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Public School Bus Set-Aside

Note: This funding opportunity is currently closed and is not accepting new applications at this time. Resources on this page support participants with active vouchers.

The Public School Bus Set-Aside provided $265 million in funding across 2 fiscal years to help school districts replace old internal combustion engine school buses—regardless of fuel type—with new zero-emission school buses.

The program paired vehicle incentives through the California Air Resources Board’s HVIP with the California Energy Commission’s Energy Infrastructure Incentives for Zero-Emission Vehicles (EnergIIZE) project which provided $35 million in complementary charging infrastructure funding. Together, both funding sources helped minimize barriers to infrastructure readiness and zero-emission vehicle deployment.

Key program requirements:

    • Eligible applicants included school districts in small or medium-sized air districts.
    • Scrappage of an eligible older school bus was required.
    • Priority was given to school districts serving Disadvantaged Communities (DACs) in Year 1 and DACs or Low-Income Communities (LICs) in Year 2.
    • The program had to serve students in K-12 grade levels.

Please see HVIP’s Public School Bus Set-Aside funding history below. EnergIIZE is the infrastructure funding complementing the PSB program.

For questions, contact [email protected].

Funding History

FY 2022–23 Funding (Year 2)

Funding amount: $135 million
Application window: June 20, 2023–December 15, 2023
Status: Closed
Year 2 funding supported the replacement of internal combustion engine school buses (model year 2010 or older) with zero-emission school buses. Recipients were eligible for two awards:

        1. FY22-23 HVIP Implementation Manual – Appendix G: Public School Bus Set-Aside
        2. EnergIIZE Implementation Manual – Addendum for Public School Bus Set-Aside.

FY22–23 School Bus Set-Aside (Year 2) Maximum Voucher Amounts

School Bus TypeWithout a wheelchair liftWith a wheelchair lift
Type A$285,000$310,000
Type C$350,000$375,000
Type D$370,000$395,000

FY 2021–22 Funding (Year 1)

Funding amount: $130 million
Application window: March 30, 2022–June 28, 2022
Status: Closed
Year 1 funding supported the replacement of internal combustion engine school buses (model year 2007 or older) with zero-emission school buses. Recipients were eligible for two awards:

        1. FY21-22 HVIP Implementation Manual – Appendix G: Public School Bus Set-Aside
        2. EnergIIZE Implementation Manual – Addendum for Public School Bus Set-Aside.

Y21–22 Public School Bus Set-Aside (Year 1) Maximum Voucher Amounts

School Bus TypeVoucher Amount
Type A (with or without a wheelchair lift)$350,000
Type C & D without a wheelchair lift$375,000
Type C & D with a wheelchair lift$400,000

Eligibility Requirements

Eligible applicants:

California public school districts.

California public charter schools (as listed at CDE Charter Schools Directory).

California Joint Power Authorities (JPAs) formed by two or more public school districts in which the JPA owns the school buses.

California county offices of education.

Division of State Special Schools of the California Department of Education.

Note: Private schools are not eligible.

Geographic eligibility: School districts in small or medium-sized air districts.

Applicant Priority Lists

Applicant priority lists are available below to help applicants understand application standings based on the requirements outlined in each fiscal year’s Appendix G.

These lists reflect the initial evaluation of Part A applications and show how school districts are ranked based on eligibility criteria and priority factors, such as service in DACs and LICs.

Available priority lists:

Applicants with questions about priority rankings or active vouchers should contact [email protected] for assistance.

Scrappage Requirements

The program required the replacement of old internal combustion engine school buses, regardless of fuel type. See the Scrappage Guide for detailed instructions.

Vehicle requirements:

Chassis must be 2010 (2007 for Year 1) model year or older.

Vehicle must be applicant-owned with no lienholder.

GVWR must exceed 14,000 pounds.

Vehicle must have current California Highway Patrol Safety Certification (CHP 292 or equivalent) at time of application submission and maintain certification until terms and conditions are fully executed.

Diesel-fueled school buses must be compliant with the California Truck and Bus Regulation to receive full voucher amount (noncompliant buses received a $20,000 voucher deduction).

Program Resources

Public School Bus Set-Aside resources are listed below; additional school bus resources can be found in our Resources Hub.

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