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Administration for Children and Families US Department of Health and Human Services

Low Income Home Energy Assistance Program
Division of Energy Assistance/OCS/ACF

Announcement of the Availability of Funds under the Residential Energy Assistance
Challenge Option Program (REACH) for FY 2001


To LIHEAP Home Page | To LIHEAP Memoranda/Transmittals Page


THIS CONTAINS INFORMATION ISSUED BY THE U.S. ADMINISTRATION FOR
CHILDREN AND FAMILIES IN LIHEAP INFORMATION MEMORANDUM TRANSMITTAL
NO. LIHEAP-AT-2001-3, DATED 1/22/01

TO:            LOW INCOME HOME ENERGY ASSISTANCE PROGRAM LIHEAP)
               GRANTEES AND OTHER INTERESTED PARTIES

SUBJECT:       Announcement of the Availability of Funds
               under the Residential Energy Assistance Challenge
               Option Program (REACH) for FY 2001

RELATED        Low Income Home Energy Assistance Act, Title XXVI
REFERENCES:    of the Omnibus Budget Reconciliation Act of 1981,
               Public Law 97-35, as amended; the Human Services
               Amendments of 1994 (Public Law 103-252); and
               program announcement for the Residential Energy
               Assistance Challenge Option Program (REACH).

PURPOSE:       To advise grantees that a program announcement
               is hereby being issued requesting applications
               for funds by April 30, 2001, under the Residential
               Energy Assistance Challenge Option Program (REACH)
               for FY 2001.

BACKGROUND:    The Human Services Amendments of 1994 (Public Law
               103-252) amended Section 2607B of the LIHEAP
               statute to establish a new Residential Energy
               Assistance Challenge Option Program (REACH),
               funded for the first time in FY 1996.  REACH is
               designed to help low income households reduce
               their energy vulnerability.

               REACH funds are available only to LIHEAP
               grantees (States, Indian tribes/tribal
               organizations, and Insular Areas that expend their
               funds for implementing a LIHEAP program).  LIHEAP
               grantees that wish to receive REACH funds must
               submit an application for those funds.  Up to 25%
               of the funds set aside for the leveraging
               incentive program may be earmarked for the REACH
               program.  In FY 2001, $27.5 million has been set
               aside for leveraging incentive grant awards.

CONTENT:       By means of this information memorandum, the
               Office of Community Services in the Department of
               Health and Human Services is advising that funds
               are available to LIHEAP grantees to run
               demonstration programs under the Residential
               Energy Assistance Challenge Option Program
               (REACH).  LIHEAP grantees that wish to receive
               REACH funds must submit an application for the
               funds following requirements laid out in the
               program announcement.  These applications must be
               postmarked or submitted to a delivery service no
               later than April 30, 2001.

               To be considered for funding, application
               submissions must bear a legibly dated
               official POSTMARK of the United States Postal
               Service, or a legibly dated machine produced
               postmark of a commercial mail service, showing a
               date no later than April 30, 2001.  To be
               acceptable as proof of timely mailing, a postmark
               from a commercial mail service must include the
               logo/emblem of the commercial mail service company
               and must reflect the date the package was received
               by the commercial mail service company from the
               applicant.  Postmarks of private postage metering
               machines WILL NOT be considered as evidence of
               timely submission of applications.  Faxed or
               electronically submitted applications will not be
               accepted regardless of the date or time of
               submission and time of receipt.

               It is expected that approximately $5,000,000
               will be made available for grants under
               the REACH program announcement, including
               supplemental grants for energy conservation
               education activities.  States, the District of
               Columbia, and Puerto Rico may apply for funds
               under Priority Area 1.0 of the program
               announcement.  Indian tribes, tribal
               organizations, and insular areas other than Puerto
               Rico that expend their funds for implementing a
               LIHEAP program may apply for REACH funds under
               Priority Area 2.0.  (Insular areas that
               consolidate their LIHEAP funds under another HHS
               block grant may not apply for REACH funds.)  If
               insufficient numbers of applications for funds are
               received under Priority Area 2.0, any unused funds
               will be assigned to Priority Area 1.0.  If
               sufficient numbers of qualified applications for
               REACH funds are not received under Priority Area
               1.0, unused funds will be awarded under the
               leveraging incentive program.  See the program
               announcement for details.

ATTACHMENT:    Program announcement for availability of funds
               under the Residential Energy Assistance Challenge
               Option Program (REACH) for FY 2001.

INQUIRIES TO:  Anna Guidery, Program Manager
               Demonstration and Special Projects Division
               Office of Community Services, ACF, HHS
               370 L'Enfant Promenade, S.W.
               Washington, D.C.  20447
               Telephone:  (202) 401-5318
               E-Mail:  aguidery@acf.dhhs.gov



                                   ___________/s___________
                                   Janet M. Fox
                                   Director
                                   Division of Energy Assistance
                                   Office of Community Services

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