Helping Families in Need
2007 Good Neighbor Fund Report

PNM Good Neighbor Fund How to get help from the PNM Good Neighbor Fund Contribute to the PNM Good Neighbor Fund

The PNM Good Neighbor Fund helps families in need with their energy bills. The program is funded by contributions from customers like you. PNM shareholders match the customer donations up to $350,000 per year.

This summary provides an overview of 2007 contributions and how they were used to assist others.

Program administration

The PNM Good Neighbor Fund is administered by the Salvation Army.

• Third-party administration helps ensure decisions on who receives assistance are based on a thorough review of each applicant’s eligibility.
• PNM’s agreement with the Salvation Army helps keep administration fees low.
  • In 2007, administration costs were 10 percent of customer and PNM contributions, and were all paid to Salvation Army.

Eligibility for assistance

Eligibility is determined by income.

• Applicants must first apply for assistance through the state’s Low Income Home Energy Assistance Program (LIHEAP).
  • Applicants who qualify for assistance from LIHEAP automatically qualify for assistance from the Good Neighbor Fund.

Customers who don’t qualify for LIHEAP may still be eligible for help from the PNM Good Neighbor Fund.

• Some circumstances that may merit special consideration include:
  • hospitalization of a family member
  • recent loss of a job

Months of operation

While contributions to the fund are accepted year-round, assistance was provided from
December 1, 2006 to March 31, 2007.

Grant amounts

The PNM Good Neighbor Fund can provide up to $180 per household to assist with energy expenses, including:

• PNM bills
• Propane
• Firewood

Communities served

Good Neighbor Fund assistance is currently available in 26 communities statewide.

• Communities served in 2007 ranged from Truth or Consequences and Taos to Santa Fe and Farmington.

Customers assisted in 2007

Number of individuals assisted:     12,556
Number of applications approved:   4,502
Number of applications denied:         453

How customers contribute

There are three ways customers donate to the fund:

• They choose to make recurring monthly donations that are included in each month’s “Amount Due” total.
• They select a “round-up” option that rounds up bills to the next dollar.
• They write in the amount of their choice on their bill coupon when they return it with their monthly payment.

2007 beginning, ending balance

$431,542 (As of January 1, 2007)
$389,189* (As of January 1, 2008)

*Timing differences for booking contributions and disbursements result in a variance of $3,699.

2007 Sources of income

2007 Expenditures

Customer and employee contribution trends