CPS Energy customers struggling to pay bills to get more help (2024)

CPS Energy customers struggling to pay their utility bills will now be able to receive additional dollars thanks to the expansion of the utility’s assistance program.

The Board of the Residential Energy Assistance Partnership (REAP), a non-profit foundation managed through the city, county and utility, voted unanimously to approve the expansion residents can receive through the program earlier this month.

The maximum amount Bexar County residents living outside of San Antonio will be able to receive annually will increase from $400 to up to $1,200, under the program’s expansion. Additionally, the income qualification criteria for the Federal Poverty Level will change from 125% to 150% relative to the area’s area median income, which will enable more customers to qualify, CPS Energy stated in a press release sent out earlier this week.

“As part of this expansion and to increase the operation of the program, the utility will make a one-time $6 million contribution from the utility’s summer 2023 wholesale revenues,” the release states. CPS Energy contributes $1 million annually to the program and does the fundraising work required for the nonprofit.

The idea to expand the program came from the county level first, Bexar County Judge Peter Sakai told the San Antonio Report on Wednesday. Sakai said a county staff member who handles the assistance applications brought to his attention there was aneed to expand the eligibility and amount of assistance available. Sakai is president of the REAP Board, which is a three-member board that meets as needed.

Sakai added he wanted to make sure residents living in unincorporated sections of Bexar County or in suburban cities within the county had access to the program, which was big reason for the expansion.

“The expansion strengthens our community’s safety net by ensuring that more CPS Energy customers have access to assistance with their utility bills,” said Mayor Ron Nirenberg in the press release. Nirenberg serves as the board’s secretary and treasurer. “REAP helps customers in unstable economic situations make ends meet, easing financial pressures and reducing the risk of crisis. These clearly merited changes will boost the entire community.”

CPS Energy’s President and CEO Rudy Garza said that expanding the program fits with the utility’s Vision 2027 — its current strategic plan.

“We are committed to supporting our community and being a good partner,” said Garza, who servces as the board’s vice president.“By increasing support of REAP, in partnership with the City and the County, we are providing additional resources to those most in need.”

The program’s expansion increases the county program’s maximum benefit to $1,200 for a period of one year or until a floor of $1 million in the REAP funding account is reached, at which time, the maximum annual benefit will change to three times the previous year’s average monthly residential bill, according to a presentation the board received. The city’s program will move to a maximum benefit of three times the previous year’s average monthly residential bill beginning Jan. 1, 2025.

Moving forward, in December of each year, CPS Energy will calculate the average monthly residential bill for the previous 12 months (Oct. 1 to Sept. 30) and the annual REAP benefit will be set for the new year (starting Jan. 1) at three times the average residential bill for the year before.

CPS Energy customers may qualify for REAP assistance if they are a resident of San Antonio or Bexar County, and meet at least one of the following criteria: are age 60 or older, disabled, have children under age 16 living in your home, or are required to use critical-care equipment. Customers are asked to present proof of qualifications.

Once approved for REAP assistance, customers may apply twice a year, for a total of up to the current maximum benefit in REAP utility bill assistance for the year. Customers receive credit on their CPS Energy utility bills as well as information about CPS Energy programs on weatherization, low-cost/no-cost energy efficiency, senior citizen aid, and critical care assistance.

The current enrollment figures for REAP show the county has 278 customers who have received more than $98,000 in assistance over the past year, and 8,319 city customers, who have been supported with more than $2.9 million in assistance over the past year, according to CPS Energy spokeswoman Milady Nazir.

REAP was established in 2002 through a partnership between CPS Energy, the City of San Antonio, and Bexar County. The utility handles the program’s marketing, fundraising, and back office administrative requirements while the City of San Antonio and Bexar County handle the application process.

The utility has been trying to shrink the amount of its customers past due since 2020. CPS Energy officials said it has seen the number of customers who have fallen behind on paying their bills swell significantly over the last four years, first as a result of the pandemic and then by persistent inflation. Before the pandemic, CPS Energy had about 15,000 accounts that were consistently past due, totaling about $5 million. As of last month, CPS Energy still had 185,415 customer accounts past due, totaling to$145.8 million as of the end of April.