Low Income Weatherization

The President’s budget proposal for fiscal year 2026 eliminates funding for the Low-Income Weatherization Assistance Program (WAP) and the Low-Income Housing Energy Assistance Program (LIHEAP).   Eliminating these programs would harm not only our local communities but also the very ideals this country stands for.

For the past 22 years, as a heating, air conditioning, and insulation contractor in Arizona, I have seen firsthand the profound impact of WAP and LIHEAP.   WAP helps low-income households reduce energy bills by making homes more energy-efficient, healthier, and safer through measures like new heating and air conditioning systems, and insulation, duct sealing, … provided at no cost.    LIHEAP offers direct financial assistance to cover heating and cooling costs.  These programs safeguard individuals against economic hardship and ensure a minimum standard of living.

Recipients of these programs are carefully screened and are considered to be poor, with stringent eligibility requirements. From my experience, there has been no fraud or abuse in

Arizona. Many recipients are good people trapped by disability, illness, mental illness, or other misfortunes.   Many of these people are living on the edge.

Imagine living without having a working air conditioner this time of year in the desert Southwest. I recently received a letter from one such person, who was asking my heating and air conditioning company to help her. She said the following:

“But perhaps the most immediate and terrifying threat to my well-being right now is my home’s air conditioning system, which is not working.   You understand Arizona heat.   For me, it’s just not discomfort: it’s a direct threat to my health.   The relentless heat and the incredible stress of trying to cope with a broken AC, on top of everything else, recently sent me to the emergency room with alarming symptoms.” 

We steered this individual to a local weatherization agency for help.   She told us she had already called the agency and was informed that there was a five-month wait.    We pointed her in the direction of a few other agencies that might have been able to help her and told her we were sorry that we couldn’t afford to make the hour-long drive from our shop to assist her.   If my company helped everyone who needed help “gratis”, our business sustainability would be undermined.   Unfortunately, the amount of need in our communities is immense.

In 2024, there were 608 heat-related deaths in homes in Maricopa County, which is the County where Phoenix is located.   The Phoenix metro area regularly experiences summer temperatures over 110˚F.   These people succumbed to fatal heat stroke.   These are tragic and sadly preventable deaths.

In 2018, Stephanie Pullman, A 72-year-old woman in Phoenix, died of heat exposure in her home after her local utility cut off the power.   She lived on less than $1,000 a month on Social Security.   She attempted to pay her bill, but could not do so in full, and on September 7th, her power was disconnected.   Temperatures that day were 107˚F.    As a result of this incident, the Arizona Corporation Commission now requires utilities to avoid disconnections from June 1 to October 15, when temperatures are most dangerous.

The percentage of household income spent on home utilities is referred to as the energy burden. The typical American spends approximately 3% of their income on energy bills, whereas the typical weatherization customer spends about 14%. Households living below the 100% federal poverty line were estimated to have an energy burden of 31%.  Many of the weatherization clients we work with are those who must choose between purchasing groceries, medication, or paying their utility bills.   Imagine having to choose between skipping meals or medication to pay for a heating and cooling bill.

Approximately 27% of Americans aged 65 and older rely entirely on Social Security.   Their annual income is roughly $23,000 – $24,000.    In 2020, the average income of the WAP-eligible population was estimated to be $22,243.    For these individuals, if their heating and air conditioning system fails and cannot be repaired, they will need assistance.

A new AC system can cost, on average, approximately $8,000, with variations of several thousand dollars.  This expense alone could represent a third of your annual income.   This is why the WAP and LIHEAP programs are so important.

To be eligible for weatherization, a homeowner must have an income at or below 200% of the federal poverty guidelines.   For example, a single-person household in Arizona eligible for weatherization must have an income at or below $31,120.   Priority is often given to the elderly, disabled, and families with children.

As a result of performing weatherization for this group of Americans, every dollar counts.   There is no discretionary income.    Here are a couple of excerpts from elderly individuals whose houses we weatherized.

“Due to their improvements, my gas bill dropped from $82 to $26 the first month!   My electric bill decreased by $11 per month.   This may not seem like a lot of money to some people, but when you’re single, elderly and live on social security, it is a lot of money.”

“Omg!!  I just checked my APS bill (local utility) …   I’m used to a $500+ bill …. It’s $192!!!!!!!   Thank you, thank you,  thank you guys!!!!   (I’m in tears of joy and relief.)”   

