# COMAR Title 07 — Department of Human Services

## Subtitle 03 — Family Investment Administration

### Chapter 22 — Electric Universal Service Program

**Authority:** Human Services Article, §§2-209 and Title 5, Subtitle 5A; Public Utilities Article, §7-512.1; Annotated Code of Maryland

**Administrative History:** Effective date:

**Administrative History:** Regulations .01—.11 adopted as an emergency provision effective July 1, 2000 (27:15 Md. R. 1391)

**Administrative History:** Regulations .01—.11 adopted effective December 11, 2000 (27:24 Md. R. 2199)

**Administrative History:** Chapter revised effective June 4, 2007 (34:11 Md. R. 971)

**Administrative History:** Chapter recodified from COMAR 07.06.22 to COMAR 07.03.22, effective June, 2009

**Administrative History:** Regulation .02B amended effective November 16, 2009 (36:23 Md. R. 1816)

**Administrative History:** Regulation .03A, B amended effective November 16, 2009 (36:23 Md. R. 1816)

**Administrative History:** Regulation .04E amended effective November 16, 2009 (36:23 Md. R. 1816)

**Administrative History:** Regulation .10B, C amended effective May 22, 2017 (44:10 Md. R. 470)

#### Regulation .01 Purpose and Scope.

*COMAR 07.03.22.01*

A. The purpose of the Electric Universal Service Program (EUSP) is to:

  (1) Provide cash assistance and weatherization services to eligible low-income Maryland residents under the Universal Service Program provisions of The Electric Competition and Customer Choice Act to the extent that funds are available; and

  (2) Help residents reduce and manage their electric costs and maintain their electric service.

B. The assistance components under the EUSP administered by the Office of Home Energy include:

  (1) Bill assistance; and

  (2) Arrearage retirement.

#### Regulation .02 Definitions.

*COMAR 07.03.22.02*

A. In this chapter, the following terms have the meanings indicated.

B. Terms Defined.

  (1) “Administration” means the Family Investment Administration of the Department of Human Services.

  (2) “All-electric residence” means a dwelling that uses electricity as its primary source of heat.

  (3) “Annual consumption” means the amount of electricity, stated in kilowatt hours as reported by the customer's electric company, an electric customer uses in a 12-month period.

  (4) “Applicant” means an electric customer for whom EUSP assistance is being requested.

  (5) “Arrearage” means the amount of money owed by an electric customer to an electric company which is 21 days or more past due.

  (6) “Assisted living facility” means an institution that admits elderly or disabled individuals and provides a protective institutional or home-type environment for a fee.

  (7) “Benefit” means cash assistance or other EUSP service that is provided on behalf of an eligible applicant.

  (8) “Department” means the Maryland Department of Human Services.

  (9) “Disabled” means an individual who has a physical or mental impairment that interferes with one or more of life's major activities, such as walking, seeing, hearing, speaking, working, or learning.

  (10) “Elderly” means an individual 60 years old or older.

  (11) “Electric company” means the company that provides electric distribution services to an electric customer.

  (12) “Electric customer” means an individual:

    (a) With an active retail electric service account in the individual's name; or

    (b) Who is applying for retail electric service in the individual's name.

  (13) “Household” means an individual or group of individuals who are living together as one unit and for whom residential electric service is purchased in common.

  (14) “Income” means gross income unless otherwise specified in Regulation .04 of this chapter.

  (15) “Landlord” means the owner of the property who leases or rents the property to the household.

  (16) “Local agency” means an agency with which the Department has contracted to administer a component or components of the EUSP.

  (17) “Low-income weatherization” means cost effective measures that reduce electric energy consumption.

  (18) “Non-all-electric residence” means a dwelling that:

    (a) Does not use electricity as its primary source of heat; and

    (b) Is equipped with fossil fuel-burning heating equipment for oil, gas, propane, kerosene, or coal.

  (19) “Off-service applicant” means an EUSP applicant who does not have an active retail electric service account.

