Contents

• Introduction to the Weatherization Assistance Program
• Statutory Authority for Allocation
• WAP's Program Allocation
• Development of the Program Allocation Procedures
• 1984 Formula Allocation
• 1995 Formula Allocation
• FY2025 Allocation
• The Base Allocation
• The Formula Allocation
• Factor 1: Population
• Factor 2: Climate
• Factor 3: Residential Energy Expenditure
• State Formula Share and State Formula Allocation
• Potential Issues for Congress

Summary

The Department of Energy's (DOE's) Weatherization Assistance Program (WAP) enables low-income families to reduce their energy consumption by making their dwellings more energy efficient. The WAP was authorized in Title IV of the Energy Conservation and Production Act (ECPA; P.L. 94-385) and established in 1976. This act authorized the administrator of the Federal Energy Administration (and later the Secretary of Energy) to provide weatherization assistance.

The WAP is a formula grant program: Funding flows from DOE to state and territorial governments and then to local governments and weatherization agencies. DOE program guidelines specify that a variety of energy efficiency measures are eligible for support under the program. The measures include insulation, space-heating equipment, energy-efficient windows, water heaters, and efficient air conditioners.

Program funds are allocated to states and territories according to a formula that has a long and complicated history. Initially WAP funds were distributed in a manner that was more favorable to colder-weather states. This focus was in part the result of high heating oil prices throughout the 1970s. As WAP was reauthorized, Congress amended the factors that were considered by DOE to inform the distribution of funds.

The current procedure dates to 1990, when Congress reauthorized WAP. The reauthorization required that the Secretary of Energy amend the formula allocation to use more recent data and to account for factors such as the cost of heating and cooling. The effect of these changes was that, in general, some funding would be shifted from colder-weather states to warmer-weather states. To prevent a dramatic shift of funds, the "new" formula, which DOE developed in 1995, is used to calculate state allotments only when appropriations for the WAP program exceed approximately $209.7 million. When funds are at or above the threshold, DOE determines program allocations for states and territories according to a base allocation and a formula allocation. The base allocation is a set amount for each state and territory and reflects historical program allocations. The formula allocation is composed of three factors: a population factor, a climatic factor (which accounts for the variations in climatic conditions that can affect household energy consumption), and a residential energy expenditure factor (which approximates the financial burden to low-income households of energy use). For total program allocations below $209,724,761, DOE determines allocations for states and territories according to a base allocation of $209,724,761 prorated by the percentage below that threshold.

Under the current procedure, the method of funding allocation is dependent on whether WAP's annual appropriation by Congress is at or exceeds the monetary threshold, as noted. In FY2025, the threshold for the formula allocation was exceeded with WAP funding at $326 million.

The WAP was reauthorized in the Energy Act of 2020 (Division Z of the Consolidated Appropriations Act, 2021, P.L. 116-260). The act amended the program, and, in addition to the factors in the formula allocation, the Secretary of Energy may consider the non-energy benefits of weatherization improvements—such as improvements to health and safety—when determining appropriate standards and procedures. The act also established a competitive program for WAP enhancement and innovation that includes termination language stating that "the Secretary may not award financial assistance under this section after September 30, 2025."

Issues for Congress center on whether to continue the program as enacted, to amend the current formula to account for changes in the energy consumption of heating or cooling or other factors, to make changes to the per-dwelling funding limit, or to make changes to the approved weatherization materials. In the 119^th Congress, several bills—including H.R. 1355, S. 1342, and S. 2570—would make changes to the WAP. These include increasing per-dwelling funding limits, establishing a weatherization readiness program to make dwelling units ready to receive weatherization measures, reauthorizing appropriations for the program, and providing additional authorizations for appropriations for weatherization readiness, among other proposals. Other bills—including S. 127, S. 1197, H.R. 2407, and H.R. 150—refer to the program but would not amend the program directly.

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Introduction to the Weatherization Assistance Program

The Weatherization Assistance Program (WAP) was established in 1976 under Title IV of the Energy Conservation and Production Act (ECPA; P.L. 94-385; 42 U.S.C. §6861 et seq.). The WAP enables low-income families to permanently reduce their energy consumption by making their households more energy efficient.¹ It is a formula grant program: Funding flows from the Department of Energy (DOE) to state governments (including territories, beginning in 2007) and then to local governments and weatherization agencies.² DOE program guidelines specify that a variety of energy efficiency measures are eligible for support under the program.

The Energy Act of 2020 (Division Z, P.L. 116-260) amended the program and reauthorized annual appropriations from FY2021 through FY2025. The act clarified that renewable energy technologies and other advanced technologies are considered to be weatherization materials (42 U.S.C. §6862(9)). The act also amended Section 413(b) of ECPA (42 U.S.C. §6863(b)) to authorize DOE to account for the non-energy benefits of weatherization improvements—such as improvements to health and safety—when determining appropriate standards and procedures for WAP.

