Colorado Gov. Jared Polis and Colorado Energy Office Executive Director Will Toor, in a letter to federal lawmakers on Monday, urged Congress to avoid cuts to clean energy programs in Republicans’ reconciliation bill, which they said could harm jobs and spike costs. 

Republicans in Congress are trying to pass a sweeping domestic policy package aimed at delivering much of President Donald Trump’s agenda. 

Dubbed the “One Big Beautiful Bill,” the measure extends a suite of existing tax cuts passed under the first Trump administration while slashing government spending across several sectors. 

Among the proposed cuts are clean energy subsidies passed in 2022 under former President Joe Biden as part of the Inflation Reduction Act, a landmark climate measure. The act includes hundreds of billions of dollars in incentives for wind, solar and hydrogen power production, as well as tax credits and rebates for individuals to install energy-efficient home appliances and purchase electric vehicles. 

The House version of the Republicans’ bill, which passed by a single vote mostly along party lines on May 22, speeds up the elimination of those tax credits and eliminates much of the funding for clean energy subsidies, which the White House called “‘green’ corporate welfare.” The bill is now being considered in the Senate. 

The letter from Polis and Toor included all eight Colorado lawmakers in the House and the state’s two senators, in addition to Sens. Mike Crapo and Ron Wyden, who serve as chairman and ranking member of the Senate Finance Committee, respectively.

In their letter, Polis and Toor said ending clean energy incentives “would have devastating impacts for our economy and raise costs for Coloradans across the state.”

Polis and Toor mentioned examples of the benefits of the energy funding, from farmers in the San Luis Valley and Western Slope who’ve installed solar panels to manufacturers along the Front Range producing electric vehicle components. 

They said the repeal of clean energy tax credits could cost Colorado an estimated 10,800 new jobs that the Inflation Reduction Act was set to create by 2030 and jeopardize more than $19 billion in related funding and investments flowing into the state. 

“Congress backtracking on these commitments now, after billions have been invested and supply chains established, would send a deeply destabilizing signal to free markets (and) developers (that have) chosen Colorado because of our strong policy alignment and predictable federal support,” the letter states. 

The letter also raises concerns over the elimination of subsidies for individual consumers. Polis and Toor said as much as 30% of Colorado households are energy burdened, meaning a large part of their incomes is spent on electricity, heating, and cooling.

The Biden law provides rebates for heat pumps, electric wiring, electric stoves and water heaters in a bid to spur more home electrification. It also includes tax credits for solar installation and home efficiency upgrades, such as door and window insulation. 

Polis and Toor said repealing tax credits “with no plan to keep saving people money on energy could raise household energy bills by approximately 10%, or about $180 annually per household by 2030, disproportionately affecting rural households.”

“The state of Colorado is committed to ensuring taxpayer dollars are spent responsibly and

transparently with maximum return,” their letter states. “However, these concerns should not be used as justification to gut provisions that are already creating jobs, lowering energy costs, and positioning the U.S. to lead the global clean energy economy.” 

Some House Republicans, after voting to pass the One Big Beautiful Bill Act in May, have expressed interest in the Senate softening some of the clean energy cuts they initially supported, such as by providing a longer phase-out window for certain tax credits. 

A 2024 analysis by the nonpartisan business group E2 shows that Republican-dominant states have benefited the most from public and private investments as a result of the clean energy spending. 

In a June 6 letter to the Senate Finance Committee, 13 House Republicans wrote, “While we were proud to have worked to ensure that the bill did not include a full repeal of the clean energy tax credits, we remain deeply concerned by several provisions, including those which would abruptly terminate several credits just 60 days after enactment for projects that have not yet begun construction.”

The letter continues, “We believe the Senate now has a critical opportunity to restore common sense and deliver a truly pro-energy growth final bill that protects taxpayers while also unleashing the potential of U.S. energy producers, manufacturers, and workers.”

Rep. Gabe Evans, who represents the highly competitive 8th Congressional District, which encompasses parts of Adams, Larimer and Weld counties, was the only Colorado Republican to sign onto the letter. 

Nick Bayer, a spokesperson for Rep. Jeff Hurd, a Grand Junction Republican whose 3rd Congressional District includes much of western and southern Colorado, said the congressman is “closely following any changes to the House-passed Big Beautiful Bill.”

“He encourages the Senate to send back legislation the House will be able to pass, sticking as close as possible to the carefully worked reconciliation text,” Bayer said in a statement on Monday. 

Senate Republicans on Monday released their version of the bill’s tax proposals, keeping some clean energy incentives in place while phasing out others more slowly. 

Any changes ultimately approved by the Senate will send the legislation back to the House for final consideration before it can move to President Trump’s desk. Republicans control the Senate with a 53-47 majority, and the House with a 220-212 majority.