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Sen. Grassley Initiates Support for Low Income Home Energy Assistance Program

WASHINGTON - Sen. Chuck Grassley has sent a letter to President George W. Bush asking him to consider additional assistance for the Low Income Home Energy Assistance Program (LIHEAP).

In the letter Grassley expressed concern about projections of large price increases for home heating this winter. He wrote, "it's critical that we respond to the spike in energy prices and projected increases in home heating costs and provide the necessary emergency funds to help America's neediest citizens."

"Hurricane Katrina disrupted our nation's energy supply and its impact could cause serious hardship for America's elderly and low-income residents. Additional LIHEAP funds are crucial to make sure Iowans don't have to choose between heating their home and other necessities this winter," Grassley said.

The following is a copy of the letter.

September 16, 2005

The Honorable George W. Bush
President of the United States
The White House
1600 Pennsylvania Avenue, NW
Washington, D.C. 20500

Dear President Bush:

Hurricane Katrina has disrupted the lives of millions. Families have lost loved ones, and thousands are without homes or livelihoods. We must all take action to provide the relief and support necessary to those affected by this horrible tragedy. Helping the victims of this hurricane disaster should be our highest priority.

Moreover, the effects of Hurricane Katrina will be felt around the county this fall and winter due to soaring prices for home-heating fuels. As the Administration continues to address the urgent need in the Gulf coast region, I respectfully request that you include additional funds for the Low Income Home Energy Assistance Program in the upcoming supplemental appropriations request.

As you know, the Gulf coast region is a major supply center of oil and gas for the entire United States. This region accounts for 29 percent of U.S. crude oil production, 47 percent of U.S. oil refining capacity, and 10 percent of U.S. natural gas production. As of today, more than 56 percent of the Gulf oil production and 35 percent of natural gas production is shut in.

While traveling to the region recently, Energy Secretary Bodman noted that there is great concern about the production of natural gas, and that some of the region�s production may suffer for months. Secretary Bodman publicly commented that this winter will be very tough for American homeowners.

The Energy Information Agency projects that average heating oil prices will be approximately 31 percent higher this winter compared to the 2004-2005 winter. Families who use propane for winter heating can expect an increase of 40 percent compared to last winter. Even more startling is EIA's projected increase in natural gas prices for the central portion of the U.S. Residential expenditures for natural gas are expected to increase by 71 percent in the Midwest.

Simply put, the lasting impact of Hurricane Katrina on our nation's energy supply is projected to cause serious hardship for America's elderly and low-income residents. I know you agree that no one in our great nation should be forced to choose between paying for food and medicine or heating their home. For this reason, it's critical that we respond to the spike in energy prices and projected increases in home heating costs and provide the necessary emergency funds to help America's neediest citizens.

It is my hope that as your Administration begins consideration of a supplemental appropriations request you will seriously consider a substantial request for the Low Income Home Energy Assistance Program. We have an obligation to provide additional emergency funds in vital, urgent and unforseen situations. The lingering effects of Hurricane Katrina on the affordability of our nation's energy certainly meet these criteria.

Thank you for your consideration of this request, and I look forward to hearing from you.

Sincerely,

Charles E. Grassley
United States Senator

cc: The Honorable Joshua B. Bolton
Director, Office of Management and Budget

The Honorable Michael O. Leavitt
Secretary of Health and Human Services

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For more information on items in this section, please contact Ann Foster at 515-727-8945 or afoster@iowarec.org.

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