The act added Section 414(c) to ECPA (42 U.S.C. §6864c), which states that the Secretary of Energy may request that grant recipients review and encourage the expanded use of private contractors. Another new section, 414(d) (42 U.S.C. §6864d), authorized the creation of a new financial assistance program for WAP enhancement and innovation.³

Other enacted changes include increasing the amount of a WAP grant that can be used for administrative purposes from 10% to 15% and changing the eligibility requirements for reweatherization of any dwelling to 15 years after the previous weatherization was completed. In addition, WAP received additional appropriations for FY2022, to remain available until expended, through the Infrastructure Investment and Jobs Act (IIJA; P.L. 117-58). DOE allocated WAP funding provided by IIJA via formula.⁴

Currently, DOE employs a formula to allocate WAP funding to states, the District of Columbia, and territories (hereinafter referred to as "states"). Each state, in turn, decides how to allocate its share of the funding to local governments and jurisdictions.⁵ Funds made available to the states are allocated to local governments and nonprofit agencies for purchasing and installing energy efficiency materials, such as insulation, and for making energy-related repairs.⁶ Funds for tribes are included in a state's formula allocations. With a few exceptions, funds for tribes are distributed at the state level. For selected tribal governments, allocations are derived from state allocations and allocated directly from DOE to those entities.⁷

This report discusses the formula that is used to allocate WAP funds to state governments. The formula allocation has changed over time. The report provides an introduction to WAP, including the program's statutory authority, current allocation procedure, and origin and evolution. Next, the report discusses the specific methods and factors for distributing WAP funds to the states, which involve a base allocation and a formula allocation. The report concludes with a discussion of issues for Congress and identifies some related legislation introduced in the 119^th Congress.

Statutory Authority for Allocation

Under current law, DOE allocates weatherization assistance funds to states and territories, taking into account several factors. Section 414 of ECPA (42 U.S.C. §6864(a)) mandates that the funding allocation be based on "the relative need for weatherization assistance among low-income persons." Other factors specified in Section 414 include

• "the number of dwelling units to be weatherized";¹⁴
• "the climatic conditions in the State [or territory] respecting energy conservation, which may include consideration of annual degree days";¹⁵
• "the type of weatherization work to be done in various settings"; and
• "such other factors as the Secretary [of DOE] may determine necessary, such as the cost of heating and cooling, in order to carry out the purpose and provisions of this part."

DOE is required to annually update the data used in the allocation of funds.¹⁶

WAP's Program Allocation

Funds for WAP are directed to several activities, and funds are allocated to states and territories according to a formula that has changed over time and that depends on the amount of funding provided through appropriations by Congress. DOE describes the allocation process in 10 C.F.R. §440.10.

From the funds provided by Congress, DOE reserves some funds for national training and technical assistance (T&TA) activities that benefit all states and territories. DOE also allocates funding for T&TA activities at both the state and local levels. The total funding available to DOE for national, state, and local T&TA may be up to 20% of an annual appropriation.¹⁷ In addition, depending on specific funding levels, DOE is directed to competitively award grants for WAP enhancement and innovation and may elect to award Sustainable Energy Resources for Consumers (SERC) grants.

The remaining funds comprise the total allocation to state programs. The program allocation consists of two parts: the base allocation and the formula allocation. The base allocation for each state is fixed, but the amount differs for each state (see the section "The Base Allocation" for more information). The fixed base is intended to prevent large swings from previous allocations, which could disrupt a state's program operations.

DOE determines program allocations for states and territories as the sum of a base allocation and a formula allocation, which is expressed mathematically as

Program Allocation = Base Allocation + Formula Allocation

The base allocation is a shared pool of $171,858,000. All funds above this level are determined using one of two methods and are dependent on WAP's annual appropriation by Congress.¹⁸ If the total program allocation is at or above $209,724,761 (referred to as the "threshold amount"),¹⁹ the formula allocation is used. The formula allocation depends on three factors, as described in the section "The Formula Allocation."

For total program allocations below $209,724,761, DOE determines allocations for states and territories according to an allocation of $209,724,761 prorated by the percentage decrease from the threshold. For example, if the total program allocation were 10% below $209,724,761, then the program allocation for each state or territory would be 10% less than the program allocation as determined for $209,724,761. According to DOE, "this approach distributes the effect of lower appropriations equitably."²⁰ The procedure in 10 C.F.R. §440.10(c) does not specify what the program allocation would be for each state and territory at the threshold amount (i.e., $209,724,761) to determine the prorated percentage decrease. This threshold amount is based on allocations determined by DOE for FY1995. In a previous instance when total program allocations were below the threshold and above the base allocation, DOE stated that "allocations are prorated from 1995 levels under Public Law 103-332," and "data updated since 1995 do not impact allocations."²¹

Development of the Program Allocation Procedures

As the WAP developed, DOE changed the procedures for state allocation of WAP funds. Two sets of formula allocation procedures are discussed below—those developed in 1984 and in 1995. The 1995 procedures remain in effect today, as amended in 2009.²² The current state allocation consists of two parts: a fixed amount of money derived from a state's FY1993 allocation, as determined by DOE, and an additional amount of money—referred to as the "formula allocation." The FY1993 allocation was determined according to the formula allocation procedures developed in 1984.²³

1984 Formula Allocation

In 1984, DOE developed and published standard procedures for allocating funds within the WAP.²⁴ DOE divided the first $5.1 million of appropriated funds equally among the states, with an additional $100,000 allocated to Alaska. The remaining funds available for allocation to the states would be dispersed according to a formula.

This formula allocation emphasized heating demand, resulting in warmer weather states receiving less funds than colder weather states. In the formula, the square of the number of heating degree days in a state and the square of the number of cooling degree days in a state were each multiplied by the percentage of total residential energy used for space heating or cooling, respectively, and then summed. A heating degree day (HDD) is a measurement designed to quantify the demand for energy needed to heat a building and is typically determined as the number of degrees that a day's average temperature is below 65^o Fahrenheit. A cooling degree day (CDD) is a measurement designed to quantify the demand for energy needed to cool a building and is typically determined as the number of degrees that a day's average temperature is above 65^o Fahrenheit. As households typically use more energy for heating than cooling, the DOE formula tended to favor states in colder climates (with more heating degree days). In addition, DOE retained the option to reduce or increase the allocation for a state depending on the state's likelihood to expend funds.²⁵

1995 Formula Allocation

The State Energy Efficiency Program Improvement Act of 1990 (P.L. 101-440) directed DOE to review the formula allocation. Some were concerned that the formula favored northern states over southern and western states. According to the Senate committee report for S. 247 (S.Rept. 101-235), enacted as P.L. 101-440,²⁶

The Committee intends that there be a more equitable distribution of Federal financial assistance among the States than presently exists. The current formula's squaring of heating and cooling degree days does not appear to provide for an equitable national distribution of available federal funds among low-income households. By requiring a repromulgation of the formula, the Committee intends to achieve a more equitable distribution of such WAP funds based on the nationwide low-income population.

