Sponsors (48)
The bill substantially expands LIHEAP eligibility, funding, emergency protections and clean‑energy home upgrades to help low‑income households afford energy and withstand climate extremes, but it raises federal costs and creates administrative, implementation and fiscal trade‑offs that could cause uneven access and require careful oversight.
Low-income households (including renters and homeowners) will be eligible for LIHEAP at higher income thresholds and subject to an affordability target (home energy costs capped around 3% of income), expanding who gets help and directing extra priority to the poorest households.
Low-income households will gain substantially more federal support through new and increased appropriations and grant authorities (e.g., $3B for FY2026, $1B for targeted grants and a 3‑year pilot), enabling more assistance, weatherization, retrofits and resilience projects.
Low-income households in disasters or extreme-heat/cold events will get clearer triggers and faster, year‑round emergency heating/cooling aid plus protections from shutoffs (including explicit disaster coverage and multi-year shutoff protections), improving safety and preventing utility disconnections.
Taxpayers and the federal budget face substantially higher costs and potential fiscal pressure from expanded eligibility, new grant programs and larger open‑ended authorizations without guaranteed offsets.
States, local agencies and utilities will face significant implementation, administrative and IT burdens (new reporting, data‑sharing, coordinator positions, supplier programs, online application deadlines) that risk uneven rollout and delays in benefits for eligible households.
Waiving documentation and allowing self‑attestation, along with broader eligibility, increases the risk of fraud or improper payments unless matched by stronger oversight, which could reduce funds available to eligible households.
Based on analysis of 12 sections of legislative text.
Expands and renames LIHEAP, increases authorized funding starting FY2026, creates grants for high-energy-use households and decarbonization, and adds supplier protections, arrears tracking, and eligibility reforms.
Introduced March 31, 2025 by Yassamin Ansari · Last progress March 31, 2025
Renames and expands the federal home energy assistance program, increases authorized funding beginning in FY2026, creates a new three-year grant program to reduce household energy burdens and support clean energy transitions, and imposes new rules for states and energy suppliers to protect eligible households from shutoffs, late fees, and extreme-heat/cold risks. It also broadens eligibility, requires data-sharing and reporting on arrears and disconnections, sets priorities for weatherization and appliance electrification, and directs HHS and DOE to issue guidance and track outcomes.