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DeSantis Under Fire For Rejecting Millions In Home Energy Funding From Biden’s Inflation Reduction Act - Forbes

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DeSantis Under Fire For Rejecting Millions In Home Energy Funding From Biden’s Inflation Reduction Act

Topline

Florida Gov. Ron DeSantis rejected more than $350 million in funding for energy efficiency initiatives as part of the Inflation Reduction Act, including money reserved for low-income households—a rebuke to President Biden’s economic agenda on which some Democrats have seized, as the state battles a hurricane and many Floridians could be burdened with crippling expenses to rebuild or weatherize their homes.
Republican presidential candidate Florida Gov. Ron DeSantis appears to be listening to a speaker ... [+] during a press conference where he signed a bill to protect the digital rights of Floridians, on June 6, 2023, in Wildwood, Florida.

Key Facts

DeSantis vetoed $5 million in federal money included in the state budget passed in May that was intended to fund administrative expenses associated with a $174 million rebate program for energy-efficient improvements and a $173 million rebate program for energy-efficient home appliance purchases, Bloomberg and Politico reported.

The veto reportedly led the Department of Agriculture and Consumer Services to withdraw its application for the rebate program funding, plus a $7 million training program for electrification contractors.

Half of the rebate money was reserved for households with incomes at or below 80% of the median income in their areas, according to Politico.

DeSantis’ move comes as Biden has made his economic policies, including the Inflation Reduction Act, a key component of his presidential campaign platform, and if more states follow suit with DeSantis and refuse the money, it could dull the advantageous impact of the legislation in Florida, Politico notes.

But it also exposes DeSantis to attacks from Democrats: Rep. Darren Soto (R-Fla.) told Politico DeSantis is “senselessly making the state more vulnerable,” while Florida Democratic Party Chair Nikki Fied told the publication it would work with local officials to apply for other climate-change related grants.

Forbes has reached out to DeSantis’ office for comment.

Chief Critic

“It feels like we have been pickpocketed by a governor who is elevating his political interests over the people’s interests,” Rep. Kathy Castor (D-Fla.) said in a statement last month in response to the veto. “Governor, this summer the rising costs and impacts of the climate crisis are wearing on Floridians, yet you have your head in the sand—and it is costing us a fortune.”

Key Background

DeSantis’ refusal of the program blocks Floridians from funds that could be used to lower their energy bills, as Florida logs one of its hottest summers on record and forecasters predict a particularly busy hurricane season, Lowell Ungar, director of federal policy for the American Council for an Energy-Efficient Economy, told Bloomberg. DeSantis has dismissed climate change as a factor in hurricane intensity, despite scientific evidence that shows hotter ocean temperatures lead to more severe tropical storms. He signed legislation that blocks municipalities from committing to 100% renewable energy and restricting land use for fossil fuel production, and he championed a bill that prohibits state and local governments from considering ESG (environmental social governance) criteria when issuing municipal bonds and making procurement decisions. DeSantis also turned down $24 million in funding from the Bipartisan Infrastructure Law to upgrade rural wastewater systems. He is one of four governors who rejected climate pollution grants included in the Inflation Reduction Act, according to Politico. Last August, Congress passed the $430 billion Inflation Reduction Act, widely considered one of the largest climate change investments in U.S. history.

Tangent

DeSantis’ move recalls GOP states’ rejections(including Florida) of Obama-era Medicaid expansion under the Affordable Care Act. Some GOP-led states have begun to reconsider the rejection of the funds in recent years as economic uncertainty—and the program’s success in other states—has heightened appetites for the additional federal funding. Voters in six states have circumvented legislative blockades by approving Medicaid expansion through ballot initiatives as of October, according to Pew Research. Legislatures in several others, including Kansas and Wyoming, have taken up the issue over the past year, though they have yet to reach agreements and are still among ten holdout states.

Surprising Fact

When it comes to environmental preservation and protecting Florida’s 1.5-million-acre Everglades region, DeSantis has built a strong reputation among conservationists. He has pledged to spend $3.5 billion on Everglades restoration and preservation projects in his second term and has expedited dozens of restoration projects—moves, among others, that earned him the financial backing of prominent Florida conservationists and the Everglades Trust during his most recent gubernatorial campaign.

Further Reading

Ron DeSantis’s climate contradictions(Semafor)

How Ron DeSantis shaped Florida’s environment(Politico)

DeSantis signs sweeping anti-ESG legislation in Florida(Reuters)

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