SB 191: DHS; PUC; Hawaii Home Energy Assistance Program; Positions; Appropriations

A BILL FOR AN ACT

RELATING TO ENERGY ASSISTANCE.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:

     SECTION 1.  The legislature finds that Hawaii's electricity rates are among the highest in the nation, close to three times the national average, and vary based on the availability of renewable resources, power plants, fuel costs, and pricing regulations.  The 2022 report commissioned by the Aloha United Way, "ALICE in Hawaii:  2022 Facts and Figures", states that forty-four per cent of households in the State live below the ALICE (asset limited, income constrained, employed) threshold, meaning that almost half of all families in the State are struggling to make ends meet, even though they are employed.  The number of electric utility customers in arrears and facing disconnection is higher than before the COVID-19 pandemic, with thousands of customers collectively owing millions of dollars.  In addition, electricity needs are expected to increase due to rising climate temperatures and associated home cooling needs.

     In 2022, the legislature adopted Senate Concurrent Resolution No. 242, S.D. 1 (2022), which requested the public utilities commission, in collaboration with the department of commerce and consumer affairs' division of consumer advocacy, to convene a working group to create a Hawaii low-income home energy assistance program (LIHEAP).  As noted in a December 2022 report to the legislature submitted by the public utilities commission, the federal LIHEAP administered by the United States Department of Health and Human Services, a program designed to provide energy assistance to families, served fewer than nine thousand households in Hawaii in 2020, or about two per cent of the State's population potentially eligible for energy assistance based on income.  The State received the lowest amount of federal funding for federal LIHEAP of all states in fiscal year 2021-2022.  According to estimates from the National Energy and Utility Affordability Coalition, Hawaii received 0.14 per cent of federal LIHEAP funds in fiscal year 2021-2022, roughly half of the next-lowest state.  Funding for states is based on a formula developed in 1984 that inherently favors states with large heating needs and does not consider specific electricity prices within states.

     The legislature further finds that, in addition to the limited financial assistance available through the United States Department of Health and Human Services from the federal LIHEAP program, the public benefits fee administrator of the public utilities commission plays a vital role in ensuring that all available state and federal benefits and rebate programs are being utilized by providing opportunities and solutions for Hawaii residents and businesses to save money and energy.  The legislature also finds that the State must commit to providing assistance to low-income households that are directly impacted by the high cost of electricity.

     Accordingly, the purpose of this Act is to:

     (1)  Establish a Hawaii home energy assistance program to allow the department of human services to assist eligible households with payment costs associated with meeting an eligible household's home energy needs; and

     (2)  Require the public benefits fee administrator of the public utilities commission to provide valuable information and assistance to recipients of the Hawaii home energy assistance program and assist the recipients with implementation of energy assistance improvements.

     SECTION 2.  Chapter 346, Hawaii Revised Statutes, is amended by adding a new section to part II to be appropriately designated and to read as follows:

     "§346-    Hawaii home energy assistance program; established.  (a)  There is established within the department the Hawaii home energy assistance program.  Subject to the availability of program funds, the program may assist eligible households with payment of costs associated with meeting an eligible household's home energy needs.

     (b)  Any person who is in need of public assistance may submit an application in a form prescribed by the department that includes, at a minimum, documentation to prove that the person:

     (1)  Is a resident of the State;

     (2)  Has an active energy utility account in the State; and

     (3)  Satisfies the income limit and all other eligibility standards established by the department pursuant to subsection (d).

     (c)  The public utilities commission public benefits fee administrator, in consultation with the department, shall provide information and technical assistance about available energy efficiency programs to recipients, including an energy audit at the request of a recipient, and assist recipients with implementation of energy efficiency improvements in accordance with section 269-123(b).

     (d)  The department shall adopt rules pursuant to chapter 91 for purposes of this section."

