Your HB23-1161 Action Plan: Assess, Compare, and Plan Ahead

HB23-1161 doesn’t require immediate action for most homeowners—but it does make planning ahead smarter than waiting until a system fails.

This guide focuses on what Colorado homeowners should do now to stay comfortable, avoid rushed decisions, and keep future replacement costs manageable.

Step 1: Assess Your Current System

The first step is understanding where your equipment stands today.

Homeowner Self-Check

Ask yourself:

• How old is your furnace or water heater?
• Have repairs become more frequent or costly?
• Are there comfort issues (uneven heating, long recovery times)?
• Have your utility bills steadily increased?
• Does the system still meet your household’s needs?

If your equipment is under 10 years old and running well, you likely have time. If it’s 10–15+ years old, assessment becomes more important.

Professional Inspection

A professional system check looks at:

• Overall condition and remaining lifespan
• Safety and combustion performance
• Efficiency compared to newer models
• Repair risk over the next few years

This isn’t about selling replacements—it’s about knowing your timeline.

Step 2: Replace Now or Later? A Simple Decision Framework

There’s no one-size-fits-all answer. Here’s how to think it through.

Replacing Sooner May Make Sense If:

• Your system is nearing end of life
• Repairs are adding up
• You plan to stay in your home long-term
• Comfort or reliability is already an issue
• You want the widest range of equipment options

Waiting May Be Fine If:

• Your system is newer and well maintained
• Performance and comfort are solid
• You’re prepared for potential changes in equipment availability later
• You have a backup plan if the system fails unexpectedly

The goal is choice, not urgency.

Step 3: Understand Your Equipment Pathways

HB23-1161 affects what equipment is sold after January 1, 2026—not whether you can heat your home. Here are the main pathways homeowners are considering.

Compliant Gas Options

Ultra-low NOx gas furnaces and water heaters are designed to meet updated standards. These models:

• Still use natural gas
• May look and operate differently than older models
• Are expected to remain available after 2026

Heat Pump Water Heaters

These systems:

• Use electricity to move heat rather than create it
• Are highly efficient
• Often qualify for rebates and tax credits
• Require space and proper installation planning

Heat Pumps for Heating and Cooling

Modern heat pumps:

• Provide both heating and air conditioning
• Perform well in Colorado when properly sized
• Can be paired with gas systems in dual-fuel setups for flexibility

Each option has pros, cons, and home-specific considerations. That’s why comparisons matter.

Affordability Q&A

Are Rebates Available?

Depending on the system and your location, you may qualify for:

• Utility rebates
• State programs
• Manufacturer incentives

Availability can change, which is another reason to plan ahead.

What About Federal Tax Credits?

Certain high-efficiency systems may qualify for federal tax credits, where applicable. Eligibility depends on equipment type, efficiency ratings, and installation timing.

Are Financing Options Available?

Yes. Financing and payment plans can help make planned upgrades more manageable—especially when paired with rebates and incentives.

Take the Next Step: Plan With Confidence

If your furnace or water heater is aging, the best time to plan is before you need a replacement. Schedule a system assessment with Carbon Valley Heating & Air and request a “2026-ready options” quote comparison. We’ll help you understand your timeline, compare pathways, and plan at your pace—no panic, no pressure.

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.

• Part 1: What HB23-1161 Is (and Isn’t) – Separate facts from myths
• Part 3: HB23-1161: Emergency Replacement Options After 2026 – What to do if your system fails later

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