WASHINGTON — The Environmental Protection Agency (EPA) is planning to revamp an electric school bus initiative, which still holds $2.3 billion in taxpayer funding. The agency aims to introduce diverse fuel options through new grants utilizing unspent funds.
On Thursday, EPA representatives will seek input from school administrators, fleet managers, and manufacturers regarding various energy sources like “biofuels, compressed natural gas, liquefied natural gas, and hydrogen.” The goal is to power school buses across the nation with a more dependable energy supply.
“Today, the EPA is taking significant steps to realign the program,” said EPA Administrator Lee Zeldin in a statement to The Post. “The American public can be confident that from here on, the program will operate safely, effectively, and utilize trustworthy American energy sources.”
The regulatory process will kick off with a Request for Information (RFI), gathering insights from all involved parties. This initiative aims to distribute billions in grants for school bus fleets by 2026, in line with the 2021 law enacted during President Joe Biden’s administration.
The Clean School Bus Program allocated $5 billion from the Bipartisan Infrastructure Law to replace numerous outdated, gasoline-powered buses with zero-emission models for transporting students.
The legislation from the Biden administration allowed for rebates on alternative fuels beyond all-electric options. According to EPA officials, these grants can be issued without violating any clean-air regulations or existing laws.
But around 90% of the funding went toward funding all-electric buses, officials said.
The EPA’s watchdog determined in a 2023 audit that the program was rife with “potential fraud, waste, and abuse” — and rescinded $38 million in ineligible rebates requested.
At least one manufacturer, Lion Electric, went bankrupt in 2024 after taking $160 million in taxpayer dollars.
At least $2.7 billion in funding was awarded to 1,152 school districts to make the change to 8,236 electric buses — but dozens were stalled by manufacturing issues, the Washington Free Beacon first reported.
More than $61 million went toward just two entities in New York City making 180 all-electric buses for five school districts, coming out to roughly between $295,000 and $395,000 for each one. It’s unclear how many were produced.
Statewide in New York, school districts got $210 million from the program and manufactured just 150 buses, a spokesperson from the New York State Energy Research and Development Authority previously told The Post.
That puts a price tag on the electric bus swap at approximately $318,452.45 per vehicle to produce.
“As was the case with so many of the Biden-era programs, the Clean School Bus program has been a disaster of poor management and wasteful spending of taxpayer dollars,” Zeldin added. “At the Trump EPA, we have zero tolerance for reckless spending.”
Officials and parents of schoolchildren also carped that electric buses failed to sufficiently provide heat for students during the colder winter months, were prone to breaking down on their routes and too costly for many districts millions to switch to.
The RFI public comment period will run for 45 days before the process of rolling out new rebates begins.
