CARB Allocates $14 Million for Innovative Small e-Fleets
May 6, 2024
The California Air Resources Board (CARB) has announced the opening of this year’s Innovative Small E-Fleet (ISEF) voucher incentive funding lane set-aside. Part of the state’s Clean Truck and Bus Voucher Incentive program (HVIP), the funding lane has an allocation of $14 million and will open on Monday, June 3rd at 1pm. This allocation will be added to the existing funding, which is currently at $21 million, totaling $35 million available to small fleets seeking innovative options.
ISEF was designed in response to small fleets' desire for more flexibility in ZEV options, their need to try new technology on a short-term basis, and their unique financing challenges. The success of last year’s ISEF funding led CARB to allocate additional money to help more small fleet owners/operators this year. Fleets of 20 or fewer vehicles that are either California based companies, nonprofits, or public agencies are eligible for double HVIP voucher incentives, disadvantaged and low-income enhancements, and drayage fleet plus-ups. Fleets must work with an approved provider to apply for vouchers; these providers will work with eligible dealers to request vouchers on the individual fleet’s behalf.
Interested fleets, dealers, and providers will have an opportunity to learn more about ISEF and recent policy updates on a CALSTART hosted webinar Thursday May 16th at 10am. An updated ISEF Appendix is now available.
Last year ISEF funded more than 60 small fleets using a variety of solutions to make the transition to zero-emissions. Over 200 vehicles were requested by 28 different providers offering tangible and approachable solutions to small fleets. Fleets that are facing challenges with charging infrastructure installations should reach out to Steve Sokolsky [email protected] to learn about our Mobile Charging pilot as an interim solution.
ISEF is unique in its allocation of funds for small fleets and is solely dedicated to innovative offerings including rentals, short-term leases, as-a-service models, vehicle sharing platforms and other solutions. The project widens the opportunities and provides greater access to incentives for these traditionally underserved groups (which include minority-owned and women-owned small fleets, among others), giving them the flexibility and support they need to adopt this new technology. ISEF also provides CARB the opportunity to gather data to allow it to better understand the specific needs of small fleets and more effectively support them. Fleets wishing to directly purchase vehicles must use Standard HVIP to do so, and will receive the small fleet double voucher enhancement.
Providing resources to these small California fleets to enable them to make the transition to zero-emission vehicles is critical to the goal of reducing greenhouse gas emissions and atmospheric pollutants.
For more information contact: [email protected].
Port Drayage Incentives Available Now & Reminder for CARB Funding Plan 11/16
November 14, 2023
CARB to Address FY 2023-24 Funding Plan for Clean Transportation Incentives Nov. 16
The California Air Resources Board (CARB) will hold a public meeting at
9 a.m. on Thursday, November 16, 2023 to consider approval of the Fiscal Year (FY) 2023-24 Funding Plan for Clean Transportation Incentives.
The Plan establishes CARB’s priorities, policies, and implementation details for a suite of projects, including the Clean Truck and Bus Voucher Incentive Project (HVIP).
The Plan includes an allocation of over $400 million for school buses, small truck fleets, and drayage trucks to be administered by HVIP. Over $500 million is available now for new voucher requests across all vehicle types and fleets, updated daily at www.CaliforniaHVIP.org/Funding.
Drayage Truck Funding from
Ports of Los Angeles and Long Beach to Stack with HVIP Now Available
Starting November 14, 2023, $60 million provided by the Ports of Los Angeles and Long Beach is now available for voucher requests for zero-emission Class 8 tractors performing drayage operations through HVIP.
Voucher enhancements funded by the Ports are $100,000 per truck for fleets size 10 and smaller and $75,000 for fleets larger than 10, additional to the HVIP drayage voucher amount of $150,000 per truck and any other applicable HVIP voucher enhancements listed on californiahvip.org/funding. Purchaser qualifications are as defined in the HVIP Implementation Manual.
Important note: In order to align with near-term policy changes anticipated from the CARB Funding Plan that would alter fleet size eligibility and voucher amounts, requests for port funding submitted on 11/14, 11,15, or 11/16 by fleets size 20 and smaller will retain their place in line and advance to the status of Accepted Pending Signed Forms in the Online Voucher Processing Center after 11/17. Additional information will be provided to affected dealers and purchasers.
Please note: The remaining Drayage Truck Funding from the Ports of Los Angeles and Long Beach is reserved for new voucher request submissions. After extensive outreach, the window to plus up existing vouchers in queue that have not yet been delivered closed on March 1, 2024. However, if you believe that your voucher was missed, please reach out to [email protected].
For questions, please reach out to [email protected].
HVIP Public School Bus Set-Aside & EnergIIZE - Joint Application Remains Open!
