HB 1903

CERTIFICATION OF ENROLLMENT
  ENGROSSED SECOND SUBSTITUTE HOUSE BILL 1903
  Chapter 252, Laws of 2026
  (partial veto)
  69th Legislature
  2026 Regular Session
  STATEWIDE LOW-INCOME ENERGY ASSISTANCE PROGRAM
  EFFECTIVE DATE: June 11, 2026
Passed by the House March 11, 2026  CERTIFICATE
  Yeas 70 Nays 26
  I, Bernard Dean, Chief Clerk of the
  House of Representatives of the
  LAURIE JINKINS  State of Washington, do hereby
Speaker of the House of  certify   that   the   attached  is
Representatives  ENGROSSED SECOND SUBSTITUTE HOUSE
  BILL 1903 as passed by the House of
  Representatives and the Senate on
  the dates hereon set forth.
Passed by the Senate March 6, 2026
  Yeas 35 Nays 13
  BERNARD DEAN
  DENNY HECK  Chief Clerk
President of the Senate
Approved March 30, 2026 3:09 PM with  FILED
the exception of section 4, which is
vetoed.  March 31, 2026
  Secretary of State
  BOB FERGUSON  State of Washington
Governor of the State of Washington
  ENGROSSED SECOND SUBSTITUTE HOUSE BILL 1903
  AS AMENDED BY THE SENATE
  Passed Legislature - 2026 Regular Session
State of Washington  69th Legislature     2026 Regular Session
By House Appropriations (originally sponsored by Representatives
Mena, Berry, Doglio, Parshley, Simmons, Santos, Taylor, Scott, Ramel,
Farivar, Hill, Pollet, and Duerr)
READ FIRST TIME 02/09/26.
1     AN ACT Relating to establishing a statewide low-income energy
2 assistance program; amending RCW 19.405.120; adding new sections to
3 chapter 43.330 RCW; creating new sections; and providing expiration
4 dates.
5 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF WASHINGTON:
6     NEW SECTION. Sec. 1. (1) The legislature finds that there is an
7 urgent need for stronger policy and a new program option to secure
8 universally accessible low-income energy bill assistance and reduce
9 the $275,000,000 annual energy burden in Washington. Many income-
10 eligible households do not have sufficient support. The department of
11 commerce November 2024 study of options for a statewide energy
12 assistance program in Washington lays out core features of a just
13 system to expand and secure access to energy affordability measures.
14 To address present and widening disparities in household access to
15 energy assistance will require easier applications, safe data
16 sharing, low barrier eligibility determinations, systematic processes
17 for filling in gaps in the reach of existing programs, and guaranteed
18 funding sources. The recommended program design promotes a more
19 centralized approach to energy assistance. Key elements include those
20 that reduce administrative burdens, but also improve the experience
21 and likelihood that an eligible household receives assistance.
  p. 1  E2SHB 1903.SL
1     (2) It is the intent of the legislature for the department of
2 commerce to phase in this program across the state, working with the
3 advisory group created in section 4 of this act to prioritize low-
4 income households with energy assistance need.
5     (3) This section expires June 30, 2035.
6     NEW SECTION. Sec. 2. A new section is added to chapter 43.330
7 RCW to read as follows:
8     The definitions in this section apply throughout sections 3 and 4
9 of this act unless the context clearly requires otherwise.
10     (1) "Coadministrator" means a participating utility that has
11 voluntarily entered into an agreement with the department to perform
12 any or all administrative tasks associated with implementing the
13 statewide low-income energy assistance program. The scope of the
14 administrative   duties   of   a  utility   choosing   to  serve   as
15 coadministrator are to be established under the agreement between the
16 utility and department under section 3(3) of this act.
17     (2) "Community action council" has the same meaning as "community
18 action agency" in RCW 43.185C.010.
19     (3) "Energy assistance" means monetary assistance, such as a
20 grant program, affordability benefits, or discounts for low-income
21 households, that lowers a low-income household's energy burden.
22     (4) "Energy assistance need" means the amount of assistance
23 necessary to achieve an energy burden equal to six percent for
24 utility customers.
