2004, Lodi Electric Utility (LEU) has administered the CARE Program
providing income eligible customers suffering financial hardship an emergency assistance
payment on the electric portion of their utility bill; and
WHEREAS, income eligibility is by household size and is 60 percent of the state median
income or lower; and
WHEREAS, the CARE Program, administered by third party contractors, authorizes one
payment to a customer every six months by application; and
WHEREAS, during COVID, LEU temporarily expanded availability of this program to
assist customers who were facing financial difficulty as a result of job loss, layoffs, or income
loss/reduction; and
WHEREAS, LEU once again recognizes these are difficult times for customers; and
WHEREAS, inflation is outpacing wage growth, customers are seeing their purchasing
power weaken, and California faces a number of challenges including drought, wildfires, energy
shortfalls, and prolonged heat — all of which are driving consumer electric costs upward; and
WHEREAS, LEU customers are experiencing unprecedented increases to the Energy
Cost Adjustment this summer and hence, their monthly utility bills; and
WHEREAS, while LEU electric rates still remain competitive when compared to
neighboring PG&E, staff recognize the need to provide additional financial assistance to
customers having difficulty paying their utility bill; and
WHEREAS, staff recommends increasing the CARE Program maximum emergency
assistance benefit from $110 to $150; and
WHEREAS, the benefit will continue to be available to qualifying customers once every
six months and more closely aligns with amounts offered by other utilities as part of similar
financial assistance programs.
NOW THEREFORE, BE IT RESOLVED that the Lodi City Council does hereby
authorize an increase to the Customer Assistance and Relief Energy (CARE) Program
Maximum Emergency Assistance Benefit Payment from $110 to $150.
Dated: August 3, 2022
I hereby certify that Resolution No. 2022-199 was passed and adopted by the City
Council of the City of Lodi in a regular meeting held August 3, 2022 by the following votes:
AYES: COUNCIL MEMBERS — Hothi, Khan, Kuehne, Nakanishi, and
Mayor Chandler
NOES: COUNCIL MEMBERS — None
ABSENT: COUNCIL MEMBERS — None
ABSTAIN: COUNCIL MEMBERS — None
OLIVIA NASHED
City Clerk
2022-199