The worst reality is they will estimate and then cut that expense from your offer. Still, $5000 less for the kind of work offered remote isn't a deal breaker.
It's trivial to add demands like this. Employers have more pull in the legislatures than employees, so be careful what you wish for.
What I find surprising is that everybody thinks employers are going to jump all over these requirements and work their hardest to make sure they are 100% in compliance instead of mostly ignoring them and making only a token effort to be in compliance. "We offered to buy chairs for the workers, what more do you want?"
Does the company get some input as to what the thermostat should be set to?
If you are a renter with included utilities, do they pay the landlord instead?
If you are living in a van, do they pay for your oil changes and parking tickets? Ok, I guess this last one is kinda silly.
If you don't have a dedicated workspace, you can't take the home office deduction and your employer technically doesn't have to reimburse you anything (so this is more beneficial to wealthy people with dedicated home offices).
Meanwhile the employer would have otherwise heated up an office space and paid all bills there.
I've been remote for a decade now and it always struck me as odd, but I didn't care enough to push for it. But as the remote concept is being used by many employers to cut on office expenses, employees with no alternative should be compensated for the extra expense they incur. It's just common sense, like paying for your mileage when you drive for business.