Clean School Bus Program Rebates
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Documents
On this page:
- 2024 Clean School Bus Rebates Overview
- Important Dates
- Supporting Documents
- Questions and Answers Document
- Program Oversight
- Eligible Applicants
- Eligible Buses and Infrastructure
- Available Funding
- Workforce Development
- Selection Process and Prioritization
2024 Clean School Bus Rebates Overview Open
The Bipartisan Infrastructure Law of 2021 authorizes the EPA to offer rebates to replace existing school buses with clean and zero-emission models. The 2024 Clean School Bus Rebates process includes SAM.gov account registration, rebate application submission, review and selection by the EPA, selectees will then submit purchase orders to request payment and then receive payment, which is followed by new bus delivery, existing bus replacement, and project close out. The program guidance and application process differ from prior EPA school bus rebate programs, so please review the summary of program requirements below and the detailed Program Guide before proceeding.
Important Dates
Date | Activity |
---|---|
September 26, 2024 – January 9, 2025, 4:00 PM ET | 2024 Clean School Bus Rebates Application Period. |
October 2024 – December 2024 | Various Webinars on CSB Program. |
November 14, 2024, 4:00 PM ET | Final date to submit questions prior to the application period closing about the 2024 Rebates to [email protected]. |
January 9, 2025, 4:00 PM ET | 2024 CSB Rebates Application Deadline. |
January – May 2025 | Application deadline and selection process; applicants should be prepared to promptly answer eligibility questions or provide other clarifying information upon EPA request. |
May 2025 | The EPA anticipates notifying applicants of selection status. Selectees can proceed with purchasing replacement buses and eligible charging infrastructure upon receipt of official selection notification. |
June 1, 2025 – November 2025 | Selectees submit Payment Request Forms with purchase orders demonstrating that eligible replacement buses and eligible charging infrastructure have been ordered. |
May 2027 | Project period deadline for selectees to receive new buses, install eligible charging infrastructure, scrap, sell, or donate existing buses, and submit Close Out Forms. |
Supporting Documents
General Application Support Documents:
- 2024 Clean School Bus Rebate Program Guide (pdf)
- The 2024 Clean School Bus Rebate Program Application User Guide (pdf)
- 2024 Clean School Bus Rebate Program Prioritized School District List (pdf)
- 2024 Clean School Bus Rebate Program Prioritization Self-Certification Instructions (pdf)
- 2024 Clean School Bus Rebate Program Prioritized School District Detailed List (xlsx)
Supplemental Application Forms: (all applicants must complete one or more of the following forms, including all required signatures):
- 2024 CSB Rebate Program Electric Utility Partnership Template (docx)
- 2024 CSB Rebate Program School District Approval Letter for Third-Party Applicants (docx)
- 2024 CSB Rebate Program School Board Awareness Certification (docx)
Additional Program Resources:
- 2024 Clean School Bus Rebate Program Fleet Inventory Worksheet (xlsx)
- 2024 Clean School Bus Rebate Overview Flyer (pdf)
- How to Apply for a 2024 CSB Rebate (pdf)
- Joint Office Electric School Bus Charging Station Planning Form (xlsx)
Questions and Answers Document
Novel questions submitted to [email protected], including those from program webinars, will be added to this document. Please include "2024 CSB Rebate Question" in the subject line of your email.
Program Oversight
Selectees’ use of funds awarded by the EPA may be subject to review by the EPA Office of Inspector General; review is consistent with the OIG’s mission to prevent and detect fraud, waste, and abuse related to, and promote economy, efficiency, and effectiveness in, the administration of EPA programs and operations. Visit the Clean School Bus Program Oversight page to learn more.
Selectees should work with their vendors to spend EPA funds on eligible project expenses, as described in Section 3 of the Program Guide, as expeditiously as possible after receiving funds from the EPA; to assist with the EPA’s Office of the Chief Financial Officer’s ongoing financial review, selectees must email [email protected] within 10 days of spending their funds on eligible expenses or passing the rebate funds to a third-party to complete the purchase for eligible expenses.
If there is an extended period of time between receiving EPA funds and spending those funds, then selectees must adhere to the following requirements. Specifically, selectees must follow proper financial management practices to ensure that these funds are only used for eligible expenses and should keep these EPA funds separate from other funds the selectee might have for general expenses. Funds should be kept in a non-interest-bearing account. If the selectee does not have ready access to a non-interest-bearing account, then they may keep the funds in an interest-bearing account, but if any interest above $25 is earned on EPA funds, then that interest must be returned to the EPA in accordance with the requirements outlined in Section 8 of the 2024 CSB Rebate Program Guide.
