Monday January 01 09:02 AM EST Families search for ways to ease the burden of higher gas costs By Alicia Fabbre Daily Herald Staff Writer

Maybe a lump of coal wouldn't have been such a bad Christmas gift, considering the price of natural gas and our chillier-than-normal December.

As this summer's dire warnings of skyrocketing natural gas costs become a reality, Kane County residents are dealing with the sticker shock and trying to find ways to cut costs.

Though people reported varying increases, all agreed on one thing - keeping warm is definitely more expensive.

"It was a surprise," said Geneva resident Steve Martin whose gas bill from Nicor for November was about $300 - or $100 more than normal. "I'm not looking forward to this month's bill because it's been so cold."

Though Martin isn't making any adjustments to the thermostat, others are in hopes of cutting costs.

"We turned our heat down to 68 degrees and we're wearing our sweaters," said South Elgin resident Susan Simmonds, whose bill went from $56 for October to $194 for November and part of December.

In addition to pulling out the sweaters, Simmonds - like others - is heading to home improvement stores to seek out such items as added insulation or plastic shrink wrap for the windows. Others have bought programmable thermostats to keep the heat low when no one is home or when everyone is sleeping. Others have called furnace repair shops to make sure their furnace is in proper working order.

But regardless of the cost-cutting measures, people still are bracing for the worst.

"I figure our next bill will be $300 or $400," said Dan Bottoms of Batavia.

Bottoms uses Nicor's budget payment program to spread out his heating costs over a year. Those payments have increased from $28 to $112 over the last nine months.

Nicor spokesman Craig Whyte said a low supply and an increased demand have driven the cost of natural gas up. This winter's colder-than-normal temperatures also is keeping bills high as furnaces work overtime.

"Demand is up; obviously it's cold out," Whyte said. "We're coming off three unseasonably warm winters and, in this case, supply did not rise."

And while Nicor issued warnings this summer that bills would be higher this winter, even company officials were somewhat surprised by the jump.

Whyte said the cost of gas has doubled, increasing from the 34.5 cents per therm last December to 70 cents per therm this December. He noted that Nicor's delivery charges have remained the same and that the company is not allowed to tack on any additional charges to the actual cost for natural gas.

Consumer fears of even higher gas bills are likely to come true, Whyte said, as prices continue to increase.

"We don't foresee prices stabilizing for some time," Whyte said. "The gas prices are going to be around for a while."

He said gas bills likely will decrease in the summer, when demand is lower. However, the high cost of natural gas may stick around for another 12 to 18 months until production can catch up with demand.

In the meantime, Whyte suggested people take advantage of cost-cutting measures to save on bills. Nicor has updated its Web site at www.nicorinc.com to include tips on cutting heating bills.

Whyte wouldn't make any recommendations on such big-ticket fixes as new windows or furnaces. However, at least one furnace dealer suggested homeowners think twice about replacing a fairly new furnace for a higher-efficiency furnace.

"For a furnace that's under 15 years old and in good working order, it's silly to replace it," said Bill Klinkey, retired owner of Klinkey Heating in St. Charles.

He noted that such furnaces often run about $3,000 and would take several years to recoup the savings in gas bills.

Klinkey said many people have called to ask about new furnaces. His crews also have been busier than normal on service calls repairing overworked furnaces or just doing routine maintenance for customers hoping to save a few dollars on the gas bill.

But for some, heeding helpful tips or keeping up with furnace maintenance won't be enough to cover the bills. Already townships and social service agencies are seeing an increase in requests for help in paying utility bills.

In Elgin Township, Supervisor Doug Johnson approved $7,400 in grants in November for rent and utility assistance. A year ago, the township gave out $4,500 in grants to help meet November rent and utility payments.

"If it wasn't for the township, my wife and I would be hurting real bad," said Bill Smith of Elgin. "We just couldn't do it. There's no way we could pay the gas bill and buy groceries."

His gas bill went from about $100 to just over $200. Although he did not get assistance from Elgin Township to pay for his gas bill, the township did help pay other utilities for Smith.

"The increases have been so dramatic everyone asks for the same answer - how can this be?" Johnson said.

Jonhson's own budget plan payment for gas went from around $35 a month to $93.

He said the township has been working with other agencies - such as Geneva's Community Contacts - to help low-income families cover winter energy costs. Community Contacts administers the federal Low-Income Housing Energy Assistance Program for residents in Kane and DeKalb counties.

Last program year, which runs from September through May, the agency doled out $1.5 million in $250 to $300 one-time grants to help people pay their energy bills. By the end of November, three months into the current program year, Community Contacts had awarded $900,000 in grants.

Although some may have shied away from such assistance in the past, Community Contacts director Susan Wohl said the combination of cold weather and high heating costs will likely bring more people into the office for help.

"I think this year people are going to realize that these programs are available and that they are legitimately eligible and that they should take advantage of them," Wohl said.

She said state lawmakers are considering a bill to increase the income eligibility requirements - and provide help for more people. Currently a family of four can earn no more than $1,776 a month to be eligible for a grant.

Nicor also offers grants through its sharing program where customers and employees can contribute to a fund to help others pay their heating bills. The program is administered through local Salvation Army offices.

Though Whyte was unaware of how much has been given out, he noted that the amount available is at $550,000 - the program's highest level in recent years.

Homeowners who are not eligible for assistance can call Nicor offices at (888) 642-6748 to set up a payment plan.

http://dailynews.yahoo.com/h/cdh/20010101/lo/families_search_for_ways_to_ease_the_burden_of_higher_gas_costs_1.html

-- Martin Thompson (mthom1927@aol.com), January 01, 2001