Arizona Contractor Meeting Recap: July 2, 2025

The Building Performance Association recently hosted an informational session for Arizona energy efficiency contractors, highlighting critical updates across federal initiatives. This meeting was the third in a series of five that BPA is hosting over the summer for Arizona contractors.

While details continue to evolve, here are key themes we covered:

H.R. 1: On July 1, the Senate passed the “One Big Beautiful Bill.” The bill was subsequently passed by the House on July 3. The bill is expected to be signed by the president shortly; 25C, 25D, and 45L are all set to be eliminated after 2025. In the meeting, we reviewed what this means for contractors in the energy efficiency industry. We also discussed certain surviving commercial clean energy tax credits and new opportunities for leasing models. While the loss of key residential credits is a setback, we discussed how the industry may adapt and why there’s hope for future restoration.

Annual Appropriations: We reviewed the process of annual appropriations and discussed why bipartisan support is necessary to the decision-making process. The president’s budget proposal calls for significant cuts to energy programs, including the elimination of the Low Income Home Energy Assistance Program (LIHEAP) and Weatherization Assistance Program (WAP), as well as the removal of funding from the Office of State and Community Energy Programs (SCEP) within the U.S. Department of Energy. This office manages programs like Training for Residential Energy Contractors (TREC), weatherization, and rebate programs. We discussed what this could mean for program rollouts and factors that could contribute to delays.

Home Energy Rebates: We shared updates on the HOMES and HEAR rebate programs, which remain funded and are moving forward at the state level. While the programs themselves are safe for now, we discussed factors that could delay implementation. We also touched on upcoming DOE guidance and what contractors should expect around quality assurance and data reporting.

BPA will continue to provide updates as we get them. Please join one of our future meetings in this series if interested in participating in the discussion.