The Environmental Protection Agency is making $500 million available for funding during its second Clean School Bus Rebate Program, which can be used to purchase as many as 25 low- or zero-emission school buses.

The funds also can be applied to charging infrastructure and some workforce development costs. Selectees may also be eligible for Inflation Reduction Act (IRA) tax credits applicable to their bus and infrastructure purchases.

The EPA is prioritizing applications that replace buses in rural areas, tribal school districts, and high-need local education agencies. The agency also is committed to ensuring the CSB Program delivers on the Biden-Harris Administration’s Justice40 Initiative, which calls for at least 40% of the benefits of federal investments going to disadvantaged communities.

Eligible applicants include:

• Public school districts.

• Tribal applicants.

• Third parties, including eligible contractors, nonprofit school transportation associations, school bus dealers, and bus manufacturers.

Key dates in the process:

• Sept. 28, 2023-Jan. 31, 2024: Application period.

• Jan. 10, 2024: Deadline to submit questions about rebates to cleanschoolbus@epa.gov.

• February 2024: EPA reviews rebate applications and starts selection process. Notifies applicants of selection status and posts information online. Selectees can proceed with buying new buses and eligible infrastructure.

• April 2024-October 2024: Selectees submit payment request forms with purchase orders demonstrating that new buses and eligible infrastructure have been ordered.

• April 2026: Project period deadline for selectees to receive new buses, install eligible infrastructure, replace existing buses, and submit close-out forms.

Applications are due to the EPA by 4 p.m. Eastern on Jan. 31, 2024.