City addresses rising cost of heating oil Doty tries to head off winter crisis

By Jason Skog News Tribune staff writer

For 81-year-old Sylvia Verva, a harsh winter might mean choosing among food, prescription medicine and heat. It's a choice she said she shouldn't have to make.

``We'll certainly have to cut down on one of the three,'' Verva said. ``We shouldn't have to be doing that at our elderly age.''

Verva lives on less than $1,000 a month in Social Security benefits. A Bayview Heights resident for 45 years, she said she just spent $150 to have her fuel oil tank filled with 100 gallons -- only about a third of its capacity.

``We'll have to see how long that lasts me,'' she said. ``I just applied for heating assistance.''

This winter, fuel prices are expected to go up another 50 percent.

``If it went up that high, that would be terrible,'' Verva said. ``I hope we have a mild winter.''

Duluth Mayor Gary Doty called a meeting Wednesday to address the potential heating problem before it becomes a crisis.

``We need to be prepared if, in fact, that does happen,'' Doty told a group of 13 representatives of local nonprofit agencies, utilities, and city and county staff.

The goal of Wednesday's gathering, according to facilitator Keith Hamre, manager of the city's Community Development and Housing Division, was to answer four basic questions:

--What resources do we have?

--What is the anticipated demand?

--What are the gaps?

--What's our plan to address the gaps?

Representatives tackled the first three questions during the meeting but agreed to meet again next Wednesday to figure out how to proceed.

Among the resources they identified were a variety of home-heating assistance programs, bill budgeting and low-interest loans.

If the winter is particularly harsh, there will be an increase in demand, but none of the fuel suppliers were worried about a lack of resources, at least for now.

``But with the situation in the Middle East, nobody knows what might happen,'' Doty pointed out.

For now, fuel oil prices are projected to increase 50 percent or more this winter. And natural gas bills are expected to increase 30 percent or more, said Dick Larson, director of Duluth's Public Works and Utilities Department.

Meanwhile, electricity rates are expected to remain flat, said Joe Burton of Minnesota Power. He said Minnesota Power generates electricity primarily with coal and water. Nevertheless, people's bills might go up, depending on demand. If people heat with electricity and it's cold, their bills will rise.

The combination of rising fuel prices and falling temperatures could be a double whammy for all consumers. The colder it gets, the more fuel is used. And if fuel prices are higher, that means a big increase in bills.

Those attending the meeting said they are also concerned about reaching those who haven't needed fuel assistance in the past.

``I think outreach is a resource we need to take advantage of,'' Burton said. ``Sometimes people are reluctant to take assistance. They see it as a handout.''

Lisa Rodosevich Pattni, a representative of Sen. Paul Wellstone, encouraged those at the meeting to gather stories of citizens in need of assistance.

She said Wellstone likes to share those stories on the floor of the Senate when it comes time to allocate more federal money.

``It kind of embarrasses them into voting,'' she said. ``It's something they should be doing anyway.''

http://www.duluthnews.com/today/dnt/local/heat.htm

-- Martin Thompson (mthom1927@aol.com), October 19, 2000