EPA’s new Clean School Bus Program will provide $5 billion over the next five years (FY 2022-2026) to replace existing school buses with zero-emission and low-emission models. EPA is now offering $500 million through the 2022 Clean School Bus Rebates for zero-emission and low-emission school bus rebates as the first funding opportunity of the program.

The Agency will also launch a grant competition later this year. Further Clean School Bus competitions will be run every year over the next five years.

Under the Clean School Bus Program, half of the available funding is dedicated for zero-emission school buses and half is for clean school buses, the latter being a school bus that reduces emissions and is operated entirely or in part using an alternative fuel or is a zero-emission bus.

Eligible recipients are:

• State or local governmental entities responsible for providing school bus service to one or more public school systems; or for the purchase of school buses.

• For proft, not-for-proft, or nonprofit contractors that have the capacity to sell clean school buses, zero-emission buses, charging or fueling infrastructure, or other equipment needed to charge, fuel, or maintain clean or zero-emission school buses; or arrange financing for such a sale.

• Non-profit school transportation associations.

• Tribes, tribal organizations, and tribally-controlled schools that are responsible for providing school bus service to one or more Bureau-funded schools; or for the purchase of school buses.

Awards up to 100% of the cost of the replacement bus and charging or fueling infrastructure are possible, and EPA may award funding for bus replacement and infrastructure through grants, rebates, or contracts.