Public Workshop on the FY2023-24 Funding Plan for Clean Transportation Incentives (8/31/2023)

The California Air Resources Board (CARB or Board) invites you to participate in the second public workshop on the Fiscal Year (FY) 2023-24 Funding Plan for Clean Transportation Incentives. The Draft FY 2023-24 Funding Plan will describe CARB’s proposed investments from the Zero-Emission Vehicle (ZEV) funding package for Low Carbon Transportation Investments, as well as Air Quality Improvement Program (AQIP) funds. At this workshop, CARB staff will present information on the program level appropriations included in the State budget. The Budget Act of 2023 and associated trailer bills maintain $10.1 billion over six years (FY 2021-22 through FY 2026-27) across multiple agencies to decarbonize and accelerate ZEV transportation and focus on communities most impacted by air pollution. A total of $623.64 million has been allocated to the FY 2023-24 Funding Plan for Clean Transportation Incentives.

The work group meeting will be held via a Zoom webinar on the following date and time:

Date: Thursday, August 31, 2023
Time: 10:00 a.m. to 3:00 p.m. (PT)
Location: Webinar/Teleconference

Please register for the Clean Transportation Incentives Funding Plan Workshop Webinar. After you register, you will receive a confirmation email with information about how to join the webinar by computer or telephone.

This meeting will be recorded. Approximately two weeks after the meeting date, a link to the recording and a list of workshop attendees will be made available and posted on the Low Carbon Transportation Investments and AQIP Meetings and Workshops webpage.

Staff will continue to hold regular virtual Evening Community Meetings on the third Tuesday of each month between June and October 2023 to discuss Funding Plan development. Information on these and all other upcoming meetings can be found on the Low Carbon Transportation Investments and AQIP Meetings and Workshops webpage.

Purpose of the Workshop

This is the second public workshop in a series of workshops and work group meetings on development of the FY 2023-24 Funding Plan for Clean Transportation Incentives. Staff will discuss and seek input on the options for expending CARB’s portion of the ZEV package in the FY 2023-24 State Budget, which includes a total of $140 million for clean transportation equity programs established under Senate Bill (SB) 1275, $80 million proposed for zero-emission drayage trucks, and $28.64 million for AQIP from the Air Quality Improvement Fund. Additionally, $375 million in Prop 98 school bus funding is allocated to fund zero-emission school buses, bringing the total FY 2023-24 Funding Plan allocations to $623.64 million. Staff will present and request input on potential refinements and policy recommendations for ongoing projects.

The workshop agenda is now available, and a presentation will be available in advance of the meeting. In addition, the Draft FY 2023-24 Funding Plan for Clean Transportation Incentives outlining staffs’ initial proposals on project categories, funding allocations, and project criteria for this funding will be posted a one week prior to the workshop on CARB’s Low Carbon Transportation/AQIP website.

All interested parties are invited to attend. More information can be found on the Low Carbon Transportation Investments and AQIP Funding Plans page.

Background

Annual Funding Plan for Clean Transportation Incentives: The annual funding plan is each FY’s blueprint for spending Low Carbon Transportation, AQIP, and related funds appropriated to CARB in the State budget. The plan describes CARB’s policy drivers and vision for advanced technology mobile source investments, eligible project categories and criteria, project funding allocations, program implementation details, and the justification for these investments.

ZEV Package for Low Carbon Transportation Funding: The Low Carbon Transportation program is part of the California Climate Investments, a statewide program that puts billions of Cap-and-Trade dollars to work to reduce greenhouse gas emissions, strengthen the economy and create jobs, and improve public health and the environment, particularly in overburdened communities. These investments accelerate the transition to low carbon freight and passenger transportation prioritizing health and economic benefits to California’s communities that are most in need. To date, over 58 percent of CARB’s Low Carbon Transportation funding has benefitted low-income and disadvantaged communities, including low-income households.

The California Legislature has appropriated over $6.2 billion to CARB for Low Carbon Transportation projects to reduce greenhouse gas emissions over the past nine budget cycles. Historically, the funds have come from Cap-and-Trade Auction proceeds. More recently, the funds were augmented with money from the General Fund as well as environmental enforcement settlements. This is the third year of a five-year $8.9 billion multi-agency accelerated ZEV funding package, that was agreed to by the Governor and the Legislature, to equitably develop the ZEV market, both in the light- and heavy-duty transportation sectors. CARB is implementing the ZEV package funding in close coordination with the California Energy Commission, California State Transportation Agency, and the Governor’s Office of Business and Economic Development. The State Budget for FY 2023-24 includes $248.64 million allocated to CARB for the Low Carbon Transportation Program from the ZEV package.

Air Quality Improvement Program: AQIP is a voluntary, mobile source incentive program that focuses on reducing criteria pollutant and diesel particulate emissions with concurrent reductions in greenhouse gas emissions. The proposed FY 2023-24 budget includes $28.64 million for AQIP. AQIP has provided funding for the Truck Loan Assistance Program since 2009, as well as the Clean Vehicle Rebate Project, clean truck and bus vouchers, and advanced technology demonstration projects.

Contact

If you have questions about the work group meeting, please contact either Dianne Sanchez, Funding Plan Outreach Lead, or Stephanie Parent, Funding Plan Strategy Lead.

If you require a special accommodation or need this document in an alternate format (i.e., Braille, large print) or another language, please email Clean Transportation Incentives, as soon as possible. TTY/TDD/Speech to Speech users may dial 711 for the California Relay Service.