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Community Services Division describes LIHEAP, CSBG roles in LA fire response and flags federal funding uncertainty

3164540 · April 30, 2025
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Summary

The Department of Community Services and Development told the Assembly subcommittee that local agencies provided targeted emergency supports during the Los Angeles fires, described LIHEAP and CSBG program limits, and warned of possible federal budget threats while noting a near‑term allocation was expected.

At a hearing of the California State Assembly Budget Subcommittee 2 on Human Services, a representative from the Department of Community Services and Development described how local partners used LIHEAP and Community Services Block Grant (CSBG) funds to respond to the Los Angeles fires and warned about lingering federal funding uncertainty for 2026.

The department said local community‑based organizations contract with the state to administer federal low‑income energy and anti‑poverty programs and that those grants are not entitlement programs — federal funding is limited compared with need. The department described last year’s federal LIHEAP award to California of about $247,000,000, which funds assistance and weatherization services and, in typical years, serves roughly 6% of the income‑eligible population.

During the LA fires, the department said local LIHEAP and CSBG agencies provided temporary housing, transportation, vouchers and information about recovery resources. The department offered the Marvilla Foundation as an example of a local LIHEAP provider that used grant funds to secure hotel rooms (including pet‑friendly options), arrange transportation and cover deposits for displaced low‑income households.

The department reported that, for federal fiscal year 2025, California received approximately $215,700,000 in LIHEAP funds and $33,800,000 for CSBG under continuing resolutions; those amounts represent about 90% and 50% of the 2024 grant levels, respectively. The department said it had just learned that federal HHS planned to release the remainder of LIHEAP funds to states the day after the hearing, and it emphasized ongoing monitoring of federal budget proposals for 2026.

Officials acknowledged recent layoffs in the Federal Division of Energy Assistance, which raised concerns about timely approvals and agency responsiveness, but said there were no immediate impacts to benefits delivery. They warned that any substantial federal funding reductions would directly affect local agencies’ ability to provide anti‑poverty, weatherization and emergency energy assistance services.

Committee members asked the department to keep the Legislature informed of federal developments and any additional resource needs arising from the LA fires and recovery work. No formal committee action or vote occurred during the session.