     SECTION 3.  Section 269-123, Hawaii Revised Statutes, is amended by amending subsection (b) to read as follows:

     "(b)  The public benefits fee administrator's duties and responsibilities shall be established by the public utilities commission by rule or order, and may include:

     (1)  Identifying, developing, administering, promoting, implementing, and evaluating programs, methods, and technologies that support energy-efficiency and demand-side management programs;

     (2)  Encouraging the continuance or improvement of efficiencies made in the production, delivery, and use of energy-efficiency and demand-side management programs and services;

     (3)  Using the energy-efficiency expertise and capabilities that have developed or may develop in the State and consulting with state agency experts;

     (4)  Promoting program initiatives, incentives, and market strategies that address the needs of persons facing the most significant barriers to participation;

     (5)  Promoting coordinated program delivery, including coordination with electric public utilities regarding the delivery of low-income home energy assistance, other demand-side management or energy-efficiency programs, and any utility programs;

     (6)  Consideration of innovative approaches to delivering demand-side management and energy-efficiency services, including strategies to encourage third-party financing and customer contributions to the cost of demand-side management and energy-efficiency services;

     (7)  Submitting, to the public utilities commission for review and approval, a multi-year budget and planning cycle that promotes program improvement, program stability, and maturation of programs and delivery resources; [and]

     (8)  Educating and training appliance manufacturers, distributors, and retailers of appliances covered under part VI of chapter 196 about the appliance efficiency standards established under that part to improve compliance[.]; and

     (9)  Providing information and technical assistance about available energy efficiency programs to recipients of the Hawaii home energy assistance program, including an energy audit if requested by the recipient, and assisting the recipients with implementation of energy efficiency improvements."

     SECTION 4.  There is appropriated out of the general revenues of the State of Hawaii the sum of $           or so much thereof as may be necessary for fiscal year 2025-2026 and the same sum or so much thereof as may be necessary for fiscal year 2026-2027 to:

     (1)  Establish      full-time equivalent (     FTE) position and      full-time equivalent (     FTE) temporary positions;

     (2)  Make system modifications; and

     (3)  Contract services as may be necessary,

for the purposes of implementing the Hawaii home energy assistance program established pursuant to section 2 of this Act.

     The sums appropriated shall be expended by the department of human services for the purposes of this Act.

     SECTION 5.  Statutory material to be repealed is bracketed and stricken.  New statutory material is underscored.

     SECTION 6.  This Act shall take effect on July 1, 3000.

Report Title:

DHS; PUC; Hawaii Home Energy Assistance Program; Positions; Appropriations

Description:

Establishes the Hawaii Home Energy Assistance Program within the Department of Human Services to assist eligible households in paying their energy bills.  Requires the Public Utilities Commission Public Benefits Fee Administrator to provide certain information and assistance to recipients of the program.  Establishes positions.  Appropriates funds.  Effective 7/1/3000.  (HD1)

The summary description of legislation appearing on this page is for informational purposes only and is not legislation or evidence of legislative intent.

A BILL FOR AN ACT

RELATING TO ENERGY ASSISTANCE.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:

     SECTION 1.  The legislature finds that Hawaii's electricity rates are among the highest in the nation, close to three times the national average, and vary based on the availability of renewable resources, power plants, fuel costs, and pricing regulations.  The 2022 report commissioned by the Aloha United Way, "ALICE in Hawaii:  2022 Facts and Figures", states that forty-four per cent of the households in the State live below the ALICE (asset limited, income constrained, employed) threshold, meaning that almost half of all families in the State are struggling to make ends meet, even though they are employed.  The number of electric utility customers in arrears and facing disconnection is higher than before the COVID-19 pandemic, with thousands of customers collectively owing millions of dollars.  In addition, electricity needs are expected to increase due to rising climate temperatures and associated home cooling needs.

