By Sheila Oliver and Joseph L. Fiordaliso
Over the past seven months, New Jersey has lost nearly 14,600 lives and thousands more are reeling from an unprecedented health and economic disaster. From the moment COVID-19 arrived on our doorstep, Gov. Phil Murphy and the rest of New Jersey worked together to try as much as possible to mitigate the crisis. Unemployment benefits were extended, and evictions postponed. To ensure no one was left without heat, water or electricity due to an inability to pay, we worked with the utility companies to voluntarily halt shut-offs and to promote assistance programs.
We thank the utility companies for working with the administration on the moratorium on service shutoffs and for extending it again last month through at least March 15. Governor Murphy’s Executive Order applies to all gas, electric and water utilities in New Jersey, public and private, and protects against Internet service shut-off in homes with school-age children.
Yet this peace of mind comes with a risk, as residents may ultimately find themselves facing a significant outstanding balance in the spring. We know that with incomes affected by the pandemic, more people are facing economic turmoil than ever. Since March, more than 1.6 million New Jerseyans have filed for unemployment. Some individuals and families may find themselves behind on their utility bills for the very first time.
For that reason, we are encouraging residents to act now to ensure their balances are reduced long before March arrives. The first step to get help is to call your utility company and ask about setting up a Deferred Payment Agreement, or “DPA,” and ask what financial assistance programs the company offers. Especially if your income has been affected by the pandemic, you may be newly eligible for aid.
DPAs allow residents to make gradual payments over the course of up to two years with no down payment required. If a customer is in danger of having their service shut off, or their utility does not offer a DPA, they should call the New Jersey Board of Public Utilities at 800-624-0241 or file an inquiry online.
The second step is to seek help from one of the many assistance programs offered through state agencies like the New Jersey Department of Community Affairs or the state Board of Public Utilities. Benefits can range from income-based financial relief on energy and water bills, to free upgrades that make your home more efficient, thus lowering monthly energy burdens and improving the home’s comfort and safety.
These programs offer financial aid for households of up to New Jersey’s median income, or $123,430 for a family of four. They’ve helped tens of thousands of families over the years and can help residents manage their bills while the utility companies keep critical services flowing. In many cases, these assistance programs have had their budgets expanded and those program funds are available now. Waiting to apply could be like leaving money on the table.
The Low Income Home Energy Assistance Program (LIHEAP), for example, helps eligible residents pay their heating and medically necessary cooling bills, and this year it received an additional $26.3 million from the CARES Act. Last year, LIHEAP supported more than 200,000 New Jersey households. This year, program administrators are standing by to help many more.
Similarly, the Universal Service Fund (USF) gives residents up to $1,800 per year toward their energy bills. It’s had its budget increased this year, as well, and enrollment since the 2020-2021 application period opened on Oct. 1 has already exceeded 80,000 households. Given that last year’s total enrollment was 148,000, we anticipate that this year’s demand for the program will far exceed last year’s participation.
Residents should not wait until March to take advantage of these support mechanisms. You can find out if you qualify for state energy assistance programs by completing DCA’s anonymous online screening tool, “DCAid,” or by visiting the Board of Public Utilities’ assistance programs page. Another resource is NJ211, which provides information about local programs.
COVID-19 has left an irreversible impact on our nation that is sure to affect us for months and years to come. As we dig out of this crisis together, let’s ensure that New Jersey residents take advantage of the support mechanisms that are in place now.
We urge those with past-due balances to get in touch with your utility and the state assistance programs as soon as possible, to ensure you get the relief you need.
Sheila Oliver is New Jersey’s lieutenant governor and commissioner of the Department of Community Affairs (DCA). Joseph L. Fiordaliso is president of the New Jersey Board of Public Utilities (NJBPU).
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