The California Alternate Rates for Energy (CARE) program stands as a crucial support system for low-income households in California, providing significant discounts on energy bills. For eligible customers, this translates to a 30-35 percent reduction on electric bills and a 20 percent discount on natural gas bills, making energy more affordable. But a common question arises: Where Does The Care Program Get Funding From? Understanding the funding mechanism not only clarifies the program’s sustainability but also highlights the collective effort to support vulnerable communities.
Eligibility and Benefits of the CARE Program
The CARE program is designed to assist households with limited incomes in managing their energy expenses. Eligibility is primarily based on household size and total gross household income. As of June 1, 2024, households meeting the following income limits are eligible:
| Household Size | Income Eligibility Upper Limit |
|---|---|
| 1-2 | $40,880 |
| 3 | $51,640 |
| 4 | $62,400 |
| 5 | $73,160 |
| 6 | $83,920 |
| 7 | $94,680 |
| 8 | $105,440 |
| Each Additional Person | $10,760 |
Beyond income, enrollment in certain public assistance programs also automatically qualifies households for CARE. These programs include Medi-Cal, CalFresh/SNAP, LIHEAP, and others, ensuring that those already receiving aid can easily access energy bill relief.
The Funding Source: A Surcharge for Collective Support
So, where does the CARE program get funding from? The answer lies in a surcharge applied to the utility bills of customers who are not enrolled in CARE. Essentially, the CARE program is funded through a small additional charge on the energy bills of the majority of utility customers in California. This mechanism ensures a stable and consistent funding source for the program, making it possible to provide ongoing assistance to low-income households.
This funding model is mandated by the California Public Utilities Commission (CPUC). Specifically, Public Utilities Code Section 739.1 requires that electrical corporations with over 100,000 customer accounts offer the 30%-35% discount, while smaller corporations provide a 20% discount. This legislative framework ensures that the CARE program is not reliant on unpredictable government grants but is instead woven into the fabric of the state’s utility system.
Oversight and Administration
The Low-Income Oversight Board (LIOB) plays a crucial role in advising the CPUC on the energy low-income assistance programs, including CARE. Established by the California Legislature, the LIOB ensures that these programs are effective, efficient, and truly serve the needs of low-income communities. This oversight adds another layer of accountability and helps to maintain the integrity and purpose of the CARE program.
Accessing CARE and Getting Help
To benefit from the CARE program, eligible customers need to apply through their utility providers. Application forms and detailed information are readily available on the websites of California utility companies. You can also contact them directly for assistance. Here are contacts for major utilities regulated by the Commission:
| Phone Numbers and Websites for Energy Assistance Programs |
|---|
| Utility |
| PG&E |
| Edison |
| SDG&E |
| SoCalGas |
| Alpine Nat’l Gas |
| Bear Valley Elect |
| PacifiCorp |
| Liberty Utilities |
| Southwest Gas |
| West Coast Gas |
Conclusion: Sustainable Support Through Community Contribution
In conclusion, the CARE program’s funding model is a testament to community support. By understanding where does the CARE program get funding from – a surcharge on other utility customers – we can appreciate the collective effort that ensures affordable energy access for California’s low-income households. This system, overseen by the LIOB and mandated by state regulations, provides a stable and reliable source of assistance, helping to build a more equitable and sustainable energy future for all Californians. If you believe you are eligible for the CARE program, reach out to your utility provider today to explore how you can benefit from this valuable assistance.
