VW Settlement and Clean Transportation

Electric School Bus Midwest Road Tour

ELPC led a 4-state, 6-city electric school bus road tour to raise awareness about the VW settlement opportunity to get electric school buses on the road that don’t expose children to harmful diesel pollution. The tour was strategically timed as state lead agencies across the Midwest are crafting proposals to allocate their portion of $2.7 billion in Volkswagen settlement funds.

Each stop on the tour included a press conference with environmental, public health, education and utility leaders. The goal of the events was to educate the public on electric school buses and demonstrate the broad support for this technology to state lead agencies

Volkswagen Settlement Background

Volkswagen (VW) violated the Clean Air Act by selling ~590,000 diesel cars model year 2009-2016 equipped with “defeat devices” designed to cheat on federal emissions tests. This resulted in over 40,400 tons of excess NOx emissions.

EPA and others sued Volkswagen for violating the Clean Air Act. The state-administered Environmental Mitigation Trust settlement provides $2.7 billion for air pollution mitigation projects.

Under the Environmental Mitigation Trust, Midwest states stand to receive more than $438 million for local air quality efforts, including electric vehicle infrastructure and air quality mitigation efforts (targeting vehicle and equipment upgrades). The Mitigation Trust creates a unique opportunity and obligation for Midwest states to modernize public vehicle fleets and infrastructure, reduce harmful air pollution, and stimulate economic development across the region.

Download our State by State VW Settlement Factsheets


VW Mitigation Fund Allocations for Midwest States

Timeline

States will be required to submit plans outlining how they will use VW Settlement funds. Here is timeline of how that work will proceed. (This will be updated when the effective date is announced.)

Evaluating Eligible Uses of Funds

In evaluating potential investments in eligible vehicles, equipment, and technologies, Midwest states should focus on specific opportunities to minimize NOx emissions and human exposure while maximizing cost-effectiveness and market impact.  Mitigation investments should also seek to protect and improve quality of life for Midwest states’ most vulnerable and disproportionately affected residents, including children.

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