IRA Funded Technical Assistance for Building Energy Codes - $1 Billion in funding to make U.S. building stock cleaner and more efficient

Grants to States or units of local governments with code making authority to adopt updated building energy codes, zero energy codes, or equivalent codes or standards.

An Opportunity for More-Efficient Buildings for All

The Inflation Reduction Act (IRA) provides $1 billion for states and local governments with the authority to adopt building codes and standards to lead the way with innovative approaches to decarbonization that may impact the entirety of the commercial and residential building stocks. Codes are typically used to “raise the floor,” but this opportunity lets jurisdictions take innovative approaches to decarbonizing their new and renovated buildings through the adoption of the latest model energy codes, zero energy codes, or other standards with equivalent energy savings, like a building performance standard.

Codes and standards supported under this opportunity are cross-cutting and will create more inclusive programs that align with the Administration’s Justice40 priorities and will build capacity at the state and local level. The potential impact from these innovations in building codes and standards presents a nearly unprecedented opportunity to benefit all Americans and reduce our contributions to the changing climate. 

Overview

Office:

State and Community Energy Programs

New Program:

Yes

Funding Amount:

$1,000,000,000

Funding Mechanism:

Grants

Recipients:

States and local governments with authority to adopt building energy codes. DOE may reserve up to 5% of necessary administrative costs.

Period of Availability:

To remain available through 9/30/2029

Assistance Listing:

TBD

Formula Funding:

No

Tribal Eligibility:

TBD

Cost Share Requirement:

No

About the IRA Building Codes Technical Assistance

The IRA made two types of funding available to states and units of local governments with authority to adopt building codes and standards:

  • $330 million to adopt the latest building energy code, which are 2021 International Energy Conservation Code (IECC) for residential buildings and the ANSI/ASHRAE/IES Standard 90.1–2019 for commercial buildings or other codes and standards that achieve equivalent or greater energy savings; and
  • $670 million to adopt a building energy code that meets or exceeds the zero energy provisions in the 2021 IECC code or other codes and standards with equivalent or greater energy savings.

Funding awards will support states and local jurisdictions in adopting, implementing, and enforcing the latest model, zero energy codes, or equivalent codes and standards, improving residential and commercial new construction and retrofits, and transitioning the building stock to more efficient, decarbonized buildings for all.  

Grant recipients must develop an implementation plan that provides approaches to achieve full compliance with the newly adopted code or standard, plans for capacity building to support ongoing implementation, and active workforce training and enforcement programs.

The Office of State and Community Energy Programs (SCEP) is working to distribute these funds so that state and local governments can soon access them to enable a cleaner, more efficient building stock across the country.

More Information

Eligible Uses

Grants to assist States and units of local government that have authority to adopt and implement the latest model energy codes (i.e., 2021 IECC & ASHRAE Standard 90.1-2019), zero energy building codes, or other codes or standards that achieve equivalent or greater energy savings. The Inflation Reduction Act requires that a jurisdiction implement a plan to achieve “full compliance” with the adopted energy code or equivalent standard. Eligible activities include adoption, compliance, workforce, training, enforcement, tools, and implementation support.

Request for Information & Notice of Intent

Read the RFI and NOI are posted on the Clean Energy Infrastructure Funding Opportunity eXCHANGE

Responses to this RFI are now closed. A public informational webinar was held on April 18, 2023. A recording of the webinar and the presentation can be found using these links:

Program Contact Information

Please feel encouraged to reach out with any questions or comments regarding these provisions and program roll out. Contact us directly at IRACodes@hq.doe.gov.

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