Eligible Applicants
Public School Districts
- Local or State governmental entities responsible for:
- Providing school bus service to one or more public school systems; or
- The purchase, lease, license, or contract for service of school buses;
- A public charter school district responsible for the purchase, lease, license, or contract for service of school buses for that charter school.
- Regional Education Service Agency or Joint Transportation Agency, with an NCES ID specific to either the RESA or JTA.
Tribal Applicants
- Indian Tribes, Tribal Organizations, or Tribally Controlled Schools responsible for:
- providing school bus service for a Bureau of Indian Education funded school; or
- the purchase, lease, license, or contract for service of school buses.
Third Parties
- Eligible contractors are for-profit, not-for-profit, or nonprofit entities that have the capacity to (1) sell, lease, license, or contract for service clean or ZE school buses or related charging or fueling infrastructure to school bus owners or (2) arrange financing for such a sale, lease, license, or contract for service.
- Nonprofit School Transportation Associations; or
- School bus dealers, original equipment manufacturers, school bus service providers, and private school bus fleets that meet these criteria are eligible contractors.
See “Section 2: Eligible Applicants” of the 2024 CSB Rebates Program Guide for additional eligibility details.
A goal of the CSB Program is to provide opportunities for as many eligible applicants as possible to participate. Applicants who applied for previous CSB funding opportunities are able to apply for future CSB funding opportunities, so long as they are eligible under that funding opportunity; applicants must submit an application for each funding opportunity they are interested in. See Section 1 of the Program Guide to learn about the difference between CSB Program rebates and grants, and determine which funding program works best your situation. We understand that there may be questions about a school district’s eligibility to participate in the 2024 CSB Rebates. If interested applicants have questions about their eligibility after reviewing this page, the Program Guide, and the Q&A Document, they should contact [email protected] with their specific question.
Note: The EPA intends to provide additional funding opportunities and your input will be valuable in helping us design those programs to be as inclusive and effective as possible.
Eligible School Buses and Infrastructure
Eligible Buses to be Replaced
To be eligible for replacement, existing school buses must:
- Be vehicle model year 2010 or older diesel-powered school buses that will be scrapped if selected for funding.
- If a fleet has no eligible 2010 or older diesel school buses and is requesting zero-emission school bus replacements, the fleet can either:
- Scrap 2010 or older non-diesel internal combustion engine buses; or
- Scrap, sell, or donate 2011 or newer diesel or non-diesel internal combustion engine buses.
- If a fleet has no eligible 2010 or older diesel school buses and is requesting zero-emission school bus replacements, the fleet can either:
- Have a Gross Vehicle Weight Rating of 10,001 lbs or more.
- Be operational at the time of application submission – able to start, move in all directions, and have all operational parts.
- Have provided bus service to a public school district for at least 3 days/week on average during the 2023/2024 school year at the time of applying, excluding emergency-related school closures.
- The EPA strongly encourages third-party applicants to replace existing buses that provided service to the public school district listed on the application, or another school district eligible for priority consideration, as listed in the Prioritized School Districts list found on the 2024 CSB Rebates page, if the school district listed on the application was eligible for priority consideration. However, this is not required under this funding opportunity.
Eligible New Replacement Buses
To be eligible as a replacement, new buses must:
- Have a battery-electric, CNG, or propane drivetrain.
- Biofuels will not be included as an eligible replacement technology for this funding opportunity.
- Be a new vehicle.
- Buses which have been converted to a battery-electric, propane, or CNG drivetrain after the first retail sale are not eligible for funding.
- The conversion of a bus to a battery-electric, propane, or CNG drivetrain is not eligible for funding.
- Be model year 2023 or newer.
- Have a Gross Vehicle Weight Rating (GVWR) of 10,001 lbs. or more.
- Be certified to conform with all applicable Federal Motor Vehicle Safety Standards (FMVSS).
- Be maintained, operated, insured, registered, and charged/fueled according to manufacturer recommendations and state requirements.
- Be equipped with an EPA certified engine if they are Propane or CNG fueled buses.
- Not be ordered prior to receiving official notification of selection for EPA funding.
- Be purchased, not leased or leased-to-own.
