April 7, 2025
USGBC Ratifies LEED v5, Pushes Back on Cuts
New certification system approved as clean energy funding comes under pressure
As the U.S. Green Building Council (USGBC) moves ahead with LEED v5 — a major update to its green building rating system — it’s also working to defend the policy framework that supports high-performance buildings. From proposed cuts to federal grants and staffing, to state bills targeting energy codes, the organization is responding on multiple fronts.
LEED v5’s success will depend on more than strong technical guidance. It also hinges on stable incentives, funding, and local authority — all of which are facing pockets of challenges.
Federal Threats to Clean Energy and Building Programs
USGBC is backing the ENERGY STAR program (which is still a thing outside of lighting), urging EPA funding and staffing, and opposing efforts to repeal Inflation Reduction Act (IRA) tax credits. It also opposes recent grant cancellations and proposed staff cuts at the EPA’s research office.
At the Department of Energy, rollbacks on funding for building energy code implementation are also under scrutiny. USGBC sees these moves as direct risks to climate and energy progress in buildings.
- ENERGY STAR Defense (USGBC supports):
USGBC is actively defending the ENERGY STAR program and encouraging companies to sign a letter urging the EPA to maintain full funding and staffing. While ENERGY STAR was sunset for lighting products in 2022, it is very much alive for HVAC and other building products. - Budget Reconciliation & IRA Threats (USGBC opposes):
USGBC opposes attempts to repeal clean energy and building-related tax credits from the Inflation Reduction Act (IRA) and is mobilizing industry to protect them. - EPA Grant Cuts (USGBC opposes):
USGBC is concerned about the EPA's cancellation and freezing of IRA-funded grants, especially those tied to clean energy, embodied carbon, and environmental justice. - EPA Staffing Reductions (USGBC opposes):
Proposed deep staffing cuts at the EPA’s Office of Research and Development are seen as a threat to climate and energy research — USGBC is opposed. - DOE Grant Rollbacks (USGBC opposes):
USGBC is monitoring efforts by DOE to cancel IRA and infrastructure law grants, particularly those for building energy codes, and opposes such actions.
State and Local Policy Fights Continue
In statehouses, USGBC is supporting bills like Nevada’s AB 528 and California’s AB 39, which promote electrification and green certification. At the same time, it’s pushing back on bills in Missouri and California that would limit local control over energy codes.
- Nevada Resilient Buildings Bill (AB 528) (USGBC supports):
USGBC supports this bill promoting LEED, Parksmart, and SITES through tax abatements tied to green building certifications. - Missouri Energy Code Rollback (HB 939) (USGBC opposes):
USGBC strongly opposes this bill restricting local authority to implement energy codes for residential, commercial, and industrial buildings. - California Code Restriction (AB 306) (USGBC opposes):
USGBC opposes this proposed six-year moratorium on local energy code improvements and is coordinating with allies to challenge it. - California Electrification Planning (AB 39) (USGBC supports):
USGBC supports this bill requiring large cities to develop local electrification plans, aiming to aid low-income and rental households in the energy transition. - Evanston, IL Healthy Buildings Ordinance (USGBC supports):
USGBC supports Evanston’s new ordinance requiring clean electricity and building performance standards for large buildings by 2050.
LEED v5 Enters the Picture
The U.S. Green Building Council (USGBC) has ratified LEED v5 for Building Design and Construction, Interior Design and Construction, and Operations and Maintenance, with members voting overwhelmingly in favor of adoption. The approval marks a key milestone in a multiyear development process led by LEED committees, technical advisory groups, and working groups, incorporating input from stakeholders across the global building industry. The ratification coincides with the 25th anniversary of the public launch of the Leadership in Energy and Environmental Design (LEED) rating system.
LEED v5 introduces an updated framework for addressing health, climate, and community challenges in the built environment. It emphasizes decarbonization, ecological conservation, and improved quality of life across building life cycles — from design and construction through operations and maintenance. More than 15 billion square feet of building space worldwide has been LEED-certified to date. USGBC will host a member webinar on April 9 to provide updates on LEED v5 tools, resources, and rollout timelines, and to address member questions.
As USGBC rolls out new tools and resources this spring, its policy work may prove just as important as the technical details of LEED v5 itself.
