7 Questions to Consider When Applying for EPA’s 2023 Clean School Bus Grant Program

It’s been six weeks since the EPA’s 2023 Clean School Bus Grant Program application opened. A number of school districts and third parties across the U.S. are eager to participate in this funding opportunity, but many are faced with challenges, as this year’s program requires a much more deliberate approach than EPA’s 2022 rebate program. By working closely with various districts to complete their applications, we’ve encountered plenty of questions. In this blog post, we answer seven of the most common questions regarding this year’s grant application. 

Q1: With two different sub-programs, how many buses can a district apply for under each program?

A: If the district is applying under the District Sub-Program, they can replace between 15-50 school buses. If the district is included in a Third-Party Sub-Program application, the overall application will be for the replacement of 25-100 school buses, with any individual district receiving between 1 and 97 school buses.

Q2: In the 2022 rebate program, “eligible contractors” were mainly original equipment manufacturers (OEMs) and dealers. How is this round of funding different?

A: In the 2023 Clean School Bus Grant Program, the definition of “eligible contractor” has expanded to include additional types of companies, including electrification-as-a-service providers. Companies like Highland can now apply directly on behalf of school districts.

Q3: My school outsources pupil transportation, so we don’t have a bus to turn in or replace. Can we still apply for the school bus grant?

A: Yes – old and new buses do not need to be owned by the same entity. School districts can acquire eligible school buses for scrappage, and Highland has helped 2022 rebate awardees through this process. In addition, in the 2023 grant program, EPA is allowing districts in certain situations to request a waiver from the scrappage requirement if its current transportation contractor is uninterested in electrification. 

Q4: Is cost share required as part of the application?

A: There is no cost share requirement, but 15 out of the 120 possible application points are available for “leveraging external funds,” which can come from avenues like “public-private partnerships, grants from other entities, or district contributions.”

Q5: Is funding available for the repowering of existing diesel buses?

A: No. The 2023 grant program funding is not available for repowering (i.e., converting) existing diesel buses in a school district’s fleet.

Q6: If submitting an application in the District Sub-Program, can districts use third-party support like in the 2022 rebate program? Or is third-party support solely available for the Third-Party Sub-Program?

A: Third parties can only apply under the Third-Party Sub-Program. However, they can also support District Sub-Program applications and project implementations, as was the case in the 2022 rebate program.

Q3: The deadline for the application isn’t until August 22nd. Why should school districts and third parties be thinking about this now?

A: Unlike the 2022 rebate lottery approach, the 2023 grant application is highly competitive and complex; it requires significant strategic planning, detail, and evaluation. School districts that are committed to submitting a well-rounded and compelling application should begin gathering the necessary materials and reaching out to potential partners that can help strengthen their overall submission. 

Grant applications can be time-consuming and complex without the right expertise and support. In 2022, Highland worked with various school districts and successfully helped many of them secure funding to electrify their school bus fleets. For us, the 2023 application is no different – we want to help you. If you work for a school district and have questions or would like to partner with us on an application, we are happy to offer you complimentary assistance. Please reach out to us via email at epa@highlandfleets.com.