     In 2022, the legislature adopted Senate Concurrent Resolution No. 242, S.D. 1, Session Laws of Hawaii 2022, that requested the creation of a Hawaii state low-income home energy assistance program (LIHEAP) working group.  As noted in a December 2022 report to the legislature submitted by the public utilities commission, the federal LIHEAP administered by the department of human services, a program designed to provide energy assistance to families, served fewer than nine thousand households in Hawaii in 2020, or about two per cent of the State's population potentially eligible for energy assistance based on income.  The State received the lowest amount of federal funding for federal LIHEAP of all states in fiscal year 2021-2022.  According to estimates from the National Energy and Utility Affordability Coalition, Hawaii received 0.14 per cent of federal LIHEAP funds in fiscal year 2021-2022, roughly half of the next-lowest state.  Funding for states is determined based on a formula developed in 1984, which inherently favors states with large heating needs and does not consider specific electricity prices within states.

     The legislature further finds that, in addition to the limited financial assistance available through the department of human services from the federal LIHEAP program, the public benefits fee administrator of the public utilities commission plays a vital role in ensuring that all available state and federal benefits and rebate programs are being utilized by providing opportunities and solutions for Hawaii residents and businesses to save money and energy.  The legislature also finds that the State must commit to providing assistance to low-income households that are directly impacted due to the high cost of electricity.

     Accordingly, the purpose of this Act is to:

     (1)  Establish a Hawaii home energy assistance program, similar to the federal LIHEAP program, to allow the department of human services to provide energy assistance to more families; and

     (2)  Require the public benefits fee administrator of the public utilities commission to provide valuable information and assistance to recipients of the Hawaii home energy assistance program to help make recipients' homes more energy efficient to reduce their cost of electricity.

     SECTION 2.  Chapter 346, Hawaii Revised Statutes, is amended by adding a new section to part II to be appropriately designated and to read as follows:

     "§346-    Hawaii home energy assistance program; established.  (a)  There is established within the department the Hawaii home energy assistance program.  Subject to the availability of program funds, the program may assist eligible households with payment of costs associated with meeting an eligible household's home energy needs. 

     (b)  Any person who is in need of public assistance as provided by this section may submit an application in a form prescribed by the department that includes, at a minimum, documentation to prove that the person:

     (1)  Is a resident of the State;

     (2)  Has an active utilities account in the State; and

     (3)  Satisfies the income eligibility limit and all other eligibility standards established by the department pursuant to subsection (d).

     (c)  The public utilities commission public benefits fee administrator, in consultation with the department, shall provide information and technical assistance about available energy efficiency programs to recipients, including an energy audit at the request of a recipient, and assist recipients with implementation of energy efficiency improvements, in accordance with section 269-123(b).

     (d)  The department shall adopt rules pursuant to chapter 91 for purposes of this section."

     SECTION 3.  Section 269-123, Hawaii Revised Statutes, is amended by amending subsection (b) to read as follows:

     "(b)  The public benefits fee administrator's duties and responsibilities shall be established by the public utilities commission by rule or order, and may include:

     (1)  Identifying, developing, administering, promoting, implementing, and evaluating programs, methods, and technologies that support energy-efficiency and demand-side management programs;

     (2)  Encouraging the continuance or improvement of efficiencies made in the production, delivery, and use of energy-efficiency and demand-side management programs and services;

     (3)  Using the energy-efficiency expertise and capabilities that have developed or may develop in the State and consulting with state agency experts;

     (4)  Promoting program initiatives, incentives, and market strategies that address the needs of persons facing the most significant barriers to participation;

     (5)  Promoting coordinated program delivery, including coordination with electric public utilities regarding the delivery of low-income home energy assistance, other demand-side management or energy-efficiency programs, and any utility programs;

     (6)  Consideration of innovative approaches to delivering demand-side management and energy-efficiency services, including strategies to encourage third-party financing and customer contributions to the cost of demand-side management and energy-efficiency services;

     (7)  Submitting, to the public utilities commission for review and approval, a multi-year budget and planning cycle that promotes program improvement, program stability, and maturation of programs and delivery resources; [and]

     (8)  Educating and training appliance manufacturers, distributors, and retailers of appliances covered under part VI of chapter 196 about the appliance efficiency standards established under that part to improve compliance[.]; and

     (9)  Providing information and technical assistance about available energy efficiency programs to recipients of the Hawaii home energy assistance program, including an energy audit if requested by the recipient, and assisting the recipients with implementation of energy efficiency improvements."

