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Oregon Rental Home Heat Pump Program

oregon-shape-image SB 1536, passed by the Oregon Legislature in 2022, allocated $15 million to the Oregon Department of Energy to support heat pump installations in Oregon rental homes. In 2024, the Legislature allocated an additional $4 million to the program.

ODOE's general program funding has been completely reserved, and the agency is no longer accepting applications. We will not know about the potential for additional state funds for the program until the next legislative session, which begins in January 2025.

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For Tribes

Funding is available and the agency is accepting applications for the installation of heat pumps and related upgrades in rental housing occupied by members of the federally recognized Tribes in Oregon listed in the table below. Click here for more information for Tribes and Tribal members.


Tribe Total
Allocated
Available
Low- &
Moderate
Income
Funding
Available
Affordable
Housing
Provider
Funding
Available
Non
-Income
Restricted
Funding
Confederated
Tribes of Coos,
Lower Umpqua &
Siuslaw Indians
$127,668$31,917$31,917$63,834
Cow Creek Band of
Umpqua Tribe of Indians
$127,770$0$0$0
Confederated Tribes of
Grand Ronde
$128,186$32,047$32,047$64,093
Klamath Tribes $127,620$31,905$31,905$63,810
Confederated Tribes of
Siletz Indians
$128,177$32,044$32,044$64,089
Confederated Tribes of
Umatilla Indian Reservation
$134,868$25,434$0$67,434
Confederated Tribes of
Warm Springs Reservation
$131,517$32,879$32,879$65,759

*Approximate based on approved incentive reservations and applications. Updated July 8, 2025

A minimum of 25% of funds must be allocated to low- and moderate-income households and a minimum of 25% of funds must be allocated to affordable housing providers, as displayed in the table.

In 2024, the State Legislature passed SB 1525, outlining the transfer of funding from the Community Heat Pump Deployment Program to the Oregon Rental Home Heat Pump Program for regions or federally recognized Indian Tribes that had not been awarded a grant. Funding was transferred for seven of the federally recognized Indian tribes in Oregon. This funding is available only for heat pumps installed in rental housing where members of each of those Tribes reside.

General Program Background

The Oregon Rental Home Heat Pump Program provides rebates and grants for the installation of heat pumps and related upgrades in dwellings used as residential tenancy (rentals) and manufactured dwellings or recreational vehicles located in a rented space.

Heat pumps must be installed by ODOE-approved contractors (PDF version), who will reserve and receive rebates for eligible heat pump projects. The full rebate savings must be passed on to the dwelling owner.

While ODOE is not currently accepting rebate reservations, we are still accepting registrations for additional approved contractors.

More Information:

Learn more about heat pump technology

Community Heat Pump Deployment Program (owner-occupied homes)

Oregon Rental Home Heat Pump Program (rental homes)

Stakeholder Engagement

See our Rulemaking page for more information on public rulemaking meetings and hearings.

Meetings

Date/Time Meeting Materials
Wednesday, June 28, 2023 11 a.m. - noon Oregon Rental Home Heat Pump Program Overview for Contractors
Wednesday, April 26, 2023 - Oregon Rental Home Heat Pump Program Overview 11 a.m.
Thursday, January 5, 2023 - Oregon Rental Home Heat Pump Program Public Hearing 3 - 4 p.m.
Program Design Input Monday, September 26, 2022 1 - 2 p.m.
Program Design Input Monday, September 19, 2022

10 - 11 a.m.