October 2, 2023
The HVIP Public School Bus Set-Aside & Energy Infrastructure Incentive for Zero-Emission Commercial Vehicles Project (EnergIIZE) Joint Application remains open on a first-come, first-served basis with limited funding available. Don't wait, apply today!
The priority application window opened June 20, 2023, at 10:00am (PT) and closed September 29, 2023, at 5pm (PT). The priority application window prioritized funding to applicants in small air districts and applicants located in a Disadvantaged Community or a Low-Income Community. Now all applications will be reviewed for funding in the order they are received.
All eligible applications received prior to September 29, 2023, at 5pm (PT) will receive a conditional funding award after eligibility criteria are verified.
Compared to Standard HVIP, the Public School Bus Set-Aside offers higher voucher amounts, prioritizes fleet owners in rural and underserved communities, and requires the scrappage of an old school bus. The joint application with EnergIIZE can also provide funding for the installation of charging infrastructure to help power your new zero-emission school buses.
Funds are limited so apply today!
How to Apply
The application link can be found at californiahvip.org/purchasers/#SchoolBus, on Card #1 titled, “FY22-23 HVIP Public School Bus Set-Aside & EnergIIZE – Joint Application.”
Eligible applicants interested in applying should be prepared to provide the following at time of application:
1. A Letter of Intent. A template can be found here: Letter of Intent Template
2. A copy of the DMV registration for each old school bus included on the application
3. Preliminary information regarding existing and planned charging infrastructure
Purchaser Workshop
The Electric School Bus Network California Forum (formerly known as the California Electric School Bus Working Group) hosted a Purchaser Workshop for eligible applicants interested in learning more about how to apply for funding. The Purchaser Workshop covered the available and upcoming funding opportunities for electric school buses and associated infrastructure, including the HVIP Public School Bus Set-Aside and EnergIIZE.
FY22-23 Purchaser Eligibility
Eligible applicants include Public School Districts, Public Charter Schools, Joint Power Authorities, County Offices of Education, and the Division of State Special Schools located in small and medium air districts. All applicants must serve students within the K-12th grade levels.
Participation in the Public School Bus Set-Aside funding requires the scrappage of an old school bus for each new school bus that is awarded. The old school bus requirements are as follows: the chassis must be a 2010 model or older, applicant owned, CHP certified, and have a gross vehicle weight rating greater than 14,000 pounds. The old school bus can be any internal combustion engine using any fuel type.
FY 22-23 HVIP Implementation Manual, Appendix G – Public School Bus Set-Aside
The program requirements are detailed in the FY 22-23 HVIP Implementation Manual - Appendix G, which is located at https://californiahvip.org/purchasers/#SchoolBus. The policies and requirements in the HVIP Implementation Manual apply to the Public School Bus Set-Aside. In instances where the policies and requirements differ, those outlined in Appendix G take precedence for the Public School Bus Set-Aside.
Please reach out to [email protected] with questions or to subscribe to Public School Bus Set-Aside updates. We’re here to help.
HVIP FY22-23 Implementation Manual Now Available
September 5, 2023
The HVIP FY22-23 Implementation Manual (IM) is now available. The IM further explains policy changes that have gone into effect throughout FY22-23, per previously released FAQs, policy updates, and Dealer Training materials.
New updates to FAQs, from the FY22-23 IM:
- Fleet size: Starting January 1, 2024, consistent with the Advanced Clean Fleet Regulation (ACF), HVIP’s fleet size definition for new voucher requests placed on or after January 1, 2024 will include ALL vehicles owned directly or under common ownership, including those domiciled or operated outside of California.
- Regulatory context: HVIP does not prohibit vehicles receiving incentives from being used for future ACF compliance purposes. In other words, an HVIP-funded vehicle purchased prior to or in excess of regulatory requirements can be used to count toward future requirements where applicable.
- Updated information regarding: funds stacking; manufacturer transfer; demo vehicles; Vehicle to Grid requirements for school buses; and how redemption is addressed if infrastructure readiness is causing a delay in the purchaser accepting the vehicle.
Development of the California Air Resources Board’s (CARB) FY23-24 Funding Plan for Clean Transportation Incentives, which includes HVIP, is now underway, and more information will be published at www.CaliforniaHVIP.org when available later this year.
For questions, please reach out to [email protected].
HVIP FAQs and FY22-23 Updates
FAQs are now available to guide participants through the previously-announced FY22-23 HVIP policy changes. See californiahvip.org/about. These FAQs help guide participants through important policies and requirements, in advance of the publication of the FY22-23 Implementation Manual.
Fleet Size Adjustments and Bulk Purchase Requirement
Starting in early April, dealers who have requested vouchers for private fleets with more than 500 vehicles above 8,500 lbs (under common ownership or control and domiciled in California) since January 1, 2023 will be contacted by the HVIP Voucher Processing Center Team about their bulk purchase requirement.
