Second Installment of Zero Emission School Bus Funding Available in N.Y

August 13, 2024

A row of five new electric Thomas Built Buses sit in their permanent parking spots at Bethlehem Central School District near Albany, New York, which received the vehicles on July 21, 2022 for the new school year. — A row of five new electric Thomas Built Buses sit in their permanent parking spots at Bethlehem Central School District near Albany, New York, which received the vehicles on July 21, 2022.

Another $200 million will soon be headed to school districts that must meet a state mandate to purchase electric school buses starting in 2027.

New York Gov. Kathy Hochul announced the second round of $500 million available to school districts and bus contractors on Monday. The first round of $100 million was announced last October. The New York School Bus Incentive Program (NYSBIP) distributes the funds, which are part of the $4.2 billion Clean Water, Clean Air and Clean Jobs Environmental Bond Act approved by voters two years ago. NYSBIP provides support for the purchase of electric buses, charging infrastructure or fleet electrification planning as public schools transition to zero-emission technologies.

Administered by the New York State Energy Research and Development Authority (NYSERDA), NYSBIP provides incentives to eligible school districts and bus fleet operators purchasing electric buses. The funding is available on a first-come, first-served basis with funding covering up to 100 percent of the incremental cost of a new or repowered school bus. Also available are vouchers that can help offset the cost of installing Level 2 or DC fast chargers. All New York school districts also qualify for funding for fleet electrification plans.

“Paving the way for zero-emission school buses not only cleans our air, it protects the health and wellbeing of our students,” Gov. Hochul said in a statement. “With increased funding for schools to transition to clean transportation options, we are reducing harmful emissions and pollution, helping to ensure that both students and residents are breathing clean, fresh air and enjoying healthier environments to live, work and do business.”

All new school buses purchased statewide as of Jan. 1, 2027, must be zero emissions. All school district and contractor fleets must also be 100 percent zero emissions by 2035. The NYSBIP defines zero emissions as electric or hydrogen fuel cell school buses, though only the former are currently available.

Priority districts identified as high-need school districts and disadvantaged communities are available to receive larger funding amounts.

Since NYSBIP’s launch, a press release states that more than 75 school districts, 51 located in disadvantaged communities, have applied for funds to purchase 350 buses. Almost half of the state’s districts are working with NYSERDA to create Fleet Electrification Plans, and to date 250 districts have already started developing plans. More than 100 districts are in the process of applying for fleet planning in coordination with their local BOCES districts, the release adds.