HVIP FY23-24 Implementation Manual Now Available
Manual Includes New Provision for Demonstration Vehicles
Oct. 31, 2024
The Implementation Manual for the Clean Truck and Bus Voucher Incentive Project (HVIP) for Fiscal Year (FY) 2023-24 is now available. The Implementation Manual further explains policy changes that have gone into effect throughout FY23-24, per project FAQs and dealer training materials.
New updates to the manual include:
- Funds Stacking: The manual includes more information about how state, federal, and local discretionary funding sources can be combined with HVIP. This includes details for fleets that are utilizing both HVIP and the Volkswagen Environmental Mitigation Trust for California (VW).
HVIP has specific requirements for combining or “stacking” funds with other public funding sources. HVIP funds can be stacked with VW for fleets of any size for eligible vehicles in VW’s “Zero-Emission Transit, School, and Shuttle Bus” and “Zero-Emission Class 8 Freight and Drayage Trucks” categories as described here.
This is an update that clarifies guidance regarding stacking based on fleet size. If necessary, the HVIP voucher processing team will adjust existing unredeemed vouchers to ensure VW stacking is reflected correctly and will reach out to affected dealers and purchasers directly about voucher status.
The manual also re-emphasizes the longstanding policy that HVIP will only fund up to 90% of the cost of the vehicle for private entities or 100% for public entities, exclusive of taxes and fees. HVIP funds will be applied after the total funding from other source(s) have been applied to the base vehicle cost (excluding taxes and fees).
- Demo Provision: Upon case-by-case approval by the California Air Resources Board (CARB), a California-based HVIP manufacturer or dealer may request up to 10 vouchers per year for their own use, including for short-term customer rentals and demonstrations. Instructions for how to participate in this new “demo vehicle” provision are now available in Appendix “I” of the Implementation Manual. Participating fleets must have operations in California, based on domicile address, but vehicle participation in out-of-state trade shows may be permitted. Current or past HVIP purchasers are prohibited from receiving “demo vehicles.”
- Proof of Business Operations: Effective November 1, 2024, private-entity purchasers must send a copy of the cover page of their most recent State of California or IRS Tax Return, or an IRS transcript showing proof of filing, within 30 days of a new voucher request to [email protected]. This is in addition to the existing requirement to have a valid registration with the Secretary of State.
- Domicile Agreement Length: A rental / lease agreement of a minimum length of three years must be provided for voucher requests utilizing a domicile address that is not owned by the fleet. For fleets size 20 and smaller, an agreement of less than three years may be considered at CARB’s sole discretion. An updated agreement(s) for the remaining years of the HVIP term length will need to be provided subsequently. Requests to use rental / lease agreements shorter than three years can be submitted for CARB’s review to [email protected].
For information about existing HVIP policies and the new Implementation Manual, email [email protected].
Looking ahead: CARB will conduct a public meeting Thursday, November 21 at 9 a.m., to consider adoption of the FY24-25 Funding Plan for Clean Transportation Incentives, which includes proposed HVIP policy changes. CARB will accept public comment in advance of the meeting.
Policy Clarification: Small Fleet Voucher Amounts for School Buses
February 6, 2024
The base voucher amount is doubled for small public and private fleets submitting new HVIP voucher requests on or after 11/17/23 in Standard HVIP, the Drayage Truck Set-Aside, or the Public Transit Set-Aside, for any HVIP-eligible vehicles. However, a clarification is necessary to emphasize that effective 2/1/24, the doubling of the base voucher amount is not able to be combined with the +65% voucher enhancement for School Buses. This means that while small school bus fleets will receive the double base voucher amount, they will not also receive the additional +65%. This clarification is not retroactive, and does not affect any vouchers requested before 2/1/24. This also does not affect the Public School Bus Set Aside. Voucher amounts for the Public School Bus Set Aside are outlined in Appendix G of the FY 22-23 Implementation Manual and remain unchanged.