25     (5) "Energy burden" has the same meaning as in RCW 19.405.020.
26     (6) "Low-income" has the same meaning as in RCW 19.405.020.
27     (7)   "Participating   utility"   means   a   utility   that   has
28 affirmatively elected to participate in the statewide low-income
29 energy assistance program established in section 3 of this act and
30 whom the department has accepted to participate subject to available
31 funds.
32     (8) This section expires June 30, 2035.
33     NEW SECTION. Sec. 3. A new section is added to chapter 43.330
34 RCW to read as follows:
35     (1) The statewide low-income energy assistance program is
36 established within the department. The purpose of the program is to
37 reduce energy burden for low-income households in Washington. The
38 statewide low-income energy assistance program is supplemental to
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1 low-income energy assistance provided by utilities under RCW
2 19.405.120 and 80.28.068. Participating utilities may not supplant
3 funding from this program to meet the requirements of RCW 19.405.120
4 and 80.28.068. The department must begin providing energy assistance
5 no later than 14 months after funding is appropriated. The
6 department, in consultation with the utilities and transportation
7 commission, must write rules to implement this section. Nothing in
8 this section alters existing regulatory jurisdiction over consumer-
9 owned utilities.
10     (2) In accordance with subsection (4) of this section, the
11 department must establish details for low-income customers to enroll
12 in the statewide low-income energy assistance program via rule
13 making. This rule making must consider:
14     (a) Low-income households' eligibility;
15     (b) Application processes for in-person, online, and over-the-
16 phone enrollment;
17     (c) Partnership with utilities from which low-income households
18 receive service and the utility has voluntarily chosen to serve as
19 coadministrator of the program;
20     (d) Partnership with community action councils and other
21 community providers of low-income social services;
22     (e) Allowance for self-attestation;
23     (f) That the department may verify that applicants and
24 participants meet the income qualifications, and may work with
25 utilities and community action councils to conduct this verification;
26     (g) That there is no risk to eligibility based on immigration
27 status; and
28     (h) Auto enrollment of known eligible households.
29     (3) The department may enter into agreements with participating
30 utilities to serve as coadministrators of the statewide low-income
31 energy assistance program for the purposes of enhancing customer
32 engagement, facilitating enrollment of eligible customers, and
33 sharing administrative duties with the department. Serving as a
34 coadministrator is voluntary for participating utilities.
35     (4) Subject to appropriation, the department, in consultation
36 with the advisory group created in section 4 of this act, must phase
37 in the statewide low-income energy assistance program across
38 participating utilities, prioritizing low-income households in energy
39 assistance need.
  p. 3  E2SHB 1903.SL
1     (5)(a) The department must, in consultation with the utilities
2 and transportation commission as it applies to investor-owned
3 utilities, administer the statewide low-income energy assistance
4 program   by  providing   funds   to  participating   utilities.  The
5 participating utilities must pass these funds on to their low-income
6 residential customers and show the energy assistance on the
7 customers' monthly bills.
8     (b) Following standard contractual procedures, a participating
9 utility may seek reimbursement from the department equal to the
10 energy assistance provided.
11     (c) The discount or dollar amount that the department provides to
12 low-income households must be tiered to provide the most energy
13 assistance to the households with the greatest need.
14     (d) The department and each participating utility's obligation to
15 provide energy assistance under the statewide low-income energy
16 assistance program is based on available funding appropriated for
17 this specific purpose. Participating utilities may not be required to
18 provide assistance to low-income customers under the statewide low-
19 income energy assistance program beyond funding appropriated for this
20 purpose. This program may not be funded through a utility surcharge
21 or collection of any funding from utilities. It is the intent of the
22 legislature that sustained funding shall be provided to meet low-
23 income household needs from climate commitment act auction revenues
24 or other dollars.
25     (6) A participating utility may not reduce the level of low-
26 income energy assistance it provides as a result of participation in
27 the statewide low-income energy assistance program.
28     (7) This section expires June 30, 2035.
