Analyses / Impact Analysis / 119 · HR 4758 Impact Analysis

119-HR-4758 Investigative Journalist Impact Analysis

119 · HR 4758 Homeowner Energy Freedom Act

bolt Energy
Homeowner Energy Freedom Act 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,...
Bottom-line assessment
Persona’s analytical judgment (not advocacy).
HEAR state grants (IRA)
4275$M
HEAR Tribal grants (IRA)
225$M
Energy codes assistance (IRA)
1000$M
Rebate cap per household (HEAR)
14000$
Published
04 Dec 2025
Updated
04 Dec 2025
Tags
impact-analysis · legislation · energy
Unvetted
01 · Section

Summary

The bill repeals three Inflation Reduction Act provisions: High‑Efficiency Electric Home Rebates (HEAR/42 U.S.C. 18795a), State‑based contractor training grants (42 U.S.C. 18795b), and Assistance for Latest and Zero Building Energy Code Adoption (Sec. 50131). It also rescinds unobligated balances for HEAR and the energy‑codes program. In committee on December 3, 2025, it was ordered reported to the House, 25–21. Under repeal, states would lose remaining federal support for point‑of‑sale electrification rebates and for adopting/implementing modern energy codes; near‑term federal outlays would fall, while modeled long‑run consumer savings and emissions reductions associated with these programs would likely be smaller than under current law. [1]Library of Congress — Text - H.R.4758 - 119th Congress (2025-2026): Homeowner E…[6]House Energy & Commerce Committee — E&C Advances Fifteen Bills to the Full Hous…[2]LII / Cornell Law School — 42 U.S. Code § 18795a - High-efficiency electric hom…[3]U.S. Department of Energy — Efficient, Affordable, Resilient Buildings | DOE Bu…

02 · Section

Economic Effects

What changes economically if the repeal becomes law.

  • Federal outlays: The bill rescinds unobligated balances for HEAR and the codes program. Appropriations authorized by IRA were up to $4.275B for state HEAR grants (+$225M for Tribes) and $1B for energy‑code adoption/implementation. Actual rescissions depend on what remains unobligated at enactment; there is no CBO score posted as of December 4, 2025. [2]LII / Cornell Law School — 42 U.S. Code § 18795a - High-efficiency electric hom…[3]U.S. Department of Energy — Efficient, Affordable, Resilient Buildings | DOE Bu…[7]Web search · turn 10 #1
  • Household energy costs: HEAR currently enables upfront discounts up to $14,000 per household (e.g., up to $8,000 for heat pumps; $1,750 for heat‑pump water heaters; $4,000 for panel upgrades). DOE has estimated home‑energy rebates could save households up to $1B annually under current law; repeal removes this stream of consumer savings where states have not yet obligated funds. [2]LII / Cornell Law School — 42 U.S. Code § 18795a - High-efficiency electric hom…[8]U.S. Department of Energy — DOE: State and Tribe allocations for Home Energy Re…
  • Program roll‑out to date: Several states have launched or prepared integrated programs (e.g., Indiana and North Carolina), with many others in staged approval; repeal would halt remaining federal support for jurisdictions without obligated awards and complicate programs mid‑implementation. [9]State of Indiana — Indiana Office of Energy Development — Home Energy Rebates (…[10]NC Department of Environmental Quality — North Carolina DEQ launches state Home…
  • Workforce and contractors: Repealing the $200M state contractor‑training grants eliminates a dedicated funding source to address installer bottlenecks the efficiency sector has flagged. DOE’s 2024 USEER shows energy‑efficiency employment at ~2.3M jobs; DOE also projected the home‑rebate programs would support >50,000 jobs—both exposures if demand and training pipelines weaken. [11]Web search · turn 0 #3[12]U.S. Department of Energy — DOE Report Shows Clean Energy Jobs Grew at More Tha…[4]U.S. Department of Energy — DOE Provides States and Territories with Retroactiv…
  • Builders and construction costs: Ending the $1B codes‑assistance reduces funding for adoption/implementation of 2021 IECC/ASHRAE 90.1 or zero‑energy codes. DOE/PNNL analyses find the 2021 IECC yields ~9–12% energy savings and ~9–10% GHG cuts versus 2018, translating to life‑cycle bill savings; industry groups counter that 2021 IECC can raise upfront costs materially (estimates vary by climate/design). Repeal reduces compliance‑support dollars and may ease some near‑term construction cost pressures cited by builders. [13]International Code Council — DOE/PNNL analysis of 2021 IECC savings (ICC news s…[14]Web search · turn 4 #2[15]National Association of Home Builders — NAHB: Costly Energy Codes and Rent Caps…
  • HVAC/appliance markets: Heat‑pump shipments have recently exceeded gas‑furnace shipments nationally; removing state point‑of‑sale rebates would likely soften near‑term demand growth, particularly among price‑sensitive segments. [16]NYSERDA — NYSERDA: Heat Pumps Outsell Gas Furnaces Again (AHRI data)
03 · Section

