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newsrel -- Voucher Incentive Program Frequently Asked Questions
Posted: 30 Jun 2010 11:37:37
Question and answer on enhancements to ARB's $28 million grant program . California Truckin’ News Voucher Incentive Program Frequently Asked Questions Dated: June 30, 2010 Contacts: Mary Fricke (916)322-2990 Karen Caesar (626)575-6728 www.arb.ca.gov The Air Resources Board has $28 million in grants available through its Voucher Incentive Program (VIP) to help independent truckers and small fleet owners replace or retrofit older, high-polluting big rigs ahead of California’s regulatory deadlines. Here’s a primer on the program and how it works: What is the Voucher Incentive Program? VIP grants help truck owners meet a 2008 public health regulation that accelerates the replacement of dirty big rigs. They are available only to owners of small fleets – one to three trucks – for replacing the dirtier models with newer, cleaner ones. What is this regulation, and why do we have it? The big-rig regulation requires 2010 model year engines in all heavy-duty trucks and buses by 2023. Soot traps must be installed on older rigs by 2011 and on all models by 2014. The regulation is the latest in a series of measures the Air Resources Board has adopted since 2000 to reduce the public health risk from breathing the tiny particles in diesel exhaust. Numerous studies indicate that reducing diesel emissions results in fewer asthma attacks, hospitalizations and deaths among those with heart and lung problems. How much are the grants, and what kinds of trucks are eligible? In May 2010, the Air Resources Board expanded the range of trucks eligible and raised the grant limit for replacement of high-mileage trucks to $45,000, from the previous $35,000. The Board also established VIP grants of up to $10,000 a truck for installing soot traps on rigs that not as close to retirement. The trucks to be replaced must have a 2002 model year or older diesel engine. Those with 2004 through 2006 model year diesel engines qualify for the soot trap installation money. The trucks to be retrofitted or replaced must have a gross vehicle weight of at least 19,501 pounds. The vehicles also must have been registered in California for the past two years, operating within the state at least 75 percent of the time. I’ve heard that only high-mileage trucks get funded. Is that true? No. The minimum mileage requirement is 15,000 miles per year, although higher mileage trucks may receive a larger grant amount. Why doesn’t the VIP pay more in these tough economic times? The amount of the VIP grant is not based on need but on how much cleaner the replacement truck runs. Is there any help for financing the rest of the cost? Yes. ARB’s loan guarantee program provides competitive rate financing for new and used truck purchases, soot traps and the EPA-approved “SmartWay” aerodynamic skirts and low rolling resistance tires. Loans are issued through participating financial institutions. Eligibility depends on the size of the fleet and other conditions. More information on ARB’s loan program is available at http://www.arb.ca.gov/msprog/truckstop/funding/loans_fa.htm Does the replacement truck have to be brand new? No. Grants can be used to purchase a new or used replacement truck. Does it matter where I buy the truck? Yes. The trucks must be bought from a dealer participating in the VIP. Participating dealers – currently about 60 statewide – are trained in the program and have all application papers at hand. For a list of participating dealers, please visit www.arb.ca.gov/msprog/moyer/voucher/dealerlist/dealerlist.htm or call the toll free ARB diesel hotline at 866-6DIESEL. Can I get funding even if I’m not based in an urban area? Yes. VIP grants are available to truckers who travel anywhere California, regardless of where they are based. Can I use VIP funding to buy a newer port truck? No. Port trucks-- those working in ports and intermodal rails for the past two or more years -- are not eligible. What does the public get in exchange for the grant? Cleaner air. Recipients are bound by law to scrap the old trucks and operate the replacements at least 75 percent of the time in California for at least three years. How do I apply? Applications are available at participating truck dealers and retrofit installers. How long does it take to get approved? Applicants are notified within five business days. For other questions, please call the ARB diesel hotline at 866-6DIESEL (866-634-3735) or visit www.arb.ca.gov/truckstop #### Columnist, Tony Brasil is the manager of ARB’s Heavy Duty Diesel Implementation Branch. While he cannot answer every question, he will select several to answer each month. To contact Tony, please email CATruckinQandA@ARB.ca.gov