29     *NEW SECTION. Sec. 4. A new section is added to chapter 43.330
30 RCW to read as follows:
31     (1) The department, in consultation with the utilities and
32 transportation commission, must establish an advisory group for the
33 statewide low-income energy assistance program, which must include,
34 but is not limited to, members from low-income households, and at
35 least one member each from a community organization, community action
36 council, investor-owned utility, municipal utility, public utility
37 district, electric cooperative, and natural gas utility. The advisory
38 group must be composed of a diverse group of stakeholders and must be
39 established by the department before program implementation to help
  p. 4  E2SHB 1903.SL
1 inform program development and design. The advisory group must advise
2 the department throughout program implementation.
3     (2) This section expires June 30, 2035.
*Sec. 4 was vetoed. See message at end of chapter.
4     Sec. 5. RCW 19.405.120 and 2019 c 288 s 12 are each amended to
5 read as follows:
6     (1) It is the intent of the legislature to demonstrate progress
7 toward ((making energy assistance funds available to low-income
8 households)) addressing the disproportionate impacts of home energy
9 bills on low-income households and reduce energy assistance need
10 consistent with the policies identified in this section.
11     (2)(a) An electric utility must ((make programs and funding
12 available for energy assistance to low-income households by July 31,
13 2021)) ensure that each low-income household has access to an energy
14 assistance program.
15     (b)(i) An electric utility must ensure that the cumulative annual
16 level of low-income energy assistance that it provides to its
17 customers is not reduced as a result of participation in the
18 statewide low-income energy assistance program established under
19 section 3 of this act.
20     (ii) The cumulative assistance may not include a responsibility
21 for nonutility sources of funds.
22     (c) For the purposes of this subsection, "energy assistance" has
23 the same meaning as defined in section 2 of this act.
24     (3) Each utility must demonstrate progress in providing energy
25 assistance pursuant to the assessment and plans in subsection (((4)))
26 (5) of this section. To the extent practicable, priority must be
27 given to low-income households with a higher energy burden.
28     (((3))) (4) Beginning July 31, 2020, the department must collect
29 and aggregate data estimating the energy burden and energy assistance
30 need and reported energy assistance for each electric utility, in
31 order to improve agency and utility efforts to serve low-income
32 households with energy assistance. The department must update the
33 aggregated data on a biennial basis, make it publicly accessible on
34 its internet website and, to the extent practicable, include
35 geographic attributes.
36     (a) The aggregated data published by the department must include,
37 but is not limited to:
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1     (i) The estimated number and demographic characteristics of
2 households served by energy assistance for each utility and the
3 dollar value of the assistance;
4     (ii) The estimated level of energy burden and energy assistance
5 need among customers served, accounting for household income and
6 other drivers of energy burden;
7     (iii) Housing characteristics including housing type, home
8 vintage, and fuel types; and
9     (iv) Energy efficiency potential.
10     (b) Each utility must disclose information to the department for
11 use under this subsection, including:
12     (i) The amount and type of energy assistance and the number and
13 type of households, if applicable, served for programs administered
14 by the utility;
15     (ii) The amount of money passed through to third parties that
16 administer energy assistance programs; ((and))
17     (iii) The amount of money used to mitigate rate impacts to low-
18 income customers and a description of any other benefits provided to
19 ratepayers from the sale of allowances as required under RCW
20 70A.65.120(4), if applicable; and
21     (iv) Subject to availability, any other information related to
22 the utility's low-income assistance programs that is requested by the
23 department.
24     (c) The information required by (b) of this subsection must be
25 from the electric utility's most recent completed budget period and
26 in a form, timeline, and manner as prescribed by the department.
