Truck Loan Assistance Program
What does it fund?
Helped small-business fleet owners affected by CARB's In-Use Truck and Buses Regulation secure financing for upgrading their fleets with newer trucks. The program provided borrowers the opportunity to purchase used and new heavy-duty trucks with 2010 and later model year engines CARB-certified to 2010 and later model year emission standards. Trailers were eligible for financing in conjunction with an eligible tractor.
Who is eligible for funds?
The program funded small business truck owners with 100 or fewer employees, $10 million or less in annual revenue averaged over three years, and fleets with 10 or fewer heavy-duty vehicles subject to the In-Use Truck and Bus Regulation.
Are there recent policy changes?
Enrollments in the loan program ended July 31, 2023. CARB is now prioritizing funding to support zero-emission heavy-duty vehicles.
The model year schedule in the Truck and Bus Regulation came to an end on January 1, 2023, so a 2010 or newer engine is required except for some exemptions. Department of Motor Vehicle (DMV) compliance verification will only allow trucks compliant with the Truck and Bus Regulation to be registered by the DMV.
All sales of new passenger vehicles and trucks in the State are required to be zero-emission by 2035, all drayage trucks are required to be zero-emission by 2035 where feasible, and all other vehicles in the medium- and heavy-duty fleet are required to transition to zero-emission by 2045 as described in Executive Order N-79-20. Fleets that purchased vehicles in the loan program may be subject to potential future obligations under the Advanced Clean Fleets and other regulations requiring transition to zero-emission technology.
How does this program provide benefits to priority populations?
The program created financing opportunities for truck owners that fell below conventional lending criteria and were unable to qualify for traditional financing. Almost half of the Truck Loan Assistance Program funding has been spent within and benefiting individuals living in low-income and disadvantaged communities. The program had broad statewide appeal including in rural regions.
How do I access funds?
Funding is no longer offered through this program, which ended July 31, 2023. CARB is now prioritizing funding to support zero-emission heavy-duty vehicles through the new Zero-Emission Truck Loan Pilot Project, which is currently under development.
Cumulative Outcomes as of August 2023
- Over $260 million invested
- State investment leveraged about $3.1 billion in financing
- 45,000+ clean vehicles and equipment financed
- Nearly half of funding benefits disadvantaged communities
- Approximately 50% of funding benefitting priority populations
- Nearly 42,000 loans enrolled
- Air Quality Improvement Fund
- Vehicle Inspection and Repair Fund
Last updated: August 2023