Social Effects

Who benefits and who bears the costs.

  • Low‑ and moderate‑income (LMI) households: HEAR was income‑tested and designed so at least half of rebates flow to low‑income households. Repeal curtails remaining access to no‑/low‑cost upgrades for these groups, potentially preserving higher energy burdens. [17]U.S. Department of Energy — Biden-Harris Administration Awards First State Fund…
  • Renters and multifamily: HEAR allowed rebates for multifamily buildings meeting LMI thresholds; removing funds reduces an avenue for upgrades where tenants typically cannot finance capital improvements themselves. [2]LII / Cornell Law School — 42 U.S. Code § 18795a - High-efficiency electric hom…
  • Indoor air quality and health: Gas combustion indoors elevates NO₂; EPA links exposure to respiratory effects, especially in children. New research indicates switching from gas/propane stoves to electric can substantially cut NO₂ exposure; repeal reduces incentives for such switches in LMI homes. Evidence on direct asthma causality is contested, underscoring the need for careful interpretation. [18]U.S. EPA — Nitrogen Dioxide's Impact on Indoor Air Quality | US EPA[19]Stanford University — Stanford Report: Switching to electric stoves can dramati…[20]American Gas Association — AGA summary: gas cooking and asthma evidence review
  • Workforce equity: Without training grants, states lose a targeted tool to develop entry‑level pathways and upskilling aligned with efficiency/electrification jobs—roles that have grown faster than overall energy employment. [11]Web search · turn 0 #3[12]U.S. Department of Energy — DOE Report Shows Clean Energy Jobs Grew at More Tha…
04 · Section

Environmental Effects

Projected system‑level impacts.

  • Buildings’ share of U.S. emissions: Direct residential/commercial emissions are ~13% of U.S. totals; including electricity use, buildings account for about 31%. Repeal reduces one set of levers (rebates/codes) for lowering these emissions. [5]U.S. EPA — Commercial and Residential Sector Emissions | US EPA
  • Energy codes: DOE/PNNL finds adopting 2021 IECC delivers ~9.4% residential site‑energy savings and ~8.7% carbon reductions versus 2018; repeal withdraws up to $1B that supports states’ adoption, implementation, and enforcement, likely slowing uptake and related savings. [13]International Code Council — DOE/PNNL analysis of 2021 IECC savings (ICC news s…[3]U.S. Department of Energy — Efficient, Affordable, Resilient Buildings | DOE Bu…
  • Heat pumps and retrofits: NREL estimates heat‑pump retrofits can cut home site energy 31–47% on average (more with envelope upgrades) and reduce GHGs in every state; losing rebates likely reduces retrofit rates relative to current law. [21]NREL — Benefits of Heat Pumps Detailed in New NREL Report
05 · Section

Temporal Analysis

Distinguishing immediate versus long‑term outcomes.