In this regard, the Secretary shall determine whether, in fact, the current formula's squaring of heating and cooling degree days unfairly favors certain States, and, if so, shall take immediate steps to change the allocation formula to reflect a more equitable national distribution of funds among low-income households. In this regard, the Committee intends that the Secretary, in consultation with the State Advisory Board established under the Act, develop a new formula and criteria for determining the most equitable methods of allocating weatherization funds based on low income population, number of heating and cooling days, the relative costs of heating and cooling, and the annual costs incurred by low-income households for heating and cooling.²⁷

DOE undertook a rulemaking and published an interim final rule in June 1995 that was adopted as a final rule in December 1995.²⁸ This formula allocation remains in effect, as amended in 2009 and further described in "The Formula Allocation."²⁹

FY2025 Allocation

DOE determines the annual funding allocation or "total program allocation" for weatherization assistance for each state and territory from "the annual appropriation [by Congress] less funds reserved for training and technical assistance [T&TA]."³⁰ For fiscal year (FY) 2025, weatherization received $366.0 million in total appropriations, of which $326.0 million went to WAP, $10.0 million for T&TA activities at DOE headquarters, and $30.0 million for the Weatherization Readiness Fund.³¹ Within available funds, DOE did not reserve funds for WAP Enhancement and Innovation competitive grants or Sustainable Energy Resources for Consumers (SERC) grants.³² Altogether, approximately $325.0 million was available to states and territories for FY2025, with $268.1 million available for the total program allocation and $56.9 million for T&TA activities.³³ For FY2025, the total program allocation was above the threshold. For FY2025 allocation information for states, territories, and tribes, see Table A-1.

The Base Allocation

The base allocation is a fixed amount of annual funding that each state and territory receives from appropriated sums for weatherization assistance from DOE.³⁴ The fixed amount differs for each state and territory and was based on the allocations for FY1993 as determined by DOE according to a previous formula.³⁵ Base allocations, which total $171,858,000, are listed in Table 1 of 10 C.F.R. §440.10(b)(1). This table is included in Appendix B for reference.

The Formula Allocation

When the total program allocation is at or exceeds $209,724,761, state and territory formula allocations are determined using the 1995 formula allocation process, as amended. The available funds for formula allocation are determined from the difference between the total program allocation and the total base allocation of $171,858,000. For example, in FY2025, the total available funds for allocation by formula were $96,267,000 (the difference between the FY2025 total program allocation—$268,125,000—and the base allocation—$171,858,000).

The state formula allocation is determined by multiplying the total available funds for allocation by formula by a state or territory's formula share. The state formula allocation is expressed mathematically as

State Formula Allocation = Total Funds for Formula Allocation × State Formula Share

The state formula share is calculated as the product of three factors—population, climate, and residential energy expenditures—which are then normalized by the sum of the product of each state's three factors (effectively, the national total).

Factor 1: Population

The population factor (Factor 1) is the percentage of the U.S. low-income households in each state or territory. The formula gives equal weight to owners and renters. The American Recovery and Reinvestment Act of 2009 (ARRA; P.L. 111-5, §407a) revised the program guidelines to raise the low-income eligibility ceiling from 150% to 200% of the poverty level.³⁶

DOE does not routinely publish estimates for the population factor. The U.S. Energy Information Administration's (EIA's) 2009 Residential Energy Consumption Survey (RECS) estimated that there were 113.6 million households in the United States.³⁷ Of these households, approximately 39.5 million households (or nearly 35%) were federally eligible for weatherization assistance.³⁸ The distribution of low-income households in the United States in 2009 was "in roughly the same proportions as the non-low-income population, with approximately 16 percent in the Northeast, 23 percent in the Midwest, 41 percent in the South, and 20 percent in the West."³⁹

EIA's 2020 RECS—with the most recent survey data—estimated that the total number of households had increased in the United States to 123.53 million.⁴⁰ Although CRS did not identify a source for the number of households that were eligible for weatherization assistance in 2020, EIA's 2020 RECS did estimate that 33.58 million of the 123.53 million households in the United States experienced energy insecurity.⁴¹ Of those households that experienced energy insecurity, EIA's 2020 RECS estimated approximately 16% in the Northeast, 20% in the Midwest, 42% in the South, and 22% in the West.

Factor 2: Climate

The climate factor (Factor 2) accounts for the variation in climatic conditions that can affect household energy consumption (i.e., energy demand for heating and cooling). The factor relies on 30-year averages of HDDs and CDDs as reported by the National Oceanic and Atmospheric Administration (NOAA). According to NOAA, the 30-year averages are updated once every 10 years.⁴² In May 2021, NOAA published 30-year climate normals for the period from 1991 through 2020.⁴³

The HDDs and CDDs that appear in NOAA's data include annual values, representing the sum of degree days accumulated across all days of the year.⁴⁴ Using these annual degree-day data, Factor 2 is the sum of the HDD ratio (a state HDD divided by the national median HDD) and the CDD ratio (a state CDD divided by the national median CDD, multiplied by 0.1) for each state or territory, treating the energy needed for heating and cooling in a proportional manner. Mathematically, Factor 2 is expressed as

Including 0.1 in the CDD ratio—according to the 1995 interim final rule—accounted for the difference in national energy consumption data between heating and cooling. According to 1990 data from EIA, national heating consumption equaled 4.79 quadrillion Btu, while air conditioning consumption equaled 0.49 quadrillion Btu.⁴⁵ That is, heating consumed approximately 10 times more energy than air conditioning, or cooling energy consumption was roughly one-tenth (0.1) that for heating, in 1990.

