What if your next heat pump, water heater, or EV charger cost far less than you expected? As a Firestone homeowner, you can often stack federal tax credits, Colorado rebates, and utility incentives to shrink out-of-pocket costs. The rules are detailed, but with the right steps you can maximize savings without the guesswork. This guide breaks down what stacks, how it works in Firestone, and the sequence to follow. Let’s dive in.
Firestone incentives at a glance
Federal tax credits you can pair
You may qualify for two major federal credits you can combine with Colorado and utility rebates:
- Residential Clean Energy Credit: generally 30% for eligible solar, battery storage that meets minimum capacity, and geothermal. Claim it on IRS Form 5695. See the IRS overview for requirements and timelines at the Residential Clean Energy Credit page.
- Energy-Efficient Home Improvement Credit (Section 25C): covers upgrades like heat pumps, heat-pump water heaters, insulation, and more. Annual limits apply, including up to $2,000 per year for qualifying heat pumps and heat-pump water heaters. Review eligibility and caps at the IRS Energy-Efficient Home Improvement Credit page.
Note that some rebates reduce the expenses you can count for a federal credit. IRS coordination rules apply, especially when using state-funded rebates.
Colorado HEAR income-based rebates
Colorado’s Home Energy Rebates program (HEAR) offers point-of-sale or direct rebates for electrification and efficiency upgrades. Amounts vary by income and county area median income. Example maximums include up to $8,000 for cold-climate heat pumps, $1,750 for heat-pump water heaters, $4,000 for electric panels, and $2,500 for wiring, with total benefits up to $14,000 in some cases. Check current details and income tiers at the Colorado Energy Office’s Home Energy Rebates page.
Utility rebates in Firestone
Firestone is served by United Power for electricity and Black Hills Energy for gas. The Town’s Utility Provider page lists both providers and links to their rebate programs.
- United Power: offers rebates for cold-climate heat pumps, heat-pump water heaters, and EV chargers. United Power commonly requires pre-contact and timely applications, often within a set window after installation. See a summary of current process and timing at United Power rebates overview.
- Black Hills Energy: runs residential rebates, including Ready EV support for Level 2 chargers and incentives for qualifying HVAC and efficiency measures. Review current Colorado residential rebates and participation requirements at Black Hills Energy’s rebates page.
Local and Weld County help
- Town of Firestone: offers a toilet rebate and provides local resource links. See the Town’s Toilet Rebate page for details.
- Weld County: income-qualified households may access energy assistance and weatherization services that can complement other programs. Explore eligibility and programs at Weld County Energy Assistance.
How stacking actually works
What reduces your federal credit basis
Some rebates are treated as purchase price adjustments and reduce the cost you can claim for a federal credit. That often includes public utility rebates and state point-of-sale rebates. Treasury and IRS guidance, including IRS Announcement 2024-19, explains how DOE home energy rebates coordinate with Section 25C. When in doubt, keep your rebate documentation and talk with a tax professional when filing.
Timing and pre-approvals matter
Many utility rebates require you to contact the utility or your contractor before you buy. Applications may need to be submitted soon after installation. State programs can be time-limited or funding-limited. Some metro programs have filled in past cycles, so verify availability early. If you plan upgrades this year, get on the list before you sign a contract.
Step-by-step stacking checklist
- Confirm your utilities
- Check your bill or the Town’s Utility Provider page to verify you are with United Power for electricity and Black Hills Energy for gas.
- Check income-based options
- See the Colorado Energy Office’s Home Energy Rebates page to understand income tiers and maximums. If your household qualifies, HEAR may cover a large share of costs.
- Contact your utility before you buy
- Ask about pre-approval, required forms, approved contractors, and application deadlines. United Power commonly asks for pre-contact and has short post-install windows. Review current timing guidance at the United Power rebates overview.
- Get two itemized bids
- Ask contractors to itemize equipment and labor. This helps with rebate applications and tax credit calculations. Confirm your installer meets any program requirements.
- Apply for rebates in order
- Submit point-of-sale or utility pre-applications as required. Follow instructions closely so you do not miss deadlines.
- Install and keep records
- Save invoices, model numbers, serials, approvals, and proof of payment in one folder. You will need these for rebates and tax filing.
- Coordinate at tax time
- When you file, coordinate your receipts and rebates with your preparer. Some rebates reduce your federal credit basis. IRS guidance, including Announcement 2024-19, explains how to coordinate DOE rebates with Section 25C.
Example stack for a Firestone heat pump
Let’s say you install a cold-climate air-source heat pump for $12,000 installed.
- United Power rebate: example $1,500, subject to qualification and program rules.
- Colorado HEAR: if income-qualified, up to $8,000 for a cold-climate heat pump.
- Federal 25C credit: up to 30% of qualified expenses with a $2,000 cap for heat pumps. If the United Power and HEAR rebates are treated as purchase price adjustments, your qualifying cost could drop. For example, $12,000 minus $9,500 in rebates leaves $2,500 of qualifying expense. A 30% credit on $2,500 equals $750, below the $2,000 cap.
Your final out-of-pocket could be low if you qualify for HEAR and a utility rebate. The exact tax credit depends on how rebates are treated for your project. Keep documentation and consult your tax pro when you prepare Form 5695.
Who to contact in Firestone
- Town of Firestone Utility Provider & Rebates: local overview and contacts.
- Colorado Energy Office HEAR: income tiers, measures, and maximum rebates.
- United Power rebates overview: timing and application guidance for HVAC and EV incentives.
- Black Hills Energy Colorado rebates: HVAC, water heating, and Ready EV charger incentives.
- Weld County Energy Assistance: LEAP, weatherization, and local support.
Upgrading with the right stack can also boost comfort and resale appeal. If you are planning to sell, certain improvements can help your listing stand out. If you are buying, knowing what can be upgraded with rebates can shape your offer strategy.
Ready to map out a smart upgrade plan around your move? For local guidance and trusted referrals across the Front Range, connect with Lidia Suarez. Lidia will help you weigh costs, timelines, and likely ROI so you can move forward with confidence.
FAQs
Can I combine a United Power rebate with a federal credit?
- Usually yes. Many utility rebates reduce the expenses you can count for Section 25C, so coordinate your paperwork and review IRS Form 5695 instructions.
Does Colorado’s HEAR stack with utility rebates in Firestone?
- Often yes. HEAR is income-based and can be combined with utility rebates, but IRS coordination rules may affect your federal credit calculation.
Which programs serve Firestone specifically?
- Firestone residents are typically served by United Power for electricity and Black Hills Energy for gas. Start with the Town’s Utility Provider page for links and contacts.
What if a program runs out of funds?
- Funding can be limited. Apply early and verify current availability with your utility and the Colorado Energy Office before you sign a contract.
Do I need a specific type of contractor for rebates?
- Often yes. Many programs require licensed or registered contractors and specific documentation like model numbers and invoices.
