CARE / FERA (Utility Bill Discounts)

CARE and FERA are utility bill discounts for income-qualified California households. CARE cuts your electric bill by 30 to 35 percent and your gas bill by 20 percent. PG&E describes it as 20 percent or more on gas and 35 percent or more on electricity. FERA is a fallback for households a little over the CARE income line. It gives an 18 percent discount on electric rates only, with no gas discount.

You apply through your own utility, not the state or the CPUC. The big utilities, PG&E, SCE, SDG&E, and SoCalGas, each have their own short online form. Paper forms are also at community agencies. The online form takes only a few minutes, and no proof of income is needed when you apply. One form covers both programs. If your income is over the CARE line, the utility automatically checks you for FERA.

The fastest way in is categorical eligibility. If anyone in your home is on Medi-Cal, CalFresh, SSI, WIC, LIHEAP, CalWORKs, or the free National School Lunch Program, you qualify for CARE automatically, with no income math. If not, the program uses income limits. For 2026-27, the CARE limit is $43,280 a year for one or two people, $54,640 for three, $66,000 for four, $77,360 for five, and $88,720 for six, plus $11,360 for each extra person.

FERA reaches a bit higher, up to 250 percent of the poverty guidelines, and is for households of three or more. For 2026-27 the FERA limits are $68,300 a year for three people, $82,500 for four, $96,700 for five, and $110,900 for six, plus $14,200 for each extra person. These income tables run on a June to May cycle, so the current figures hold through May 31, 2027.

A few things to know. Renters qualify, because the discount rides on the utility account, not on owning the home. Even tenants in sub-metered buildings can apply through a separate form. After you enroll, the utility may randomly pick your household and mail a letter asking you to verify your income, so respond or you can lose the discount. You renew every 2 years, or every 4 years if you live on a fixed income like Social Security. If your utility is a city utility like LADWP or SMUD, CARE and FERA do not apply there, but those utilities run their own discount programs, so ask them directly.