The bill amends Minnesota Statutes to modify the residential energy code adoption standards and timelines, establishing a new residential energy rating rebate program. It requires the commissioner to adopt new model residential energy codes starting in 2026, aiming for an 80% reduction in annual net energy consumption by 2036, using the 2006 International Energy Conservation Code as a baseline. The bill also mandates that the commissioner report on progress to legislative committees following each new code adoption. Additionally, it includes provisions for the adoption of commercial energy codes and allows public utilities to offer code support programs.

The bill establishes a residential energy rating rebate program to provide financial assistance to owners, builders, and developers of qualifying units certified under the U.S. Department of Energy's Zero Energy Ready Home Program. The program will offer rebates up to $5,000 for single-family homes and $2,500 for other types of housing, with a cap of $15,000 per building. The commissioner is tasked with publicizing the program and submitting annual reports on its outcomes starting in 2026. An appropriation of $600,000 from the general fund is allocated for the program, available until June 30, 2029.