According to our Beneficiary Mitigation Plan, DEQ is currently or will in the future be opening up funding opportunities for the following project categories:

• • School Buses
    • Oklahoma Clean Diesel/DERA Program
    • Alternative Fuel School Bus Program
  • Light-Duty Zero Emission Vehicle Infrastructure
    • ChargeOK Program
  • On-Road Vehicles
    • Class 8 Local Freight and Drayage Trucks
    • Class 4-8 Shuttle or Transit Bus
    • Class 4-7 Local Freight Trucks
  • Non-Road Vehicles
    • Freight Switchers
    • Ferries/Tugs
    • Airport Ground Support Equipment
    • Forklifts and Port Cargo Handling Equipment
  • For more information, please see the Beneficiary Mitigation Plan.

Oklahoma will be announcing funding programs in phases. There is currently no timeline for when phases will begin and end, but each phase can be expected to last for at least one year.

• Phase 1 consists of the Alternative Fuel School Bus Program and light-duty zero emission vehicle infrastructure projects. Phase 1 began in 2018 and is ongoing.
• Phase 2 consists of on-road vehicle projects. Phase 2 began in 2021 and is ongoing.
• Phase 3 will consist of non-road vehicle projects. Phase 3 began in 2023 and is ongoing.
• The Oklahoma Clean Diesel/DERA Program is ongoing and will recur each year that adequate federal funding is available. Funding is typically announced in the fall of each year.

No. Within Oklahoma, Volkswagen State Mitigation Trust Funds are being administered competitively. A Grant Solicitation will be issued for each funding opportunity. Project applications for each Grant Solicitation will be accepted for a limited time and scored based on criteria in the solicitation. Funds will then be awarded to the top scoring applicants.

The equipment eligibility for 3 of the 4 categories is based on EPA’s emission tiers classification system.  The 4th category speaks only of lift capacity.  While horsepower has a direct role in emissions, it is not defined specifically for any category.

• The equipment must be in use at the location listed on the application for 5 years
• The Memorandum of Agreement (MOA) will be for a 3 year project with an expiration of June 30, 2026.  There is no minimum timeline for acquiring the equipment.  But to be reimbursed, the project cannot begin before the MOA is executed.  This would include scrapping the old and purchasing the new.

Leasing is not eligible.

There is no maximum funding amount per applicant nor per project.

For the purposes of this funding program, “Port Cargo Handling Equipment” is determined by the type of equipment and its function of use rather than the location in which it is used. 

The Trust Agreement defines “freight switcher” as a locomotive that moves rail cars around a rail yard as compared to a line-haul engine that moves freight long distances.  For the purposes of this funding program, “Freight Switcher” is determined by its function of use rather than by industries’ general or common equipment names.  Replacement equipment must perform, at a minimum, the same function as the old equipment.

The intent of the Volkswagen Settlement Trust and the grant program is to reduce ambient nitrogen oxide emissions.  To reduce ambient emissions, the equipment must have 75% of its use occur outside of a building.

The engine information on the plate is required to calculate the emissions being produced by that equipment.  If the engine plate is not legible or is missing, the information is still required for an eligible grant application.  Alternative sources and verification of that information might include detailed inventories or purchasing paperwork.

As a state agency, DEQ cannot refer you to a specific business. Purchase information should be available by online search or by contacting a dealership or manufacturer of your choice.

Funding for gasoline and diesel school bus projects is available under the Oklahoma Clean Diesel Program.

Per Section II.A of the Grant Solicitation: “The Alternative Fuel School Bus program will be open to all school districts within the State of Oklahoma that transport pre-Kindergarten through grade 12 students.”

No; contractors are not eligible for funding under the Alternative Fuel School Bus Program, per Section II.A of the Grant Solicitation: “The Alternative Fuel School Bus program will be open to all school districts within the State of Oklahoma that transport pre-Kindergarten through grade 12 students.”

No. Within Oklahoma, Volkswagen State Mitigation Trust Funds are being administered competitively. A Grant Solicitation will be issued for each funding opportunity. Project applications for each Grant Solicitation will be accepted for a limited time and scored based on criteria in the solicitation. Funds will then be awarded to the top scoring applicants.

Yes. Projects at technology centers are eligible if the bus in question will be regularly transporting any pre-K through 12th grade students.

No. Funding is for new projects only. In order to be eligible for funding, no work towards the project may begin before a Memorandum of Agreement has been fully executed and the award recipient has received a work commencement notification. Per Section IV of the Grant Solicitation: “Any funds spent prior to official notification will not be reimbursed.”

Yes; if your school district is publicly funded and owns the school bus, the bus is government-owned. Buses owned by privately-funded school districts are considered to be “non-government owned.”

No; a school district may only be awarded one project in a round of funding.

Yes; awards may potentially be granted under both programs, but only if the projects are separate and do not affect the same eligible buses.

No, the original school bus to be replaced must be diesel.

Yes

No, but an email submission will arrive quicker, which may be important if you are concerned about hitting a deadline.

