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Chapter: 2400 Budgeting Income Program: FS 9 2. receive direct or indirect assistance greater than $20 annually under the Low Income Home Energy Assistance Act (LIHEAP); or 3. live in private rental housing and are billed by their landlords on the basis of individual usage or are charged a flat rate separately from their rent for heating or cooling.

An assistance group, which incurs a heating or cooling expense on an irregular basis, may continue to use the standard utility allowance between billing periods. For example, an assistance group who heats with electricity three months a year is allowed the standard utility allowance year-round. An assistance group who buys fuel oil once a year to heat is allowed the standard utility allowance year-round.

A cooling expense is a verifiable utility expense related to the operation of air conditioning systems or room air conditioners.

Note: If the assistance group has only one utility expense and that utility is for heating and cooling, they may receive the SUA. 2410.0345 Basic Utility Allowance (FS) The basic utility allowance (refer to Appendix A-1) is available to assistance groups who do not incur a heating or cooling expense, but incur at least two utility expenses, separate and apart from their rent or mortgage. This includes:

1. households who do not incur heating or cooling costs but pay for other utilities such as electric, fuel, water, sewer, telephone, or garbage pickup, 2. residents of rental housing who are billed for actual usage or are billed a flat rate for utilities (other than heating or cooling) separately from their rent, and 3. households who share a meter but do not incur heating or cooling costs. 2410.0346 Telephone Standard (FS) The telephone standard (refer to Appendix A-1) is available to assistance groups who have only a telephone expense. If an assistance group wishes to use either the standard utility allowance or the basic utility allowance, a separate telephone allowance is not allowed. 2410.0347 Expectation of Utility Expenses (FS) An assistance group expecting to incur a utility expense within the next 12 months will be allowed the appropriate utility standard. Under these circumstances, entitlement to the disregard may be verified by documenting the assistance group's past pattern of energy use. This can be done by documenting the assistance group has the ability to incur expenses which will entitle it to a deduction. For example, an assistance group that does not incur a heating expense, but does use an air conditioner in the summer months is eligible for the standard utility allowance year- round. If the assistance group has moved and has not established a pattern of energy use, the eligibility specialist will verify whether or not the assistance group is entitled to a utility allowance based on their ability to incur a qualifying utility expense in the next 12 months. Proof of a deposit to a utility company is acceptable verification that the assistance group has the ability to incur a utility expense. The AG should verify the utility that entitles them to the SUA. 2410.0348 Changes between Different Utility Allowances (FS) An assistance group's eligibility for a particular utility allowance should reflect changes in the assistance group's circumstances. For example, if an assistance group reports they no longer incur a heating or cooling expense, but still have at least two utility expenses, the eligibility specialist will replace the standard utility allowance with the basic utility allowance. If questionable, the AG may be required to verify that they incur a utility expense.