- Serve the school district listed on the application for at least five years from the date of delivery, unless the award is to an eligible contractor and the contract with the school district ends before the end of the 5-year period, in which case those school buses may service another local educational agency eligible for prioritization within the same state as the original local educational agency, if the school district listed on the application was eligible for priority consideration. If the original local educational agency was not eligible for prioritization, the new local educational agency still must be in the same state as the original local educational agency but is not required to be eligible for prioritization.
- Not be manufactured, retrofitted with, or otherwise have installed, a power unit or other technology that creates air pollution within the school bus, such as an unvented diesel passenger heater.
- Externally vented, fuel-operated passenger heaters are allowed; however, data shows that the emissions from auxiliary heaters are still harmful. The EPA strongly encourages applicants to consider alternative cold weather mitigation strategies (e.g., insulation of cabin and/or batteries, electric heat pumps, cabin and battery preconditioning) until other viable alternatives become available.
- Fuel-Fired Heaters are an allowable addition to replacement buses, but these heaters must be regularly maintained based on the recommended maintenance schedule of the fuel-fired heater manufacturer. The EPA may request maintenance records for fuel-fired heaters that have been installed in replacement buses. As such, replacement bus technicians should keep a maintenance log or equivalent of maintenance conducted on their fuel-fired heaters. See the Appendix of the Program Guide for an example maintenance schedule.
- Not be purchased or otherwise subsidized with other federal funds.
- The total CSB rebate award funds and other eligible external funds allocated for the bus replacement(s) cannot exceed the cost of the replacement bus(es).
- Upon request, be made available for inspection by the EPA or its authorized representatives for 5 years from the date of delivery to verify the buses are serving their intended purpose.
Applicants are also able to request additional funds for ADA-compliant replacement buses equipped with wheelchair lifts. In addition, applicants meeting certain geographical criteria may request funds for shipping new buses. Please see Section 4 of the Program Guide for more information on this funding.
Existing Bus Fuel Type |
Replacement Bus Fuel Type
|
||
---|---|---|---|
Propane | Compressed Natural Gas | Battery-Electric | |
2010 or Older Diesel Bus | ✅ | ✅ | ✅ |
2011 or Newer Diesel Bus* | X | X | ✅ |
Gasoline Powered Bus* | X | X | ✅ |
Propane Bus* | X | X | ✅ |
Compressed Natural Gas Bus* | X | X | ✅ |
*Can only be substituted if existing fleet does not have 2010 or older diesel buses available for scrap page; existing, non-diesel internal combustion engine buses that are 2010 or older must be scrapped; existing, non-diesel internal combustion engine buses that are 2011 or newer may be scrapped, sold, or donated.
- For a complete list of eligibility requirements for new buses, see “Section 3: Eligible School Buses and Infrastructure” of the Program Guide.
Eligible Infrastructure
Applicants applying for ZE, battery-electric buses are able to purchase for eligible infrastructure. Specifically, the EPA will provide funding for EV-related infrastructure installation and equipment from the electrical meter to the charging port of the bus. EPA funds must not be used for any infrastructure costs associated with work in front of the electrical meter (see figure above).
Build America, Buy America
Applicants should be aware that Build America, Buy America (BABA) requirements apply to electric vehicle chargers and associated equipment, products, and materials eligible for funding under this Program, including BESS. All applicants should plan to purchase American-made charging infrastructure products (see Appendix A of the 2024 CSB Rebate Program Guide for additional information).
Please note that the EPA has determined that although school buses are not covered by BABA, the EPA encourages applicants to consider purchasing domestically produced buses where feasible.
Available Funding
- Rebate applications can request funds for replacing up to 50 buses.
- For the 2024 CSB Rebates, the EPA anticipates offering up to $965 million in total funding. The EPA may adjust the total funding amount depending on demand and other considerations.
- School districts applying directly for funds may only submit one application to replace up to 50 buses; districts that contract with multiple private fleets may list more than one private fleet in their application. Other eligible applicants may submit multiple applications, but each application must be for buses serving a different school district.
- The EPA will not fund multiple applications for bus replacements that will serve the same school district.
- Note: For RESA or JTA applicants with an NCES ID specific to either the RESA or JTA may only submit a single application even if the school districts supported by the RESA or JTA also have their own NCES IDs; the EPA will not review applications submitted for a school district served by a RESA or JTA if the RESA or JTA has also submitted an application.
- The maximum rebate amount per bus is dependent on (1) the replacement bus fuel type, (2) the replacement bus size, and (3) whether the school district served by the buses is prioritized:
- Funding levels for ZE replacement buses include combined bus and EV charging infrastructure. Recipients have flexibility to determine the split between funding for the bus itself and the supporting infrastructure.