However, according to 2020 RECS data from EIA, heating energy consumption in 2020 was 4.03 quadrillion Btu and national air conditioning energy consumption was 0.87 quadrillion Btu.⁴⁶ That means that, in 2020, heating consumed approximately 4.6 times more energy than air conditioning (or the ratio of cooling energy consumption to heating energy consumption roughly doubled since 1990, to 0.2).

Factor 3: Residential Energy Expenditure

The residential energy expenditure factor (Factor 3) is an estimate of the residential energy expenditure (REE) for low-income households for a state or territory. Energy expenditures for low-income households are not available at the state level.⁴⁷ Therefore the factor is determined based on publicly available data from the U.S. Census Bureau. At the Census division level, residential energy expenditure data is available for the overall population and for low-income households (referred to as "Division REE").⁴⁸

According to the 1995 interim final rule, "the underlying assumption in the calculation of State residential energy expenditures per low-income household is that the relationship between a State's residential energy expenditures per household and its respective divisional residential energy expenditures per household is the same for its low-income population as it is for its general population."⁴⁹ For example, if an average household in a state spends 50% more on residential energy than the average household in its Census division, then it is assumed that low-income households in the same state would also spend 50% more on residential energy than the average low-income household in its Census division.

To determine Factor 3, the state or territory's low-income household energy expenditures are normalized according to a national median low-income household energy expenditure. Mathematically, Factor 3 is expressed as

State Formula Share and State Formula Allocation

As discussed previously, the above factors are multipled together and then normalized to determine a state formula share. The total amount of funding available for formula allocation is multipled by the state formula share to determine the state formula allocation. To determine a state's program allocation, the state formula allocation is summed with the state base allocation.

A state receives an annual allocation that is the sum of the state program allocation and the state training and technical assistance allocation. Appendix A provides annual allocation information for states, territories, and tribes for FY2001 through FY2025; the allocations vary from year to year and reflect changes in funding levels for the WAP and DOE allocations for program funds and T&TA funds.

Potential Issues for Congress

Under the current procedure, the method of funding allocation is dependent on whether WAP's annual appropriation is at or exceeds a monetary threshold, as discussed. An issue for Congress is whether to maintain this approach and continue to direct the allocation procedure through annual appropriations. Alternatively, Congress could amend the authorizing language to address concerns regarding the current allocation procedure. These concerns center on whether adjustments are needed to account for changes in heating and cooling or to include other factors in the formula. Another issue is sufficiency of appropriations for the program.

Congress could direct DOE to examine the current allocation formula and determine whether revisions to the current approach should be undertaken. Congress previously directed DOE to revise the weatherization allocation formula "in order to allow for a more equitable apportionment of funds while not harming the existing capacity of any State to weatherize homes" and provided funds for DOE to undertake the formula revision.⁵⁰ The DOE examination resulted in the 1995 final rule and current allocation formula.

Congress may consider whether adjustments to the formula are merited to account for changes in heating and cooling. As discussed in "Factor 2: Climate," the energy consumption ratio of heating to air conditioning has declined from approximately 10 to 4.6. Factor 2 also relies on 30-year averages of HDDs and CDDs as reported and updated by NOAA on a 10-year basis. As the U.S. average annual temperature has increased, the trend in the average annual number of heating degree days has decreased and the trend in the average annual number of cooling degree days has increased overall.⁵¹ The exception to this are states within the Southeast (excluding Florida), which have seen more HDDs and fewer CDDs.⁵²

Long-term averages may not reflect present or future conditions or sufficiently capture the potential energy expenditure burden associated with heating and cooling during extreme temperatures. According to the Fifth National Climate Assessment (NCA5), extreme temperatures are projected to increase even more than average temperatures in the contiguous United States.⁵³ The EIA projects that for residential buildings, delivered energy for air conditioning will increase through 2050, while delivered energy for space heating will decline during the same period.⁵⁴ Many factors can contribute to energy expenditure burdens, including local weather conditions; the energy sources used for heating and cooling; and the age and size of a home, home appliances, or home heating and cooling system equipment.⁵⁵

In addition, the HDD or CDD determined for a state may not capture the actual HDD and CDD experienced in urban areas. Studies have shown evidence of heat islands in urban areas and evidence that persons of color and low-income households within some urban areas experience additional elevated heat exposure.⁵⁶ According to the U.S. Environmental Protection Agency, some of these effects are a result of discriminatory practices that were prohibited in 1968 by the Fair Housing Act, as neighborhoods affected by such practices "continue to have less tree cover, higher temperatures, and greater proportions of residents with lower income."⁵⁷

Changing the amount of appropriations or the formula allocation may have different outcomes. Increasing appropriations to the WAP under the existing program allocation would provide additional funding to all states and territories. Changing the formula allocation to reflect changes in energy consumption due to heating and cooling and changes in HDDs and CDDs—holding all other factors constant—may increase formula allocations to states and territories in warmer climates (or those areas where a greater percentage of a household's energy consumption is due to air conditioning). Changing the amount of appropriations or the formula allocation could increase the number of eligible dwellings that receive weatherization assistance, but such changes alone would not affect the number of dwellings that are ineligible for weatherization services due to the condition of the dwelling or need for repairs.⁵⁸

