LIHWAP IM-2023-03 Federal Poverty Guidelines and State Median Incomes for Use in Federal Fiscal Year 2024 FY2023

Publication Date: September 11, 2023
Current as of:

Low Income Household Water Assistance Program

Information Memorandum

IM#:                                  LIHWAP-IM-2023-03

DATE:                               September 11, 2023

TO:                                    Low Income Household Water Assistance Program (LIHWAP) Grant Recipients

SUBJECT:                         Federal Poverty Guidelines and State Median Incomes for Use in Federal Fiscal Year 2024

ATTACHMENT(S):         Attachment 1: LIHWAP IM-2023-04 Federal Poverty Guidelines and State Median Incomes for Use in Federal Fiscal Year 2024

                                        Attachment 2: FPG State Calculations (PDF)

                                        Attachment 3: FPG Tables for Puerto Rico (PDF)                                                  

                                        Attachment 4: SMI Estimates (PDF)

 

Related References

  1. Annual Update of the U.S. Department of Health and Human Services (HHS) Poverty Guidelines, Federal Register Notice dated Thursday, January 19, 2023 (88 FR 3424)
  2. LIHWAP Supplemental Terms and Conditions (PDF)

Purpose

To provide LIHWAP grant recipients the Federal Poverty Guidelines (FPG) and State Median Income (SMI) estimates for mandatory use in the LIHWAP for FY2024.

Background

Section 11(c)(ii) of the LIHWAP Supplemental Terms and Conditions sets the maximum allowed in determining income eligibility for LIHWAP at 150% of the FPG or 60% of SMI, whichever is greater. LIHWAP grant recipients may set their programs’ income eligibility criteria anywhere between 110% of FPG and this maximum.

Content

This Information Memorandum updates the \ LIHWAP income eligibility limits based upon FPG and SMI for the 50 states, the District of Columbia, and the Commonwealth of Puerto Rico. These limits make up the maximum that LIHWAP grant recipients may use in setting their programs’ income eligibility criteria. Grant recipients must limit LIHWAP eligibility to 150% of the FPG or 60% of SMI—meaning at or below the greater of these two levels. Grant recipients must not set LIHWAP income-eligibility below 110% of the FPG.

The Office of Community Servcies (OCS) calculated these limits from the SMI estimates for a four-person family developed by the United States Census Bureau (Census Bureau). OCS calculated 60% of the Census Bureau’s estimates from the American Community Survey to determine the maximum SMI for LIHWAP eligibility.

OCS calculated the limits specified at 45 CFR 96.85. This methodology outlines that HHS shall multiply the limit for a four-person household by the following:

  • 52% for one person;
  • 68% for two persons;
  • 84% for three persons;
  • 100% for four persons;
  • 116% for five persons;
  • 132% for six persons;
  • 135% for seven persons;
  • 138% for eight persons;
  • 141% for nine persons;
  • 144% for 10 persons;
  • 147% for 11 persons; and
  • 150% for 12 persons.

OCS did not calculate the limits for households of sizes greater than 12 persons; however, those limits are based on that for a four-person family times 150%, plus three percentage points for each household member above 12. See Attachment 4 for (1) the 60% of SMI figures for households of sizes one through 12; and (2) the instructions for calculating 60% of SMI for households of sizes greater than 12.

Territorial Calculations

HHS does not issue poverty guidelines overall for federal programs in the territories. HHS has indicated that federal programs are generally responsible for deciding whether to use the Continental United States poverty guidelines for the territories or to follow some other procedure. However, OCS has developed an approach to adjust annually the HHS poverty guidelines for the Commonwealth of Puerto Rico’s use in determining LIHWAP income eligibility. A similar adjustment is not available for the other territories at this time. OCS recommends that the other territories use the adjusted poverty guidelines provided in Attachment 3 in determining LIHWAP income eligibility for FY2024.

Thank you for your attention to these matters. OCS looks forward to continuing to provide high-quality services to OCS partners.

/s/
Megan Meadows
Director, Division of Energy Assistance

Office of Community Services