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Analyst: affordable bills — not deferred payment plans — reduce arrears; Philadelphia’s TAP program offers model
Summary
An economist and utility-affordability consultant presented evidence from multiple U.S. programs that affordable‑bill programs (tiered assistance, TAP) substantially improve collections and arrearage resolution, while standard deferred payment plans often default at high rates and can raise monthly bills to unaffordable levels.
Roger Colton, an attorney‑economist who works on low‑income utility policy, presented comparative evidence that programs delivering affordable monthly bills produce greater arrearage reductions and faster collections than traditional deferred payment arrangements.
Colton described results from Philadelphia’s tiered assistance program (TAP) showing markedly faster arrears reduction and higher bill‑payment coverage ratios for…
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