I 

118TH CONGRESS 

1ST SESSION H. R. 6861 

To amend the Internal Revenue Code of 1986 to provide a refundable credit 

against tax for wildfire mitigation expenditures. 

IN THE HOUSE OF REPRESENTATIVES 

DECEMBER 19, 2023 

Mr. KILEY introduced the following bill; which was referred to the Committee 

on Ways and Means 

A BILL 

To amend the Internal Revenue Code of 1986 to provide 

a refundable credit against tax for wildfire mitigation 

expenditures. 

1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled, 

3 SECTION 1. SHORT TITLE. 

4 This Act may be cited as the ‘‘Supporting Affordable 

5 Fire Emergency Hardening through Optimized Mitigation 

6 Efforts Act’’ or the ‘‘SAFE HOME Act’’. 

7 SEC. 2. REFUNDABLE PERSONAL CREDIT FOR WILDFIRE 

8 MITIGATION EXPENDITURES. 

9 (a) IN GENERAL.—Subpart C of part IV of sub10 chapter A of chapter 1 of the Internal Revenue Code of 


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1 1986 (relating to refundable credits) is amended by insert2 ing after section 36B the following new section: 

3 ‘‘SEC. 36C. WILDFIRE MITIGATION EXPENDITURES. 

4 ‘‘(a) ALLOWANCE OF CREDIT.—In the case of an in5 dividual, there shall be allowed as a credit against the tax 

6 imposed by this chapter for the taxable year an amount 

7 equal to 25 percent of the qualified wildfire mitigation ex8 penditures made by the taxpayer during such taxable year. 

9 ‘‘(b) MAXIMUM CREDIT.— 

10 ‘‘(1) IN GENERAL.—Subject to paragraphs (2) 

11 and (3), the credit allowed under subsection (a) for 

12 any taxable year shall not exceed $25,000. 

13 ‘‘(2) PHASEOUT.— 

14 ‘‘(A) IN GENERAL.—The amount under 

15 paragraph (1) for the taxable year shall be re16 duced (but not below zero) by an amount which 

17 bears the same ratio to the amount under such 

18 paragraph as— 

19 ‘‘(i) the excess (if any) of— 

20 ‘‘(I) the taxpayer’s adjusted 

21 gross income for such taxable year, 

22 over 

23 ‘‘(II) $200,000, bears to 

24 ‘‘(ii) $100,000. 


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1 ‘‘(B) INFLATION ADJUSTMENT.—In the 

2 case of any taxable year after 2024, each of the 

3 dollar amounts under subparagraph (A) shall 

4 be increased by an amount equal to— 

5 ‘‘(i) such dollar amount, multiplied by 

6 ‘‘(ii) the cost-of-living adjustment de7 termined under section 1(f)(3) for the cal8 endar year in which the taxable year be9 gins, determined by substituting ‘calendar 

10 year 2023’ for ‘calendar year 2016’ in sub11 paragraph (A)(ii) thereof. 

12 ‘‘(C) ROUNDING.—If any reduction deter13 mined under subparagraph (A) is not a multiple 

14 of $50, or any increase under subparagraph (B) 

15 is not a multiple of $50, such amount shall be 

16 rounded to the nearest multiple of $50. 

17 ‘‘(c) DEFINITIONS.—For purposes of this section— 

18 ‘‘(1) QUALIFIED WILDFIRE MITIGATION EX19 PENDITURE.— 

20 ‘‘(A) IN GENERAL.—The term ‘qualified 

21 wildfire mitigation expenditure’ means an ex22 penditure relating to a qualified dwelling unit— 

23 ‘‘(i) for property to improve fire re24 sistance (not less than a class A rating) of 

25 a roof covering, 


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1 ‘‘(ii) to install— 

2 ‘‘(I) roof coverings, sheathing, 

3 flashing, roof and attic vents, eaves, 

4 or gutters that conform to ignition-re5 sistant construction standards, 

6 ‘‘(II) wall components for wall 

7 assemblies that conform to ignition-re8 sistant construction standards, 

9 ‘‘(III) exterior walls, doors, win10 dows, or other exterior dwelling unit 

11 elements that conform to ignition-re12 sistant construction standards, 

13 ‘‘(IV) exterior deck or fence com14 ponents that conform to ignition-re15 sistant construction standards, or 