     SECTION 4.  There is appropriated out of the general revenues of the State of Hawaii the sum of $5,000,000 or so much thereof as may be necessary for fiscal year 2025-2026 and the same sum or so much thereof as may be necessary for fiscal year 2026-2027 to:

     (1)  Establish one full-time equivalent (1.0 FTE) position and two temporary full-time equivalent (2.0 FTE) positions;

     (2)  Make system modifications; and

     (3)  Contract services as may be necessary,

for the purposes of implementing the Hawaii home energy assistance program established pursuant to section 2 of this Act.

     The sums appropriated shall be expended by the department of human services for the purposes of this Act.

     SECTION 5.  Statutory material to be repealed is bracketed and stricken.  New statutory material is underscored.

     SECTION 6.  This Act shall take effect on December 31, 2050.

Report Title:

DHS; PUC; Hawaii Home Energy Assistance Program; Positions; Appropriations

Description:

Establishes the Hawaii Home Energy Assistance Program within the Department of Human Services to assist qualifying households in paying their energy bills.  Requires the Public Utilities Commission Public Benefits Fee Administrator to provide certain assistance to recipients of the program.  Establishes positions.  Appropriates funds.  Effective 12/31/2050.  (SD1)

The summary description of legislation appearing on this page is for informational purposes only and is not legislation or evidence of legislative intent.

A BILL FOR AN ACT

RELATING TO ENERGY ASSISTANCE.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:

     SECTION 1.  The purpose of this Act is to implement the recommendations of the Hawaii low-income home energy assistance program working group.

     SECTION 2.  Chapter 269, Hawaii Revised Statutes, is amended by adding a new section to part I to be appropriately designated and to read as follows:

     "§269-     Hawaii low-income home energy assistance program surcharge.  The public utilities commission, by order or rule, shall require that not more than          per cent of the moneys collected by Hawaii's electric utilities from their ratepayers through a demand-side management surcharge be transferred to the commission for deposit into the Hawaii low-income home energy assistance program special fund established pursuant to section 346-B."

     SECTION 3.  Chapter 346, Hawaii Revised Statutes, is amended by adding two new sections to be appropriately designated and to read as follows:

     "§346-A  Hawaii low-income home energy assistance program; established.  (a)  There is established the Hawaii low-income home energy assistance program.  Subject to available funds, the program shall assist eligible low-income households with their energy costs, bill payment assistance, energy crisis assistance, weatherization, and energy-related home repairs.

     (b)  Any current beneficiary of the supplemental nutrition assistance program shall qualify for the program; provided that the department may expand qualifications for the program based upon available funds.

     (c)  The department shall require recipients of funds from the program to participate in an energy audit of their home within two years of the first assistance received under the program.

     (d)  The department shall adopt rules pursuant to chapter 91 for purposes of this section, including:

     (1)  Determining the levels of assistance based upon income and household size; and

     (2)  Required energy efficiency improvements that a recipient of funds shall complete to qualify for further participation in the program.

     §346-B  Hawaii low-income home energy assistance program special fund.  (a)  There is established the Hawaii low-income home energy assistance program special fund into which shall be deposited:

     (1)  Appropriations made by the legislature to the fund;

     (2)  Moneys assessed and deposited into the special fund pursuant to section 269-   ;

     (3)  All contributions from public or private partners;

     (4)  All interest earned on or accrued to moneys deposited in the special fund; and

     (5)  Any other moneys made available to the special fund from other sources.

     (b)  Moneys in the fund shall be expended by the department for the Hawaii low-income home energy assistance program."

     SECTION 4.  There is appropriated out of the general revenues of the State of Hawaii the sum of $          or so much thereof as may be necessary for fiscal year 2025-2026 and the same sum or so much thereof as may be necessary for fiscal year 2026-2027 for deposit into the Hawaii low-income home energy assistance program special fund.