No. As long as scrappage meets the requirements described in Section VI.F of the Grant Solicitation as well as the MOA then it does not matter who scraps the bus. Additionally, proper photographs and destruction forms will be required.

Traditional lease agreements without the option to purchase the vehicle are not eligible. However, “Lease Purchase Agreements” or other similar agreements may be eligible only if the award recipient owns the title to the vehicle by the end of the announced project period, and prior to submitting reimbursement paperwork. Eligibility of said agreements will be reviewed on a case-by-case basis.

The desired result of this grant program is to locate direct current fast chargers (DCFCs) no more than every 100 miles apart on the designated corridors and to locate some level 2 chargers in the urban areas, with the ultimate goal being to reduce range anxiety. Successful applicants will be those that reinforce this plan.

Round 2: The desired result of Round 2 is to fill in the gaps we have in the Oklahoma Charger network. Successful applicants will be those that reinforce this plan.

Total program funding is about $3.1 million. Round 2 program funding is about $1.1 million.

Round 2: July 7, 2020 – September 8, 2020

Funding will be in the form of reimbursements.

No. This is a competitive grant, meaning all applications received by the deadline will be scored, and the applications receiving the highest scores will be awarded the grant.

No. This grant will reimburse up to 80% for any charging station project.

No. This grant will not reimburse for residential chargers.

Yes. Funds will only be awarded to light-duty charging station projects.

No. The VW State Mitigation Trust Agreement allows for reimbursement of government-owned EV charging stations at 100%, but the ChargeOK Grant Solicitation Round 2 states, “Grantees will be required to provide a minimum 20% match.” Please keep in mind the grant request will be evaluated on a competitive basis, with preference going to the requests that provide the greatest Nitrogen Oxide reduction per dollar spent, and those projects that best fill-in the charging network to reduce range anxiety.

Once the grant is awarded, the recipient and DEQ must first sign a Memorandum of Agreement (MOA). DEQ will then send the recipients a Notice to Proceed via email. After receiving the Notice to Proceed, the recipient may start the project. Any work completed prior to receipt of the Notice to Proceed will not be reimbursed.

DEQ is not recommending a specific manufacturer. The requirement of a 5-year manufacturer’s warranty is standard language in the Grant Solicitations of most of the states that have issued Grant Solicitations for Electric Vehicle Charging Stations.

A simple statement that the applicant is the owner, and therefore the site-host, will suffice. There is not a preferred template on which an applicant must make this statement.

Round 2: This requirement has some flexibility, depending on the other attributes of the application.

The VW State Mitigation Trust Agreement states in Appendix D-2, paragraph 9 that trust funds may be used “on costs necessary for, and directly connected to, the acquisition, installation, operation and maintenance of new light duty zero emission vehicle supply equipment …” However, the Trust Agreement goes on to state that “Trust Funds shall not be made available or used to purchase … general maintenance (i.e., maintenance other than of the supply equipment).” Due to the language of the Trust Agreement, it has been determined that the cost of electricity falls within general maintenance and thus will not be reimbursed. It has been determined that allowable costs for operation and maintenance under the Trust Agreement (i.e., costs for maintenance of the supply equipment only) is the cost of a 5-year warranty on the equipment and a 5-year contract for the software/networking of the equipment.

Pursuant to Section IV.A. of the Grant Solicitation, eligible businesses are those registered with the Oklahoma Secretary of State.

Yes. Both types of connectors are required for each charging location.

This is permissible under certain circumstances. A Memorandum of Understanding, or another equivalent agreement, between the applicant and site-host should be submitted with the application. Further, the site-host must enter into an MOA with DEQ prior to assuming title to the station. It is important to also note that DEQ will only reimburse the party that holds title to the equipment at the time of reimbursement.

Pursuant to the Grant Solicitation at Section V.3.d, if charging service is not provided as a free service/amenity, then charging stations must be Payment Card Industry compliant to allow direct use of a credit or debit card at the charging station itself.

Pursuant to the Grant Solicitation at Section IV.A, eligible applicants include the following:

• Businesses, registered in Oklahoma with the Secretary of State
• Federal, State, Local, or Tribal Government Agencies
• 501(c)(3) Organizations
• Air Quality or Transportation Organizations
• Metropolitan or Rural/Regional Transportation Planning Organizations

Eligible sources of a match include cash, loans, and other grants or capital assets dedicated to the project. All matching funds claimed in a project proposal must be supported with documentation that demonstrates the funds are available. Furthermore, once the project is complete, documentation must be provided showing all equipment, installation, network, and warranties have been paid in full in order to receive a reimbursement.

Any proof of sufficient funding to fulfill the applicant’s match will suffice. As stated above, all matching funds claimed in a project proposal must be supported with documentation that demonstrates the funds are available. The cost of equipment and installation must be paid in full and receipts submitted to ChargeOK grant program before reimbursement will be initiated.

Please refer to the definition of “Business” in Section VIII. Glossary of the Grant Solicitation (as instructed in Section IV.A.). In order for a business to be considered an eligible applicant, the applicant must either be incorporated in or registered with the Oklahoma Secretary of State to do business in Oklahoma. To the extent an entity with an active DBA on file with the Secretary of State has registered with the Secretary of State, it is eligible to apply.

