SBF 70 years logo
MenuMENU
SearchSEARCH

DERA Escapes Budget Cuts (Again)

DERA’s latest escape from the budget axe is a testament to its broad support in multiple industries and on both sides of the political aisle.

Thomas McMahon
Thomas McMahonExecutive Editor
June 8, 2017
DERA Escapes Budget Cuts (Again)

On April 19, the EPA announced a new round of DERA funding and another $23 million was recently added, for a total of $34 million.

3 min to read


On April 19, the EPA announced a new round of DERA funding and another $23 million was recently added, for a total of $34 million.

The future of the Diesel Emissions Reduction Act (DERA) recently fell into uncertainty amid proposals to cut federal spending, but the popular program has again emerged unscathed.

DERA’s latest escape from the budget axe is a testament to its broad support in multiple industries and on both sides of the political aisle.

Since it began in 2008, DERA has delivered about 690 grants to retrofit or replace older diesel vehicles — many of them school buses. In fact, the Environmental Protection Agency’s (EPA’s) DERA report to Congress last year listed school buses as the program’s most frequently funded vehicle sector from fiscal years 2009 through 2013.

Ad Loading...

The report, released in March 2016, also showed that nearly 13,000 diesel oxidation catalyst systems and about 1,400 diesel particulate filters had been installed on school buses with DERA funding. (Those numbers are likely higher now.)

In all, 73,000 vehicles or engines had been retrofitted or replaced through the program as of the 2016 report.

Despite its key role in curbing diesel emissions, DERA has on numerous occasions faced the threat of being “zeroed out.”

Earlier this year, as the new Trump administration eyed a so-called “skinny budget,” funding for DERA was one of the targets of proposed cuts. That led a coalition of groups to advocate for DERA in a letter to new EPA Administrator Scott Pruitt in March.

On April 19, the EPA announced a new round of DERA funding. The agency said that it expects to give out between 20 and 80 grants totaling at least $11 million for clean diesel projects.

(Since this story was published in the June issue, another $23 million in funding was added, for a total of $34 million. Also, EPA said that the deadline for proposals for the grant opportunity has been extended from June 20 to July 5.)

The new grant opportunity, it should be noted, tapped into previously passed funding. DERA’s funding level for the rest of the year remained unclear until May 1, when Congress released its fiscal year 2017 appropriations bill, which provides discretionary funding for the federal government.

Among the line items in the massive bill was a significant bump for DERA: $60 million for fiscal year 2017, which is a 20% increase from the 2016 level of $50 million.

As the next step in securing DERA’s future, an effort is underway to pass a reauthorization bill that would extend the program for about five more years. As of press time, the bill was being readied for introduction in Congress.

Even after the recent threats to DERA, the new funding increase passed by Congress is not a big surprise when you consider the history of the program.

As Allen Schaeffer of the Diesel Technology Forum points out in our “5 Questions” interview, the Obama administration also aimed to “zero out” DERA in budget proposals on more than one occasion, but Congress stepped in to continue funding the program.

DERA certainly has its champions on Capitol Hill, and the school bus industry has also been an important participant and advocate for the program.

Considering that a big portion of DERA grants have gone toward retrofitting or replacing older diesel school buses — which means cleaner air for students and their communities — the program is one example of federal spending that anyone can get behind.

Subscribe to Our Newsletter

More Management

Close-up of fuel pump nozzles at a gas station, representing rising diesel costs and fuel management challenges for school bus fleets.

Diesel Prices Spike: Tips to Cut Fuel Costs with Data and New Geotab Tools

With diesel prices up 46%, new Geotab analysis points to tools that help fleets reduce idling, detect fuel anomalies, and recover hidden fuel costs across operations.

Read More →
zonar system image
SponsoredMay 1, 2026

What Data Shows About Student Transportation in 2026

Driver shortages, safety expectations, and staffing limits define student transportation in 2026. New survey data shows how fleet leaders are responding.

Read More →
School Bus Fleet leadership update graphic featuring Transit Technologies and headshots of Lisa Horkins, Nunu Dueman Yates, Michael Lei, Srithal Bellary, and Cristina Wheless.
Managementby News/Media ReleaseApril 30, 2026

Transit Technologies Announces New Executive Appointments

The Bytecurve and busHive parent company has multiple new faces on its executive team as the company focuses on AI platform growth.

Read More →
Ad Loading...
photo of a woman seated at a desk talking to a man, looking at a tablet
Managementby News/Media ReleaseApril 29, 2026

IC Bus Introduces ‘My International’ to Connect Fleet Vehicles, Data, and Service

Available on desktop or mobile, the digital ecosystem brings fleet monitoring, service management, vehicle insights, and dealer communication into a single interface.

Read More →
A graphic with an image of a school bus's rear bumper, a Transfinder logo, and text reading "More District Installs Across the U.S."
Managementby StaffApril 29, 2026

More Districts Tap Transfinder for Routing, Tracking, and Communication Tools

See which users in Illinois, New York, Ohio, and Pennsylvania are adopting Transfinder’s routing, tracking, and parent apps.

Read More →
Sonim XP5plus 5G rugged mobile radio device on orange background labeled “New Product,” highlighting push-to-talk communication and durability for school bus fleet operations.
ManagementApril 28, 2026

AT&T, Sonim Launch XP5plus 5G LMR Device for School Bus Fleets

The new radio combines durability, push-to-talk, and FirstNet connectivity, offering a cost-effective communication solution for fleets.

Read More →
Ad Loading...
EverDriven graphic over a mountain landscape highlighting high caregiver trust and Washington State milestone, emphasizing student transportation safety, reliability, and service growth.
Managementby News/Media ReleaseApril 23, 2026

EverDriven Celebrates Milestones in Washington; Caregiver Trust Tops 80%

EverDriven marks 18 years and 17 million miles in the Evergreen state while new data shows 8 in 10 caregivers would recommend its student transportation solution.

Read More →
A woman holds a tablet and waves at children disembarking a school bus.
Managementby StaffApril 21, 2026

Zum Raises $100 Million, Cites ‘Transportation Anxiety Crisis’ in New Research

New funding and national research highlight student transportation challenges as Zum looks to scale its Connected Mobility Experience platform nationwide.

Read More →
a line of pro-vision employees stand in front of branded company vans
Managementby News/Media ReleaseApril 21, 2026

Pro-Vision Video Installs Now Backed by MECP-Certified Techs

The certification validates expertise in complex vehicle technology installations, making it the first fleet video solutions provider to achieve the milestone.

Read More →
Ad Loading...
A blue, white, and black graphic with text reading "Using AI in School Transport."
ManagementApril 20, 2026

From Overwhelmed to Optimized: How AI Is Transforming School Transportation Leadership

Artificial intelligence is quickly becoming one of the most practical tools in today’s transportation office. Here’s how it is improving parent communication, board reporting, training development, and overall efficiency — without replacing professional judgment.

Read More →