Act 13 Chapter 27 Natural Gas Vehicle Grant Program

 Act 13 Chapter 27 Natural Gas Vehicle Grant Program

As unconventional gas development continues across Pennsylvania, Act 13 of 2012 enacts stronger environmental standards, authorizes local governments to adopt an impact fee and builds upon the state’s ongoing efforts to move toward energy independence. Act 13, through the impact fee, creates a new three-year Natural Gas Energy Development Program to be administered by the Department of Environmental Protection (DEP). Over the next three years, this new program will make $20 million in grant funds available on a competitive basis to purchase or convert eligible vehicles to natural gas.

Funding Authorized

Act 13 of 2012 allocates the following for competitive grants for Eligible Vehicles:

● $10 million in FY 2012-2013 ($5 million for local transportation agencies)

● $7.5 million in FY 2013-2014 (50 percent for local transportation agencies)

● $2.5 million in FY 2014-2015

Eligible Costs

● Grants may be awarded ONLY to pay for the Incremental Purchase Costs, including the cost to retrofit eligible vehicles.

● Grants are capped at 50 percent of the incremental purchase and retrofit costs.

● Grants are capped at $25,000 per eligible vehicle.

● Grants under this program cannot be used to pay for project development costs, fueling stations or other fueling infrastructure.

Definitions

● Eligible Applicants - Commonwealth or municipal authorities, the Pennsylvania Turnpike Commission, nonprofit entities, for-profit companies, local transportation organizations and state-owned or state-related universities.

● Eligible Vehicles include dedicated compressed natural gas (CNG), liquefied natural gas (LNG), or bi-fuel vehicles that weigh at least 14,000 pounds.

● Bi-Fuel Vehicle - Motor vehicle equipped to be propelled in part by CNG and in part by diesel or gasoline fuel

● Dedicated CNG Vehicle - Motor vehicle that operates on 100 percent CNG fuel

● Dedicated LNG Vehicle - Motor vehicle that operates on 90 percent or more LNG and 10 percent or less gasoline or diesel fuel

● Incremental Purchase Cost - Excess cost of a CNG, LNG or bi-fuel vehicle over the price of a gasoline or diesel fuel motor vehicle of a similar model, or the cost to retrofit such a vehicle

● Local Transportation Organization - Political subdivision, public transportation, port or redevelop-ment authority, nonprofit entities providing public transportation Commonwealth of Pennsylvania Department of Environmental Protection www.dep.state.pa.us 0300-FS-DEP4369 Rev. 7/2012

Program Requirements

(Note: DEP may request additional information than is contained in the actual grant application to help the department effectively and efficiently distribute the funds.)

Eligible applicants must meet the following criteria:

○ Plan to convert five or more eligible vehicles that will be financially viable within four years

○ Construct a natural gas fueling station in Pennsylvania or use an existing station

○ Calculate the projected use of natural gas

○ Estimate project costs

○ Identify the source and amount of any matching funds

○ Intend to maintain operations in the commonwealth for no fewer than six years

○ Register all purchased vehicles in Pennsylvania

○ Utilize federal funds where available

○ Explain whether the project includes the utilization of a natural gas fueling facility accessible to the public

Grant recipients must comply with federal/state safety rules, including U.S. Environmental Protection Agency rules.

For more information, visit www.dep.state.pa.us, keyword: Act 13.

Geoffrey Bristow gbristow@pa.gov  Reg. Pollution & Prevention Compliance Assist. Mgr.  DEP Northwest Regional Office  238 Chestnut Street  Meadville, PA 16335-3481  814-332-6681  Counties: Butler, Clarion, Crawford, Elk, Erie, Forest, Jefferson, Lawrence, McKean, Mercer, Venango, and Warren	Margaret Hall mahall@pa.gov  Reg. Pollution & Prevention Compliance Assist. Mgr.  DEP Southwest Regional Office  400 Waterfront Drive  Pittsburgh, PA 15222-4745  412-442-4137  Counties: Allegheny, Armstrong, Beaver, Cambria, Fayette, Greene, Indiana, Somerset, Washington, and Westmoreland
Michelle Ferguson miferguson@pa.gov  Reg. Pollution & Prevention Compliance Assist. Mgr.  DEP North-central Regional Office  2008 West Third Street, Suite 101  Williamsport, PA 17701-6448  570-327-3783  Counties: Bradford, Cameron, Clearfield, Centre, Clinton, Columbia, Lycoming, Montour, Northumberland, Potter, Snyder, Sullivan, Tioga, and Union	Mark Hand mhand@pa.gov  Reg. Pollution & Prevention Compliance Assist. Mgr.  DEP South-central Regional Office  909 Elmerton Avenue  Harrisburg, PA 17110-8200  717-705-4797  Counties: Adams, Bedford, Berks, Blair, Cumberland, Dauphin, Franklin, Fulton, Huntingdon, Juniata, Lancaster, Lebanon, Mifflin, Perry, and York
Janet Warnick janwarnick@pa.gov  Reg. Pollution & Prevention Compliance Assist. Mgr.  DEP Northeast Regional Office  2 Public Square  Wilkes-Barre, PA 18701-1915  570-826-2475  Counties: Carbon, Lackawanna, Lehigh, Luzerne, Monroe, Northampton, Pike, Schuylkill, Susquehanna, Wayne, and Wyoming	Heather Cowley hcowley@pa.gov  Reg. Pollution & Prevention Compliance Assist. Mgr.  DEP Southeast Regional Office  2 East Main Street  Norristown, PA 19401-4915  484-250-5816  Counties: Bucks, Chester, Delaware, Montgomery, and Philadelphia