(1) Heating oil, propane, and natural gas help 
to keep 70 percent of United States households 
warm. 
(2) For 8,000,000 homes alone in the United 
States, heating oil is the primary source of heating 
and 6,200,000 of those homes are in the Northeast, 
including the Central Atlantic States. 
(3) Over the last year and a half, the retail cost 
of heating oil has nearly tripled, as follows: 
(A) In January 2007, a gallon of heating 
oil cost $1.59. 
(B) By autumn of 2007, the cost of 1 gal-
lon was $2.75. 
(C) From October 2008 through March 
2009, heating oil is projected to average $4.13 
per gallon, an increase of about 25 percent over 
last winter. 
(D) Increases in natural gas and propane 
prices this winter are also projected. 
(4) Many homeowners, already strapped finan-
cially, simply will not be able to heat their homes 
this winter. 
(5) In Northeastern Pennsylvania this winter, 
the average homeowner who uses 950 gallons of 
VerDate Aug 31 2005 
03:27 Sep 18, 2008
Jkt 069200
PO 00000
Frm 00002
Fmt 6652
Sfmt 6201
E:\BILLS\H6920.IH
H6920
jbell on PROD1PC69 with BILLS
home heating oil will have to pay between $3,000 to 
$4,000 for heating. 
(6) While the Low Income Home Energy As-
sistance Program operated by the Secretary of 
Health and Human Services through the Adminis-
tration for Children and Families (the program is 
commonly referred to as ‘‘LIHEAP’’) is a big help 
to consumers, the Program by itself is not enough 
to meet the challenge and the Congress should act 
to increase its funding as a separate matter. 
(7) Heating oil dealers have faced and will con-
tinue to face tremendous stress because of the price 
increase. 
(8) Home heating oil dealers suffered cash flow 
problems in the Winter of 2007–2008 and, with 
such large price increases, the problems will only get 
worse in the Winter of 2008–2009. 
(9) In the usage of trade in the home heating 
oil supply and distribution system, home heating oil 
dealers must typically pay suppliers within 10 days 
of delivery of oil. 
(10) If customers cannot make timely payments 
to dealers, dealers, in turn, lack the cash to pay sup-
pliers to keep supplies flowing to consumers. 
VerDate Aug 31 2005 
03:27 Sep 18, 2008
Jkt 069200
PO 00000
Frm 00003
Fmt 6652
Sfmt 6201
E:\BILLS\H6920.IH
H6920
jbell on PROD1PC69 with BILLS
SEC. 3. GUARANTEED DEPOSITORY INSTITUTION LOANS TO 
HOME HEATING SUPPLIERS. 
(a) DEFINITIONS.—For purposes of this section, the 
following definitions shall apply: 
(1) CONSUMER.—The term ‘‘consumer’’ means 
an individual or household who acquires goods or 
services from a home heating supplier primarily for 
personal, family, or household purposes. 
(2) DEPOSITORY INSTITUTION.—The term ‘‘de-
pository institution’’ has the same meaning as in 
section 19(b)(1)(A) of the Federal Reserve Act. 
(3) ELIGIBLE CONSUMER.—The term ‘‘eligible 
consumer means’’ means any individual or household 
whose household income for the last year ending be-
fore any receiving any loan under this section did 
not exceed an amount equal to 150 percent of the 
national median household income for such year. 
(4) QUALIFIED
HOME
HEATING
LOAN.—The 
term ‘‘qualified home heating loan’’ means an unse-
cured consumer loan to an eligible consumer that is 
made for the sole purpose of paying a home heating 
supplier for home heating supplies delivered by such 
supplier (or to be delivered), or repairs made by the 
supplier to broken home heating equipment or leak-
ing or frozen lines, during the 2008–2009 home 
heating season. 
VerDate Aug 31 2005 
03:27 Sep 18, 2008
Jkt 069200
PO 00000
Frm 00004
Fmt 6652
Sfmt 6201
E:\BILLS\H6920.IH
H6920
jbell on PROD1PC69 with BILLS
(5) HOME
HEATING
SUPPLIER.—The term 
‘‘home heating supplier’’ means a business engaged 
in retail distribution of heating oil, propane, or nat-
ural gas to consumers. 
(6) SECRETARY.—The term ‘‘Secretary’’ means 
the Secretary of the Treasury. 
(b) LOAN GUARANTEES AUTHORIZED.—Subject to 
the requirements of this section and to the extent and in 
such amounts as are provided in advance in appropriation 
Acts, the Secretary may guarantee qualified home heating 
loans made by depository institutions during the 2008– 
2009 home heating season when the Secretary determines 
that such action is necessary to minimize disruptions in 
the supply and distribution of home heating resources due 
to the inability of customers of the suppliers to pay for 
home heating supplies delivered by such supplier or re-
pairs made by the supplier to broken home heating equip-
ment or leaking or frozen lines. 
(c) TERMS AND CONDITIONS.— 
(1) ANNUAL PERCENTAGE RATE.—The interest 
imposed on any qualified home heating loan that is 
guaranteed by the Secretary under this section shall 
be at a fixed rate and the annual percentage rate (as 
determined in accordance with the Truth in Lending 
VerDate Aug 31 2005 
03:27 Sep 18, 2008
Jkt 069200
PO 00000
Frm 00005
Fmt 6652
Sfmt 6201
E:\BILLS\H6920.IH
H6920
jbell on PROD1PC69 with BILLS
Act) with respect to such loan may not exceed 5 per-
cent. 
(2) ORIGINATION FEES.—The total amount of 
loan origination fees imposed in connection with any 
qualified home heating loan that is guaranteed by 
the Secretary under this section, in accordance with 
regulations which the Secretary shall prescribe, may 
not exceed an amount equal to 1 percent of the prin-
cipal of the loan. 
(3) MAXIMUM LOAN AMOUNT.—The amount of 
any credit extended under any qualified home heat-
ing loan that is guaranteed by the Secretary under 
this section may not exceed $5,000. 
(4) REPAYMENT PERIOD.—Any qualified home 
heating loan that is guaranteed by the Secretary 
under this section shall be fully amortized under a 
repayment schedule that requires full repayment be-
fore the end of the 2-year period beginning on the 
date the loan is consummated. 
(5) OTHER TERMS AND CONDITIONS.—The Sec-
retary may establish by regulation such additional 
terms and conditions that shall apply with regard to 
qualified home heating loans as the Secretary may 
determine to be appropriate. 
(d) PROVISIONS RELATING TO PROGRAM.— 
VerDate Aug 31 2005 
23:12 Sep 18, 2008
Jkt 069200
PO 00000
Frm 00006
Fmt 6652
Sfmt 6201
E:\BILLS\H6920.IH
H6920
jbell on PROD1PC69 with BILLS