A bill to require the Secretary of Housing and Urban Development and the Secretary of Agriculture to withdraw a final determination relating to energy efficiency standards for housing, and for other purposes.
Key claim: S3178 would require HUD and USDA to withdraw the 2024 energy efficiency standards determination for federally financed new construction and prohibit future adoption of updated codes unless at least 26 states have already adopted equivalent standards.
Abstract
(S3178 · 119th Congress) This bill directs the Department of Housing and Urban Development (HUD) and the Department of Agriculture (USDA) to withdraw the final determination titled Adoption of Energy Efficiency Standards for New Construction of HUD- and USDA-Financed Housing and published on April 26, 2024. The determination adopted updated minimum energy efficiency standards for newly built homes (except manufactured housing) financed through certain HUD and USDA programs. Specifically, it adopted the (1) 2021 International Energy Conservation Code (IECC), which applies to single family homes and multifamily low-rise buildings up to three stories; and (2) 2019 American National Standards Institute/American Society of Heating, Refrigerating, and Air-Conditioning Engineers/Illuminating Electrical Society (ANSI/ASHRAE/IES) Standard 90.1, which applies to multifamily residential buildings with four or more stories. HUD and USDA must also revert to using the energy efficiency standards required before the determination. In addition, the bill prohibits HUD, USDA, and the Department of Veterans Affairs from taking actions or using federal funds to implement or enforce the determination or any substantially similar determination. It also prohibits the Federal Housing Finance Agency from finalizing, implementing, or enforcing a determination or rule relating to energy efficiency standards for single and multifamily housing. Finally, the bill prohibits HUD and USDA from adopting updates to the IECC or ANSI/ASHRAE/IES Standard 90.1 in certain circumstances unless at least 26 states have adopted codes or standards that meet or exceed the update’s requirements. Latest action (2025-11-18): Read twice and referred to the Committee on Banking, Housing, and Urban Affairs. (text: CR S8206)
Why this matters
Energy efficiency standards attached to federal housing finance sit at the intersection of housing affordability and building code policy: tighter standards raise construction cost but lower operating cost for occupants, while a state-adoption threshold would effectively slow HUD/USDA’s ability to update codes independently. The proposal would shift decisional weight toward state code cycles, affecting how quickly federally financed new construction reflects newer IECC/ASHRAE editions.