CHAPTER 8.6. Zero-Emission Vehicle Grants [44260. - 44265.]

Cal. Health and Safety Code - HSC 8.6.

in effect

Cal. Health and Safety Code - HSC § 44260. Section 44260.

The state board, in conjunction with the State Energy Resources Conservation and Development Commission, shall develop and administer a program to provide grants to individuals, local governments, public agencies, nonprofit organizations, and private businesses, to encourage the purchase or lease of a new zero-emission vehicle. The state board may reserve, allocate, and reallocate funds to any of those potential grant recipients. The state board shall periodically review grant applications and the award of grants to ensure, to the greatest extent possible, that all grant funds are used. The state board may reduce or eliminate grants awarded pursuant to this chapter if the state board determines that the recipient received a grant for the purchase or lease of a zero-emission vehicle in the Budget Act of 2001.

Cal. Health and Safety Code - HSC § 44261. Section 44261.

(a) The maximum available grant for any qualified recipient, as determined by the state board, shall be an amount equal to 90 percent of the incremental cost above one thousand dollars ($1,000) of a new zero-emission light-duty car or truck eligible for the program. (b) For the purposes of this chapter: (1) “Incremental cost” means the amount determined by the State Energy Resources Conservation and Development Commission as the reasonable difference between the cost of the zero-emission vehicle and the cost of a comparable gasoline or diesel fueled vehicle. (2) “New zero-emission vehicle” shall include previously leased vehicles that have been substantially upgraded, as determined by the state board, with new technologies, including, but not necessarily limited to, advanced batteries or power electronics.

Cal. Health and Safety Code - HSC § 44262. Section 44262.

Grants made pursuant to this chapter shall be distributed in the following manner, in amounts as determined by the state board: (a) Up to three thousand dollars ($3,000) of the available grant funds may be provided for the first 12-month period of the lease or purchase of the vehicle. (b) Up to three thousand dollars ($3,000) of the remaining available grant funds may be provided for the second 12-month period of the lease or purchase of the vehicle. (c) Up to three thousand dollars ($3,000) of the remaining available grant funds may be provided for the third 12-month period of the lease or purchase of the vehicle. (d) No grant funds shall be provided following the third 12-month period of the lease or purchase of the vehicle.

Cal. Health and Safety Code - HSC § 44263. Section 44263.

In order to be eligible to receive a grant under this chapter, a zero-emission vehicle shall meet all of the following criteria: (a) Be purchased on or leased on or after October 1, 2000, and on or before December 31, 2002. For purposes of this subdivision, a vehicle shall be deemed to be leased on the date upon which the lease of the vehicle commences. (b) Be registered with the Department of Motor Vehicles for use in this state. (c) Meet all applicable federal and state safety standards, or, if the vehicle is to be utilized solely for a demonstration program, have received the applicable waivers from the National Highway Traffic Safety Administration. (d) Be capable of operation on a freeway, as determined by the state board in conjunction with the State Energy Resources Conservation and Development Commission. (e) Any other criteria established by the state board.

Cal. Health and Safety Code - HSC § 44265. Section 44265.

(a) The grant program described in this chapter may be administered by a local air management district or air pollution control district on a voluntary basis. (b) Any district that voluntarily administers this grant program is authorized to provide grants from its own funding sources in an amount of five hundred dollars ($500) to one thousand dollars ($1,000) or more per year for each qualified zero-emission vehicle registered within the boundaries of its territorial jurisdiction.

Source: CA Legislative Counsel Bulk DataURL: https://downloads.leginfo.legislature.ca.gov/pubinfo_2025.zipFetched: 6/27/2026