HVIP FY23-24 Funding and Policy Reminders
December 15, 2023
HVIP's Public School Bus Set-Aside Closed Now
The HVIP Public School Bus Set-Aside & EnergIIZE – Joint Application closed on December 15, 2023, at 5:00 pm Pacific Time. The Joint Application offered funding for zero-emission school buses, including funding for the installation of charging infrastructure to help power your new zero-emission school buses.
Please reach out to [email protected] with questions.
New HVIP Fleet Size Definition Effective January 1
As part of policy changes adopted for the Clean Truck and Bus Voucher Incentive Project (HVIP) by the California Air Resources Board (CARB) in November, HVIP’s definition of “fleet size” will be changing for all voucher requests placed on or after 1/1/24, in Standard HVIP and all Set-Asides except for the Public School Bus Set-Aside.
Consistent with the Advanced Clean Fleet regulation, HVIP’s new fleet size definition is inclusive of the fleet’s vehicles domiciled anywhere globally that are over 8,500 lbs GVWR, including all such vehicles under common ownership or control, as defined in HVIP's Implementation Manual.
Fleet size is inclusive of vehicles registered with the California Department of Motor Vehicles (DMV) as non-operational, but excluding off-road vehicles, unregistered vehicles, and those registered with the DMV as non-revivable junk or dismantled.
Fleet size is inclusive of existing unredeemed HVIP vouchers, but DOES NOT count the current voucher request; therefore, if a voucher(s) represents the fleet’s first ZEV purchase, a fleet size of “0” should be entered. Before voucher redemption, additional verification of fleet size may be required at CARB’s sole discretion, including site visits.
The criteria used to determine eligible fleet size follows the definition in the FY22-23 Implementation Manual until 1/1/24.
Important reminders:
- Updates to the online Voucher Processing Center are underway to reflect the doubled base voucher amounts for small fleets, and adjustments to DAC eligibility, announced in November. Voucher-specific updates will be provided to dealers and purchasers in the coming weeks.
- For Standard HVIP and all Set-Asides except for the Public School Bus Set-Aside and ISEF, HVIP can cover up to 90% of the cost of each vehicle for private entities, and up to 100% for public entities, exclusive of taxes, fees, and other non-vehicle costs. See details about the Public School Bus Set Aside and ISEF at www.californiahvip.org/purchasers.
- Information about how the Advanced Clean Fleet regulation (ACF) interacts with HVIP is addressed in the FAQs at www.californiahvip.org/about.
- PO age: Starting 1/1/24, Purchase Orders or other binding sales agreements for private-entity purchasers can be dated no earlier than 90 calendar days before the date the voucher request is submitted. For public-entity purchasers, POs or other binding sales agreements can be no older than March 30, 2023. Letters of Intent, permitted for transit purchasers only, can be no older than 1/1/24.
- Other policy updates announced in November are summarized here. The FY23-24 Implementation Manual is anticipated to be released in spring 2024 with more information about these changes, with mandatory Dealer Training to be announced in advance.
For more information, please contact [email protected] and see the FAQs at www.californiahvip.org/about.
CARB to Consider Approval of FY 2023-24 Funding Plan for Clean Transportation Incentives Nov. 16
October 26, 2023
Public comment for the Plan, which includes a proposed $400 million allocation for HVIP, ends Nov. 6.
The California Air Resources Board (CARB) will hold a public meeting at 9 a.m. 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 vehicles types and fleets, updated daily at www.CaliforniaHVIP.org/Funding.
The meeting will be held at the California Environmental Protection Agency, CARB, Byron Sher Auditorium, 1001 “I” Street, Sacramento CA 95814 with a Zoom option available.
Please refer to the CARB Bulletin for details about the forthcoming agenda, Zoom registration, and how to submit public comment orally or in writing. Written comments are due Nov. 6.