Also starting in early April, fleet size adjustments of -20% from the base voucher amount for private fleets with 101-500 vehicles above 8,500 lbs (under common ownership or control and domiciled in California), and -50% for those with more than 500, will be reflected in the online Voucher Processing Center.
These policy changes have been in effect since January 1, 2023 but will be visible in the online Voucher Processing Center, including on the Request Form, starting in early April.
Expanded DAC Definition
Effective for vouchers requested starting April 3, 2023, HVIP defines Disadvantaged Community (DAC) eligibility as a vehicle domicile address in any of the following areas of the map at https://go.californiahvip.com/e/837083/PriorityPopulations/98ttx/814473642?h=kDlebvMbOPVx7KH1aaFeGzdKRLwBLiVMIOQG6eIuVSQ.
- Disadvantaged Communities (orange area on map legend)
- Disadvantaged and Low-Income Communities (pink area on map legend)
- Low Income Communities within ½ mile of a Disadvantaged Community (yellow area on map legend) and
- Low Income Households within ½ mile of a Disadvantaged Community (green striped area on map legend)
Transit Procurement
- Effective April 3, 2023, a Letter of Intent (LOI) is permitted for transit agencies in lieu of a purchase order at the point of voucher request submission. The date of signature on the LOI may be no earlier than January 1, 2023. A purchase order (or other binding agreement) will be required within 6 months of submission, otherwise the voucher requests will be cancelled. A sample LOI is available at californiahvip.org/TransitBus.
- The redemption requirement is extended from 18 months to 36 months for transit vouchers. The 36-month lifetime of a voucher will retroactively affect transit vouchers submitted prior to April 3, 2023.
- For non-transit requests, binding purchase orders are required, dated no older than March 30, 2022.
FY 22-23 Funding Allocation
CARB’s FY22-23 Funding Plan for Clean Transportation Incentives includes the previously-announced policy changes and an allocation of over $1.7 billion to be administered by HVIP.
- HVIP Standard: $265 million
- Zero-Emission Public Transit Buses: $70 million
- Zero-Emission Public School Buses (through the existing Public School Bus Set Aside): $117 million
- Zero-Emission Drayage Trucks: $157 million
- Innovative Small E-Fleets (ISEF): $35 million
- Local Education Agency School Bus Replacement Grants: $1.125 billion, to be awarded in $225 million increments between FY23-24 and FY27-28.
These funds add to the funding that still remains at californiahvip.org/funding. Incentives remain AVAILABLE NOW for all vehicle types.
Dealer Training
Mandatory Dealer Training for new and returning dealers is underway. For more information, see californiahvip.org/sellers.
Coming Up Next
Make sure you are signed up at californiahvip.org/contact so you don’t miss upcoming information about the HVIP Implementation Manual, as well as timelines for set-aside funds for Innovative Small E-Fleets, Local Educational Agency School Bus Replacement Grants, and the Public School Bus Set-Aside. Visit CARB’s Low Carbon Transportation Program for upcoming public engagement opportunities.
Updated March 22, 2023
HVIP FY21-22 Policy Changes (11/22/2021)
HVIP FY21-22 Policy Changes
November 22, 2021
The California Air Resources Board (CARB) approved the Fiscal Year (FY) 2021-22 Funding Plan for Clean Transportation Incentives on November 19. The Plan allocates $569.5 million from the FY2021-22 Low Carbon Transportation Investments and General Fund to HVIP and outlines historic investments in other clean-transportation technologies as well.
Current HVIP status:
HVIP opened and closed to new voucher requests on October 28 when funds for the third and final wave of 2021 funding were fully requested within 9 minutes. More information about 2022 funding will be announced when available from CARB. A waitlist remains open for class 8 tractors performing drayage operations.
Changes to HVIP policy for 2022 include:
• Public Transit Bus Set-Aside: $70 million for zero-emission transit bus incentives. When the set-aside funds are fully requested, HVIP will continue to allow standard HVIP voucher requests for all public transit bus fleets pending funding availability.
• Public School Bus Set-Aside: The Rural School Bus Pilot Project will now be administered as a set-aside within HVIP, funded at $130 million in 2022. This set-aside funding is for California public school bus fleets purchasing zero-emission school buses and is anticipated to cover most of the cost of the school bus. Some Rural School Bus Pilot Project requirements will migrate to the HVIP set-aside funding, including prioritization of rural areas and scrappage of an older school bus. Public school bus vouchers are not subject to fleet size caps. HVIP will continue to allow standard HVIP voucher requests for any school buses not eligible for the set-aside, and for all zero-emission school buses if set-aside funding is exhausted, subject to funding availability.
