New federal bill could slash your HVACR training costs

Posted on:

February 11, 2026

Finding qualified techs is hard. Training them is expensive. But there’s legislation working through Congress right now that could reimburse you up to 90%* of your training costs and put you in control of who gets trained and how.

Here’s what you need to know about H.R. 4049 and S.3846, the Employer-Directed Skills Act.

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There are already enormous opportunities for employers to engage with workforce programs funded through the Workforce Innovation and Opportunity Act (WIOA), including wage reimbursement through On the Job Training (OJT) contracts. But ultimately, local workforce agencies and schools are the gatekeepers, controlling who gets trained and what training they get, regardless of whether those people are actually qualified for your jobs.

The Employer-Directed Skills Act flips the script. Under this bill, you pick the person, choose the training program (on-the-job, technical school, apprenticeship), and the federal government reimburses you for a chunk of the cost after training is complete.

Employers will still have to contribute some of the cost of training, with reimbursement amounts determined locally and subject to funding availability. Local workforce boards will have the final say on how much can be reimbursed and many other aspects of new and existing WIOA programs, so it pays to start building a relationship with your local workforce board today. You could even express interest in serving on the board yourself.

Here are the minimum amounts employers must contribute under the bill:

What’s the catch?

There are a few strings attached:

Only new employees qualify. This is for bringing new people into your company, not upskilling current staff.
You have to commit to hiring them. Once they successfully complete training, you have to hire them.
You pay upfront, get reimbursed later. You’ll need the cash flow to cover training costs initially.
You must work with your local workforce board. They’ll set up cost share levels and process reimbursements, but the bill cuts out the middleman by prioritizing small businesses like yours rather than education systems and training providers.

Despite the rules, this bill proposes way less red tape than typical government programs. If you select someone who’s eligible and sign an agreement, you’re good to go.

Why is this big news for your business?

We all know the drill: EPA certifications, manufacturer training, refrigerant handling, electrical troubleshooting. Training a new tech isn’t cheap, and the skills shortage means you can’t always find someone who’s already qualified.

This bill puts you in the driver’s seat. You find someone with potential, you decide what training they need, and you get federal help covering the cost. For small contractors, a reimbursement could make the difference between being able to grow their team or staying stuck at current capacity.

What’s happening with the bill right now?

H.R. 4049 and S.3846 was introduced by Rep. Elise Stefanik (R-NY) and Sen. Ted Budd (R-NC) respectively. They haven’t been voted on yet, and similar versions of this bill have been introduced before without becoming law.

That said, the bill has industry support, including from ACCA, and the concept of employer-directed workforce funding has bipartisan interest.

In a statement, ACCA President and CEO Barton James applauded the bill, which directly supports ACCA’s top priority for 2026: strengthening the HVACR workforce and leveling the playing field for the skilled trades.

“Our members consistently tell us that attracting and retaining skilled workers is their top priority,” said James. “The Employer-Directed Skills Act addresses this challenge by making WIOA funds more accessible, flexible, and effective for employers and workers alike. We are immensely grateful to Senator Budd and his team for their work on this bill and their commitment to strengthening and modernizing the skilled trades workforce.”

Is this bill a done deal?

No, but if it passes, contractors trying to build their workforce could have just the leg up they need to succeed in a tight labor market. That’s why keeping the momentum going is essential. Sign ACCA’s Action Alert to send a letter directly to your Representatives and urge them to support this bill.

ACCA’s advocacy team is tracking this bill as it moves through Congress. We’ll keep you updated on any developments that could affect your training and hiring strategies.

Want to dig deeper?

Read the full bill at congress.gov
Find your local workforce board: careeronestop.org
Questions about ACCA’s advocacy efforts? Take action by signing our Action Alert, and make your voice heard.