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259 (07/2026) Chapter 2:Eligibility • Section 5: Financial eligibility Allowable Utility Expenses When applicants have utility expenses, they are allowed a deduction based on the utilities they incur. The filing group must be responsible for payment of the utility expense. If the filing group is unable to pay the expense and no one outside the filing group is paying it for them, the expense is considered when determining which utility deduction to allow. Utility expenses include heating and cooling, cooking fuel, electricity, water, sewer, well installation and maintenance, septic tank system installation and maintenance, garbage collection fees, and the basic service fee and taxes for one telephone including a cell phone. Heating and cooling or cooking can be with electricity, natural gas, oil, propane, wood or other fuels. If a household claims their vehicle as their home, fuel is allowed as a utility cost when it is used for heat. The receipt of energy assistance does not affect the utility deduction as long as the group will incur and be billed for heating and cooling expenses in excess of the energy assistance. Each filing group must have an identified utility bill. Utility expenses that are included in rent without being identified as separate costs cannot be considered. To be separate, the rent receipt or identified billing statement must break out each identified cost, or the filing group attests to this information (i.e., $350 rent, $50 electricity, $20 water and sewer, etc.). When a filing group has allowable utility expenses, they receive one of four standard utility allowances in the calculation of their deduction. The standard amount is set by the state and derived from the average utility expenses for households in Oregon. Applicants with allowable expenses receive one of these four allowances. There is no additional allowance for actual utility expenses in excess of the utility allowances. Utility expenses are never prorated when two or more filing groups share a residence and each pay utility expenses, or when the filing group includes ineligible members. Utility Allowances The utility allowances are based on allowable utility expenses as follows: • Full utility allowance (FUA): To be eligible for FUA, the filing group must incur the cost on a regular basis for its heating and cooling expenses.
The filing group must incur an out-of-pocket expense for the heating/cooling expenses. If the applicant is billed for their individual usage or a flat rate for heating/cooling expenses separate from the rent, FUA is allowed. Verification is not necessary unless questionable.
FUA is allowed based on the applicant’s statement that they have these expenses unless it is questionable.
All fuels (including geothermal, solar panels, wood, oil, propane, gas and electricity) are considered heating expenses if they are the primary source actually used for heating. Cooling expenses do not include portable home fans.
Wood heat is an allowed cost if the filing group purchases wood. This does not include the cost of a cutting permit, gas for a truck to haul the wood, chain saw expenses, etc.