National Incentives for the Zero Energy Ready Home Program
From 2023 to 2032, Section 45L of the Internal Revenue Code provides a $5,000 tax credit for any home or multifamily unit with a ZERH certification meeting specified prevailing wage requirements. ZERH certifications meets the energy standards requirements for this HUD program, which provides grants to produce and preserve affordable housing for low-income households. HUD Green and Resilient Retrofit Program (GRRP) Leading Edge Award
The DOE ZERH program is a recognized Green Building Certification Program for Fannie Mae's preferential pricing for Mortgage Loans secured by a multifamily property. ZERH Multifamily is a threshold requirement to qualify for this program, which provides up to $60,000 per unit or $10 million per property. For a ZERH certification on a Deltec Home, Deltec will pay a rebate of $750 to the homeowner and $750 to the builder. ZERH certification is an option for meeting the minimum energy standards for a variety of HUD and USDA-funded new construction housing programs. HUD Green and Resilient Retrofit Program (GRRP) Elements Award
ZERH certification meets the energy standards requirement for this HUD program, which provides formula grants to states and localities to fund building, buying, and/or rehabilitating affordable housing for rent or home ownership. ZERH Multifamily certification gives applicants a priority ranking in the selection process for this award, which provides up to $750,000 per property or $40,000 per unit in an existing recapitalization transaction. Regional Incentives for the Zero Energy Ready Home Program
Xcel Energy Marshall Fire Recovery Reconstruction Rebate A rebate for $12,500 is available for those who lost their homes in the Marshall Fires and choose to rebuild their home in the same location with a DOE ZERH Version 2 certification. A rebate for $5,000 is available for new residents building in the Marshall Fire Recovery Area. This rebate is available for homes permitted on or before June 30, 2024. Energize Connecticut Residential New Construction All-Electric Program DOE Zero Energy Ready Homes are eligible for bonus new home construction rebates of $750/single-family home or $500/multifamily unit, in addition to other rebates for associated efficiency measures. The Maryland Department of Housing and Community Development's Multifamily Energy Efficiency and Housing Affordability (MEEHA) Program This program promotes energy efficiency and affordability in multifamily rental housing developments. For the 2024-2026 program cycle, New Construction projects that are certified Zero Energy Ready can receive $1,500 per unit. Minnesota Power New Construction Energy Efficiency Program Minnesota Power offers a building certification bonus of $250 per home for DOE ZERH certification, in addition to up to $4,000 in rebates for air sealing, insulation, window, HVAC, and water heating incentives. Minneapolis 4d Affordable Housing Incentive Program Market rate new construction projects with at least 20% affordable units can receive up to a $100,000 incentive if pursuing ENERGY STAR, Zero Energy Ready, or Passive House Institute US (PHIUS) certification. New Jersey Clean Energy Program Builders can earn $4,000 per single family home, $2,500 per townhome, and $1,500 per multifamily unit certified under DOE ZERH, with additional incentives available for each MMBtu saved and/or renewables. Raters are also eligible for $1,200 per DOE ZERH certification. Federal Home Loan Bank New York 2025 Affordable Housing Program Implementation Plan 2.5 out of a total of 5 points may be awarded to projects meeting DOE ZERH program specifications in the Green Building Innovation section. Eugene Water and Electric Board Energy Efficient New Multifamily Construction Program Builders, developers, and property owners of DOE ZERH MF buildings are eligible to receive $450 per certified dwelling unit. Midstate Electric Cooperative Residential Energy Efficiency Rebates, Umatilla Electric Cooperative Multifamily New Construction Rebates Midstate and UEC offer incentives for new multifamily construction with a DOE ZERH certification under the Bonneville Power Administration's rebate program operated through its utility customers. Contact a Midstate Electrical Coop or Umatilla Electrical Coop representative for details. Rhode Island Residential New Construction Program Rhode Island Energy’s RNC program provides DOE ZERH-certified projects with $1,000/unit in a 1-4 unit building, $750/unit in a 5-10 unit building, $500/unit in an 11-30 unit building, and $500 per unit in a 31-75 unit building. Projects with more than 75 units are eligible for custom incentives. Entergy Texas High-Performance Homes Program Entergy offers a $350 incentive for DOE ZERH certification which can be stacked with other available efficiency incentives. Oncor New Homes Program Builders are eligible for $1,000 per DOE ZERH certified home or multifamily unit. Additional efficiency incentives can provide up to $3,000 for single family homes and $2,000 for multifamily units. CenterPoint Energy High Efficiency Homes Program CenterPoint offers $500 per home for builders who certify homes under the ZERH program. Dominion Energy ThermWise Builder Rebates Builders participating in the Pay for Performance program, which can provide more than $1,000 per unit, are eligible for additional incentives if the project earns a DOE ZERH certification. Also available in Idaho and Wyoming. Housing Innovations in Energy Efficiency (HIEE) Program DOE ZERH certification is the minimum energy efficiency performance requirement for new construction affordable housing projects seeking HIEE funding. Eligible projects may be awarded up to $2,000,000 of HIEE funding. Snohomish County Public Utility District #1 (SnoPUD) will offer an incentive for ZERH-certified homes through 2026. Contact SnoPUD for details on available incentives. Zero Energy Ready Homes and Low-Income Housing Tax Credits (LIHTC)
Arizona State 2024-2025 Qualified Allocation Plan | Projects with a DOE ZERH certification may earn 5 points out of 10 in the Energy Efficiency Category.