In addition to altering the existing factors within the WAP's formula allocation, Congress may consider other factors. In the 119^th Congress, several bills would make changes to the WAP. Some proposals, such as S. 1342 and H.R. 1355, would increase per-dwelling funding limits and establish and authorize a weatherization readiness program to make dwelling units ready to receive weatherization measures. Congress has provided funding for weatherization readiness through annual appropriations acts for FY2022 through FY2025.⁵⁹ S. 2570 would reauthorize WAP and increase per-dwelling funding limits, among other changes. Another bill, S. 127, would direct the Secretary of Housing and Urban Development to establish a pilot program for a whole-home repairs program that would complement and coordinate with energy efficiency or housing programs, including WAP. Other bills—such as S. 1197, H.R. 2407, and H.R. 150—would include WAP among a list of federal assistance programs for review, consideration, and valuation by proposed commissions, but the bills would not amend the program directly.

Appendix A. State Total Allocations, FY2001-FY2025

Appendix B. Base Allocation

Footnotes

1.	The federal Weatherization Assistance Program (WAP) statute states that the primary purpose of the program is "to increase the energy efficiency of dwellings owned or occupied by low-income persons, reduce their total residential energy expenditures, and improve their health and safety, especially low-income persons who are particularly vulnerable such as the elderly, the handicapped, and children"; see 42 U.S.C. §6861. The term "low-income" is defined in 42 U.S.C. §6862(7) to mean income in relation to family size which (A) is at or below 200 percent of the poverty level determined in accordance with criteria established by the Director of the Office of Management and Budget, except that the Secretary may establish a higher level if the Secretary, after consulting with the Secretary of Agriculture and the Director of the Community Services Administration, determines that such a higher level is necessary to carry out the purposes of this part and is consistent with the eligibility criteria established for the weatherization program under section 2809(a)(12) of this title, (B) is the basis on which cash assistance payments have been paid during the preceding 12-month period under titles IV and XVI of the Social Security Act [42 U.S.C. 601 et seq., 1381 et seq.] or applicable State or local law, or (C) if a State elects, is the basis for eligibility for assistance under the Low-Income Home Energy Assistance Act of 1981 (42 U.S.C. 8621), provided that such basis is at least 200 percent of the poverty level determined in accordance with criteria established by the Director of the Office of Management and Budget.
2.	Section 411(c) of the Energy Independence and Security Act of 2007 (P.L. 110-140) amended the definition of "State" in Section 412 of the Energy Conservation and Production Act (ECPA; 42 U.S.C. §6862(8)). According to 42 U.S.C. §6862(8), the term "State" means "(A) a State; (B) the District of Columbia; (C) the Commonwealth of Puerto Rico; and (D) any other territory or possession of the United States."
3.	Section 414D of ECPA as added by the Energy Act of 2020 (Division Z, P.L. 116-260) includes termination language stating that "the Secretary may not award financial assistance under this section after September 30, 2025."
4.	For more information on the WAP and grantee allocations under the Infrastructure Investment and Jobs Act (IIJA; P.L. 117-58), see Department of Energy (DOE), "Infrastructure Investment and Jobs Act (IIJA) Grants for the Weatherization Assistance Program," Weatherization Program Notice (WPN) IIJA-1 Revised, April 3, 2025, https://www.energy.gov/sites/default/files/2025-04/wap-wpn-iija-1-revised_040325.pdf; and DOE, "Infrastructure Investment and Jobs Act (IIJA) Grantee Allocations," WPN IIJA-2 Revised, April 3, 2025, https://www.energy.gov/sites/default/files/2025-04/wap-wpn-iija-2-revised_041625.pdf.
5.	Administrative rules, eligibility standards, the types of aid, and benefit levels are primarily decided at the state level. Eligibility is automatically given to applicants receiving Temporary Assistance for Needy Families or Supplemental Security Income. Also, if a state elects, program eligibility can be extended to households that meet Low Income Home Energy Assistance Program eligibility criteria.
6.	Most of the grantees are state-designated community action agencies, which administer multiple types of social service grants for low-income persons. No more than 10% of grant funds allocated to states may be used for administration according to 42 U.S.C. §6865.
7.	For example, in FY2024 the Northern Arapahoe Grant received $120,152 in funding directly from DOE, and the funding allocation to Wyoming was reduced by the same amount from $1,406,759 to $1,286,607. Other grants to tribal entities from DOE in other fiscal years include the Navaho Grant allocations (from Arizona and New Mexico state allocations) and the Inter-Tribal Council of Arizona Grant (from Arizona allocations).
8.	DOE, Office of Inspector General (OIG), Improved Oversight and Enforcement Would Help the Department of Energy Implement the Weatherization Assistance Program Under the Infrastructure Investment and Jobs Act, Audit Report, DOE-OIG-25-01, October 2024, https://www.energy.gov/sites/default/files/2024-10/DOE-OIG-25-01.pdf.
9.	DOE OIG, Audit Report, October 2024, p. 2.
10.	DOE OIG, Audit Report, October 2024, p. 4.
