Low Income Household Water Assistance Program (LIHWAP) - Status and Current Alternatives
NOTICE: The federal Low Income Household Water Assistance Program (LIHWAP) officially ended as of 2024-2025 in most states after emergency federal funding was exhausted. New applications for the federal LIHWAP grant are generally no longer being accepted. If you are facing a water shut-off or have an overdue balance, you must now use the permanent assistance programs and local resources listed below.
LIHWAP was created as a temporary emergency measure to help low-income households, particularly those with disconnected water services or arrears. Because it was not a permanent federal department, the funding was finite. However, the end of LIHWAP does not mean there is no help available. Many states have integrated water assistance into their LIHEAP (Energy Assistance) framework or have local municipal programs designed to prevent water disconnections for vulnerable residents.
Primary Permanent Alternative: LIHEAP (Low Income Home Energy Assistance Program)
While traditionally used for heating and cooling, many states have received permission to use a portion of their federal LIHEAP block grants or state-specific funds to assist with "water-related" energy costs or direct water bill relief. Tip - Check for "State-Only" LIHWAP: A few states (like California or Washington) have occasionally allocated state-specific tax revenue to keep a version of LIHWAP running. You should check your state's Department of Health and Human Services (DHHS) website to see if a local version remains.
- How it Works: LIHEAP is a permanent federal program. In several states, if you are approved for heating assistance, you may automatically qualify for a "Crisis" grant that can be applied to water or sewer bills if they are bundled with your utility services or if a shut-off is imminent.
- Eligibility: Participation in SNAP, SSI, or TANF usually grants automatic eligibility. Income limits are generally set at or below 150% of the Federal Poverty Level or 60% of the State Median Income. URL: https://www.benefits.gov/benefit/623. We also have a guide on state specific LIHEAP programs.
Local Utility Company Assistance Plans
Since the end of LIHWAP, many public and private water utilities have launched or expanded their own "Customer Assistance Programs" (CAPs) to help low-income customers maintain service. Pro Tip - Medical Necessity: If someone in your home requires water for medical equipment (e.g., home dialysis), your water provider is often legally barred from shutting off your service, regardless of your balance. You will often need a doctor's note for this protection.
- Hardship Grants: Many large water providers (such as American Water or local municipal departments) have internal funds supported by corporate donations or "round-up" programs where other customers donate. These grants can be applied directly to a past-due balance once or twice a year.
- Tiered Assistance/Discount Plans: Some water companies now offer a "Low-Income Rate" where your monthly bill is permanently reduced by 10% to 25% based on your household income.
- Payment Arrangements: If you cannot pay your full balance, almost all water utilities are required to offer a "Deferred Payment Plan" to prevent shut-off, provided you stay current on your new charges.
- URL: Check your specific water bill or provider's website for "Financial Assistance" or "Billing Help" sections. We also have more information on payment plans from water companies and how they work.
Non-Profit and Charitable Water Bill Help
When federal programs like LIHWAP expire, local community action agencies and charities often step in to provide emergency "gap" funding.
- Community Action Agencies (CAA): These are the organizations that originally administered LIHWAP and are part of the national community action partnership (website: https://communityactionpartnership.com). Even though the federal funds are gone, CAAs often have access to state-level "CSBG" (Community Services Block Grant) funds that can be used for emergency water bill payments to prevent homelessness or health hazards. Use this link to find a community action agency near you.
- The Salvation Army: Through their "LifeBridge" or "HeatShare/Care" partnerships or just local emergency funding, the Salvation Army often provides one-time emergency financial assistance for water bills. They prioritize households with seniors, small children, or people with medical conditions. Learn more about Salvation Army assistance programs.
- St. Vincent de Paul: This volunteer-led organization provides direct financial aid. Local "conferences" (chapters) (website at https://ssvpusa.org/) often meet with residents in their homes to provide small grants that can pay off a water lien or prevent a service disconnection. Look here for details on local Saint Vincent parishes.
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