In Partnership with Utilities
The authorizing language for LIHWAP required that program funds be paid directly to owners or operators of public water systems or treatment works on behalf of households enrolled in the program. Thus, forming partnerships with water and wastewater utilities was essential for LIHWAP’s success. This was no small feat given that there are over 50,000 water and wastewater utilities serving households across the U.S.
Forming partnerships with water utilities was also challenging given that the number of households served by utilities range from four households to three million, and administrative capacity varies greatly with each utility. Grant recipients conducted outreach to inform utilities of LIHWAP and to enter into vendor agreements with them. Some utilities quickly signed on to participate in LIHWAP while others were hesitant to sign agreements, usually due to the temporary nature of the program or their own lack of capacity. Most U.S. water systems are small systems with small administrative staffs.
A majority of the utility companies that responded to the LIHWAP Utility Affordability Survey had less than five administrative staff, and 54.5% had less than three administrative staff.[23] These staff oversee all system operations to ensure the production of violation-free drinking water as they face increasing costs, aging infrastructure, and rising regulations. This leaves many small systems with limited capacity.
OCS received feedback that requiring a formal vendor agreement would reduce some vendors’ willingness to participate in the program. To alleviate administrative burden, OCS provided guidance on how water utilities can participate without a formal agreement. OCS also developed many outreach resources for grant recipients to use in their ongoing effort to increase water utility participation. By program closeout, LIHWAP grant recipients worked with 16,863 utilities to deliver LIHWAP benefits, including rural and tribal utilities.
Grant recipients and OCS partnered with other organizations to conduct outreach to utilities and encourage participation in LIHWAP. Several water associations, advocacy groups, and government partners provided valuable support. In Ohio, the state EPA, a trusted source of information for utilities, sent out the state’s implementation plan to inform and gather feedback from all utilities in the state. This helped foster communication with over 4,800 Ohio utilities and built relationships and trust from the beginning.[24]
Through LIHWAP, grant recipients and local agencies formed new and lasting partnerships with utilities. Outreach efforts were bolstered by utilities that worked with LIHWAP administrators to send bill inserts to customers and host local application events. Utilities also leveraged their existing relationships with customers to increase participation in LIHWAP by identifying those in need of bill assistance and referring them to local agencies.
As a larger state, California has almost 3,000 water and wastewater utilities. Throughout the administration of their program, the California Department of Community Services and Development (CSD) prioritized outreach and enrollment of utilities. CSD contracted with a direct payment coordinator to engage and enroll utilities in the LIHWAP payment management system that allowed them to receive payments on behalf of households.
Local agencies also worked to build relationships with utilities. One agency took application appointments at a utility twice a month. This proved to be a successful approach, and the local agency spent all their benefit dollars in record time. CSD continued to work with utilities regularly and conducted multiple regional outreach events with local agencies and utilities.
The Arizona Department of Economic Security (AZ DES) stood up a bulk payment program with the Tucson Water Department to ease the administrative burden for the utility and households in need of assistance. AZ DES created an online form for Tucson Water Department staff to gather information determining LIHWAP eligibility for customers. Tucson Water Department call center staff used this form to conduct intake for customers. The information gathered was then reviewed by AZ DES staff in order to approve and issue benefits on behalf of eligible households.
By supporting households in need, LIHWAP was also able to provide relief to utilities struggling to fund operations. By the end of the program, LIHWAP grant recipients had expended nearly the entire program allotment, and at least 85% of those funds went directly to paying utilities on behalf of customers.[25]
Total amount expended by LIHWAP grant recipients:
“We certainly have seen a decrease in our overall delinquencies. Putting money in our pocket allows us to continue to operate the utilities. It allows us to meet ongoing maintenance needs and repairs and upgrades … [LIHWAP] has definitely benefited us.”
Carol Dawes, City Clerk and Treasurer, Barre City, Vermont
"In a city where every drop counts, the LIHWAP Program emerged as a beacon of support for residents grappling with rising living costs and the loss of employment during COVID-19. By reducing the burden of monthly water bills, it empowered households to prioritize essentials and invest in their futures, ensuring equitable access to this fundamental resource."
Tranane Harris, Energy Program Specialist, Utility Affordability Administration, Utility Assistance Division, Department of Energy & Environment, Washington, D.C.
“It’s a very poor area and its always a struggle because of the income base of the people we are serving. We barely do keep our heads above water. Sometimes we can’t make our minimum reserve payments. It’s a struggle for us to make debt service payments we do have.”
Mark Lewis, General Manager, Letcher County Sewage and Water District, Kentucky
“Great Basin Water Company has been proud to partner with the Nevada HHS team on the LIHWAP program. The process of administering the program was smooth and highly effective. The Nevada program has helped many of our customers stay current on their bills the past two years, and the company has seen its collections not only stabilize but actually improve over this time. We remain hopeful that the program will continue in the future and support our customers who need assistance.”
Great Basin Water Company, Nevada LIHWAP vendor
Water Utility Participation in LIHWAP
LIHWAP worked with partnering organizations to develop an interactive map showing the locations of all public community water systems (CWSs) in the United States, with filters for LIHWAP participation, ownership type, state, and utility size.[26] There are over 50,000 CWSs in the country. 14,935 LIHWAP-participating utilities are included on the Vendor Visualization Map, which is described below.
The Vendor Visualization Map is a tool that can be used to visually identify utilities participating in LIHWAP; obtain socioeconomic data about areas served by a subset of utilities; and identify characteristics of utilities participating or not participating in LIHWAP. The tool includes data linked from the American Community Survey (ACS 2021) at the county level, based on the address of the utility. Data are displayed as points on the map, in a separate data table, and as indicators summarizing poverty, median income, and Area Deprivation Index.[27]
Note that some sociodemographic information is missing for utilities without adequate geographic data (who could therefore not be matched to ACS data). Geographic data is occasionally missing from the main repository of water utility information, the EPA‘s Safe Drinking Water Information System, particularly for tribes. Many tribal utilities are not shown on the map for the same reason.
Table: Characteristics of LIHWAP-Participating and Non-Participating Utilities
Access the Vendor Visualization Map and Dashboard to explore more water utility data.