11.	DOE OIG, Prospective Considerations for the Infrastructure Law-Funded Weatherization Assistance Program, Speical Report, DOE-OIG-22-30, April 2022, p. 2, https://www.energy.gov/sites/default/files/2022-04/DOE-OIG-22-30.pdf.
12.	See DOE, "Infrastructure Investment and Jobs Act (IIJA) Grants for the Weatherization Assistance Program," WPN IIJA-1 Revised, April 3, 2025, pp. 6-7, https://www.energy.gov/sites/default/files/2025-04/wap-wpn-iija-1-revised_040325.pdf; DOE, "WAP Infrastructure Investment and Jobs Act Award Extension and Obligating Remaining 50% of Funding," WPN IIJA-7 Revised, April 14, 2025, pp. 3-4, https://www.energy.gov/sites/default/files/2025-04/wap-wpn-iija-7-revised_04142025.pdf.
13.	Executive Order 14154 of January 20, 2025, "Unleashing American Energy," 90 Federal Register 8353, January 29, 2025.
14.	DOE defines "dwelling unit" in 10 C.F.R. §440.3 as "a house, including a stationary mobile home, an apartment, a group of rooms, or a single room occupied as separate living quarters."
15.	A "degree day" is a measurement designed to quantify the demand for energy needed to heat or cool a building.
16.	See 42 U.S.C. §6864(c): "Effective with fiscal year 1991, and annually thereafter, the Secretary shall update the population, eligible households, climatic, residential energy use, and all other data used in allocating the funds under this part among the States pursuant to subsection (a)."
17.	The American Recovery and Reinvestment Act of 2009 (P.L. 111-5) allowed the T&TA share to increase from 10% to 20%.
18.	These methods are described in an interim final rule that was published and later finalized in the Federal Register in June 1995. For the interim final rule, see DOE, "Weatherization Assistance Program for Low-Income Persons," 60 Federal Register 29469-29481, June 5, 1995. For adoption of the June notice as a final rule, see DOE, "Weatherization Assistance Program for Low-Income Persons," 60 Federal Register 64314-64315, December 15, 1995.
19.	See 10 C.F.R. §440.10. The threshold amount, $209,724,761, is based on the appropriation of $226,800,000 for the WAP in FY1995 under P.L. 103-332. After reserving funds for DOE and state and territory T&TA, total program allocations were $209,724,761 for FY1995. The threshold amount is not adjusted for inflation.
20.	See DOE, "Weatherization Assistance Program for Low-Income Persons," 60 Federal Register 29479, June 5, 1995; Testimony of Annamaria Garcia, Director of the Office of Weatherization and Intergovernmental Programs at the U.S. Department of Energy, in U.S. Congress, House Appropriations Subcommittee on Energy and Water Development, Department of Energy's Weatherization Assistance Program, hearings, 116th Congress, 1st session, February 12, 2019, p. 3, http://docs.house.gov/meetings/AP/AP10/20190213/108877/HHRG-116-AP10-Wstate-GarciaA-20190213.pdf.
21.	DOE, "Adjustment to Program Year 2010 Grantee Allocations," WPN 10-02A, August 24, 2010, https://nascsp.org/wp-content/uploads/2018/02/wpn2010-02a-1.pdf.
22.	In 2009, DOE made changes to 10 C.F.R. §440 to reflect changes to the Weatherization Assistance Program enacted by the Energy Independence and Security Act of 2007 (P.L. 110-140). Changes included expanding the definition of state to include to include American Samoa, Guam, Commonwealth of the Northern Mariana Islands, Commonwealth of Puerto Rico, and the U.S. Virgin Islands. See DOE, "Weatherization Assistance Program for Low-Income Persons," 74 Federal Register 12535, March 25, 2009.
23.	According to DOE, "the proposed formula as a whole balances congressional intent of maintaining program capacity and apportioning funds more equitably among the States. Under the formula, no State loses more than one-half of one percent of FY1994 funds unless total program allocations fall below $220 million. All States gain when funds rise above this amount." DOE, "Weatherization Assistance Program for Low-Income Persons," 60 Federal Register 29471, June 5, 1995.
24.	DOE, "Weatherization Assistance for Low-Income Persons," 49 Federal Register 3441-3638, January 27, 1984.
25.	DOE stated that in determining whether funds should be reduced, "DOE will consider the amount of unexpended financial assistance currently available to a grantee under this part and the number of dwelling units which remain to be weatherized with the unexpended financial assistance." For increased funds, DOE would determine the amount that "the grantee can expend to weatherize additional dwelling units during the budget period for which financial assistance is to be awarded." See DOE, "Weatherization Assistance for Low-Income Persons," 49 Federal Register 3631, January 27, 1984.
26.	U.S. Congress, Senate Committee on Energy and Natural Resources, Subcommittee on Energy Regulation and Conservation, State Energy Conservation Programs Improvement Act of 1989, hearing on S. 247, 101st Cong., 1st sess., May 2, 1989, pp. 156-158.
27.	U.S. Congress, Senate Committee on Energy and Natural Resources, State Energy Efficiency Improvement Act of 1989, report to accompany S. 247, 101st Cong., 1st sess., January 10, 1988, S.Rept. 101-235, p. 19.
28.	For the final rule, see DOE, "Weatherization Assistance Program for Low-Income Persons," 60 Federal Register 64314-64315, December 15, 1995. For the interim final rule, which describes the formula allocation, see DOE, "Weatherization Assistance Program for Low-Income Persons," 60 Federal Register 29469-29481, June 5, 1995. For general discussion of interim final rules, see CRS Report RL32240, The Federal Rulemaking Process: An Overview, coordinated by Maeve P. Carey.
29.	DOE, "Weatherization Assistance Program for Low-Income Persons," 74 Federal Register 12535, March 25, 2009.
