Homeowner Energy Freedom Act
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The bill would repeal three Inflation Reduction Act programs that fund home energy-efficiency upgrades: rebates for electrifying low- and moderate-income households, state grants to train energy-efficiency contractors, and assistance for states adopting updated building energy codes.
It would also rescind any unspent funds for the rebate and building-code programs, ending federal support for those efforts before the money is fully distributed.
What this bill would do
What it would do
The bill would repeal three provisions of the 2022 reconciliation law (Public Law 117-169): the high-efficiency electric home rebate program for low- and moderate-income households, state-based grants to train home energy-efficiency contractors, and federal assistance to states and localities adopting the latest or zero-energy building codes. It would also rescind any unobligated (unspent) balances remaining for the rebate program and the building energy code assistance program, and it would make a conforming amendment removing a cross-reference to the rebate program elsewhere in the law. The bill does not repeal or alter other Inflation Reduction Act energy provisions, such as tax credits for energy efficiency, and it does not rescind the contractor training grant funds, which a prior reconciliation act already rescinded. Its effect is limited to ending these three specific Department of Energy programs and clawing back any money not yet spent.
Key provisions
- 1Would repeal the high-efficiency electric home rebate program for low- and moderate-income households
- 2Would repeal state-based home energy efficiency contractor training grants
- 3Would repeal federal assistance for states adopting the latest or zero building energy codes
- 4Would rescind unobligated balances for the rebate program and building energy code assistance program
- 5Would make a conforming amendment removing a cross-reference to the repealed rebate program
Who would be affected
Homeowners, particularly low- and moderate-income households, who might have used electrification rebates; contractors and training programs that would have received state-administered efficiency training grants; and state and local governments seeking federal help updating building energy codes. The Department of Energy administers the affected programs.
Why it matters
If enacted, households that had not yet claimed electrification rebates would lose access to that federal subsidy, and states would lose funding help for building code updates and contractor training pipelines. Any unspent program funds would be returned rather than distributed, ending these efforts before their full rollout.
What would change
Changes to existing law
Repeals Section 50122 of Public Law 117-169 (42 U.S.C. 18795a) (Sec. 2(a)(1))
Eliminates the high-efficiency electric home rebate program for home electrification.
Repeals Section 50123 of Public Law 117-169 (42 U.S.C. 18795b) (Sec. 2(a)(2))
Eliminates state-based home energy efficiency contractor training grants.
Repeals Section 50131 of Public Law 117-169 (136 Stat. 2041) (Sec. 2(a)(3))
Eliminates assistance for states adopting the latest or zero building energy codes.
Amends Section 50121(c)(7) of Public Law 117-169 (42 U.S.C. 18795(c)(7)) (Sec. 2(c))
Strikes language referencing rebates provided under the high-efficiency electric home rebate program.
Agencies directed to act
Funding and costs
Congressional Budget Office estimate
CBO estimates that enacting H.R. 4758 would have no effect on the federal deficit over the 2026–2035 period, despite rescinding approximately $300 million in unobligated balances.
H.R. 4758 would repeal three Department of Energy programs created by the 2022 reconciliation act — the Home Electrification and Appliances Rebate program, the State-Based Home Energy Efficiency Contractor Training Grant program, and the Assistance for Latest and Zero Building Energy Code Adoption program — and rescind their unobligated (unspent) funds. CBO estimates the bill would reduce budget authority by about $300 million in 2026, but because CBO's January 2025 baseline already did not project those balances to be spent under current law, the bill would produce no net change in direct spending, revenues, or the deficit over the 2026–2035 period. CBO found no intergovernmental or private-sector mandates in the bill.
How implementation would work
The Department of Energy would stop administering the three repealed programs and would need to identify and return any unobligated funds tied to the rebate and building energy code assistance programs to the Treasury. No new agency rulemaking or reporting structure is created; the bill simply ends existing statutory authority and associated unspent appropriations, with a technical cross-reference update elsewhere in the underlying law.
Legislative status & sources
Latest action
Received in the Senate and Read twice and referred to the Committee on Energy and Natural Resources.
Official CRS summary
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This bill repeals the Department of Energy's (1) high-efficiency electric home rebate program for certain electrification projects in low- or moderate-income households, (2) state-based home energy efficiency contractor training grants, and (3) assistance for states and local governments to adopt specified building energy codes. It also rescinds any unobligated balances available for the rebates or adopting the building energy codes. (The unobligated balances for the contractor training grants were previously rescinded by the 2025 reconciliation act.)
Legislative subjects
Appropriations; Building construction; Energy; Energy efficiency and conservation; Income tax credits; Lighting, heating, cooling; Residential rehabilitation and home repair; State and local finance
Committee report
H. Rept. 119-484