  (20) “On-service applicant” means an EUSP applicant who has an active account for electric service.

  (21) “Program year” means July 1 through June 30.

  (22) “Proxy” means an individual 18 years old or older who is authorized by signature of the applicant to:

    (a) Participate in the intake interview; and

    (b) Provide information and documentation on behalf of the applicant.

  (23) “Public housing” means a dwelling complex owned and operated by a local government whose:

    (a) Residents are determined eligible based on income; and

    (b) Rental fees are subsidized by local or federal funding.

  (24) “Qualified alien” has the meaning stated in 8 U.S.C. §1641.

  (25) “Renter” means an individual who rents or leases a residential dwelling from a landlord.

  (26) Subsidized Housing.

    (a) “Subsidized housing” means a public or privately owned dwelling where:

      (i) Eligibility for residency is based on income; and

      (ii) The rental fees are subsidized by federal or local funding.

    (b) “Subsidized housing” does not include a dwelling funded under the following programs of the Maryland Department of Housing and Community Development:

      (i) Below Market Interest Rate Program; or

      (ii) Rental Assistance Program.

  (27) “Verification” means documentation or proof of accuracy of statements made by the applicant, proxy, or recipient of EUSP benefits.

#### Regulation .03 Eligibility for Assistance.

*COMAR 07.03.22.03*

A. An applicant is eligible for assistance if the applicant:

  (1) Is an electric customer;

  (2) Resides in Maryland;

  (3) Has total household countable income as described in Regulation .04 of this chapter which does not exceed 175 percent of the federal poverty level; and

  (4) Is a:

    (a) U.S. citizen,

    (b) Legal immigrant admitted for permanent residence or otherwise legally residing in the United States, or

    (c) Qualified alien.

B. For purposes of receiving an arrearage, an applicant:

  (1) May not have received an arrearage benefit from the EUSP within the preceding 7 fiscal years; and

  (2) Shall have a qualified arrearage reported by the applicant's current electric company.

C. Waiver. Waivers to §A(3) of this regulation may be granted according to policy established under COMAR 07.03.21.03C.

#### Regulation .04 Income Requirements.

*COMAR 07.03.22.04*

A. Total Household Income. The applicant's total household income is determined by using countable income, as described in §D of this regulation, received by household members during the 30-day period before the date of application.

B. Maximum Allowable Income. The Administration shall determine the maximum allowable income for households as indicated in Regulation .03C of this chapter.

C. Income of Household Members Not Meeting the U.S. Citizenship Requirements.

  (1) Any member of the applicant's household, including the applicant, who does not meet the U.S. citizenship requirements as provided in Regulation .03D of this chapter shall be included on the application but may not be counted as a member of the applicant's household.

  (2) For the purpose of determining the household's eligibility, the income attributed to the individual who is not a U.S. citizen shall be verified and included in the household's total income.

D. Countable Income. Income from the following sources is considered countable income:

  (1) Gross wages, tips, and commissions received from employment;

  (2) Self-employment income and rental income, less expenses (excluding depreciation expenses) necessary to produce the income;

  (3) Social Security income less Medicare payment deduction;

  (4) Supplemental Security Income (SSI) less Medicare payment deduction;

  (5) Dividends;

  (6) Interest received from savings or checking accounts;

  (7) Interest or dividends received from the redemption of bonds;

  (8) Estate or trust fund income;

  (9) Royalties;

  (10) Temporary Cash Assistance (TCA);

  (11) Temporary Disability Assistance Program (TDAP);

  (12) Pensions;

  (13) Disbursements from annuities, individual retirement accounts (IRAs), or other retirement accounts;

  (14) Child support;

  (15) Alimony or spousal support;

  (16) Workers' Compensation benefits;

  (17) Unemployment Insurance benefits;

  (18) Veteran's pension benefits;

  (19) Mine worker's benefits;

  (20) Armed forces dependent allowances;

  (21) Criminal Injuries Compensation Board payments;

  (22) Monetary gifts and loans, excluding the portion of a student loan used to cover tuition and required fees;

  (23) Stipends for educational or research fellowships for living expenses excluding that portion that covers tuition and required fees;

  (24) Employee strike funds where there is no employee contribution;

  (25) Third-party payments received by live-in home care providers for the care of adults who cannot care for themselves; and

  (26) Railroad retirement benefits less Medicare payment deduction.