These are just two examples of direct energy-saving benefits for the recipients.    These two recipients’ thank-you letters illustrate the significance of even a small amount of energy savings for low-income households.    The freed-up income can be used for food, healthcare, or to pay down debt.

There are also significant non-energy impacts.   Weatherization provides a more livable and comfortable environment for the elderly and young.   Improved indoor air quality can help kids with asthma.   Weatherization upgrades can lead to a reduction in the incidence of illness and hospitalization.

My coworkers and I have met many great people on weatherization jobs over the past 22 years.   The majority, if not all of them, weren’t trying to game the system.    They are genuinely appreciative of the work we perform.    I think it is fair to say that many would have preferred to pay for the work themselves rather than rely on assistance.

According to a study written in June 2020 by Oak Ridge National Laboratory, funding for weatherization comes from the DOE and LIHEAP.    States and utilities are augmenting this funding in a very substantial way.   For every dollar the DOE invests, utilities and states invest another $3.48.

The LIHEAP program, established in 1981, is a federally funded initiative that assists low-income households with the costs of heating and cooling their homes.   One in six families struggles to pay their bills, and utility debts have been the highest since 2021. The average LIHEAP grant for homeowners (and renters) is approximately $520 per year.    In 2023, LIHEAP assisted approximately 5.9 million low-income households in paying their utility bills nationwide.

Some states also use LIHEAP funds for weatherization.   I would rather see homes weatherized than have their utility bills paid down.   Paying bills down is a stopgap measure; however, it is an important one.   We need to keep people’s utilities connected.

The WAP program began in 1976. Since then, the WAP has helped improve the lives of more than 7.2 million families. The Weatherization Assistance Program weatherizes approximately 32,000 homes each year.

Researchers at Oak Ridge National Laboratory have concluded that every $1.00 invested in weatherization assistance yields $4.50 in benefits. This can be broken down into $1.72 in energy benefits and $2.78 in non-energy benefits.    The average weatherization job saves the homeowner $300 – $400 per year on utility bills.

The President’s fiscal year 2026 budget proposal would eliminate federal funding for WAP and LIHEAP, and the House is proposing a 40% reduction in spending.   As a businessman and a concerned citizen, I believe the budgets for both the WAP and LIHEAP programs should at the very least be maintained, if not increased.   There is no shortage of need in the United States.

The elimination of the Weatherization program will be a setback for my business as well as the other 8,800 people who work in weatherization throughout the country.    However, my company can pivot to other types of programs and work.   I’m more concerned about our country’s most vulnerable, who have nowhere to pivot to.

The claim of fraud and inefficiency in these programs, while true in some isolated instances, is not representative of the robust oversight in place in Arizona. My company undergoes stringent competitive bidding and strict quality control inspections that are significantly more thorough than those of any city or county.

The administration argues that its policies will drive down energy prices, eliminating the need for LIHEAP.    This is not going to happen.   All the articles I have been reading recently suggest the opposite.   The data center boom and cuts to clean energy tax breaks will likely lead to increased American energy bills over the coming years.

There is a reason why Congressman Mike Lawler (R-NY-17) and Josh Gottheimer (D-NJ-05) introduced the LIHEAP Staffing Support Act.    In Public statements, Lawler and Gottheimer argue that LIHEAP is “vital for public health and safety, but also for economic stability, as it helps prevent evictions, medical crises, and family disruptions tied to energy insecurity.”

The budgets for these two programs are less than one-twentieth of one percent of federal spending.    As a country, given the value these programs provide, I believe these are essential investments to make in our society.

As a country, do we want to turn our backs on vulnerable seniors, people with disabilities, low-income families, and children with single parents?    These people count on Weatherization and LIHEAP.    This is why I view these programs as being foundational to a healthy, functional, and decent society.

I believe none of us knowingly would want our elderly or disabled neighbors who are trying to pay their bills, to die of heat stroke in their homes because their AC is broken or the utilities were disconnected.   When my coworkers and I hear a weatherization recipient’s story, we occasionally say to ourselves, “There but for the grace of God go I.”

I ask all Senators and Congress members to protect the low-income Weatherization program and LIHEAP programs.     I’m proud of my company’s participation in these programs and that some of my tax dollars are directed towards them.   I want to live and participate in a society that looks out for its most vulnerable citizens and community members.

Mike Uniacke is the Owner of Advantage Home Performance, a licensed HVAC and Insulation company with offices in Phoenix, Tucson, and Prescott, Arizona.