Director's Rule

Title

Utility Discount Program Number

CS-700 Rev. no.

0

Responsibility

Customer Service Branch Supersedes

N/A Pages

6

General Manager/CEO Approval

Mami Hara Effective Date

June 1, 2017

1. PURPOSE

This Director's Rule will specify the qualifications, application process, documentation requirements, determination criteria, and eligibility for the City of Seattle's Utility Discount Program (UDP) which provides reduced utility rates to eligible low-income residential customers receiving water, sewer, drainage and solid waste utility services from Seattle Public Utilities, as established by City Ordinance SMC 21.76.

2. GENERAL PROGRAM QUALIFICATIONS

The general UDP eligibility requirements are as follows:

A. The applicant is an adult household member (18 years or over) and is the primary account holder if billed directly for residential utility services OR if the household pays for utility services indirectly through its rent or a third-party biller.

B. The applicant receives Supplemental Security Income (SSI) pursuant to title 42 United States Code (USC) sections 1381 through 1383 OR the combined income of all adult household members does not exceed 70 percent of the Washington State median income for the number of individuals in the household.

3. APPLICATION PROCESS

A. General Guidelines

Customers may apply for UDP over the telephone, via the UDP website, email or walk-in. Customers applying for UDP over the telephone will be assisted in completing an application and receive detailed information regarding the required proof of eligibility.

B. Methods for Applying

1) Standard Application. An applicant must identify all household members and provide verification of identity and income for all adult household members.

2) Streamlined Application. An applicant who is certified for Supplemental Nutrition Assistance Program (SNAP) or Washington State Basic Food Assistance program must identify all household members and provide verification of identity of all adult household members and SNAP client ID # or Social Security numbers. No further income verification is required

3) Auto-enrollment. A tenant of specified low-income-housing provider partners within Seattle utilities' retail service areas, including Seattle Housing Authority, Washington State Housing Finance Commission supported housing and King County Housing Authority, are enrolled automatically in UDP based on an eligibility determination made by the housing provider, unless the tenant opts out of the UDP. The housing provider transmits a list of qualified tenants to the UDP. Customers are notified of their enrollment via mail and, in compliance with the City's Privacy Program, are given the opportunity to opt out of UDP if they believe they are not qualified for the program or choose not to participate.

The UDP auto-enrollment programs are updated annually. A tenant may choose to apply individually using the Standard, Streamlined, or Express Application methods if the tenant intends to participate during the interval of the annual auto-enrollments.

4) Express Application (ERA). Participating non-profit housing providers assist tenants by identifying all household members and verifying the identity and incomes of all adult household members.

5) Voucher Program. Utility customers who are residents of property under a written lease that do not have individual Seattle Public Utilities or City Light utility accounts or have third-party billing utility accounts may be able to receive utility credits. The property owner must agree to participate in the UDP and enter into an agreement. The applicant must identify all household members and provide verification of the identity and incomes of all adult household members.

C. Application Processing

1) A UDP applicant is required to provide all necessary documentation in a timely manner in compliance with program intake procedures and eligibility guidelines. Regardless of the date the applicant places on the application, the date the UDP receives the completed application determines when benefits begin if the customer is certified as eligible. An application is considered complete only when all required documentation has been received by the UDP.

2) An applicant may be requested to participate in the application processing by telephone, email, fax, U.S. mail, and/or in-person interviews.

3) When the UDP receives an incomplete application, UDP will contact the applicant within 3 business days to request the missing information. If the applicant is nonresponsive, UDP may contact the applicant again. If the applicant does not respond within 90 days from the date of the initial application, the application will be determined "non-responsive" and closed. If the applicant responds and takes action but does not complete the application within 90 days from the date of the initial application, UDP may require applicant to submit updated income verification information. If the applicant does not complete the application within 120 days from the date of the initial application, the application will be determined "incomplete" and closed.

4) Once an application is complete, the UDP endeavors to complete the eligibility determination within 21 business days. Once an applicant is determined eligible, the customer will be enrolled in the UDP and receive utility discounts effective the date UDP received the completed application. UDP will notify applicants of the determination.

