Tax credit for disaster-proofing your home—if your county already got federal aid

What it does

This bill creates a new federal tax credit allowing homeowners to claim 50% of their disaster-mitigation spending (up to $25,000 per year, phasing out for higher earners) as a refundable tax credit. Eligible expenses include roof reinforcement, flood barriers, fire-resistant materials, generators, storm shelters, and vegetation removal—but only for homes in counties that have received federal disaster declarations or FEMA hazard-mitigation assistance in the past decade. The credit cannot be claimed for expenses already covered by insurance or government grants.

Why we flagged it

The bill's core mechanism is a refundable tax credit for homeowner disaster-mitigation spending. It is straightforward fiscal policy—a subsidy routed through the tax code rather than direct appropriation. The title accurately describes the function.

What the text implies

• The credit is available only in counties with prior federal disaster declarations or FEMA assistance, creating a geographic subsidy that may incentivize migration to or investment in disaster-prone areas rather than reducing overall risk.
• The $25,000 annual cap and 50% credit structure means the federal government absorbs up to $12,500 per household per year in foregone revenue, with no explicit sunset or aggregate spending cap—total cost depends on uptake and is not pre-appropriated.
• Homeowners in disaster zones without prior federal assistance (e.g., areas facing emerging climate risks not yet formally declared) are ineligible, potentially leaving newer or less-documented hazard areas without incentive support.
• The credit phases out at $200,000 AGI, meaning middle-class homeowners in high-cost disaster zones (e.g., coastal California, Florida) may be ineligible despite high exposure and mitigation costs.

Section numbers refer to the bill text the analysis read — linked under Primary records below.

Who it affects

Homeowners in disaster-prone areas gain a direct subsidy (50% cost recovery) for protective upgrades, lowering out-of-pocket resilience costs and incentivizing risk reduction. The refundable structure ensures lower-income households benefit even if they owe no income tax. However, the benefit is geographically limited to federally declared disaster zones and phases out for higher earners, creating a modest but real public good without obvious private capture.

Who stands to gain

• homeowners in federally declared disaster zones
• roofing and construction contractors
• building materials suppliers
• HVAC and generator manufacturers
• insurance companies (indirectly, through reduced claims)

Named in the bill

Internal Revenue Service, Federal Emergency Management Agency (FEMA), Insurance Institute for Business and Home Safety, International Code Council, National Storm Shelter Association, U.S. Forest Service, Robert T. Stafford Disaster Relief and Emergency Assistance Act

Where it stands

1 cosponsor: 1 Republicans.

• Dec 4, 2025 — Introduced · Congress.gov: “Introduced in House”
• Dec 4, 2025 — Referred to House Committee on Ways and Means · Congress.gov: “Referred to the House Committee on Ways and Means”

Dates and quoted wording are Congress.gov's action record; the timeline shows status changes, not every procedural step.

Money around this bill

3 lobbying clients named this bill on 4 disclosure filings across 2 quarters, Dec 2025 to Jun 2026. Those filings disclosed $5,210,000 in lobbying spend. A filing names 35 bills on average, so that figure is what each filing reported, not a share belonging to this bill.

More lobbying clients named this bill than 61% of bills with at least one filing.

Kevin Mullin, the sponsor, reported $505,911 in PAC receipts in the 2026 cycle. $2,000 of that came from 1 PAC tied to these lobbying clients.

• Pacific Gas and Electric Company — $3,530,000 on 1 filing
• Honeywell International — $1,610,000 on 1 filing
• International Association of Fire Chiefs — $70,000 on 2 filings

Lobbying Disclosure Act filings through Jul 20, 2026. A filing shows who paid to lobby on a bill it names, not what changed.