E. Noncountable Income. Income or resources from the following sources are not considered countable income:

  (1) Third-party payments over which the household has no discretion of the use of the funds;

  (2) In-kind contributions of a commodity or service such as gifts of food, building materials used for repairs, or labor;

  (3) Employment income of children 17 years old or younger;

  (4) Educational assistance funded under Title IV of the Higher Education Act or under the Bureau of Indian Affairs;

  (5) Educational assistance, such as grants, scholarships, fellowships, educational loans on which payment is deferred, work-study, and veterans' benefits, to pay for tuition, books, and other required materials, and required fees which are awarded to a household member enrolled:

    (a) At a recognized institution of post-secondary education,

    (b) At a school for individuals with disabilities,

    (c) In a vocational education program in a vocational or technical school, or

    (d) In a program that provides for obtaining a secondary school diploma or an equivalent;

  (6) Payments under the Federal Action Program to participants in the Retired Senior Volunteer Program, Foster Grandparents, or Senior Companion Program;

  (7) Stipends to participants in State or federally funded job training programs;

  (8) Federal Department of Housing and Urban Development (HUD) direct payment subsidies provided to households;

  (9) Food Supplement Program benefits;

  (10) Welfare Avoidance Grants (WAGs);

  (11) Public assistance vendor payments provided for emergency assistance or special assistance;

  (12) Foster care grants and foster child care payments;

  (13) Child support paid as required by court order pursuant to §F of this regulation;

  (14) Payments to employees on strike when the strike fund consists of employee contributions;

  (15) Reinvested interest and dividends from individual retirement accounts (IRAs) or other retirement accounts;

  (16) A non-recurring lump sum payment including income tax refunds and lottery winnings;

  (17) Maryland Renters' Tax Credit Program payments;

  (18) Maryland Homeowners' Tax Credit Program credits;

  (19) Federal Earned Income Tax credits or payments;

  (20) Medicare payments deducted from Social Security grants;

  (21) Subsidized adoption payments;

  (22) Americorps or VISTA payments;

  (23) Reverse mortgage loans; and

  (24) Court ordered garnishments and tax levies.

F. Calculating Allowable Child Support Payments.

  (1) Verified child support payments may be deducted from the applicant's household member's gross income up to the amount specified by court order.

  (2) Child support payments made in excess of the specified amount on the court order may not be deducted from the applicant's household member's gross income.

#### Regulation .05 Application Process for EUSP.

*COMAR 07.03.22.05*

A. An applicant or proxy shall submit an EUSP application to the local agency:

  (1) In person; or

  (2) By the mail-in application process.

B. A completed EUSP application shall include:

  (1) The application form signed and dated by the applicant or proxy;

  (2) The names of all household members;

  (3) Verification of Social Security numbers for all household members or, when a Social Security number is not available, verification of the application for a Social Security number;

  (4) Verification of all income of all household members;

  (5) Verification of the applicant's identity;

  (6) Verification of immigration status for all household members who are not U.S. citizens;

  (7) Verification of location of residence;

  (8) Proof of receipt of electric service in the applicant's name, such as an electric bill from the applicant's electric company or confirmation from the electric company that electric service is being requested in the applicant's name;

  (9) If a renter, proof of rental status; and

  (10) A statement signed by the applicant or proxy authorizing the local agency to verify, through any appropriate sources, statements made or documents presented by the applicant or proxy during the application process.

C. For EUSP applicants who are off-service, the applicant's electric company must confirm that electric service is being applied for in the applicant's name.