HVIP ZEPCert Requirement and Other Updates
HVIP ZEPCert Requirement
All vehicles eligible for HVIP are required to be certified at the vehicle level. Zero-Emission Powertrain Certification (ZEPCert) will be an additional requirement for all new HVIP vehicle eligible applications submitted to CARB on or after January 1, 2023, for all applicable zero-emission powertrains and the trucks and buses they are installed in. This requirement also applies to model year updates. ZEPCert is not required for Class 2b and Class 3 vehicles for HVIP eligibility.
Manufacturers are encouraged to start the process of obtaining this certification in advance of the deadline. ZEPCert is a newer certification pathway administered by CARB for zero-emission powertrains and heavy-duty vehicles that helps support end-user fleets and ensures information regarding such vehicles and their powertrains are effectively and consistently communicated to purchasers and accelerates progress towards greater vehicle repairability. More information about this certification is available at https://ww2.arb.ca.gov/our-work/programs/zero-emission-powertrain-certification.
Information on how to add a vehicle to our eligible catalog can be found at californiahvip.org/sellers.
Please direct ZEPCert questions to CARB directly: https://ww2.arb.ca.gov/our-work/programs/zero-emission-powertrain-certification.
Vehicle Eligibility Readiness
As a reminder, vehicle eligibility applications are being accepted on an ongoing basis. More information is in the Manufacturer Resources section at californiahvip.org/sellers (see vehicle application forms and instructions).
The timeline from when a complete and accurate eligibility application is received by the California Air Resources Board (CARB) to when the vehicle is available in the HVIP Eligible Vehicles Catalog and Voucher Processing Center (VPC) is an average of 75 days. This includes 60 days for CARB’s review and 15 days for HVIP staff to update the Catalog and VPC.
Please send any questions to [email protected].
Updated November 19, 2022.
HVIP ZEPCert Requirement and Other Updates
All vehicles eligible for HVIP are required to be certified at the vehicle level. Zero-Emission Powertrain Certification (ZEPCert) will be an additional requirement for all new HVIP vehicle eligible applications submitted to CARB on or after January 1, 2023, for all applicable zero-emission powertrains and the trucks and buses they are installed in.
Manufacturers are encouraged to start the process of obtaining this certification in advance of the deadline. ZEPCert is a newer certification pathway administered by CARB for zero-emission powertrains and heavy-duty vehicles that helps support end-user fleets and ensures information regarding such vehicles and their powertrains are effectively and consistently communicated to purchasers and accelerates progress towards greater vehicle repairability. More information about this certification is available at https://ww2.arb.ca.gov/our-work/programs/zero-emission-powertrain-certification.
Information on how to add a vehicle to our eligible catalog can be found at californiahvip.org/sellers.
2022 Vehicle Eligibility Readiness
As a reminder, vehicle eligibility applications are being accepted on an ongoing basis. More information is in the Manufacturer Resources section at californiahvip.org/sellers (see vehicle application forms and instructions).
The timeline from when a complete and accurate eligibility application is received by the California Air Resources Board (CARB) to when the vehicle is available in the HVIP Eligible Vehicles Catalog and Voucher Processing Center (VPC) is an average of 75 days. This includes 60 days for CARB’s review and 15 days for HVIP staff to update the Catalog and VPC.
Please send any questions to [email protected].
HVIP Map and Data
Curious about where HVIP investments have been made around the state? Data on new request and redeemed vouchers is published monthly at californiahvip.org/impact in an interactive map and downloadable data file! Stay tuned for more updates soon.
Zero-Emission Truck Showcase + Ride and Drive
CARB and CALSTART hosted their first Zero-Emission Truck Showcase + Ride and Drive on June 8, 2022 at the Auto Club Speedway in Fontana. Attendees were able to test drive HVIP-eligible vehicles, participate in training sessions, and get their HVIP and EnergIIZE questions answered. To learn more, visit www.zeroemissiontrucks.org.
Published May 24, 2022.