     SECTION 5.  There is appropriated out of the Hawaii low‑income home energy assistance program special fund the sum of $          or so much thereof as may be necessary for fiscal year 2025-2026 and the same sum or so much thereof as may be necessary for fiscal year 2026-2027 for the Hawaii low-income home energy assistance program.

     The sums appropriated shall be expended by the department of human services for the purposes of this Act.

     SECTION 6.  In codifying the new sections added by section 3 of this Act, the revisor of statutes shall substitute appropriate section numbers for the letters used in designating the new sections in this Act.

     SECTION 7.  New statutory material is underscored.

     SECTION 8.  This Act shall take effect on July 1, 2025.

Report Title:

Energy Bill Assistance; DHS; Hawaii Low-income Home Energy Assistance Program; PUC; Appropriation

Description:

Establishes the Hawaii low-income home energy assistance program within the Department of Human Services to assist low-income households in paying their energy bills.  Requires the Public Utilities Commission to assess ratepayers a percentage fee to fund the program.  Appropriates moneys.

The summary description of legislation appearing on this page is for informational purposes only and is not legislation or evidence of legislative intent.

STAND. COM. REP. NO.  1475

Honolulu, Hawaii

                , 2025

RE:   S.B. No. 191

      S.D. 1

      H.D. 1

Honorable Nadine K. Nakamura

Speaker, House of Representatives

Thirty-Third State Legislature

Regular Session of 2025

State of Hawaii

Madame:

     Your Committee on Consumer Protection & Commerce, to which was referred S.B. No. 191, S.D. 1, H.D. 1, entitled:

"A BILL FOR AN ACT RELATING TO ENERGY ASSISTANCE,"

begs leave to report as follows:

     The purpose of this measure is to:

     (1)  Establish and appropriate funds for the Hawaii Home Energy Assistance Program to assist eligible households in paying for their energy bills; and

     (2)  Require the Public Utilities Commission Public Benefits Fee Administrator to provide certain information and assistance to recipients of the Program.

     Your Committee received testimony in support of this measure from the Department of Commerce and Consumer Affairs; Department of Human Services; Public Utilities Commission; City and County of Honolulu Office of Climate Change, Sustainability and Resiliency; Hawaiian Electric; Hawaiʻi Workers Center; Catholic Charities Hawaiʻi; Coalition Earth; Hawaiʻi Climate Change and Health Working Group; Hawaiʻi Energy; Ohana Unity Party; and four individuals.  Your Committee received comments on this measure from Tax Foundation of Hawaii.

     Your Committee finds that Hawaii households face significant energy burden.  In 2024, over twenty percent of households in the State reported foregoing critical expenses such as food or medicine to pay their energy bill in full.  The State ranked fifth in the nation for highest average household electricity burden.  Furthermore, households living below the federal poverty level spent approximately twenty percent of their income on electricity costs, over nine times higher than the state average.  Relatedly, disconnections rates have more than doubled from approximately five thousand nine hundred in 2018 to roughly twelve thousand eight hundred in 2023.

     Your Committee further finds that the existing federal program for Low Income Home Energy Assistance Program (LIHEAP) remains woefully inadequate for the State's needs.  Despite having the nation's highest household electricity costs, the State receives the lowest LIHEAP funding nationwide, as the funding formula heavily favors states with high heating needs.  Only about six percent of federally income-eligible households have received LIHEAP heating assistance over the past four years.  This measure addresses this gap in assistance by establishing a state program to assist eligible households in paying for their energy bills.

     Your Committee respectfully requests your Committee on Finance, should it deliberate on this measure, to consider an appropriation amount of $5,000,000.

     As affirmed by the record of votes of the members of your Committee on Consumer Protection & Commerce that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 191, S.D. 1, H.D. 1, and recommends that it be referred to your Committee on Finance.

