---
kind: "section"
citation: "42 U.S.C. § 8626a"
title: "42"
title_heading: "The Public Health and Welfare"
number: "8626a"
heading: "Incentive program for leveraging non-Federal resources"
release: "119-102"
date: "2026-07-12"
url: "https://uscodex.org/usc/42/8626a"
units:
  - "Chapter 94 — Low-Income Energy Assistance"
  - "Subchapter II — Low-Income Home Energy Assistance"
---

# §8626a. Incentive program for leveraging non-Federal resources

- (a) **Allotment of funds—** Beginning in fiscal year 1992, the [Secretary](/usc/42/8622.md?p=9) may allocate amounts appropriated under [section 8621(d) of this title](/usc/42/8621.md?p=d) to provide supplementary funds to [States](/usc/42/8622.md?p=10) that have acquired non-Federal leveraged resources for the program established under this subchapter.
- (b) **“Leveraged resources” defined—** For purposes of this section, the term “leveraged resources” means the benefits made available to the low-income [home energy](/usc/42/8622.md?p=6) assistance program of the [State](/usc/42/8622.md?p=10), or to federally qualified low-income [households](/usc/42/8622.md?p=5), that—
  - (1) represent a net addition to the total energy resources available to [State](/usc/42/8622.md?p=10) and federally qualified [households](/usc/42/8622.md?p=5) in excess of the amount of such resources that could be acquired by such [households](/usc/42/8622.md?p=5) through the purchase of energy at commonly available [household](/usc/42/8622.md?p=5) rates; and
  - (2)
    - (A) result from the acquisition or development by the [State](/usc/42/8622.md?p=10) program of quantifiable benefits that are obtained from energy vendors through negotiation, regulation or competitive bid; or
    - (B) are appropriated or mandated by the [State](/usc/42/8622.md?p=10) for distribution—
      - (i) through the [State](/usc/42/8622.md?p=10) program; or
      - (ii) under the plan referred to in [section 8624(c)(1)(A) of this title](/usc/42/8624.md?p=c-1-A) to federally qualified low-income [households](/usc/42/8622.md?p=5) and such benefits are determined by the [Secretary](/usc/42/8622.md?p=9) to be integrated with the [State](/usc/42/8622.md?p=10) program.
- (c) **Formula for distribution of amounts—**
  - (1) Distribution of amounts made available under this section shall be based on a formula developed by the [Secretary](/usc/42/8622.md?p=9) that is designed to take into account the success in leveraging existing appropriations in the preceding fiscal year as measured under [subsection (d)](#d). Such formula shall take into account the size of the [allocation](/usc/42/2021b.md?p=2) of the [State](/usc/42/8622.md?p=10) under this subchapter and the ratio of leveraged resources to such [allocation](/usc/42/2021b.md?p=2).
  - (2) A [State](/usc/42/8622.md?p=10) may expend funds allocated under this subchapter as are necessary, not to exceed 0.08 percent of such [allocation](/usc/42/2021b.md?p=2) or $35,000 each fiscal year, whichever is greater, to identify, develop, and demonstrate leveraging programs. Funds allocated under this section shall only be used for increasing or maintaining benefits to [households](/usc/42/8622.md?p=5).
- (d) **Dollar value of leveraged resources—** Each [State](/usc/42/8622.md?p=10) shall quantify the dollar value of leveraged resources received or acquired by such [State](/usc/42/8622.md?p=10) under this section by using the best available data to calculate such leveraged resources less the sum of any costs incurred by the [State](/usc/42/8622.md?p=10) to leverage such resources and any cost imposed on the federally eligible low-income [households](/usc/42/8622.md?p=5) in such [State](/usc/42/8622.md?p=10).
- (e) **Report to Secretary—** Not later than 2 months after the close of the fiscal year during which the [State](/usc/42/8622.md?p=10) provided leveraged resources to eligible [households](/usc/42/8622.md?p=5), as described in [subsection (b)](#b), each [State](/usc/42/8622.md?p=10) shall prepare and submit, to the [Secretary](/usc/42/8622.md?p=9), a report that quantifies the leveraged resources of such [State](/usc/42/8622.md?p=10) in order to qualify for assistance under this section for the following fiscal year.
- (f) **Determination of State share; regulations; documentation—** The [Secretary](/usc/42/8622.md?p=9) shall determine the share of each [State](/usc/42/8622.md?p=10) of the amounts made available under this section based on the formula described in [subsection (c)](#c) and the [State](/usc/42/8622.md?p=10) reports. The [Secretary](/usc/42/8622.md?p=9) shall promulgate regulations for the calculation of the leveraged resources of the [State](/usc/42/8622.md?p=10) and for the submission of supporting documentation. The [Secretary](/usc/42/8622.md?p=9) may request any documentation that the [Secretary](/usc/42/8622.md?p=9) determines necessary for the verification of the application of the [State](/usc/42/8622.md?p=10) for assistance under this section.

## Source credit

(Pub. L. 97–35, title XXVI, § 2607A, as added Pub. L. 101–501, title VII, § 707(a), Nov. 3, 1990, 104 Stat. 1260; amended Pub. L. 103–252, title III, § 311(a)(2), (c)(6), May 18, 1994, 108 Stat. 661, 662.)

## Notes

### Editorial Notes

### Amendments

1994—Subsec. (c)(2). Pub. L. 103–252, § 311(c)(6), substituted “0.08 percent” for “.0008 percent”.

Subsec. (e). Pub. L. 103–252, § 311(a)(2), substituted “2 months after the close of the fiscal year during which the State provided leveraged resources to eligible households, as described in subsection (b) of this section” for “July 31, of each year”.

### Statutory Notes and Related Subsidiaries

### Effective Date of 1994 Amendment

Amendment by Pub. L. 103–252 effective Oct. 1, 1994, see section 314 of Pub. L. 103–252, set out as a note under section 8621 of this title.

### Effective Date

Section effective Oct. 1, 1990, see section 1001(a) of Pub. L. 101–501, set out as an Effective Date of 1990 Amendment note under section 8621 of this title.
