$1.7 billion in Grant Funding now Available to support state and local efforts to buy or modernize buses, improve bus facilities, and support workforce development

The Low or No Emission competitive program provides funding to state and local governmental authorities for the purchase or lease of zero-emission and low-emission transit buses as well as acquisition, construction, and leasing of required supporting facilities.

Eligible Applicants

Eligible applicants include direct or designated recipients of FTA grants, which include:
  • States
  • Local governmental authorities
  • Indigenous Governments

Eligible projects & Activities 

  • Purchasing or leasing low or no-emission buses
  • Acquiring low or no-emission buses with a leased power source
  • Constructing or leasing facilities and related equipment (including intelligent technology and software) for low or no-emission buses
  • Constructing new public transportation facilities to accommodate low or no-emission buses
  • Rehabilitating or improving existing public transportation facilities to accommodate low or no-emission buses
  • Additionally 0.5% of a request may be for workforce development training and an additional 0.5% may be for training at the National Transit Institute (NTI). Applicants proposing any project related to zero-emission vehicles must also spend 5% of their award on workforce development and training as outlined in their Zero-Emission Transition Plan, unless the applicant certifies that their financial need is less.


All eligible expenses under the Low-No Program are attributable to compliance with the Clean Air Act and/or the Americans with Disabilities Act.  Therefore, the Federal share of the cost of leasing or purchasing a transit bus is not to exceed 85% of the total transit bus cost. The federal share in the cost of leasing or acquiring low or no-emission bus-related equipment and facilities is 90% of the net project cost

Funds remain available for obligation for four fiscal years. This includes the fiscal year in which the amount is made available or appropriated plus three additional years.


April 13, 2023

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