D. The local agency may certify an applicant for assistance once every program year.

#### Regulation .06 Local Agency Response to Application.

*COMAR 07.03.22.06*

A. Receipt of Application. The local agency shall:

  (1) Record the date the application was received by the local agency;

  (2) Record the date of application as described in §B of this regulation; and

  (3) Assess the completeness of the application.

B. Date of Application. The date of application is the date:

  (1) The local agency receives the application for walk-in applications; or

  (2) The application was signed by the applicant or proxy when the local agency receives the application by mail within 10 working days of the date the applicant or proxy signed the application.

C. Incomplete Application.

  (1) If the application is incomplete, the local agency shall notify the applicant or proxy to provide the missing information within 15 calendar days from the date of the notification.

  (2) If the applicant or proxy does not provide the requested information within 15 calendar days from the date of the notification, the local agency shall deny the application.

D. Decisions on Application.

  (1) The local agency shall, within 45 calendar days of receipt of a completed application, approve or deny the application.

  (2) Approved Application.

    (a) The local agency shall mail notification to the applicant or proxy of the approval within 10 working days after sending benefits to the applicant's electric company.

    (b) The written notice of the local agency's decision shall include:

      (i) The amount or description of benefits approved on behalf of the applicant's household;

      (ii) The duration of the benefits;

      (iii) The name of the electric company to which the benefits are paid; and

      (iv) An explanation of the applicant's right to appeal any part of the agency's decision and the method for requesting a fair hearing of an appeal.

  (3) Denied Application. The local agency shall deny the application for benefits when:

    (a) The applicant's household countable income exceeds 175 percent of the federal poverty level;

    (b) The applicant or proxy has not provided the information requested by the local agency as prescribed in §B of this regulation;

    (c) The applicant dies while the application is being processed;

    (d) The applicant establishes residency outside Maryland while the application is being processed;

    (e) The applicant does not meet the eligibility criteria as prescribed in Regulation .03 of this chapter;

    (f) The applicant abandons the applicant's residence;

    (g) The applicant withdraws the application for EUSP assistance;

    (h) The information supplied at application was incorrect and the household was originally ineligible; or

    (i) The applicant resides in a assisted living facility.

  (4) The local agency shall mail notification to the applicant of the decision to deny the application within 10 working days of the decision. The written notice shall include:

    (a) The reason for the denial;

    (b) The citation of the regulation supporting the decision to deny the application;

    (c) An explanation of the applicant's right to appeal the decision and the method for requesting a fair hearing; and

    (d) The date by which the local agency must receive the applicant's fair hearing request.

  (5) Delaying EUSP Benefits. The local agency may delay the delivery of EUSP benefits when:

    (a) The applicant moves to another residence and cannot be serviced by the household's originally designated electric company;

    (b) The local agency has reason to believe the applicant or proxy provided incorrect information on the application; or

    (c) The applicant or proxy fails to notify the local agency of a new address and the local agency cannot contact the applicant.

  (6) The applicant or proxy shall notify the local agency of the applicant's new electric company when the applicant changes residence to an area serviced by another electric company.

E. Unused Benefits. The electric company shall return any unused benefit in the event the benefit cannot be applied to an active electric account, for which the applicant may not be held liable, to the Administration.

F. Termination of EUSP Benefits.

  (1) The local agency shall terminate an applicant's EUSP benefits and notify the electric company to return the applicant's unused benefits to the local agency when the applicant:

    (a) Moves to a residence outside Maryland;

    (b) Moves to an area outside of the applicant's electric company's service area and fails to report the new address to the local agency;

    (c) Is no longer an electric customer;

    (d) Submits an application for an individual who has died;

    (e) Abandons the residence;

    (f) Informs the local agency that the benefit is not wanted;

    (g) Moves to an assisted living facility;

    (h) Is incarcerated; or

    (i) Supplies incorrect information at application and the applicant was originally ineligible.

