Home Page >
For Farms >
Energy Rates & Programs >
Wisconsin Rates >
Electric Rates >
WI Low-Income Assistance Fee
In 2006, the Wisconsin Legislature passed Act 141, which requires electric
utilities to collect a fee from their customers to help fund low-income energy assistance
programs. These funds are collected through the WI Low-Income Assistance
Fee — previously known as the Non-Taxable Customer Charge — and then transferred
to the Wisconsin Department of Administration to assist low-income customers.
Answering Your Questions…
Like many of our customers, you may have questions about the WI Low-Income
Assistance Fee. To help explain the fee, we've gathered many of the questions people have
asked here, in one place. We hope this information is helpful in answering questions you
may have.
If your question is not answered here, or if you'd like further information,
please contact us.
- How much of the Wisconsin Low-Income Assistance Fee does Wisconsin Public Service
keep?
- WPSC doesn't keep any of the money collected through the WI
Low-Income Assistance Fee. All dollars collected are passed along to the Wisconsin
Department of Administration in Madison to help fund low-income energy assistance
programs.
Back to Top
- So is some of the money collected used for utilities' uncollectible accounts?
- The fund is used as part of a comprehensive low-income assistance program, along
with the other programs that are already in place by utilities, to help qualified
customers pay their electric bills. If the state is successful in their efforts,
utilities should experience lower uncollectibles.
Back to Top
- Is it possible that the WI Low-Income Assistance Fee will ever change or end?
- Yes. The Department of Administration determines annually whether the amount
collected for public benefits is adequate and should be continued, or whether the
amount should be increased or decreased.
Back to Top
- Why is the Department of Administration collecting a fee through the utilities?
- Because utilities already have collection mechanisms in place, the Wisconsin
legislature thought it would be efficient for the utilities to collect these dollars
from their customers and then transfer the money to the Department of Administration.
The department then administers the low-income energy assistance programs on a
statewide basis.
Back to Top
- Is the charge the same from utility to utility?
- For residential customers the Department of Administration determined a standard,
statewide, maximum charge.
For non-residential customers, the charge varies based on the number of customers,
energy prices and customer classification differences between utilities.
Back to Top
- Do all customers of a utility pay the same amount?
- No, the fee is different based on the type of electric service you receive (for
example, it varies greatly for a residential customer in comparison with a large
industrial customer).
Back to Top
- How is the Wisconsin Low-Income Assistance Fee calculated?
- Residential customers pay the lower of these options:
- An amount equal to 3% of their total pre-tax electric bill, or
-
$3.15 per month, which is the maximum monthly charge a residential electric
customer would pay, as determined by the Department of Administration.
The maximum charge for each customer group does not vary from month to month, but
the amount the customer is charged may vary from month to month, depending on
electric consumption. Using the rates and maximum fee above, the customer reaches
the 3% cap at about 720 kWh. Any time the customer's consumption is below this
level, the charge on the bill will be lower.
Back to Top
- What are the maximum amounts for other types of customers?
- Customers pay the lower of these charges:
- For business customers on the Cg-1, Cg-2, Cg-5, Cg-3 OTOU, Cg-4 OTOU or Cg-S1
rates, the maximum charge per month added to your electric bill is
$9.80.
- For business customers on the Cg-20 or Cg-RR rates, the maximum charge
per month added to your electric bill is $27.40.
- For business customers on the Cp, Cp Next Day or Cp-RR rates, the
maximum charge per month added to your electric bill is $113.47.
Back to Top
- Does the fee appear all year-round?
- Yes, it's included on your electric bill every month.
Back to Top
- What if I'm a seasonal customer?
- You will see double the fee during the six months that you receive a bill.
Back to Top
- If I have more than one meter am I charged more than once?
- Yes. Every meter with a Customer Charge, whether residential, farm, commercial
or industrial, has the WI Low-Income Assistance Fee. If you have multiple meters
with multiple Customer Charges, you will be charged the fee that corresponds to the
rate assigned to each meter.
The Department of Administration has developed a process so customers can apply for
a refund if their total public benefits charges for the month for all of their
metered electric services exceeds $750. Call 800-450-7260
for more information or to begin the refund process.
Back to Top
- Am I going to see an additional fee for my gas meter, too?
- No. The WI Low-Income Assistance Fee on your bill is based on your pre-tax
electric bill only. There are no plans to assess a separate charge related to
gas.
Back to Top
- If I'm low-income, can I be exempted from the WI Low-Income Assistance Fee?
- No, we cannot cancel or waive the charge, which is part of Wisconsin law. If you
are having difficulty paying your bill and think you may qualify for low-income
assistance, you can contact Wisconsin Public Service at
800-450-7260.
Back to Top
- Where can I get more information about the WI Low-Income Assistance Fee and the
programs the funds support?
- You can get more information by contacting one of the following:
- Wisconsin's Energy Help Initiative: 800-522-3014.
- Wisconsin's Home Energy Assistance Program: 866-432-8947 (866-432-HEATWIS)
Please note that financial assistance resources differ by country. For information
on what is available by county, visit
http://psc.wi.gov/apps/financialasst/default.aspx.
Back to Top
