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Protect Clean Energy Programs: Reverse the DOE Indirect Cost Cap

Related Article: Trump admin threatening 'clean energy' and 'modernization' programs with new policy, states say - democraticunderground.com - Sunday, August 17, 2025, 3:55:51 AM Eastern Daylight Time

Target: U.S. Department of Energy Secretary and Federal Policymakers

Goal: Urge the Department of Energy to rescind the 10% cap on indirect and fringe cost reimbursements, ensuring states and municipalities can continue vital clean energy initiatives.

The Department of Energy's recent policy limits federal reimbursements for essential clean energy and modernization programs, threatening progress and raising costs for communities across the country.

The Department of Energy (DOE) has implemented a new policy that caps federal reimbursements for indirect and fringe costs at just 10% of the total project award amount. These costs cover basic administrative expenses and employee benefits that are crucial for running federally funded clean energy and modernization programs.

This policy threatens the ability of states and municipalities to deliver key services that support energy security, reduce greenhouse gas emissions, lower energy costs, and advance the transition to renewable energy sources. By restricting reimbursement, the DOE is undermining the effectiveness of programs that benefit millions of Americans and help address the climate crisis.

We stand with the coalition of 19 states and the District of Columbia in urging the DOE to reverse this harmful policy. Our communities deserve robust support for clean energy initiatives, not bureaucratic barriers that slow progress and increase costs for consumers.

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