S-385-115
Placed on Senate Legislative Calendar under General Orders. Calendar No. 73.
What it does
This bill would update federal energy efficiency programs across four sectors: buildings, industry, federal agencies, and appliances. It would require states and tribes to certify compliance with building energy codes, direct the Department of Energy (DOE) to fund worker training and school energy programs, create rebate programs for efficient motors and transformers, and require federal agencies to adopt energy-efficient information technology. It would also modify the Energy Star certification process and set new energy performance targets for federal buildings.
Who benefits
Homeowners and renters in states that adopt stronger building codes would see lower energy bills over time. Small and medium-sized manufacturers would gain access to free on-site energy assessments. Students and workers seeking careers in energy-efficient construction and building technology would benefit from new training grants. Institutions of higher education would receive funding to establish building training centers. Schools seeking to finance energy efficiency upgrades would gain a clearer federal coordination point. Multifamily housing residents could benefit from water and energy conservation improvements under HUD's demonstration program. Mortgage applicants with energy-efficient homes could receive more favorable loan underwriting under new HUD guidelines.
Who is hurt
Builders and developers who currently operate under less stringent local codes could face higher upfront construction costs if their states adopt the updated model codes. Manufacturers of less energy-efficient motors, transformers, and building products could lose market share to competitors whose products qualify for rebates. States and tribes would face new compliance measurement and certification requirements, which could impose administrative costs. Third-party certification firms that currently provide Energy Star verification services could lose business if the bill reduces mandatory third-party certification requirements. Federal agencies would face new mandates to upgrade information technology systems, which could require budget reallocations.
Supporters argue
Supporters argue that the bill would reduce energy costs for households, businesses, and taxpayers without imposing a carbon price or broad regulatory mandate. By focusing on voluntary programs, grants, technical assistance, and rebates rather than top-down rules, the bill would let states, tribes, and private actors choose the efficiency measures that work best for them. Supporters contend that more efficient buildings and industrial processes would lower operating costs, making American manufacturers more competitive globally. They also argue that training programs would create well-paying skilled jobs in construction and manufacturing. Because the bill requires spending to be appropriated annually, supporters say it includes a built-in fiscal check that prevents open-ended federal commitments.
Opponents argue
Opponents argue that the bill's voluntary and incentive-based approach would produce only modest energy savings compared to binding national standards, making it an inefficient use of federal funds. They contend that new state and tribal compliance certification requirements could function as unfunded mandates, burdening governments that lack the staff or resources to meet reporting deadlines. Critics also argue that reducing mandatory third-party certification under the Energy Star program could weaken consumer confidence in product labeling, potentially allowing lower-quality products to carry the Energy Star mark. Some opponents may argue that the bill's narrow efficiency focus does not address broader climate change goals, while others may contend that federal involvement in building codes and local construction standards encroaches on areas traditionally governed by states and localities.