VW Settlement Page

Volkswagen Diesel Emissions Settlement

Funding Opportunity for Electric Vehicle Fast-Charging Corridors

Missed DEQ’s Q & A webinar on Fast Charge Your Ride? Click HERE to watch DEQ staff answer questions about this exciting funding opportunity! Click HERE to download the presentation.

Response to Questions

Q: If the location for the fast-charging station already has a Level 2 charger, does the proposal still need to purchase and install an additional Level 2 charger?

A: As long as the applicant has ownership, or direct control, of the existing Level 2 charger, and, can document that the existing Level 2 charger will remain in service for at least five years, proposals for Fast Charge Your Ride funding do not need to include an additional Level 2 charging station. DEQ will be unable to provide funding to an applicant that is unable to ensure operation of an existing Level 2 charger for the required 5 years.

Please submit questions about this funding opportunity to Neal Ullman at neal.ullman@mt.gov before 5pm Mountain on December 4, 2020. Responses to substantive questions will be posted by December 11, 2020.

Funding Opportunity for Clean School Bus Replacements

DEQ has supplemented its Diesel Emissions Reduction Act funds with funding from the Volkswagen Environmental Mitigation Trust Settlement.  With this additional funding, DEQ is able to fund older diesel school bus replacements in all counties in Montana.

 

Settlement Background

In January 2016 the United States and the State of California filed a lawsuit against Volkswagen (VW) alleging it had manufactured diesel cars sold and operated in the U.S. with systems intended to defeat emissions tests. These systems allowed vehicles to emit nitrogen oxide (NOx) pollution at levels up to 40 times the amounts allowed under the Clean Air Act.

The total VW settlement is over $15.7 billion dollars across three categories:

  1. Vehicle Buyback and Modification: $10.8 billion for buyback or emission control modifications on at least 85 perfect of the affected vehicles.
  2. Environmental Mitigation Trust: $2.9 billion in an account to be used for "Eligible Mitigation Actions" to achieve reductions of mobile NOx emissions. Eligible beneficiaries of this trust account include each of the 50 states and American Indian Tribes.
  3. Zero Emission Vehicle Investment: $2 billion for investments in zero emissions vehicles and infrastructure.

VW_Settlement_Breakdown

Montana will receive $12.6 million from the environmental mitigation trust. This trust fund will be used for projects that are Eligible Mitigation Actions under the trust that mitigate NOx emissions in the transportation sector. Projects eligible for funding include but are not limited to diesel trucks, buses, freight switcher locomotives, and airport ground support equipment. Vehicle replacements, engine upgrades, and retrofits are eligible for funding. States can also use up to 15 percent of their funds for light duty electric vehicle charging stations available to the public or located at workplaces or multi-unit housing locations.

The Montana Department of Environmental Quality (DEQ) is the state’s lead agency to oversee how Montana’s $12.6 million allocation is distributed and spent. DEQ will be consulting with other agencies and members of the public on how best to spend these funds on eligible projects to maximize air quality and other economic and environmental benefits. Prior to receiving funding, the agency must submit a Beneficiary Mitigation Plan describing how the state plans to use the funds. To develop the Plan, DEQ is seeking public input on state goals, criteria, focus areas and other issues associated with spending and disbursing the environmental mitigation trust funds.

To view information and additional resources from other states involved in the Volkswagen Environmental Mitigation Trust settlement please visit the VW Settlement Clearinghouse page. This page includes contact information and other state’s progress on their mitigation plans.

Settlement Documents