Respectfully submitted on behalf of the members of the Committee on Consumer Protection & Commerce,

STAND. COM. REP. NO.  1245

Honolulu, Hawaii

                , 2025

RE:   S.B. No. 191

      S.D. 1

      H.D. 1

Honorable Nadine K. Nakamura

Speaker, House of Representatives

Thirty-Third State Legislature

Regular Session of 2025

State of Hawaii

Madame:

     Your Committees on Energy & Environmental Protection and Human Services & Homelessness, to which was referred S.B. No. 191, S.D. 1, entitled:

"A BILL FOR AN ACT RELATING TO ENERGY ASSISTANCE,"

beg leave to report as follows:

     The purpose of this measure is to:

     (1)  Establish and appropriate funds for the Hawaii Home Energy Assistance Program to assist eligible households in paying for their energy bills; and

     (2)  Require the Public Utilities Commission Public Benefits Fee Administrator to provide certain information and assistance to recipients of the Program.

     Your Committees received testimony in support of this measure from the Department of Commerce and Consumer Affairs; Department of Human Services; Public Utilities Commission; Hawaiian Electric; Catholic Charities Hawaiʻi; Life of the Land; Hawaiʻi Energy; Hawaiʻi Workers Center; Hawaii Climate Change and Health Working Group; Coalition Earth; Ohana Unity Party; and four individuals.  Your Committees received comments on this measure from Tax Foundation of Hawaii.

     Your Committees find that Hawaii's high electricity rates create a financial burden for many residents, particularly low-income households.  Existing energy assistance programs serve only a small fraction of eligible families due to limited funding and outdated federal allocation formulas.  This measure expands financial support options to cover rising energy costs.

     Your Committees have amended this measure by:

     (1)  Changing the appropriation to an unspecified amount;

     (2)  Changing the number of positions established to unspecified numbers;

     (3)  Changing the effective date to July 1, 3000, to encourage further discussion; and

     (4)  Making technical, nonsubstantive amendments for the purposes of clarity, consistency, and style.

     Your Committees respectfully request your Committee on Finance, should it deliberate on this measure, to consider:

     (1)  An appropriation amount of $5,000,000; and

     (2)  One full-time equivalent (1.0 FTE) position and two full-time equivalent (2.0 FTE) temporary positions.

     As affirmed by the records of votes of the members of your Committees on Energy & Environmental Protection and Human Services & Homelessness that are attached to this report, your Committees are in accord with the intent and purpose of S.B. No. 191, S.D. 1, as amended herein, and recommend that it pass Second Reading in the form attached hereto as S.B. No. 191, S.D. 1, H.D. 1, and be referred to your Committee on Consumer Protection & Commerce.

Respectfully submitted on behalf of the members of the Committees on Energy & Environmental Protection and Human Services & Homelessness,

STAND. COM. REP. NO. 870

Honolulu, Hawaii

RE:    S.B. No. 191

       S.D. 1

Honorable Ronald D. Kouchi

President of the Senate

Thirty-Third State Legislature

Regular Session of 2025

State of Hawaii

Sir:

     Your Committees on Commerce and Consumer Protection and Ways and Means, to which was referred S.B. No. 191, S.D. 1, entitled:

"A BILL FOR AN ACT RELATING TO ENERGY ASSISTANCE,"

beg leave to report as follows:

     The purpose and intent of this measure is to:

     (1)  Establish the Hawaii Home Energy Assistance Program within the Department of Human Services to assist qualifying households in paying their energy bills;

     (2)  Require the Public Utilities Commission Public Benefits Fee Administrator to provide certain assistance to recipients of the Program;

     (3)  Establish positions; and

     (4)  Appropriate funds.

     Your Committees received testimony in support of this measure from the Department of Commerce and Consumer Affairs; Department of Human Services; Public Utilities Commission; City and County of Honolulu Office of Climate Change, Sustainability and Resiliency; Hawaiian Electric; Catholic Charities Hawaiʻi; VEIC; Hawaiʻi Energy; Climate Change and Health Working Group; and five individuals.

     Your Committees received comments on this measure from the Tax Foundation of Hawaii.