  • Immediate (enactment–2 years): Federal outlays decline by rescinding unobligated balances for HEAR and codes assistance; programs with obligated awards continue, but states without obligations would likely pause or downsize plans. By design, the bill does not specify rescission for training‑grant unobligated balances, but repeal ends statutory authority to run the program. [1]Library of Congress — Text - H.R.4758 - 119th Congress (2025-2026): Homeowner E…[22]U.S. Government Accountability Office — GAO-05-734SP: A Glossary of Terms Used…
  • Medium/long term (3–10 years): Fewer subsidized electrification projects and slower energy‑code adoption reduce aggregate consumer‑bill savings and emissions reductions versus current law; contractor capacity may grow more slowly without dedicated training funds. Conversely, builders may face lower near‑term compliance costs, and gas‑utility customers could see reduced risk of cost shifts associated with uncoordinated load departure. [15]National Association of Home Builders — NAHB: Costly Energy Codes and Rent Caps…[23]turn7academia12
06 · Section

Unintended Consequences and Risks

  • Equity whiplash: LMI‑targeted rebate channels would disappear in states without obligated funds, potentially widening energy‑burden gaps until alternative aid is funded. [17]U.S. Department of Energy — Biden-Harris Administration Awards First State Fund…
  • Gas‑system cost dynamics: Research warns that partial, uncoordinated electrification can raise per‑customer gas costs for those left on the system; while slower electrification could temper this risk in the short run, it prolongs fossil infrastructure reliance and associated emissions. [23]turn7academia12
  • Housing‑finance exposure: HUD/USDA have moved to 2021 IECC/ASHRAE 90.1 for certain financed housing; without federal codes‑assistance dollars, some developers face higher compliance costs or delays. [25]Web search · turn 15 #2
07 · Section

Assessment

Persona’s analytical judgment (not advocacy).

Neutral. The bill likely produces near‑term federal savings and reduces some compliance and administrative costs cited by builders. However, it also removes targeted, income‑tested incentives and state capacity funding that DOE and national labs link to long‑run consumer savings and emissions reductions in the buildings sector. The aggregate impact turns on how much funding is already obligated, whether states backfill programs, and local energy‑price trajectories. [1]Library of Congress — Text - H.R.4758 - 119th Congress (2025-2026): Homeowner E…[13]International Code Council — DOE/PNNL analysis of 2021 IECC savings (ICC news s…[8]U.S. Department of Energy — DOE: State and Tribe allocations for Home Energy Re…

08 · Section

Key Metrics

HEAR state grants (IRA)
4275$M
HEAR Tribal grants (IRA)
225$M
Energy codes assistance (IRA)
1000$M
Rebate cap per household (HEAR)
14000$
DOE est. annual household savings from home rebates
1000$M/yr
Jobs in energy‑efficiency sector (2023)
2300thousand

Sources: statute and DOE estimates; employment per DOE USEER 2024. [2]LII / Cornell Law School — 42 U.S. Code § 18795a - High-efficiency electric hom…[3]U.S. Department of Energy — Efficient, Affordable, Resilient Buildings | DOE Bu…[8]U.S. Department of Energy — DOE: State and Tribe allocations for Home Energy Re…[12]U.S. Department of Energy — DOE Report Shows Clean Energy Jobs Grew at More Tha…

09 · Section

Sourcing Notes

Primary statutory, agency, committee, and technical references underpinning this analysis.