Colorado State 2023-2024 Qualified Allocation Plan | Projects must undergo the CHFA EGC Self-Certification process, and may choose to earn an additional certification through ZERH, PHIUS, or PHI for higher consideration.
Connecticut 2024-2025 Qualified Allocation Plan | DOE ZERH certification is a prerequisite to earn any of the four points available for Energy Conservation measures.
Delaware State 2023-2024 Qualified Allocation Plan | Projects with a ZERH certification are eligible for two points in the Energy Conservation Measures category.
District of Columbia (D.C.) 2023 Qualified Allocation Plan | Projects with building(s) of at least 50,000 square feet of Gross Floor Area must be certified using the 2020 Enterprise Green Communities (EGC) Criteria, at the more stringent Enterprise Green Communities Certification Plus level. EGC Plus (in most cases) requires DOE ZERH certification.
Idaho State 2023 Qualified Allocation Plan | The DOE ZERH program is recognized as a Green Building Certifiable Program that may fulfill the Green Building Threshold, a mandatory requirement for LIHTC applicants.
Illinois State 2024-2025 Qualified Allocation Plan | ZERH projects may earn 5 points in the Sustainability and Energy Efficiency category, and projects with ZERH plus renewables may earn 13 points in this category.
Maryland State 2023 Qualified Allocation Plan | The Energy Efficiency category offers six points for projects that certify to DOE ZERH.
Michigan State 2024-2025 Qualified Allocation Plan Green Policy | Three points are available for projects with an Enterprise Green Communities Plus certification. EGC Plus requires (in most cases) DOE ZERH certification.
Minnesota 2024-2025 Self-Scoring Worksheet Housing Tax Credit and Deferred Projects | Three points are available for projects with that meet Enterprise Green Communities criteria and earn a DOE ZERH Certification.
New Jersey State Qualified Allocation Plan Green Requirements | DOE ZERH-certified projects can earn four points under the Green Point Options of the New Jersey QAP.
Ohio State 2024-2025 Qualified Allocation Plan Design and Architectural Standards | OHFA's Architectural Standards include ZERH as an optional 3rd-party certification to meet the required sustainability standard in the Ohio QAP.
Pennsylvania State 2022 Qualified Allocation Plan | DOE ZERH certification earns 8 points out of the 10 available in the Green Certification category.
Rhode Island State 2025 Qualified Allocation Plan | 3 points out of 14 available in the Efficiency category may be awarded to projects achieving RNC Tier III and meeting the state's most current Net Zero or Passive House standards. RNC Tier III can be achieved with DOE ZERH certification.
Utah State 2024 Qualified Allocation Plan | DOE ZERH certification earns 5 points in the Energy Certification category.
Virginia 2022 Qualified Allocation Plan | Points on future applications will be awarded to applicants who have previously used LIHTC funds to build a ZERH-certified project.
Local Stretch Codes Featuring the Zero Energy Ready Home Program
Boulder County Residential Green Building Code Requires that new homes over 5,000 square feet must select 2 of 3 energy provisions: HERS < 50; certified to DOE ZERH; and/or achieve PHIUS/LBC/LEED Platinum. Town of Crested Butte Stretch Code As of January 2023, all new residential construction will need to achieve the latest version of the DOE ZERH Certification. Summit County Building Code As of July 2020, residential new construction is required to comply with DOE ZERH. The code is in effect in Breckenridge, Dillon, Frisco, and Summit County, CO. Rhode Island Residential Stretch Code Compliance with the DOE ZERH program requirements, including Rhode Island Amendments, is required for compliance with this voluntary code.