CARB and DERA School Bus Funding
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CARB has been awarded federal funding from the U.S. Environmental Protection Agency through the Diesel Emission Reduction Act (DERA) State Allocations to retrofit and replace diesel school buses with cleaner technologies. Listed below are the grant objectives and outcomes from each funding award.
2022
In November 2022, CARB was awarded DERA 2022 funds from the EPA to replace approximately 6 diesel school buses with new zero-emission school buses through the Public School Bus Set-aside funds allocated through HVIP. CARB and the HVIP grant administrator are working on a grant agreement, to be executed before June 2023.
The agreement includes funds from the following sources:
| Federal 2022 DERA | $ 705,417 |
|---|---|
| State Match | $1,540,000 |
| Total grant agreement | $2,861,449 |
| Mandatory cost share by school bus fleets | $ 616,032 |
2021
Agreement between CARB and NCUAQMD to fund zero-emissions school bus replacements with Federal Fiscal Year 2021 DERA funds and CARB's Rural School Bus Pilot Project funds
In December 2021, CARB and the North Coast Unified Air Quality Management District (NCUAQMD) signed a grant agreement to fund school bus replacements. NCUAQMD will implement the grant, replacing at least 10 diesel school buses with new school buses statewide.
The agreement includes funds from the following sources:
| Federal 2021 DERA | $ 627,035 |
|---|---|
| Rural School Bus Pilot Project State Match | $1,633,500 |
| Total grant agreement | $2,702,543 |
| Mandatory cost share by school bus fleets | $ 442,008 |
2019 and 2020
Agreement between CARB and NCUAQMD to fund zero-emissions school bus replacements amended to include Federal Fiscal Year 2019 with 2020 DERA funds and Rural School Bus Pilot Project funds
In January 2021, CARB and the North Coast Unified Air Quality Management District (NCUAQMD) signed a revised grant agreement to fund school bus replacements. NCUAQMD will implement the revised grant, replacing at least 11 diesel school buses with new zero-emissions school buses statewide.
The revised agreement adds Federal Fiscal Year 2019 and 2020 State DERA funds, and Rural School Bus Pilot Project funds previously allocated to the project. The agreement includes funds from the following sources:
| Federal 2019 and 2020 DERA | $1,132,752 |
|---|---|
| Rural School Bus Pilot Project State Match | $ 971,386 |
| Total grant agreement | $2,104,138 |
| Mandatory cost share by school bus fleets | $2,502,500 |
2018
Agreement between CARB and SJVAPCD to fund zero-emissions school bus replacements amended to include Federal Fiscal Year 2018 DERA funds and California Proposition 40 funds
In February 2019, CARB and the San Joaquin Valley Air Pollution Control District (SJVAPCD) signed a revised grant agreement to fund school bus replacements. SJVAPCD will implement the revised grant, replacing at least 14 diesel school buses with new zero-emissions school buses statewide.
The revised agreement adds Federal Fiscal Year 2018 State DERA funds, and remaining funds from California Clean Water, Clean Air, Safe Neighborhood Parks, and Coastal Protection Act of 2002 (Proposition 40), to the funds previously allocated to the project. The agreement includes funds from the following sources:
| Federal 2017 and 2018 DERA | $ 900,279 |
|---|---|
| State Supplemental Environmental Project (SEP) | $ 752,590 |
| Proposition 40 | $ 813,000 |
| Total grant agreement | $2,465,869 |
| Mandatory cost share by school bus fleets | $3,629,806 |
2017
Agreement between CARB and SJVAPCD to fund school bus replacements with Federal Fiscal Year 2017 State DERA and State Fiscal Year 2017-2018 CARB Funds
On June 18, 2018, CARB and SJVAPCD entered into a grant agreement to fund statewide school bus replacements. The agreement allocates U.S. Environmental Protection Agency (U.S. EPA) funds from a Cooperative Agreement between U.S. EPA and CARB, and funds from the State Supplemental Environmental Project (SEP), to SJVAPCD to implement school bus replacement projects. The grant agreement awards $573,305 in Federal DERA funding and $752,590 in State SEP funding - to SJVAPCD to replace school buses throughout California with new zero-emission electric school buses. An estimated $2,349,806 in additional funding for school bus replacements will be provided in the form of mandatory cost-share funds by school bus owners. It is anticipated that approximately 9 diesel fueled school buses will be replaced with new zero-emission electric school buses.
