Establishing the percentage of income payment plan program to be administered by the department of health and human services

This bill establishes the percentage of income payment plan program (PIPP). The bill defines “arreared amount” as an individual’s unpaid balance with a utility company as noted by the department of health and human services (HHS) when the individual becomes enrolled in PIPP, minus any amounts HHS has contributed toward the payment of the noted unpaid balance. The bill also defines “percentage of income payment plan program”, “program”, and “utility company”. The bill requires HHS to establish and administer PIPP. PIPP shall be available to each individual who qualifies for the low-income home energy assistance program (LIHEAP), and an individual who is enrolled in PIPP shall not receive benefits from the LIHEAP. The bill requires each utility company to cease collection of each unpaid balance for an individual enrolled in PIPP until the individual is discharged from the program. Interest shall not accrue on the unpaid balances, and upon an individual’s discharge from PIPP, any amount remaining in the individual’s arreared amount shall become immediately due. The bill requires, upon HHS’s approval to enroll or reenroll an individual in PIPP, HHS to note the unpaid balances the individual has with each utility company as the individual’s starting arreared amount and develop a payment plan for the individual based on the individual’s annual gross income. The payment plan shall require the individual to pay a percentage of the individual’s gross monthly income toward the individual’s electric and gas utility bills.4 percent of the individual’s gross monthly income. When HHS receives a monthly payment from an individual pursuant to the individual’s payment plan, the bill requires HHS to pay the balance of the individual’s electric and gas utility bills for the month for which the individual made payment, and pay an amount equal to that amount paid under the payment plan toward the individual’s arreared amount. If the individual has unpaid balances with more than one utility company, the payment shall be divided equally between each utility company. The bill requires an individual to apply for reenrollment in PIPP within one calendar year of the date HHS approves the individual’s reenrollment in PIPP. The bill requires HHS to adopt rules to administer PIPP, including but not limited to standards for when an individual shall be discharged from PIPP, and graduated scales for an individual’s monthly payments based on the individual’s gross monthly income.