Michigan Low Income Need Help Paying Utility Bills All Year Long

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Michigan Department of Human Services busts myth: Need only strikes in winter
Low-income households face utility shut-off notices year-round

Contact:  Edward Woods III, Office of Communications director, 517-373-7394

June 16, 2010

TRAVERSE CITY, Mich. - Michigan's troubling economic climate has caused an unprecedented number of families to seek help putting food on their tables or paying their bills. But that hardship is not just happening in the winter. Low-income residents are also facing utility shut-off notices in the summer - situations that put them and their families at risk when the temperatures rise. This is just one of the many myths that are tarnishing the purpose of the welfare system, which is why the Michigan Department of Human Services is continuing its statewide campaign in Traverse City to bust those myths with facts, Director Ismael Ahmed said today.

"Those myths have caused a stigma that may prevent some people who truly need help, especially families with young children and the elderly, to come forward," Ahmed said. "We want to put an end to that because the safety net helps families get back on their feet."

DHS representatives and partners dispelled myths at the event today as part of the department's "Welfare 101: busting myths about welfare" campaign. The campaign was launched April 1 in an effort to reduce widespread negative perceptions and show how valuable the welfare system is for so many Michigan residents, as well as to the state's economy.

Among the myths busted during today's event:

Myth: People only need assistance with their utility bills in the winter.

Fact: Need doesn't only strike when the temperatures dip. Low-income residents need help paying their energy bills year-round.

In June, DHS launched a new online application for energy-related State Emergency Relief (SER) to increase access to low-income residents who are in need year-round.

The SER program provides immediate help to individuals and families facing conditions of extreme hardship or for emergencies that threaten health and safety. It's designed to maintain low-income households normally able to meet their needs, but that occasionally need help when unexpected emergencies arise.

In April, the DHS handled more than 29,000 energy-related SER cases statewide, totaling more than $12.8 million in payments.

The online application is available at www.michigan.gov/mibridges for eligible low-income residents who have had their utilities shut off, are facing a shut off, or are low on fuel, such as oil, propane or coal.

Nearly 200 community partners statewide have computers people case use to access the application, which adds to the 60 computer stations DHS has in about 30 offices.

"Energy assistance programs are a vital lifeline for older adults faced with the crippling costs of health care insurance, the rising price of energy, and the cruel choice of whether to eat today or take their medicine," said Dr. Stuart White, consultant with Michigan's Coordinated Access to Food for the Elderly (MiCafe). "Aging in Michigan should be an opportunity to thrive with dignity and independence after a valued lifetime. It should not be the pathway to poverty."

"It's unfortunate that this economy has caused some people to go without -- food, jobs and even energy," said Tammy Squires, energy use advisor with Cherryland Electric Cooperative. "Luckily, there are state and local programs willing to help out in an emergency."

Additionally, she said, there are several, small cost-cutting measures people can take that can lessen the burden on their wallets. For example, changing out incandescent lights to compact florescent lights will lower lighting costs and they give off less heat, which results in lowering the cost of cooling your home during the summer months.

Today, the need is great and DHS welfare programs can ease the burden on a temporary basis, said Barbara Anders, DHS' financial and quality services deputy director.

She agreed with the need to educate people about these programs. "It's more important than ever before to do your part to educate the skeptics," she said. "Be vigilant and make sure you don't fall into this trap of believing the myths yourself."

DHS officials anticipate the online energy assistance applications will be as successful as its online food assistance application, which has garnered more than 106,000 applicants since the option was launched in August 2009. The effort has successfully increased access to food and created an economic impact through clients' buying power.

Already, almost 1.8 million people in Michigan receive food assistance - a figure that's growing by about 30,000 people per month. The additional direct food benefits put into communities have a local economic impact because every $5 in food benefits generates about $9.20 in economic activity in communities, according to U.S. Department of Agriculture estimates.

To raise awareness about the new online application, the department and energy companies will run radio spots and newspaper ads this summer.

The message? "If you're having trouble paying your energy bills, don't sweat it," Ahmed said. "You may qualify for emergency energy assistance."

Partners in attendance: Michigan's Coordinated Access to Food for the Elderly; Cherryland Electric Cooperative; Northwest Michigan Community Action Agency; Northwest Michigan Works!; Traverse Bay Area Intermediate School District; Child & Family Service of Northwest Michigan; Leelanau Family Coordinating Council; Grand Traverse DHS board members; Poverty Reduction Initiative; Goodwill Industries; Area Agency on Aging of Northwest Michigan; Northwest Michigan College; Faith Reformed Church; Child & Family Services; Michigan Prison Reentry Initiative; and United Way of Northwest Michigan.

For the truth about welfare, please visit the DHS website at www.michigan.gov/welfare101. Follow DHS on Twitter @MichiganDHS or become a fan at www.facebook.com/MichiganDHS