     Your Committees find that Hawaii's electricity rates are amongst the highest in the nation and the number of electric utility customers in arrears and facing disconnections has grown since before the COVID-19 pandemic.  Approximately eleven percent of households in the State are below the Federal Poverty Line and spend nearly twenty percent of their income on electricity costs, which is more than nine times greater than the statewide average.  The high energy burden and other increases in the cost of living have led to utility disconnections, doubling in the last five years.  This measure will provide immediate relief to the State's most vulnerable families and create a more equitable energy assistance framework to reduce utility disconnections and their associated societal costs.

     As affirmed by the records of votes of the members of your Committees on Commerce and Consumer Protection and Ways and Means that are attached to this report, your Committees are in accord with the intent and purpose of S.B. No. 191, S.D. 1, and recommend that it pass Third Reading.

Respectfully submitted on behalf of the members of the Committees on Commerce and Consumer Protection and Ways and Means,

STAND. COM. REP. NO. 148

Honolulu, Hawaii

RE:    S.B. No. 191

       S.D. 1

Honorable Ronald D. Kouchi

President of the Senate

Thirty-Third State Legislature

Regular Session of 2025

State of Hawaii

Sir:

     Your Committee on Health and Human Services, to which was referred S.B. No. 191 entitled:

"A BILL FOR AN ACT RELATING TO ENERGY ASSISTANCE,"

begs leave to report as follows:

     The purpose and intent of this measure is to:

     (1)  Establish the Hawaii Low-Income Home Energy Assistance Program within the Department of Human Services to assist low-income households in paying their energy bills;

     (2)  Require the Public Utilities Commission to assess ratepayers a percentage fee to fund the program; and

     (3)  Appropriate funds.

     Your Committee received testimony in support of this measure from the Public Utilities Commission, Hawaiʻi Energy, and Catholic Charities Hawaiʻi.

     Your Committee received comments on this measure from the Department of Budget and Finance; Division of Consumer Advocacy of the Department of Commerce and Consumer Affairs; Department of Human Services; Hawaiian Electric; and Tax Foundation of Hawaii.

     Your Committee finds that the State's electricity rates are amongst the highest in the nation and the number of electric utility customers in arrears and facing disconnections have grown since before the COVID-19 pandemic.  Your Committee further finds that the current federal Low-Income Home Energy Assistance Program (LIHEAP), which provides assistance to families nationwide via a one-time payment to help with energy costs, unfortunately has limited reach in the State, which received only 0.14 percent of federal LIHEAP funds in fiscal year 2021-2022, which is roughly half of the next-lowest state.  To address this issue, this measure as introduced, establishes the state-level Hawaii Home Energy Assistance Program to supplement the support the State's low-income households currently receive from the federal-level LIHEAP.

     Your Committee has heard the concerns raised in testimony, including the questions regarding the requirement that electric utility ratepayers pay additional surcharges to fund the proposed program with revenue from a demand-side management surcharge, as proposed by this measure, as introduced.

     Your Committee understands these concerns and notes that S.B. No. 994, Regular Session of 2025, also proposes to establish an energy assistance program to assist qualifying households in paying their energy bills.  Your Committee finds that the language in S.B. No. 994 is preferable because the funding for the proposed program would not be coming from surcharges to ratepayers in the State.

     Accordingly, your Committee has amended this measure by:

     (1)  Deleting its contents and inserting the language from S.B. No. 994, a substantively similar measure that:

          (A)  Establishes the Hawaii Home Energy Assistance Program within the Department of Human Services to assist qualifying households in paying their energy bills;

          (B)  Requires the Public Utilities Commission Public Benefits Fee Administrator to provide certain assistance to recipients of the program; and

          (C)  Appropriates funds to be expended by the Department of Human Services;

     (2)  Inserting an effective date of December 31, 2050, to encourage further discussion; and

     (3)  Making a technical, nonsubstantive amendment for the purposes of clarity and consistency.

     As affirmed by the record of votes of the members of your Committee on Health and Human Services that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 191, as amended herein, and recommends that it pass Second Reading in the form attached hereto as S.B. No. 191, S.D. 1, and be referred to your Committees on Commerce and Consumer Protection and Ways and Means.

Respectfully submitted on behalf of the members of the Committee on Health and Human Services,