30.	See definition for "total program allocation" under 10 C.F.R. §440.3.
31.	Funding to establish the Weatherization Readiness Fund was appropriated through the Consolidated Appropriations Act of 2022 (P.L. 117-103). For more information on the Weatherization Readiness Fund, see DOE, "Weatherization Readiness Funds – Implementation," WPN 24-9, revised April 14, 2025, https://www.energy.gov/sites/default/files/2025-04/wap-wpn-24-9-revised_041425.pdf. For more information on FY2025 funding, see CRS In Focus IF12710, DOE Energy Efficiency and Renewable Energy (EERE) Appropriations, FY2025, by Martin C. Offutt and Corrie E. Clark.
32.	Section 411 of the Energy Independence and Security Act of 2007 (EISA 2007; P.L. 110-140) stipulates that WAP funds may be used to award Sustainable Energy Resources for Consumers (SERC) grants only when WAP funding for a given fiscal year is at or above $275 million. EISA 2007 also directs DOE to limit SERC grant funding to 2% of WAP funds; therefore, for FY2025, SERC funds—if DOE opted to reserve funds—would be limited to no more than $6.5 million (or 2% of $326 million). DOE, "Program Year 2025 Grantee Allocations," WPN 25-2, July 1, 2025, https://www.energy.gov/sites/default/files/2025-07/wap-wpn-25-2.pdf.
33.	The total reported by DOE in WPN 25-2 sums to $366 million (accounting for DOE T&TA, grantee allocations, weatherization readiness funds, and an "other" category for $1 million); see DOE, "Program Year 2025 Grantee Allocations," WPN 25-2, July 1, 2025, https://www.energy.gov/sites/default/files/2025-07/wap-wpn-25-2.pdf. In previous years, DOE has allocated some WAP funds for cross-cutting activities; for example, $825,000 in funding was allocated in FY2021 for cross-cutting activities. See DOE, "Program Year 2021 Grantee Allocations," WPN 21-2, January 21, 2021, https://nascsp.org/wp-content/uploads/2021/02/wpn-21-2_v2.pdf.
34.	See 10 C.F.R. §440.10(b)(1).
35.	In June 1995, DOE issued an interim final rule (which was later adopted as a final rule) that established an updated allocation formula "to provide warmer-weather States a greater share of the funding, while protecting the Program capacity developed over the years by colder-weather States." See DOE, "Weatherization Assistance Program for Low-Income Persons," 60 Federal Register 29470, June 5, 1995, https://www.federalregister.gov/d/95-13437.
36.	At the time of the 1995 rulemaking for the formula allocation, the low-income eligibility ceiling was 125% of the poverty level. The number of low-income households used in the rulemaking was obtained from a special tabulation of Census data completed by the Census Bureau for DOE. For the definition of "low-income" provided in 42 U.S.C. §6862(7), see footnote 1.
37.	Of the 113.6 million households, the U.S. Energy Information Administration (EIA) reported that 16.9 million households were below the poverty line in 2009. EIA, "Table HC9.2. Household Demographics of U.S. Homes, by Owner/Renter Status, 2009," 2009 Residential Energy Consumption Survey (RECS) Survey Data, https://www.eia.gov/consumption/residential/data/2009/#house.
38.	Eisenberg, Joel, Weatherization Assistance Program Technical Memorandum Background Data and Statistics on Low-Income Energy Use and Burdens, ORNL/TM-2014/133, Oak Ridge National Laboratory, April 2014, p. 3.
39.	Eisenberg, Joel, Weatherization Assistance Program Technical Memorandum Background Data and Statistics on Low-Income Energy Use and Burdens, ORNL/TM-2014/133, Oak Ridge National Laboratory, April 2014, p. 3.
40.	EIA, "Table HC9.2. Household Demographics of U.S. Homes, by Owner or Renter Status, 2020," 2020 RECS Survey Data, March 2024, https://www.eia.gov/consumption/residential/data/2020/hc/pdf/HC%209.2.pdf.
41.	Households were identified as experiencing energy insecurity if they reported at least one of the following: (1) reducing or forgoing food or medicine to pay energy costs; (2) leaving the home at an unhealthy temperature; (3) receiving a disconnect or delivery stop notice; (4) being unable to use heating equipment; or (5) being unable to use cooling equipment. EIA, "Table HC11.1. Household Energy Insecurity, 2020," 2020 RECS Survey Data, March 2023, https://www.eia.gov/consumption/residential/data/2020/hc/pdf/HC%2011.1.pdf.
42.	The 1991–2020 U.S. Climate Normals dataset is the latest release of Climate Normals by the National Centers for Environmental Information (NCEI); see https://www.ncei.noaa.gov/access/us-climate-normals/.
43.	NOAA National Centers for Environmental Information, "NOAA Delivers New U.S. Climate Normals: Decadal Update from NCEI Gives Forecasters and Public Latest Averages from 1991-2020," press release, May 5, 2021, https://www.ncei.noaa.gov/news/noaa-delivers-new-us-climate-normals.
44.	See, for example, Table 3 of the 1995 interim final rule. 60 Federal Register 29474 (June 5, 1995).
45.	EIA estimates accounted for site energy for electricity consumption; see EIA, Household Energy Consumption and Expenditures 1990, DOE/EIA-0321 (90), February 1993, p. 337, https://www.eia.gov/consumption/residential/data/archive/pdf/DOE%20EIA-0321(90).pdf. Data from Table 28 of EIA's Household Energy Consumption and Expenditures 1990.
46.	Estimates account for site energy consumption for space heating and air conditioning. Space heating includes main and secondary space heating. Data from Table CE3.1, "Annual Household Site End-Use Consumption in the U.S.—Totals and Averages, 2020," RECS 2020. https://www.eia.gov/consumption/residential/data/2020/c&e/pdf/ce3.1.pdf.
47.	EIA provides data for state residential energy consumption including expenditure data, but EIA does not distinguish between low-income households and other households.