D. Recertification

Customers are required to submit recertification documentation to ensure continued eligibility for the UDP, including identifying current household members and verifying the identities and incomes of adult household members.

1) Recertification Periods

Regular households. The standard certification period is 2 years.

Senior-only (65+) households. The standard certification period is 3 years.

Auto-enroll households. The standard certification period is 5 years. Auto-enroll lists are updated annually between UDP and the housing providers.

2) Recertification Processing

UDP will notify the customer at least 45 days prior to the recertification date of the need to submit a recertification application and the required documentation. If there is no response by the recertification date, UDP eligibility will be terminated and the customer removed from the program the day after the recertification date If the customer responds on or prior to the recertification date, but the recertification application is incomplete, the UDP will contact the customer within 3 business days to request the missing information. If the recertification application is not complete, UDP eligibility will be terminated and the customer will be removed from the program 20 days after the recertification date.

E. Random Re-verification Audits

The UDP may request a customer to provide verification of the identities and incomes of adult household members at any time during a certification period through a random re-verification audit, which may be done as part of program management to ensure that benefits are available to qualified households only. If a customer does not complete the re-verification audit in a timely manner and in accordance with the re-verification procedures customer participation will be terminated.

4. HOUSEHOLD DETERMINATION

UDP applicants must identify all members of the household and provide documentation for the identity of each adult (18 years or older) living in the household. Minors (children under age 18) must be listed on the UDP application, but identification documents are not required. Households consisting of seniors only (age 65+) are considered senior households. Households with any other combination of minor(s) and adult household member(s), including seniors, shall be considered regular households.

A. Acceptable Identification Documentation

Adults must provide copies of government-issued personal identification, which may include the following:

State driver license

State identification card

Passport

U.S. military card

Native American tribal document

Permanent resident card

Matrcula Consular (Government of Mexico ID with photo)

School identification card

Other documentation acceptable to the UDP

B. Ineligible Households

Mixed-load accounts. Mixed loads, such as mother-in-law apartments and duplexes, with a single electric meter are not eligible for rate assistance unless all units apply as one household.

Business operated out of the home. Applicants who are self-employed and operate a business out of their home where the percentage of business use of the home is 51 percent or more, as listed on the IRS Form 8829, are not eligible for the UDP. Examples include in-home beauty salons, daycares, and mechanic shops, and others.

5. HOUSEHOLD INCOME DETERMINATION

UDP applicants must provide documentation for the income, and any allowable exemptions or deductions, of all adult household members in the one calendar month period or 12 calendar month period preceding the date of the completed application. (Example, date of initial application July 15, applicant must provide income verification for month of June.) One-time lump sum payments, such as monetary gifts, inheritance, or insurance settlements will be averaged over 12 months. Applicants must submit documentation for income received from all sources.

A. Types of Income Included

Income is taken at gross value unless there is a specific allowable exemption or deduction. Income includes, but is not limited to:

Temporary Aid to Needy Families (TANF) payments

Casual labor: (payments for odd jobs and other casual labor)

Child support: (payments made to the custodial individual)

COPES/ Medicaid Personal Care: (care provider income is included when the care provider lives with the applicant)

Equity income (income from the sale of securities and bonds including re-invested income)

Estate trust and dividend distribution payments

Foster care and adoption support payments

Aged, Blind or Disabled Cash Assistance Program Payments

Monetary gifts

Industrial insurance payments and settlements

Interest income from interest-bearing deposit accounts

Pensions and retirement payments or distributions

Private disability payments, including ongoing long-term benefits

Property sales income (any gains from the sale of house, car, etc.)

Refugee support payments by public or private agencies

Rental income from non-owner-occupied rental properties

Salary and wages, including overtime

Sales commission payments

Scholarships and educational stipends or grants

Self-employment income

Social Security Income

Social Security Disability Insurance (SSDI) and Supplemental Security Insurance (SSI) income

Spousal maintenance or alimony

Survivor or beneficiary benefits or payments

Third-party payments for shelter costs (e.g., rent or mortgage) made on behalf of household

Tip income

Unemployment compensation

Work/study payments

B. Allowable Exemptions from income

Food assistance (direct or third-party payments for food)

Loans to household: (loan proceeds if a written payback schedule is provided)

Protective payee income (income received by an adult household member acting as representative payee on behalf of an individual living outside the household, e.g. SSI)

Minor income (any income received by household members under age 18)

Rental Income (if a household includes an adult roommate that pays rent to another adult in the household, the rental income will be exempted from the household income to avoid double counting of income).

