Low- or No-Emission Grant Program - 5339(c)
General Grant Program Information
The Low- or No-Emission competitive program provides funding to state and local governmental authorities to purchase or lease zero-emission and low-emission transit buses and for acquisition, construction, and leasing of required supporting facilities.
Eligibility Information
Eligible uses include the following:
- Purchasing or leasing low-emission buses, which include, but are not limited to:
- Propane buses
- CNG buses
- Hybrid-electric buses
- Purchasing or leasing zero-emission buses, which include, but are not limited to:
- Hydrogen fuel-cell buses
- Battery-electric buses
- Rubber tire trolley buses powered by overhead catenaries
- Acquiring low- or zero-emission buses with a leased power source.
- Leasing, constructing, or rehabilitating public transportation facilities and related equipment to accommodate low- or zero-emission buses
Funding Information
On May 14, 2025, FTA announced the availability of $1.5 billion under the FY25 Notice of Funding Opportunity: Grants for Buses and Bus Facilities and Low or No Emission Program. Of this, approximately $1.1 billion in funding is authorized under the Low- or No-Emission Grants Program.
This funding opportunity includes streamlined requirements for Tribal applicants requesting less than $1 million.
For low- and standard-emission projects, 0.5 percent of the federal request may optionally be used for workforce development training, and an additional 0.5 percent may optionally be used for training at the National Transit Institute (NTI).
Applicants for zero-emission projects must spend 5 percent 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.
Federal Share of Costs
In general, the maximum Federal share is 80 percent. There are two exceptions (See 49 U.S.C. 5323(i)):
- The Federal share is 85 percent for transit buses that are compliant with the Clean Air Act or are accessible to people with disabilities.
- The Federal share is 90 percent for equipment and components of facilities related to low- or zero-emission buses or are to make the facility accessible to people with disabilities. Applicants must itemize the cost of specific, discrete, equipment or facility components that perform these functions to be eligible for this higher Federal share.
More information about eligible sources of local match can be found in FTA Circular 9050.1A (urban applicants) and FTA Circular 9040.1H (rural applicants).
Contact Information
Kirsten Wiard-Bauer
FTA Office of Program Management
FTALowNoBusNOFO@dot.gov
Disclaimer:
The Dashboard provides users with a high-level overview of relevant Federal discretionary grant programs. The information in the Dashboard is maintained as a secondary resource and may not be updated with the most recent changes to each program's primary guidance materials. Accordingly, please refer to the Federal grant-making agency for the most comprehensive and up-to-date information on a grant opportunity in the Dashboard.
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