This bill creates a federal grant program administered by the Department of Housing and Urban Development to fund local projects that reduce urban heat, such as planting trees, installing cool roofs and pavements, and building cooling centers. At least 75% of grants must go to low-income census tracts (those with poverty rates of 20% or higher), with priority for communities that have less tree cover and higher summer temperatures than surrounding areas.
Who benefits
Low-income residents in census tracts with 20%+ poverty rates (disproportionately people of color in urban heat islands); local governments, state governments, metropolitan planning organizations, Indian tribes, nonprofit organizations, and nonprofits focused on environmental justice and urban forestry who serve low-income communities; urban forestry companies and arboriculture contractors who implement tree planting and maintenance projects; renewable energy companies providing cooling center equipment; academic institutions and research organizations studying urban heat mitigation.
Who pays / loses
U.S. taxpayers (federal appropriations of up to $30 million annually for fiscal years 2026-2033); eligible entities applying for grants must provide 20% of project costs themselves (or more if not economically disadvantaged); communities in higher-income census tracts receive lower priority and access to fewer grants.
Fiscal note: $30,000,000 authorized annually for fiscal years 2026 through 2033 (total potential authorization: $240,000,000 over 8 years)
Funding & Lobbying Interests
Environmental and climate-focused nonprofits, urban forestry organizations, and environmental justice groups have a financial stake in this bill's passage, as they are named as eligible entities and board members. Green infrastructure companies (cool roof and pavement manufacturers), renewable energy firms (for cooling center equipment), tree nurseries and arboriculture contractors, and academic research institutions studying urban heat mitigation and environmental justice stand to benefit from increased project funding. The bill's co-sponsors include representatives from districts with significant urban heat burdens and environmental justice constituencies, suggesting alignment with community-based organizations and nonprofits working on climate and health equity.
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