  • Bill text and status: Congress.gov (text; actions); House Energy & Commerce markup recap (Dec 3, 2025). [1]Library of Congress — Text - H.R.4758 - 119th Congress (2025-2026): Homeowner E…[26]Library of Congress — Actions - H.R.4758 - All actions | Congress.gov[6]House Energy & Commerce Committee — E&C Advances Fifteen Bills to the Full Hous…
  • Program details and allocations: 42 U.S.C. 18795a/18795b; DOE pages for Home Energy Rebates and Codes Assistance. [2]LII / Cornell Law School — 42 U.S. Code § 18795a - High-efficiency electric hom…[11]Web search · turn 0 #3[8]U.S. Department of Energy — DOE: State and Tribe allocations for Home Energy Re…[3]U.S. Department of Energy — Efficient, Affordable, Resilient Buildings | DOE Bu…
  • Economic and jobs context: DOE USEER; DOE estimate of $1B/yr consumer savings and >50k jobs supported. [12]U.S. Department of Energy — DOE Report Shows Clean Energy Jobs Grew at More Tha…[4]U.S. Department of Energy — DOE Provides States and Territories with Retroactiv…
  • Environmental baselines and code impacts: EPA building‑sector shares; DOE/PNNL findings for 2021 IECC; NREL heat‑pump benefits. [5]U.S. EPA — Commercial and Residential Sector Emissions | US EPA[13]International Code Council — DOE/PNNL analysis of 2021 IECC savings (ICC news s…[21]NREL — Benefits of Heat Pumps Detailed in New NREL Report
  • Equity/IAQ literature: EPA NO₂ guidance; new Stanford‑led analysis; counter‑evidence summary from gas industry. [18]U.S. EPA — Nitrogen Dioxide's Impact on Indoor Air Quality | US EPA[19]Stanford University — Stanford Report: Switching to electric stoves can dramati…[20]American Gas Association — AGA summary: gas cooking and asthma evidence review
  • Implementation reality: state launch examples (IN, NC); state integration plans (MA). [9]State of Indiana — Indiana Office of Energy Development — Home Energy Rebates (…[10]NC Department of Environmental Quality — North Carolina DEQ launches state Home…[24]Web search · turn 2 #5
  • Budget mechanics: GAO glossary on unobligated balances. [22]U.S. Government Accountability Office — GAO-05-734SP: A Glossary of Terms Used…
Sources cited
  1. [1] Text - H.R.4758 - 119th Congress (2025-2026): Homeowner Energy Freedom Act | Congress.gov Library of Congress
  2. [2] 42 U.S. Code § 18795a - High-efficiency electric home rebate program | LII LII / Cornell Law School
  3. [3] Efficient, Affordable, Resilient Buildings | DOE Building Energy Codes Program U.S. Department of Energy
  4. [4] DOE Provides States and Territories with Retroactive Rebate Resource, Updates FAQs U.S. Department of Energy
  5. [5] Commercial and Residential Sector Emissions | US EPA U.S. EPA
  6. [6] E&C Advances Fifteen Bills to the Full House of Representatives House Energy & Commerce Committee
  7. [7] Web search · turn 10 #1
  8. [8] DOE: State and Tribe allocations for Home Energy Rebates; estimated $1B annual savings U.S. Department of Energy
  9. [9] Indiana Office of Energy Development — Home Energy Rebates (Indiana Energy Saver Program) State of Indiana
  10. [10] North Carolina DEQ launches state Home Energy Rebate Program NC Department of Environmental Quality
  11. [11] Web search · turn 0 #3
  12. [12] DOE Report Shows Clean Energy Jobs Grew at More Than Twice the Rate of Overall U.S. Employment U.S. Department of Energy
  13. [13] DOE/PNNL analysis of 2021 IECC savings (ICC news summary) International Code Council
  14. [14] Web search · turn 4 #2
  15. [15] NAHB: Costly Energy Codes and Rent Caps Will Harm Housing Affordability National Association of Home Builders
  16. [16] NYSERDA: Heat Pumps Outsell Gas Furnaces Again (AHRI data) NYSERDA
  17. [17] Biden-Harris Administration Awards First State Funding and Announces Progress on $8.8B Home Energy Rebates U.S. Department of Energy
  18. [18] Nitrogen Dioxide's Impact on Indoor Air Quality | US EPA U.S. EPA
  19. [19] Stanford Report: Switching to electric stoves can dramatically cut indoor air pollution (PNAS Nexus study) Stanford University
  20. [20] AGA summary: gas cooking and asthma evidence review American Gas Association
  21. [21] Benefits of Heat Pumps Detailed in New NREL Report NREL
  22. [22] GAO-05-734SP: A Glossary of Terms Used in the Federal Budget Process U.S. Government Accountability Office
  23. [23] turn7academia12
  24. [24] Web search · turn 2 #5
  25. [25] Web search · turn 15 #2
  26. [26] Actions - H.R.4758 - All actions | Congress.gov Library of Congress

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