Website: http://www.aqmd.gov/home/programs/business/business-detail?title=goods-movement-emission-reduction-projects-(prop-1b)&parent=vehicle-engine-upgrades

Funding: Total: $30,000,000. Maximum awards: $10K-$200K, depending on truck class and upgrade option.

Dates: Application Submission Deadline: April 30, 2021

Summary:

The South Coast Air Quality Management District (District) is pleased to announce the availability of funds from the State Goods Movement Emission Reduction Program (GMERP). GMERP is a partnership between the State Air Resources Board (CARB) and local agencies (like air districts and seaports) to quickly reduce air pollution emissions and health risk from freight movement along California’s trade corridors. Projects funded under this Program must achieve early or extra emission reductions not otherwise required by law or regulation. This Program Announcement is seeking applications for the replacement of heavy-duty diesel truck projects, including the project options identified below. Please note funding is also available for electric charging stations, hydrogen fueling units, and truck stop electrification infrastructure.

Project Topic Areas:

The purpose of this Program Announcement (PA) is to solicit applications for the replacement of heavy-duty truck projects under the State’s Proposition 1B – Goods Movement Emission Reduction Program. This PA will include projects of the following equipment types:

  1. Heavy-duty diesel trucks (replacement or repower with alternative fuel or advanced technologies)
  2. Truck stop electrification infrastructure
  3. Electric charging stations
  4. Hydrogen fueling infrastructure

Funding:

About $30 million in Program funds are available on a first-come, first-serve basis for this solicitation. Eligible projects may be funded at the lower of 50% or $30,000 for the purchase of electric charging or hydrogen fueling units for one vehicle. In addition, the equipment owners must demonstrate proof of equipment warranty of at least three years, commit to a five (5) year project life, and comply with all local permitting requirements.

Upgrade OptionsClass 5Class 6Class 7/Class 8
Zero Emission Truck*$80,000$100,000$200,000
Hybrid Truck Capable of Zero Emission Miles*$50,000$65,000$150,000
Low-NOx (0.02g/bhp-hr) Truck*$40,000$50,000$100,000
Hybrid Truck*$35,000$45,000$80,000
Natural Gas Truck*$25,000$40,000$65,000
Engine Repower**NA$10,000$20,000
Electric Charging / Hydrogen Fueling Infrastructure$30,000 or 50% of eligible costs$30,000 or 50% of eligible costs$30,000 or 50% of eligible costs

Project Requirements:

In order to be eligible for funding, the equipment owner must demonstrate:

  • Existing truck has been used to move goods a majority of time for the past 2 years
  • Fleet compliance with the Statewide Truck and Bus Rule
  • California Operation:
  • At least 75% operation within California each year for the past 24 months.
  • Annual vehicle miles traveled (VMT) in California each year for the past 2 years: At least 20,000 miles for each Class 7 or 8 truck; At least 10,000 miles for each Class 5 or 6 truck.
  • California Registration:
  • Current registration in California (California base-plated or California International Registration Plan (IRP), or dual-plated registration (California basedplated/California IRP and Mexico only) for trucks carrying goods across the California-Mexico border, as they are required to be dual-plated, AND
  • Registration for the past 2 years:
  • California DMV registration cards verifying registration for the past 2 years, or
  • California DMV Vehicle Registration Information Record (DMV printout) showing:
  • Registration in both the current and prior year with a minimum of 6 months of total registration, or
  • If the DMV printout only shows registration of 8 months in the current year and no registration in the prior year, then alternative documentation (insurance certificate or 90-day BIT inspection form) will be required to verify registration in the prior year.

Engine Repower/Replacement

Engines eligible for funding must be certified/verified (as applicable) by a CARB Executive Order for on-road use with the following: Alternative fuel engines must meet the 2010 emissions level of 0.20 grams per brake-horsepower hour (g/bhp-hr) or less NOx (FEL and CERT values – engine EO’s that do not have both FEL and CERT values can show eligibility by using CERT values) and 0.01 g/bhp-hr or less PM (CERT value). Hybrid and zero emission engines must be 2019 or newer and certified/verified (as applicable) by CARB. Low NOx engines must meet the optional low NOx standard of 0.02 g/bhp-hr or less NOx and be certified/verified (as applicable) by CARB. Class 8 truck – intended service of Heavy Heavy Duty (HHD) for diesel engines or Heavy Duty Otto (HDO) for applicable alternative fuel vehicles. Class 7 truck – intended service of Medium Heavy Duty (MHD) or HHD for diesel engines or HDO for applicable alternative fuel vehicles. Class 5 and 6 truck – intended service of LHD (Class 5 trucks only) or MHD for diesel engines or HDO for applicable alternative fuel vehicles. Class 5-8 trucks – all heavy duty hybrid or electric vehicles shall follow CARB’s Heavy Duty Hybrid Electric Vehicle Certification Procedure.

Truck Replacement

  • All replacement trucks must have a manufacturer’s GVWR of: 16,001 lbs – 19,500 lbs (Class 5); 19,501 lbs – 26,000 lbs (Class 6); 26,001 lbs – 33,000 lbs (Class 7); 33,001 lbs or greater (Class 8).
  • The existing truck must have a MHD or HHD engine (service class), except Class 5 trucks which may have LHD engines.
  • The replacement truck must have the same weight classification range (Class 5, 6, 7, or 8) and service class (HHD or MHD) as the existing truck, except for the following conditions:
  • The equipment owner chooses to replace 2 eligible trucks for 1 replacement truck (Two-for-One option). For 2 for 1 replacement projects, the funding amount is based on the highest weight classification of the two existing trucks, or the weight classification of the replacement truck, whichever is less.
  • Replacement required by the equipment owner in order to meet a vocational need, as approved by the South Coast AQMD.
  • Replacement of a Class 7 truck with a Class 8 truck or Class 8 with a Class 7 truck, as long as both trucks have a HHD engine. Please note that the funding amount would be at a Class 7 level for both scenarios.
  • Original equipment manufacturer engine installed in a chassis of the same model year, make, and configuration as was originally provided from the truck manufacturer when the chassis and engine were both new.

Eligible Applicants:

Owners of diesel trucks used to move goods as part of a sales transaction (a majority of the time) with a manufacturer’s gross vehicle weight rating (GVWR) of 16,001 lbs or greater (Class 5 through Class 8). Owners of diesel truck stops, distribution centers, and other places where heavy duty diesel trucks congregate within the Los Angeles/Inland Empire corridor.