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Remaining FY 26 LIHEAP Funds Released Despite White House Push to Eliminate Program

On April 20, 2026, the Department of Health and Human Services (HHS) released the remaining balance of the Low-Income Home Energy Assistance Program (LIHEAP) FY26 funds to states and tribal entities. This is a standard practice for the program, as HHS withholds a portion of each year’s funds and disburses them at the end of the fiscal year to maximize emergency flexibility, prevent program over- and underfunding, contingency reallocation, and meet legislative requirements.

However, this release occurred even though the White House’s FY27 budget, like last year’s, proposes eliminating the LIHEAP program. Ultimately, the White House does not have the legal authority to end the program, as the President’s budget is more of a blueprint for Congressional spending and is a messaging piece to drive policy changes. Congress has the final say in funding for the program through the appropriations process.

Given this critical development, the LIHEAP program will again be one of NPGA’s top advocacy issues during Propane Days 2026.  This event provides a vital opportunity for the propane industry to urge Congress to provide timely administration and adequate funding for LIHEAP.  The event is also well-timed and central to the bipartisan Congressional focus on advancing energy security and affordability.

If you have any questions about the LIHEAP program, please reach out to Lauren Medlin, NPGA’s Manager of Federal Legislative Affairs, at [email protected].