Each specific score will depend on how much less than 80% is applied for and how much the dollars-per-ton-of-NOx-reduced decreases. 20% of the total project score is for cost effectiveness.

Yes, a single point location can be on a highway corridor. At least one is necessary, but more chargers would earn the project more points.

We did not list every charging option available; any DCFC charger 50kW or greater is acceptable.

Renewable generation must be on site to qualify for extra points

No.

Applicants may submit one application containing more than one proposal, but enough information must be provided such that each charging point can be graded separately (unless it is specified in the application that the application is all-or-nothing).

Yes, but keep in mind that three corridors were omitted from the ChargeOK program because Electrify America is planning to locate DCFCs in them. The corridors are I-35 south of Oklahoma City, I-40 west of Oklahoma City, and I-44 northeast of Oklahoma City.

If there is a question regarding what territory your charging station may be in, the site host (if different from the applicant) or the applicant should contact its utility to confirm which utility will provide service at the charging station.

Yes, DEQ may only approve a few of the projects in an application that is for multiple locations, assuming the applicant provides all of the information required to evaluate each location.

Any applicant proposing a station on property which is leased by the site host should consult the site host’s lease agreement and take any other steps necessary to ensure the station will be sited for the agreed upon term of 5 years. If the site host loses possession of the leased property, causing the station to be removed prior to completion of the 5 year term, the applicant could be subject to repaying all or part of its reimbursement.

24/7 access to the charger is required. 24/7 access to water, bathrooms, and other amenities is preferred. If 24/7 access to water and bathrooms is not possible please explain why. This issue falls under a scoring category that is worth 20% of the project score.

Per the Grant Solicitation Section VII., DEQ has the right to award partials grants. Thus, DEQ may choose to fully fund some proposals and partially fund others. The MOA between DEQ and successful applicants will state the matching percentage (a maximum of 80% of the eligible cost), not to exceed an amount equal to 80% of the estimated eligible cost submitted in the application.

Diesel, gasoline, propane, natural gas, and all-electric powered school bus replacements are eligible under the FY23 DERA Program.  Please continue to check the DERA webpage to keep informed. 

The grant solicitation and application for the DERA grant program is usually made available in mid-October. The application period usually last from mid-October to mid-December. Awardees are usually announced in late February. There are many factors that can change these dates, so it is best to check the DERA webpage or subscribe to the GovDelivery Email Updates to keep informed.

Yes. Having successfully completed a DERA project does not disqualify an applicant or impact an applicant’s score. If an applicant had a late completion of a past Clean Diesel Program project, it may negatively impact their application score for future funding, but their application will not be disqualified.

No. A project cannot be started until after the recipient has been awarded and received the Notice to Proceed letter. The grant does not cover any buses that have already been replaced or ordered.

The DERA grant is open to all school districts that transport students in grades pre-Kindergarten through 12.

Currently, only school districts are eligible for grant funding. This could change for future grants. Please continue to check the DERA webpage to keep informed.

Yes. Eligible buses must be early attrition projects. Early attrition refers to a project where a vehicle is replaced before that vehicle is scheduled to be replaced. For the purposes of this grant, any vehicle that is due to be replaced, scheduled to be replaced, or has a life expiration date within less than 3 years is normal attrition and therefore not eligible for the Oklahoma Clean Diesel Grant Program funds.

No, the original school bus to be replaced must be diesel.

Yes. If both the new bus and the bus to be replaced meet all eligibility criteria, then the replacement bus may be an activity bus.

There is no award cap for the DERA program. It is encouraged to apply for multiple buses.  

No, but an email submittal will arrive quicker, which may be important if you are concerned about hitting a deadline.

No. If scrappage meets the requirements described in the Grant Solicitation as well as the MOA then it does not matter who scraps the bus. DEQ is not allowed to endorse any certain business to scrap buses. Typically, it is a scrap yard or metal recycling business. The Certificate of Destruction must be signed by the school and the dismantler. Additionally, proper clear photographs of the scrappage, a signed destruction form, and copies of any receipts or checks acquired from the scrapping will be required.

Traditional lease agreements without the option to purchase the vehicle are not eligible. However, “Lease Purchase Agreements” or other similar agreements may be eligible only if the award recipient owns the title to the vehicle by the end of the announced project period, and prior to submitting reimbursement paperwork. Eligibility of said agreements will be reviewed on a case-by-case basis.

• Email: VWSettlement@deq.ok.gov
• Phone: 405-702-4100
• Postal Mail:
  • Oklahoma Department of Environmental Quality
  • AQD – Volkswagen Settlement Programs
  • 707 N Robinson
  • PO Box 1677
  • Oklahoma City, OK 73101

• Email: CleanDiesel@deq.ok.gov
• Phone: 405-702-4100
• Postal Mail:
  • Oklahoma Department of Environmental Quality
  • AQD – Clean Diesel Grant Program
  • 707 N Robinson
  • P.O. Box 1677
  • Oklahoma City, OK 73101