48.	The Census Bureau established nine divisions, which are geographic groupings of states for the presentation of census data. The current divisions are New England, Middle Atlantic, East North Central, West North Central, South Atlantic, East South Central, West South Central, Mountain, and Pacific. See U.S. Census Bureau, "Geographic Terms and Definitions," December 16, 2021, https://www.census.gov/programs-surveys/popest/about/glossary/geo-terms.html.
49.	See DOE, "Weatherization Assistance Program for Low-Income Persons," 60 Federal Register 29477, June 5, 1995.
50.	U.S. Congress, House of Representatives, Making Appropriations for the Department of the Interior and Related Agencies, for the Fiscal Year Ending September 30, 1995, and for Other Purposes, Conference Report on the Department of Interior and Related Agencies Appropriations Act, 1995, P.L. 103-332, 103rd Cong., 2nd sess., September 22, 1994, H.Rept. 103-740, p. 50.
51.	U.S. Environmental Protection Agency (EPA), Climate Change Indicators in the United States, Fifth Edition, 2024, p. 23, https://www.epa.gov/system/files/documents/2024-09/climate_indicators_2024.pdf.
52.	EPA, "Climate Change Indicators: Heating and Cooling Degree Days," https://www.epa.gov/climate-indicators/climate-change-indicators-heating-and-cooling-degree-days.
53.	See pp. 2-24 of K. Marvel et al., "Chapter 2. Climate Trends," in Fifth National Climate Assessment, ed. A. R. Crimmins et al. (U.S. Global Change Research Program), https://www.southernclimate.org/wp-content/uploads/NCA5_Ch2_Climate-Trends.pdf: The connection between warming and heatwaves is well understood: at the very basic level, as average temperatures warm, the risk of extreme temperatures and record-breaking temperatures goes up, and it is very likely that heatwaves will increase in frequency, severity, and duration as warming continues…. In addition to changes in the number of hot days, multiday heatwaves are very likely to last longer, affect a larger spatial extent, and become more severe, exposing more people and infrastructure simultaneously and for longer periods. By contrast, the number of cold days is projected to decrease. Nighttime temperatures are very likely to increase faster than daytime temperatures, leading to an increase in extreme nighttime temperatures as the global warming level increases. Such changes in extreme heat are very likely to have negative impacts on human health and agricultural productivity.
54.	EIA, "Table 4. Residential Sector Key Indicators and Consumption, Reference Case," Annual Energy Outlook 2025, April 15, 2025. Previous projections by EIA used population-weighted degree days and reflected projected population shifts from colder to warmer parts of the United States; see EIA, "EIA Projects Air-Conditioning Energy Use to Grow Faster Than Any Other Use in Buildings," March 13, 2020, https://www.eia.gov/todayinenergy/detail.php?id=43155.
55.	DOE, "Weatherization Assistance Program," DOE/EE-2124, June 2022, https://www.energy.gov/sites/default/files/2022-06/wap-fact-sheet_0622.pdf; DOE, "Low-Income Household Energy Burden Varies Among States—Efficiency Can Help in All of Them," DOE/GO-102018-5122, December 2018, https://www.energy.gov/sites/prod/files/2019/01/f58/WIP-Energy-Burden_final.pdf.
56.	The term "heat island" describes urban areas that have hotter surfaces and air temperatures than nearby rural areas. The urban heat island can affect communities by increasing energy demand and energy costs for cooling and air conditioning, air pollution and greenhouse gas emissions, heat-related illness and mortality, and water pollution. See EPA, Reducing Urban Heat Islands: Compendium of Strategies, draft, 2008, https://www.epa.gov/heat-islands/heat-island-compendium; T. Chakraborty et al., "Disproportionately Higher Exposure to Urban Heat in Lower-Income Neighborhoods: A Multi-City Perspective," Environmental Research Letters, vol. 14, no. 10 (2019); and A. Hsu et al., "Disproportionate Exposure to Urban Heat Island Intensity Across Major US Cities," Nature Communications, vol. 12, no. 2721 (2021).
57.	EPA, Climate Change Indicators in the United States, Fifth Edition, 2024, p. 19. For more information on the Fair Housing Act, see CRS Report R48113, The Fair Housing Act (FHA): A Legal Overview, by David H. Carpenter; and CRS Report R44557, The Fair Housing Act: HUD Oversight, Programs, and Activities, by Libby Perl.
58.	According to a survey of grantees and subgrantees representing 28 states, in 2023 "approximately one in five clients (19%) who seek WAP services are initially deferred for addressable or repairable issues." Dan Farrell et al., Estimating the Impacts of Weatherization Readiness Programs, American Council for an Energy-Efficient Economy, June 2025, p. 9, https://www.aceee.org/research-report/b2504.
59.	For example, the Explanatory Statement accompanying the Consolidated Appropriations Act, 2022 (P.L. 117-103, Division D) reiterated House direction for the Weatherization Assistance Program. According to H.Rept. 117-98, "The Committee supports the creation of a new Weatherization Readiness Fund to enable more low-income households to receive Weatherization Assistance Program support by providing funds to address structural and health and safety issues to reduce the frequency of deferred homes that are not weatherization ready when WAP work crews enter the home to perform retrofit services." U.S. Congress, House Appropriations Committee, Energy and Water Dvelopment and Related Agencies Appropriations Bill, 2022, report, 117th Cong., 1st sess., July 21, 2021, p. 125.