16 ‘‘(V) structure-specific water hy17 dration systems, including fire mitiga18 tion systems such as interior and exte19 rior sprinkler systems, or 

20 ‘‘(iii) for services or equipment to— 

21 ‘‘(I) create buffers around the 

22 qualified dwelling unit through the re23 moval or reduction of flammable vege24 tation, including vertical clearance of 

25 tree branches, 


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1 ‘‘(II) create buffers around the 

2 dwelling unit through— 

3 ‘‘(aa) the removal of exterior 

4 deck or fence components or igni5 tion-prone landscape features, or 

6 ‘‘(bb) replacement of the 

7 components or features described 

8 in item (aa) with components 

9 that conform to ignition-resistant 

10 construction standards, 

11 ‘‘(III) perform fire maintenance 

12 procedures identified by the Federal 

13 Emergency Management Agency or 

14 the United States Forest Service, in15 cluding fuel management techniques 

16 such as creating fuel and fire breaks, 

17 ‘‘(IV) replace flammable vegeta18 tion with less flammable species, or 

19 ‘‘(V) prevent smoke inhalation, 

20 such as air filters or other equipment 

21 designed to prevent smoke from enter22 ing the dwelling unit. 

23 ‘‘(B) EXCEPTION.—The term ‘qualified 

24 wildfire mitigation expenditure’ shall not in25 clude any expenditure or portion thereof which 


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1 is paid, funded, or reimbursed by a Federal, 

2 State, or local government entity, or any polit3 ical subdivision, agency, or instrumentality 

4 thereof. 

5 ‘‘(2) QUALIFIED DWELLING UNIT.—The term 

6 ‘qualified dwelling unit’ means a dwelling unit which 

7 is— 

8 ‘‘(A) located— 

9 ‘‘(i) in the United States or in a terri10 tory of the United States, and 

11 ‘‘(ii) in an area— 

12 ‘‘(I) in which a Federal natural 

13 disaster declaration has been made 

14 within the preceding 10-year period 

15 with respect to a wildfire, 

16 ‘‘(II) which is adjacent to an 

17 area described in subclause (I), 

18 ‘‘(III) which, during the taxable 

19 year or the period of the 10 taxable 

20 years preceding such taxable year, has 

21 received hazard mitigation assistance 

22 through the Federal Emergency Man23 agement Agency in regard to any 

24 wildfire which, with respect to the ex25 penditure described in paragraph (1) 


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1 which is made by the taxpayer, is ap2 plicable to such expenditure, or 

3 ‘‘(IV) which, with respect to any 

4 taxable year, has been designated as a 

5 community disaster resilience zone (as 

6 defined in section 206(a) of the Rob7 ert T. Stafford Disaster Relief and 

8 Emergency Assistance Act (42 U.S.C. 

9 5136(a))) as the result of a wildfire, 

10 and 

11 ‘‘(B) used as a primary residence by the 

12 taxpayer. 

13 ‘‘(d) DOCUMENTATION.—Any taxpayer claiming the 

14 credit under this section shall provide the Secretary with 

15 adequate documentation regarding the specific qualified 

16 wildfire mitigation expenditures made by the taxpayer 

17 during the taxable year, as well as such other information 

18 or documentation as the Secretary may require. 

19 ‘‘(e) TERMINATION OF CREDIT.—The credit allowed 

20 under this section shall not apply to wildfire mitigation 

21 expenditures made after December 31, 2032.’’. 

22 (b) CONFORMING AMENDMENT.—The table of sec23 tions for subpart C of part IV of subchapter A of chapter 

24 1 of such Code is amended by inserting after the item 

25 relating to section 36B the following new item: 

‘‘Sec. 36C. Wildfire mitigation expenditures.’’. 


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1 (c) EFFECTIVE DATE.—The amendments made by 

2 this section shall apply to taxable years beginning after 

3 December 31, 2022. 

Æ 


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