HB23-1161: Emergency Replacement Options After 2026

Technician repairing a hot-water heater.

If your furnace or water heater fails after January 1, 2026, it can feel like you’ve missed your window to act—or that your options are suddenly limited. The good news is that HB23-1161 does not leave homeowners without solutions, even in emergency situations.

The law focuses on what types of new equipment can be sold and installed after 2026, not on penalizing homeowners or forcing impossible timelines. Whether your system fails unexpectedly or reaches the end of its life, you still have compliant, reliable replacement options available.

This guide explains exactly what to do if you need a replacement after 2026—and how to move forward quickly, safely, and with confidence.

First: You’re Not Out of Options

Even after 2026:

  • You can still replace a failed system
  • Gas equipment is still available in compliant forms
  • Electrification options may be viable, depending on your home
  • No homeowner fines are involved

The key difference is that new replacements must meet updated standards, which affects what models are available—not whether you can get service.

A Step-by-Step Action Plan After a System Failure

When equipment fails, clear steps help reduce stress and avoid rushed mistakes.

1. Confirm Failure and Safety

Before assuming replacement is required:

  • Confirm the system has truly failed
  • Address any safety concerns immediately (gas leaks, carbon monoxide risks)
  • Determine whether repair is possible or advisable

A professional diagnostic is the fastest way to get clear answers.

2. Define Your Top Priority

In emergency situations, it helps to decide what matters most right now:

  • Speed: restoring heat or hot water as quickly as possible
  • Cost: minimizing upfront expense
  • Efficiency: lowering long-term energy use
  • Comfort: improving performance beyond the old system

Knowing your priority helps narrow options quickly.

3. Choose a Replacement Path

After 2026, the most common pathways include:

Compliant Gas Equipment

Ultra-low NOx furnaces and water heaters:

  • Meet Colorado’s updated requirements
  • Still use natural gas
  • May have different designs or installation needs than older systems

Electrification Options

Depending on your home:

  • Heat pump water heaters
  • Heat pumps for heating and cooling
  • Dual-fuel systems that combine electric and gas components

Each option comes with tradeoffs. The right choice depends on your home, timeline, and priorities.

4. Check Constraints Early

Some decisions depend on what your home can support:

  • Venting configuration
  • Electrical panel capacity
  • Available space
  • Existing ductwork or piping

Identifying constraints early prevents delays and last-minute surprises.

5. Identify Rebates and Financing Right Away

If rebates or tax credits apply, timing matters.

  • Some incentives require pre-approval
  • Eligibility can depend on equipment type and installation date
  • Financing options may reduce immediate cost pressure

Starting this process early—even during diagnostics—can save time and money.

Common Misconceptions

“I can’t buy gas equipment anymore.”
Not true. Compliant gas options are still available.

“Homeowners will be fined if they replace after 2026.”
False. There are no fines for homeowners.

“I’ll just buy equipment online and have someone install it.”
This often creates problems:

  • Equipment may not meet Colorado compliance requirements
  • Manufacturer warranties may be void
  • Improper sizing or installation can cause safety and performance issues

Professional guidance matters more—not less—after 2026.

Need Help Now? We’re Ready.

If your furnace or water heater has failed—or is about to—don’t assume you’ve run out of options.

Schedule a same-day or priority diagnostic with Carbon Valley Heating & Air. We’ll help you restore comfort quickly and make the right decision for your home—before stress takes over.

This article is part of our HB23-1161 blog series designed to help Colorado homeowners understand what’s changing—and how to plan without pressure. Check out all the posts in series below:

  • Part 1: What HB23-1161 Is (and Isn’t) – Separate facts from myths
  • Part 2: Your HB23-1161 Action Plan: Assess, Compare, and Plan Ahead – Practical planning before you need a replacement

Read the full series to make informed, confident decisions for your home.

Need HVAC, Plumbing, Electrical, and Insulation Service?

Contact the experts at Carbon Valley Heating, Air, Plumbing & Electrical.

Call us at (720) 507-9924!

Read More of Our Articles

View other articles.