2016
Agreement between CARB and SJVAPCD to Fund Statewide School Bus Retrofit Program with Federal Fiscal Year 2016 State DERA and State Fiscal Year 2016-2017 CARB Funds
On February 3, 2017, CARB and SJVAPCD entered into a grant agreement to fund a statewide school bus retrofit program. To support the expenditure of federal fiscal year 2016 funding by the deadline, the agreement was amended in February 2018 to fund school bus replacements in addition to school bus retrofits. The agreement allocates U.S. Environmental Protection Agency (U.S. EPA) funds from a Cooperative Agreement between U.S. EPA and CARB, and funds from CARB, to SJVAPCD to implement school bus retrofit and school bus replacement projects. The grant agreement awards $861,000 — $489,832 in State DERA funding and $371,168 in CARB funding — to SJVAPCD to 1) retrofit school buses throughout California with diesel emission control strategies, and 2) replace older, dirtier, diesel-fueled school buses with new, cleaner, diesel-fueled school buses. An estimated $600,000 in additional funding for school bus replacements will be provided in the form of mandatory cost-share funds from the SJVAPCD and school bus owners. It is anticipated that approximately 31 school buses will be retrofitted and approximately four school buses will be replaced.
Under similar agreements, SJVAPCD accomplished the following with funds from previous fiscal years:
| Fiscal Year | Number of School Buses Retrofitted Statewide | Total Grant Award | State DERA | CARB funds |
| 2011-2012 | 30 | $546,000 | $317,185 | $228,815 |
| 2012-2013 | 41 | $777,000 | $454,899 | $322,101 |
| 2013-2014 | 19 | $357,000 | $205,152 | $151,848 |
| 2014-2015 | 22 | $420,000 | $249,792 | $170,208 |
| 2015-2016 | 38 | $711,255 | $415,905 | $295,350 |
For State fiscal years 2011-2012 through 2015-2016, projects in small and medium air districts received funding preference over projects in large air districts.
2013
Agreement between CARB and SJVAPCD to Fund Statewide School Bus Retrofit and Replacement Program with Funds from the Budget Act of 2013
The Budget Act of 2013 – Assembly Bill 110, Chapter 20, Statutes of 2013 – authorized CARB to use approximately $1.1 million of funds from the California Clean Water, Clean Air, Safe Neighborhood Parks, and Coastal Protection Act of 2002 (Proposition 40) and the Highway Safety, Traffic Reduction, Air Quality, and Port Security Bond Act of 2006 (Proposition 1B). Senate Bill 96, Chapter 356, Statutes of 2013 directs the use of those funds on the Lower-Emission School Bus Program. On February 4, 2014, CARB entered into an agreement with the SJVAPCD to allocate the aforementioned funds to the SJVAPCD to implement a statewide school bus retrofit and replacement program. Projects in small and medium air districts will received funding priority over projects in large air districts.
2007
Proposition 1B, which was approved by the voters on November 7th, 2006, enacts the Highway Safety, Traffic Reduction, Air Quality, and Port Security Bond Act of 2006. This bond act authorizes $200 million for replacing and retrofitting school buses. School Bus Retrofit and Replacement Account Page details the activities and payments.
Historic Lower-Emission School Bus Program 2000 - 2006 The CARB staff, in coordination with the California Energy Commission (CEC) and the local air pollution control districts, has developed guidelines for implementation of the Lower-Emission School Bus Program funds. The guidelines cover which buses and retrofits can be purchased, requirements for the California Energy Commission and air districts running the program, and the benefits of the program.