27     (((4))) (5)(a) In addition to the requirements under subsection
28 (((3))) (4) of this section, each electric utility must submit
29 biennially to the department ((an assessment)) a description of:
30     (i) The programs and mechanisms used by the utility to reduce
31 energy burden ((and the effectiveness of those programs and
32 mechanisms   in   both   short-term  and   sustained   energy   burden
33 reductions));
34     (ii) The outreach strategies used to encourage participation of
35 eligible households, including consultation with community-based
36 organizations and Indian tribes as appropriate, and comprehensive
37 enrollment   campaigns   that   are  linguistically   and   culturally
38 appropriate to the customers they serve in vulnerable populations;
39 and
  p. 6  E2SHB 1903.SL
1     (iii) A cumulative assessment of ((previous funding levels for
2 energy assistance compared to the funding levels needed to meet: (A)
3 Sixty percent of the current energy assistance need, or increasing
4 energy assistance by fifteen percent over the amount provided in
5 2018, whichever is greater, by 2030; and (B) ninety percent of the
6 current energy assistance need by 2050)) program participation rates
7 and funding levels compared to what is needed to meet energy
8 assistance need.
9     (b) ((The assessment)) For electric utilities with more than
10 25,000 retail customers, the description required in (a) of this
11 subsection must include a plan to improve the effectiveness of the
12 ((assessed)) mechanisms and strategies toward meeting the energy
13 assistance need.
14     (((5))) (6) A consumer-owned utility may enter into an agreement
15 with a public university, community-based organization, or joint
16 operating agency organized under chapter 43.52 RCW to aggregate the
17 disclosures required in this section and submit the assessment
18 required in ((subsections (3))) subsection (4) of this section and
19 (((4))) the description in subsection (5) of this section.
20     (((6))) (7)(a) The department must submit a biennial report to
21 the legislature that:
22     (i) Aggregates information into a statewide summary of energy
23 assistance programs, energy burden, and energy assistance need;
24     (ii) Identifies and quantifies current expenditures on low-income
25 energy assistance; and
26     (iii) Evaluates the effectiveness of additional ((optimal))
27 mechanisms for energy assistance including, but not limited to,
28 customer rates, a low-income specific discount, system benefits
29 charges, and public and private funds.
30     (b) The department must also assess mechanisms to prioritize
31 energy assistance towards low-income households with a higher energy
32 burden.
33     (((7))) (8) Nothing in this section may be construed to restrict
34 the rate-making authority of the commission or the governing body of
35 a consumer-owned utility as otherwise provided by law.
36     NEW SECTION.  Sec. 6.   This act is not severable, and if any
37 provision of this act is held invalid, this entire act is null and
38 void.
  p. 7  E2SHB 1903.SL
1     NEW SECTION.   Sec. 7.   Section 5 of this act expires June 30,
2 2035.
  Passed by the House March 11, 2026.
  Passed by the Senate March 6, 2026.
  Approved by the Governor March 30, 2026, with the exception of
    certain items that were vetoed.
  Filed in Office of Secretary of State March 31, 2026.
  Note: Governor's explanation of partial veto is as follows:
    "I am returning herewith, without my approval as to Section 4,
    Engrossed Second Substitute House Bill No. 1903 entitled:
  "AN ACT Relating to establishing a statewide low-income energy
    assistance program."
    This bill establishes a statewide low-income energy assistance
    program in the Department of Commerce. I support efforts to improve
    affordability for Washingtonians. In my budget, I proposed additional
    funding for an existing energy assistance program, and the
    Legislature approved $30 million additional funding for that program.
    HB 1903 states that the low-income energy assistance program won't
    start until the Legislature provides funding for it, except for
    Section 4. Section 4 would start immediately despite the lack of
    funding provided to the agency. Specifically, Section 4 directs the
    Department of Commerce to establish an advisory group that will
    inform the energy assistance program. While I support the role of the
    advisory group, given the lack of funding, I am vetoing Section 4 of
    House Bill No. 1903.
    When directing agencies to accomplish work associated with bills, the
    Legislature must include adequate funding to do so. The Department of
    Commerce, like other state agencies, is operating with limited
    resources due to budget reductions taken in both the biennial and the
    supplemental   budgets.  Commerce's   budget  has   been  reduced  by
    approximately 10 percent. They cannot absorb this unfunded work
    within their budget.
    Furthermore, the work of the advisory group is not needed until the
    program itself receives funding from the Legislature.
    For these reasons I am vetoing Section 4 of Engrossed Second
    Substitute House Bill No. 1903.
    With the exception of Section 4, Engrossed Second Substitute House
    Bill No. 1903 is approved."
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