  (2) When the local agency determines that termination of the benefit is required, the local agency shall notify the household in writing. The written notice shall include:

    (a) The reason for termination;

    (b) The citation of the regulation supporting the decision; and

    (c) An explanation of the applicant's right to appeal and method for requesting a fair hearing.

#### Regulation .07 Bill Assistance.

*COMAR 07.03.22.07*

A. Subject to Regulations .03—.05 of this chapter and the availability of funds, the local agency or Administration may deliver bill assistance benefits on behalf of an eligible EUSP applicant by a payment, or payments, to the applicant's electric company.

B. Bill assistance benefits shall be:

  (1) Available to help an eligible electric customer maintain electric service;

  (2) Payable to the electric company, a retail electric supplier, or both, in the EUSP applicant's service area; and

  (3) Returned by the eligible applicant's electric company to the Administration for reallocation when the electric company cannot apply the benefits to the applicant's active account.

C. Amount of Benefits.

  (1) The Administration shall determine allowable benefit amounts for bill assistance based on:

    (a) The household's income poverty level;

    (b) The applicant's household's electric consumption during the 12 months before the date of application; and

    (c) The applicant's status as a resident in public or subsidized housing.

  (2) An eligible applicant may receive one bill assistance benefit during one program year.

D. Supplemental Bill Assistance Benefits. If the Administration authorizes a supplemental bill assistance benefit increase, the Administration shall send a written notification to eligible applicants and their respective electric companies.

#### Regulation .08 Arrearage Retirement.

*COMAR 07.03.22.08*

A. Subject to Regulations .03—.05 of this chapter and the availability of funds, the local agency or Administration may issue benefits for electric arrearage retirement to an electric company in an applicant's service area on behalf of an eligible EUSP applicant who owes an outstanding arrearage to the electric company for electric service.

B. Arrearage retirement benefits:

  (1) Shall be issued to assist an eligible electric customer maintain or reestablish electric service; and

  (2) Are limited to arrearages owed to the applicant's electric company for electric service arrearages the applicant incurred, prior to current monthly bill and which has been verified by the applicant's electric company during the application process.

C. The local agency or Administration shall allow the applicant or proxy to review arrearage information provided by the applicant's electric company during the application process.

D. Delivery of Arrearage Retirement Benefits. The local agency or Administration shall:

  (1) Issue the arrearage retirement benefits within the minimum and the maximum amount authorized by Public Service Commission order; and

  (2) Make a benefit payment, or series of payments, on behalf of the applicant.

E. Amount of Benefits.

F. Disputes Regarding Arrearage Data.

  (1) The local agency shall:

    (a) Forward an EUSP applicant dispute regarding arrearage data supplied by the applicant's electric company to the Public Service Commission for resolution; and

    (b) Continue the application and payment process pending the Public Service Commission's notification of the dispute resolution.

  (2) In disputed cases, the payment amount the local agency makes for the applicant's arrearage retirement shall be the amount specified by the applicant's electric company.

  (3) Following resolution of the dispute, the applicant's electric company shall refund to the local agency benefits received on behalf of the applicant in excess of the amount the Public Service Commission determines to be correct.

#### Regulation .09 Recovery of Benefits.

*COMAR 07.03.22.09*

A. An applicant is liable for all EUSP payments made on the applicant's behalf in excess of the maximum allowable benefit.

B. The local agency shall require the eligible household's electric company, or low-income weatherization contractor or vendor, to return the amount of an overpayment from any unused benefit to the Administration.

C. The electric company shall return any unused benefit for which the applicant may not be held liable, in the event the benefit cannot be applied to an active electric account.

#### Regulation .10 Administrative Hearing Process.

*COMAR 07.03.22.10*

A. The local agency shall have a grievance procedure and attempt to resolve grievances at the local level.

B. The local agency shall give written notification of the right to and the procedures for requesting and obtaining a fair hearing to each applicant or recipient whenever the local agency notifies the applicant or recipient of any action which might deny, delay, suspend, reduce, or terminate assistance.

C. The appeal procedures are set forth in COMAR 07.01.04.03H.