Deadline to Apply - October 30, 2020 (4 p.m. ET)

The Diesel Emissions Reduction Act (DERA) of 2010 (PDF) allows EPA to offer rebates in addition to grants to reduce harmful emissions from older, dirtier diesel vehicles. The rebate program has funded vehicle replacements or retrofits for over 2,000 vehicles. Typically, the rebate application period opens in the fall and projects are completed in less than one year.

EPA is excited to announce a funding opportunity for school bus fleets that serve public schools. EPA’s Office of Transportation and Air Quality is accepting applications nationwide for rebates to assist in replacing older, dirtier diesel school buses with new school buses certified to EPA's cleanest emission standards. EPA anticipates awarding over $10 million in this funding opportunity. Selected applicants that scrap and replace their old diesel buses will receive a rebate of $20,000-$65,000 per bus depending on the fuel type of the replacement bus.

Eligible Entities

• Regional, state, or tribal agency that has jurisdiction over transportation and air quality, including school districts and municipalities
• Private entities that operate school buses under a contract with an entity listed above
• Fleets with up to 100 school buses may submit one application listing up to 10 buses for scrappage and replacement
• Fleets with more than 100 school buses may submit up to two rebate applications, each listing up to 10 different buses for scrappage and replacement
  
  

Selection Process

Applicants will be selected in a lottery, with at least one selectee from each state/territory represented in the applicant pool.

Important Dates

Rebate Application Form and Supporting Documents

• 2020 DERA School Bus Rebates Program Guide
• 2020 DERA School Bus Rebates Application
• 2020 DERA School Bus Rebates Frequently Asked Questions (FAQ)
  
  

The Frequently Asked Questions (FAQ) document will be updated weekly during the application period. Questions submitted to [email protected] through October 22, including those from the webinar, will be added to this document.

Eligible Old School Buses to be Replaced

• Used to transport 10+ pre-primary, primary, or secondary school students to or from schools
• Driven 10,000 or more miles over either the last 12 months or calendar year in 2019, or have been in use 3+ days/week between 9/1/2019 and 2/29/2020
• Owned by applicant without any active liens
• Class 3-8 diesel-powered buses [greater than 10,000 lb Gross Vehicle Weight Rating (GVWR)]
• Buses must be powered by 2006 or older model year engines
• Engine and chassis must be scrapped before receiving rebate payment
  
  

Eligible Replacement Buses

• May not be ordered prior to receiving signed EPA selection letter
• Powered by a 2017 or newer model year engine.
• Operate in a similar manner and over similar routes as the bus being replaced
• Be purchased, not leased or leased-to-own
• Rebate reimbursement is based on the fuel type of the replacement bus:
  • $20,000 for diesel and gasoline
  • $25,000 for propane
  • $30,000 for CNG/LNG
  • $65,000 for battery or hydrogen electric
  • Maximum rebate funding amount per application is $300,000
    
    

If you have questions, please contact [email protected].

VISIT THE SCHOOL BUS REBATES: DIESEL EMISSIONS REDUCTION ACT (DERA) WEB PAGE

Webinar

2020 School Bus Rebates Program

Wednesday, October 7, 2020 | 3:00-4:00 p.m. ET

Go to the following link a few minutes before the webinar starts: 2020 School Bus Rebates Webinar.

Call-in Number: 1-202-991-0477
Access Code: 562 579 487#

Webinar Highlights:

• Program Overview
• Eligibility (applicants & vehicles)
• Process and Timeline
• Additional Tips
• Question & Answer Period

Deadline to Apply - February 26, 2020 (11:59 p.m. ET)

The U.S. Environmental Protection Agency (EPA) is excited to announce the availability of approximately $44 million in Diesel Emission Reduction Program (DERA) grant funds to support projects aimed at reducing emissions from the nation's existing fleet of older diesel engines. Under this competition, between 40 and 60 awards are anticipated to be made to eligible applicants.

Application packages must be submitted electronically to EPA through Grants.gov (www.grants.gov) no later than Wednesday, February 26, 2020, at 11:59 p.m. (ET) to be considered for funding.

Visit the DERA web page for more information

Important Dates

Eligible Applicants

The following U.S. entities are eligible to apply for DERA National Grants:

• Regional, state, local or tribal agencies/consortia or port authorities with jurisdiction over transportation or air quality
• Nonprofit organizations or institutions that represent or provide pollution reduction or educational services to persons or organizations that own or operate diesel fleets or have the promotion of transportation or air quality as their principal purpose.

School districts, municipalities, metropolitan planning organizations (MPOs), cities and counties are all eligible entities to the extent that they fall within the definition above.

Eligible Uses of Funding

Eligible diesel vehicles, engines and equipment include:

• School buses
• Class 5 – Class 8 heavy-duty highway vehicles
• Locomotive engines
• Marine engines
• Nonroad engines, equipment or vehicles used in construction, handling of cargo (including at ports or airports), agriculture, mining or energy production (including stationary generators and pumps).

Grant funds may be used for diesel emission reduction projects including:

• EPA verified technologies or certified engine configurations
• California Air Resources Board (CARB) EXIT verified technologies or certified engines
• Idle-reduction technologies that are EPA verified
• Aerodynamic technologies and low rolling resistance tires that are EPA verified
• Early engine, vehicle, or equipment replacements with certified engine configurations

Funds awarded under this program cannot be used to fund emission reductions mandated by federal law. Equipment for testing emissions or fueling infrastructure is not eligible for funding.

Please refer to the full RFA for specific information about this competition.

Informational Webinars

2020 DERA National Grants

Wednesday, December 11, 2019 at 12 to 1 p.m. CST
Join at: https://meet.lync.com/usepa/swift.faye/TG550JGJ

Wednesday, December 18, 2019 at 2 to 3 p.m. CST
Join at: https://meet.lync.com/usepa/swift.faye/GKLCM5S6

Wednesday, January 14, 2019 at 2 to 3 p.m. CST
Join at: https://meet.lync.com/usepa/swift.faye/Q4CD0Z03

Dial-In: (202) 991-0477
Participant Code: 4149804#

Webinar Highlights

• Program Details
• Changes This Year
• Eligible Entities, Projects, Vehicles, Engines & Equipment
• Funding: Availability, Project Funding Percentage, Restrictions
• Proposal Submission
• Evaluation Criteria
• Potential Pitfalls
• Tools, Resources and Support
• Question & Answer Period

If you have questions, please contact [email protected].

Visit the DERA web page for more information