Project Background for Financing Assistance for Lower-Income Consumers Program
The Financing Assistance Program is one of CARB's suite of equity projects that provides financial resources to help lower-income Californians purchase advanced clean vehicles. The project offers vehicle price buy-downs (grants) at the point of sale, guarantees fair financing through lower-interest loans, and provides home charger incentives or portable chargers and prepaid charge cards where there are home charger installation barriers.
Guiding Legislation/Policy Drivers
Senate Bill (SB) 1275 directs CARB to establish financing assistance projects for lower-income consumers. This project supports the statutory goals of SB 1275 and SB 350 recommendations by prioritizing funds for clean transportation and mobility options. This is accomplished by implementing programs that expand the new and used vehicle ownership programs with point-of sale incentives (price buy-downs) and low-cost loans; increasing awareness of clean transportation and mobility options by educating consumers of clean transportation options and infrastructure investments; and incentivizing charging infrastructure for lower-income residents.
Project Funding/Allocations History
|Fiscal Year||BSF (millions)||CHDC (millions)||From GGRF (millions)||From VW (millions)|
*The $14.5 million remaining from the FY 2021-22 allocation was added to the solicitation for the new statewide Financing Assistance program that will replace the Clean Vehicle Assistance Program and the Driving Clean Assistance Program. Funding allocated in FY 2022-23 will also be used to fund the new statewide Financing Assistance Program for a total of $80.5 million allocated for the future program. A solicitation for a grantee to administer this program was released in February 2023 and the program is expected to launch by the end of 2023.
|Total Grant Amount||Administration & Outreach||Incentives|
Recent Project/Policy Changes
- Transitioning from a first-come, first-serve model to a need-based approach where consumers with certain criteria will be prioritized in application processing and assistance.
- Applied purchase price cap of $45,000