The Heating and Cooling Relief Act expands federal assistance for low-income households struggling with energy costs, addressing the fact that eligible families spend three times more of their income on energy than other households yet receive minimal help—only 18% getting heating assistance and less than 3% receiving cooling support. The bill increases annual LIHEAP funding from $2 billion to an open-ended appropriation of at least $2 billion starting in 2026, plus $1 billion annually for new cooling assistance, while expanding eligibility to households earning up to 250% of the poverty level or 80% of state median income. It simplifies enrollment by allowing self-attestation for eligibility verification and eliminating citizenship requirements, and requires utilities receiving program funds to waive late fees for six months before and after assistance, prohibit service shutoffs for two years following aid, and offer affordable payment plans. The bill also establishes a new three-year grant program to help low-income families reduce energy consumption while transitioning away from fossil fuels, and includes reporting requirements and protections preventing utility companies from passing assistance costs to other customers.
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