• Drayage Truck Set-Aside: $75 million for zero-emission drayage truck incentives (class 8 tractors performing drayage operations). The $150,000 base voucher amount for drayage truck early adopters extends through December 31, 2022.
• Innovative Small e-Fleets: Innovative Small e-Fleets set-aside to HVIP provides $25 million of pilot funding for incentives for small trucking fleets and independent owner operators. Adding Innovative Small e-Fleets to HVIP allows CARB to implement new and innovative mechanisms including, but not limited to flexible leases, peer to peer truck sharing, truck as a service, assistance with infrastructure, individual owner planning assistance, as well as other mechanisms.
• Improvements to Disadvantaged Community (DAC) Voucher Enhancements: The standard DAC voucher enhancement of 10% increases to 15% for vehicles domiciled in a disadvantaged community that are purchased or leased by any public or private small fleet with 10 or fewer trucks or buses, and less than $50 million in annual revenue for private fleets. The increased voucher enhancement is also available for any purchase or lease by a California Native American tribal government.
• Funding Shortfall Provisions: To ensure that small fleets have an opportunity for funding, HVIP will reserve a minimum of $25 million of traditional HVIP funds (exclusive of set-asides) for fleets of 10 or fewer trucks and buses until the third quarter of 2022. After October 1, 2022, any remaining funding from the $25 million reserve would be available to fleets of any size.
• Voucher Request Caps: The existing voucher request cap is 30 vouchers per calendar year per fleet, and 50 vouchers per year for drayage fleets. Starting in 2022, any redeemed vouchers that were requested in the same year (representing delivered vehicles) will be exempt from the voucher cap.
• The Plan also outlines additional changes to go into effort in 2023.
These changes and other topics to be included in the FY 2021-22 Implementation Manual will be discussed in more detail in a public work group meeting in early 2022. More information will be provided through the HVIP email list when available.
Please send any questions to [email protected].
Posted 11/22/2021
HVIP's First Wave of Funding Fully Subscribed
HVIP Voucher Summary with Key Dates and Information
June 8, 2021, Updated June 30, 2021
The Hybrid and Zero-Emission Truck and Bus Voucher Incentive Project (HVIP) opened to new voucher requests on June 8 with $84 million available, half of the total funds for this year (wave 1). The entire $84 million available was requested within 3 hours of opening, representing more than 800 vehicle vouchers.
Additional funds (wave 2), will be available on a first-come, first-served basis starting at 10 a.m. Pacific on Tuesday, August 10. A purchase order or other sales agreement that was eligible at the time of the initial opening will remain eligible throughout the program year and the pause does not affect this eligibility.
It is important to emphasize that Class 8 trucks performing drayage operations as well as any vehicles purchased by a public government entity are exempt from the pause and dealers can continue to request these vouchers.
Contingency List
The Voucher Processing Center’s evaluation of voucher requests submitted this month is ongoing, including ensuring consistency with the rules of the HVIP Implementation Manual. Also, the California Air Resources Board is evaluating requests by some manufacturers to exceed the limit of 100 cumulative unredeemed vouchers. More information is in the FAQs at californiahvip.org/about.
After the evaluation of vouchers submitted earlier this month is complete and $84 million in vouchers have been funded, remaining voucher requests for non-drayage private-entity purchasers submitted after initial funding was completely requested on June 8 will remain on a contingency list until July 30, at which point any unfunded requests for non-drayage private-entity purchasers will be deleted. The contingency list will be used to fill in for any canceled vouchers. Requests for public-entity purchasers and drayage are not affected. For questions about the status of specific voucher requests, please contact the Voucher Processing Center at [email protected]. Dealers should expect voucher-specific outreach from the Voucher Processing Center during review.
Approved Dealers
During the pause period, dealers requesting vouchers for public-entity purchasers and drayage can continue to create vouchers in the online Voucher Processing Center. Complete steps 1 through 4 and email [email protected] to create a Purchase Order line in documents section. Do not use the “Mark Status as Complete” button. When the request is ready to submit, Dealers requesting these vouchers must send an email to [email protected] with the Voucher Request Name, and the VPC team will submit it on their behalf.
When wave 2 opens on Aug. 10, all dealers will resume using the same VPC instructions followed on June 8.
Any draft vouchers in a dealer’s online Voucher Processing Center account for non-drayage purchases by private entities will be deleted on August 6. Dealers are welcome to create drafts to practice the process, however, no drafts will remain in the queue for vouchers when requests re-open on Aug. 10.
Dealer Training
Dealers who were not able to be approved before wave 1 will be contacted starting July 8, in the order that they expressed interest. If you would like to become an approved dealer and have not expressed interest, contact the Dealer trainer before July 16, and you will be trained in time to participate in wave 2. Dealers who have remaining questions should contact [email protected] to ensure their seamless participation.
Please contact [email protected] with any questions.