By Cory Wilson, Regulatory & Environmental Manager
Cloverland Electric Cooperative, in conjunction with other electric utilities in Michigan, will now fund the Low-Income Energy Assistance Fund (LIEAF) for its members as required by the Michigan Public Service Commission (MPSC). LIEAF originally launched in 2013 as an optional state program but a 2024 amendment mandates all electric utilities to assess a non-by-passable surcharge to its member-customers to fund a low-income program. The MPSC sets the LIEAF rate for all utilities annually. The monthly surcharge will be $1.25 per meter for the 2025-26 heating season, effective on your September billing statement. Funds collected will be distributed to local assistance agencies to provide low-income eligible members support with electric bills.
This monthly surcharge is assessed for each retail billing meter (but not charged on more than one residential meter per residential site). The monthly charge will be consistent across all member classes and appear as a separate line item on each electric bill.
All LIEAF funds collected by Cloverland Electric are distributed to designated state agencies processing applications and distributing funds to qualified applicants. The MPSC, along with the Michigan Department of Health and Human Services (DHHS) will ensure that all money collected for LIEAF from a geographic area is returned to respective areas to the extent possible.
The goal of LIEAF is to promote:
- Statewide access to the Michigan Energy Assistance Program (MEAP) for eligible low-income members.
- Collaboration between DHHS, MPSC, energy providers and assistance program administrators to ensure that, to the extent possible, eligible low-income members in a geographic area receive funds proportional to what members in that geographic area are being assessed.
- Education and outreach on the availability of assistance programs and funding.
Cloverland members who meet low-income eligibility requirements set by the State of Michigan and its low-income programs and partner agencies may apply for financial assistance directly with those agencies to help pay their electric bill. Assistance programs and low-income guidelines will be announced prior to the heating season, typically September/October. Members can inquire directly with an assistance agency about how to apply. Payment assistance agencies are available on cloverland.com.