- Applicants are able to request up to $20,000 per bus in additional funds for ADA-compliant replacement buses equipped with wheelchair lifts.
- School districts in Alaska, Hawaii, Puerto Rico, U.S. Virgin Islands, Guam, American Samoa, and the Commonwealth of the Northern Mariana Islands, or third-party entities applying on their behalf, can be awarded up to an additional $20,000 per bus for increased shipping costs if selected for funding.
School District Prioritization Status |
Replacement Bus Fuel Type and Size
|
|||||
---|---|---|---|---|---|---|
ZE - Class 7+ |
ZE - Class 3-6 |
CNG - Class 7+ | CNG - Class 3-6 | Propane - Class 7+ | Propane - Class 3-6 | |
Buses serving school districts that meet one or more prioritization criteria | Up to $325,000 (Bus+ Charging Infrastructure) | Up to $245,000 (Bus+ Charging Infrastructure) | Up to $45,000 | Up to $30,000 | Up to $35,000 | Up to $30,000 |
Buses serving other eligible school districts that are not prioritized | Up to $170,000 (Bus+ Charging Infrastructure) | Up to $115,000 (Bus+ Charging Infrastructure) | Up to $30,000 | Up to $20,000 | Up to $25,000 | Up to $20,000 |
*Funding levels above do not reflect EPA funding available for ADA-compliant wheelchair lifts, EPA funding for shipping costs to non-contiguous U.S. states and territories, nor IRA funding available through IRS-disbursed tax credits for EV bus and infrastructure purchases.
- Selectees may be eligible for Inflation Reduction Act tax credits applicable to their bus and infrastructure purchases; namely, the Commercial Clean Vehicle Credit provides up to $40,000 for qualified commercial clean vehicles and the Alternative Fuel Vehicle Refueling Property Credit provides up to $100,000 for qualified charging and refueling infrastructure. Please see the Internal Revenue Service website for more information on these credits. Any additional information regarding these credits will be shared on that website. If you have any questions, please refer to the IRS Complex Tax Topics page. The helplines below are also able to provide general information, but are not able to provide specific tax advice.
- IRS Helpline for Tax Paying Entities (private fleets, OEMs, bus dealers, eligible contractors, etc): 800-829-4933
- IRS Helpline for Non-Tax Paying Entities (school districts, nonprofit school transportation associations, Tribal applicants, local government entities, etc): 877-829-5500
- The IRS opened a free IRA and CHIPS Pre-filing Registration Tool for organizations to register for an elective payment or the transfer of certain clean energy tax credits. Qualifying businesses, tax-exempt organizations or entities such as state, local and Indian tribal governments can register to take advantage of these new tax mechanisms, due to the Inflation Reduction Act of 2022 and CHIPS Act.
- The EPA will continue to provide relevant resources on IRA Tax Credits on our a CSB Tax Credits page.
Workforce Development
In the 2024 CSB Rebate Program, EPA funding can be used for costs associated with workforce training for drivers, mechanics, electricians, and other essential personnel. The EPA encourages applicants to partner with their manufacturers, private fleets, local community colleges, labor unions, technical schools, and other education and training providers to provide necessary training and support. CSB funding for workforce training is part of the total funding amount per award listed in the table above; the per bus amounts listed in the table may not be used in whole for workforce training costs. In addition, all applicants must attest in the application to the importance of workforce planning. If selected for funding, then workforce training costs must be clearly identified with line-item expenses in the order document submitted to the EPA outlined in Section 8 of the CSB Rebate Program Guide. Visit the Workforce Development and Training Resources page for a list of resources.
Selection Process and Prioritization
The Bipartisan Infrastructure Law of 2021 authorizes the EPA to prioritize awarding funds to certain communities that will benefit from the CSB Program; these include: high-need school districts, Rural school districts, Bureau of Indian Education-funded school districts, and school districts that receive basic support payments for children who reside on Indian land. Applicants requesting funding for the replacement of school buses that serve a prioritized school district will be offered more funding per bus and receive preference in the selection process.
Please refer to Sections 2 and 6 of the Program Guide for more information on prioritization criteria and the selection process. A list of prioritized school districts can be found in the Supporting Documents above. Please note that applicants who are self-certifying their prioritization status as High-Need must submit all documentation supporting their self-certification at the time of application.