C. Allowable Deductions from income

Business expenses (business expenses such as advertising, business travel expenses, business insurance, legal and professional fees, office and other supplies, postage, rent, utilities and telephone for business property use only if business use of home is less than 51 percent of use can be deducted from self-employment income).

Education expenses (expenses for tuition, books and fees can be deducted from scholarship, educational stipends, grant or work/study income).

Medicare premium expenses in the current standard Medicare part B premium amount (see Medicare.gov) may be deducted from Social Security, SSDI and SSI income.

D. Acceptable Income Documentation

Agency payments (award letters, check stubs, and other documentation from the authorizing agency, such as TANF, GAU, or GAX)

Rental income (cancelled checks, bank statements, receipts)

Child support (court orders or state agency documents reflecting support payment information)

Earned income (wage stubs, year-to-date statement of earnings or employer statement reflecting gross weekly or monthly pay covering the income determination period, and/or a self-request for records form from the Employment Security Department [ESD])

Financial aid (agency or educational institution award letter)

Loans (Self-Declaration of Income form or written documentation from lender)

Outside assistance (Self-Declaration of Income form indicating dates and amounts received signed by parties receiving support)

Self-employment earnings

o Casual labor (earnings documented using a Self-Declaration of Income form)

o Professional services (earnings documented using a Self-Employment Profit Statement form)

o Allowable business deductions (most recent tax return with all forms and schedules, including Schedule C and Form 8829)

Unemployment compensation (copy of claim history reflecting weekly benefits and/or an ESD self-request for records form

Work/study (payroll check stubs or statement of gross earnings)

Lump Sum payments (award letters, distribution statements, check stub, or Self-Declaration of Income form)

No income: households with adults that are without income must submit a Declaration of No Income Statement, or an explanation of how housing costs, food, utilities and other essential needs are met when income is at or below the cost of housing. UDP will also get an On-line Claim History printout from the ESD . High school students older than 18 or individuals who do not have a social security number need to complete only a Declaration of No Income Statement.

6. ONGOING ELIGIBILITY ISSUES

A. Reverification audits

Up to ten percent of UDP enrolled households will be randomly selected to participate in a reverification audit. This audit requires customers to provide up to date income and household information to assure enrolled households continue to meet program eligibility requirements. Additionally, customers are expected to notify the UDP of changes in their income or housing situation.

B. Transfer Status

Customers who are moving residences within City Light boundaries, who are the primary City Light account holders on both the old and new accounts, and who are not in the process of program recertification, may transfer their UDP eligibility for the discounted rate to their new residence. Customers need to notify City Light or the UDP directly of the move. Auto-enrollment customers moving from one qualified housing unit to another will be able to transfer UDP status when they move. Auto-enrollment customers that move to a non-auto-enrolled qualified unit must apply using one of the other application processes.

C. Terminations/Removal from UDP

Customers may be removed from the UDP for a variety of reasons, including moving out of the service area or moving into a housing situation where they are not listed as the primary utility account(s) holder. Customers may also be terminated because they did not respond to recertification notices, did not complete the recertification process, did not respond to reverification audit notices, did not complete the reverification audit process, or because their household and/or income situation has changed. Customers may also be removed from UDP upon the customer's request.

D. Billing Adjustments

If it is discovered that a customer household has knowingly given false, misleading, or incomplete information, the customers' participation in the UDP will be terminated. The City of Seattle may adjust the customers' utility bills to reflect the full cost of utility service to recover the costs from periods the customer was not eligible for the discounted rates.

7. MISCELLANEOUS

UDP may implement pilot programs from time to time to evaluate new eligibility guidelines such as application methods or documentation requirements. A pilot program may vary from the requirements of this Rule, but will be consistent with SMC 21.76 and the term of the pilot program and the alternative guidelines or requirements for applicants will be documented in writing.