LIHEAP Is Fully Funded for 2026 — But Faces Another Elimination Fight for 2027

LIHEAP received full funding for fiscal year 2026 — about $4.05 billion, roughly $20 million more than the prior year — after Congress rejected proposals to eliminate the program. But advocates warn it faces another elimination push in the FY2027 budget process.

FY2026 Funding Is Fully Released

The U.S. Department of Health and Human Services released the remaining 10% of Low Income Home Energy Assistance Program funds in April 2026 — about $421.5 million of the federal fiscal year 2026 block grant — meaning all FY2026 LIHEAP money has now gone out to states. Total FY2026 funding came to roughly $4.045 billion, a bipartisan appropriations result that increased the program’s budget by about $20 million over the prior year despite earlier proposals to cut or eliminate it entirely.

LIHEAP helps low-income households pay heating and cooling bills, and cover energy-related emergencies like a shutoff notice or a broken furnace — states administer it locally, with eligibility and application windows varying from state to state.

Applications Have Already Closed in Many States

Because LIHEAP funding and applications run on a state-by-state calendar tied to heating season, several states have already closed their FY2026 application windows: Pennsylvania accepted applications from December 3, 2025 through May 8, 2026, and North Carolina’s window ran from January 2 through March 31, 2026, or until funds ran out. If you missed your state’s window, you generally have to wait for the next season’s opening rather than apply mid-year — check your state’s LIHEAP administrator directly for its specific schedule, since these dates aren’t uniform nationally.

Why the Program Nearly Didn’t Get This Funding

LIHEAP has faced repeated elimination proposals in recent federal budget cycles, including from the current administration’s own budget requests. It survived the FY2026 process only after bipartisan pushback — 40 U.S. senators publicly urged HHS to release the program’s remaining funds amid rising energy costs and growing demand, according to reporting from Senator Jack Reed’s office.

The Fight Isn’t Over for FY2027

Advocacy organizations tracking the program, including the American Public Power Association, say LIHEAP again faces a push for elimination in the FY2027 budget cycle. Nothing has been decided yet for FY2027 as of this writing — the FY2026 funding described here does not guarantee the program continues at the same level, or at all, in the next fiscal year.

Frequently Asked Questions

Is LIHEAP fully funded right now?
Yes, for fiscal year 2026 — all federal LIHEAP funds for FY2026 have been released to states as of April 2026.

Can I still apply for LIHEAP this year?
It depends entirely on your state’s application window and whether funds remain. Many states’ FY2026 windows have already closed — check your state’s LIHEAP office directly rather than assume you can apply anytime.

Will LIHEAP still exist next year?
It’s funded through FY2026, but faces another proposed elimination in the FY2027 budget process. No final decision has been made as of this writing.

Source: Remaining FY 2026 LIHEAP Funds Disbursed to States; LIHEAP Again Faces Elimination in FY 2027 — American Public Power Association