Rebates for purchasing new school buses to replace older models range from $15,000 to $25,000 per bus.
Thomas McMahon・Executive Editor
September 29, 2016
EPA rebates for purchasing new school buses to replace older models range from $15,000 to $25,000 per bus.
2 min to read
EPA rebates for purchasing new school buses to replace older models range from $15,000 to $25,000 per bus.
WASHINGTON, D.C. — Another round of rebates — $7 million in all — is being made available to help fleets replace or retrofit older diesel school buses, the U.S. Environmental Protection Agency (EPA) announced on Thursday.
This is the fourth rebate program to fund cleaner school buses under the Diesel Emissions Reduction Act (DERA) reauthorization. The EPA will accept applications for the new round of rebates from Sept. 29 to Nov. 1.
Ad Loading...
School districts and school bus contractors are among the eligible entities. Rebates for replacing older buses with new buses range from $15,000 to $25,000 per bus. Retrofits can qualify for up to $4,000 for a diesel oxidation catalyst and closed crankcase ventilation system, or up to $6,000 for those devices plus a fuel-operated heater.
The funds will help improve air quality, according to the EPA.
"Modernizing school bus fleets across the country with retrofits, replacements, and idle reduction practices helps reduce children’s exposure to air toxics,” said Janet McCabe, acting assistant administrator for the EPA’s Office of Air and Radiation. “With the amount of time kids spend on buses, we need to protect them from the harm older diesel engines can cause.”
EPA standards for new diesel engines make them more than 90% cleaner than older ones, according to the agency, but many older diesel engines that are still in operation predate these standards.
According to the EPA, nearly 25,000 buses across the country have been made cleaner as a result of DERA funding.
Ad Loading...
To learn more about the rebate program, applicant eligibility, selection process, and informational webinar dates, go here. Questions about applying can be directed to CleanDieselRebate@epa.gov.
ACT Expo 2026 showcased the latest innovations in electric school buses, fleet charging, AI, V2G technology, diagnostics, and clean transportation. Check out the highlights from Blue Bird, IC Bus, Thomas Built Buses, RIDE, Cummins, Geotab, and more.
A new Ridership Management solution debuts for school transportation. Meanwhile, the company honored Garden City Public Schools for safety and operational improvements using its tech.
Dawnett Wright found a second calling in student transportation, one rooted in flexibility, family, and service. See how that mission still drives her in this National Military Appreciation Month profile.
Summit School Services recognized more than 5,500 drivers and monitors with safety awards after meeting accident- and injury-free performance standards over the past three years.
Leander ISD identified more than $1 million in projected annual savings after using AlphaRoute to optimize bus routes without changing schedules or stops.
See how Thomas Gray brings Marine Corps discipline and logistics expertise to Dayton Public Schools in this article celebrating National Military Appreciation Month.
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.
Driver shortages, safety expectations, and staffing limits define student transportation in 2026. New survey data shows how fleet leaders are responding.