Silver To Governor: Need To Act Now To Address
Home Heating Crisis For New Yorkers This Winter

Assembly Proposal Includes $550 Million for Home Energy Assistance Program, $250 Million for Conservation; Funds Would Come From Tax on Big Oil Companies

Assembly Speaker Sheldon Silver has called on Governor David Paterson to join the Assembly to act now to address a home heating crisis for New Yorkers this winter.

"We are quickly approaching a severe home heating crisis in our state. I cannot overstate the magnitude of this problem, which will impact millions of New Yorkers in the coming winter," Silver wrote in a July 18 letter to the Governor. He noted that the price of home heating oil has risen 75.5 percent in the past year.

The Assembly Majority developed a comprehensive plan to address the crisis, including:

• $550 million to enhance the Home Energy Assistance Program (HEAP), so that the program can raise the income eligibility level to 80 percent of median family income from the current 60 percent. Under this proposal, a family of four would be eligible for HEAP assistance if household income was up to $55,500, instead of the current $41,600.
• $250 million for energy conservation measures, including weatherization and home energy efficient programs.
• the plan was approved by the Assembly in June.

Funding for the plan would be generated through:

• A two percent gross receipts tax on large oil companies, which are currently experiencing a huge growth in revenues.
• A retroactive measure to recapture windfall profits from when sales tax on gasoline was capped at two dollars in 2005.
• Prohibiting oil companies from passing along the additional costs to consumer through increases in prices.

Silver noted that President Bush is calling for a $570 million cut in federal support for HEAP. Under the President's proposal, New York State would lose over $70 million.

"I know you are aware of the severity of the problem and recognize the need for action," Silver wrote to Governor Paterson. "We should work together to meet our obligation to address this issue."

View letter from Speaker Silver to Governor Paterson