TITLE
Recommendation to authorize City Manager, or designee, to execute all necessary agreements and amendments to extend the contract with the State of California, Department of Community Services and Development, to provide direct credit of allocated Federal funds to the gas utility accounts of low-income Long Beach gas customers. (Citywide)
DISCUSSION
On November 11, 2014, the City Council authorized an agreement with the State of California, Department of Community Services and Development (CSD), which administers the Low-Income Home Energy Assistant Program (LIHEAP). This program assists low-income utility customers in paying their home energy (natural gas and electric) utility bills. This contract expired on April 30, 2017.
Long Beach gas utility customers apply, at no cost, to CSD to participate in LIHEAP. If approved and accepted, CSD assists customers by making a pledge and one-time utility payment directly to the City on the customer’s behalf. This payment is in-lieu of payment from the customers so there is no net revenue change to Long Beach Gas and Oil.
This matter was reviewed by Deputy City Attorney Richard F. Anthony on May 22, 2017 and by Revenue Management Officer Geraldine Alejo on May 18, 2017.
TIMING CONSIDERATIONS
City Council action to execute the Direct Payment Program contract is requested immediately to allow contributions on behalf of low-income natural gas customers in the City.
FISCAL IMPACT
There is no fiscal impact as any payments the City receives through this program are in-lieu payments that would otherwise be expected to be received from gas customers. The in-lieu payments are deposited in the Gas Fund (EF 301) in the Long Beach Gas and Oil Department (GO). There is no local job impact associated with this recommendation.
SUGGESTED ACTION
Approve recommendation.
Respectfully Submitted,
ROBERT DOWELL
DIRECTOR OF LONG BEACH GAS AND OIL
APPROVED:
PATRICK H. WEST
CITY MANAGER