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Public Agency Grants (AB2766)

Grants to California Public Agencies and Individuals for
Vehicle Emission Reduction Projects and Purchases

Agency Type:


Funding Source:

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Monterey Bay Air Resources District (MBARD)

Deadline Date:

07/24/20 4:00 PM


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Grants to California public agencies and individuals in eligible counties for projects and purchases that promote vehicle emission reduction. Funding is available for traffic signal coordination, zero-emission vehicles, roundabout construction, planning, enforcement, monitoring, and technical studies. Projects must be implemented in Monterey, San Benito, or Santa Cruz Counties.

To be eligible, a project must reduce, or enable the reduction of motor vehicle ozone precursor pollutants and particulate matter (10 microns in diameter or less). Emission reduction projects must enable the reduction of ozone precursor emissions (ROG, NOx) and PM from vehicle sources. 

AB2766 FY21 will contain two major components: the Clean Air Management Program for fixed asset projects that yield direct motor vehicle emission reduction and the Clean Vehicle Program to incentivize the purchase of light, medium, and heavy-duty electric vehicles within MBARD jurisdiction.

Clean Air Management Program: These projects are identified as fixed asset for which travel activity data is available to calculate the expected reductions in motor vehicle emissions. Typical projects include roundabout design/construction, adaptive traffic signal control system installations, and fleet electrification. Projects in this category are scored based on calculated emissions reduced.

Clean Vehicle Program

  • Light-Duty EV Voucher Incentive Replacement Program: Vouchers are available for light-duty public agency fleets under this program. Recipients must replace the existing public agency fleet vehicle with a battery electric vehicle (BEV). 
  • Monterey Bay Light-Duty EV Incentive Program (MBARD EVIP): Incentives are available to the general public (no public agencies or private businesses) and may be used to purchase or lease new or used light-duty BEVs, plug-in hybrid electric vehicles (PHEV) and new fully electric motorcycles. The existing owned vehicle does not need to be replaced. 

GrantWatch ID#:

GrantWatch ID#: 143977

Estimated Total Program Funding:


Estimated Size of Grant:

- Clean Air Management Program: Maximum funding per project will be $400,000.

- EV Voucher Replacement Program Awards shall be subject to the existing funding allocations based on population per county and the cap per electric vehicle shall be $10,000 for public agencies. New vehicles may be purchased or leased (minimum of 3 years required). Certified used vehicles may be purchased with a voucher funding cap of $7,500 (remaining battery life must be disclosed at time of purchase).

- EV Incentive Program for the general public: Incentives for BEVs are capped at $1,000, incentives for PHEVs are capped at $500 and fully electric motorcycles are capped at $200. Used BEVs and PHEVs will be eligible for a scaled-down incentive formula: $750 for a used BEV and $300 for a used PHEV from an authorized dealer, (remaining battery life must be disclosed to the buyer at time of purchase).

Term of Contract:

All eligible projects with the exception of the MBARD EVIP must be completed within the two-year grant project term period. A one-time extension of the grant project term may be authorized at the discretion of the MBARD Board.

MBARD EVIP: The program will run within the fiscal year.

All expenditures for projects shall be incurred or invoiced after the start date and before the expiration date of the Grant Agreement.

Additional Eligibility Criteria:

Applicants must be authorized officials of public agencies and implement the project within one or more of the following counties: Monterey, San Benito, and Santa Cruz. Grants may be awarded only to the public agency or agencies that submitted the application, with one agency acting as a signatory of a Grant Acceptance Agreement.

Clean Air Management Program: Only public agencies may apply for projects, which must be implemented in Monterey, San Benito and/or Santa Cruz Counties.

The Monterey Bay Clean Light-Duty EV Incentive Program will only be offered to residents of Monterey, Santa Cruz and San Benito counties. Incentives are available to the general public (no public agencies or private businesses)

Applicant will not apply any AB2766 grant funds to reimburse any costs of preparation of applications or preliminary work related to obtaining the AB2766 grant.

Pre-Application Information:

- April 16, 2020: Staff posts announcement and grant application packet to District website
- July 24, 2020: All applications due to the MBARD office no later than 4:00 pm
- July 27, 2020: Staff posts list of all eligible applicants for FY20 funding on the MBARD Website
- August 14, 2020: Staff completes scoring and ranking of eligible FY20 applications
- September 16, 2020: Staff grant award recommendations presented at September 2018 Board meeting. Selected projects are announced by Board.

Applicants may submit applications for more than one project, but each application should be for a single project type.

EV Incentive Program for the general public will be based on a first come first served basis until all program funds are depleted within the fiscal year.

AB2766 grants are reimbursement grants payable to Grantees for expenses incurred in accordance with signed grant Agreements.

EV Voucher Replacement Program: Local match funding shall be required on all public agency electric vehicle incentive program projects. Vouchers will be limited to only one per applicant.

The terms and conditions of each Agreement vary, and include, but are not limited to the following:
- All other funding needed to implement the project shall be secured prior to Grantee signature on the Grant Acceptance Agreement.
- Unless requested by the Grantee and included in the grant Agreement, advance payments are not allowed.
- All grantees shall submit quarterly reimbursement requests throughout the project term along with a quarterly project progress report to receive payment for expenditures.
- Grant funds shall be disbursed to the agency signing the Agreement, or to other parties if requested by Grantee and so specified in the Agreement.
- Payment shall be within 30 days of District approval of a reimbursement request, unless otherwise specified in the Agreement.

Contact Information:

Before starting your grant application, please review the funding source's website listed below for updates/changes/addendums/conferences/LOIs.

The application packets are available below.

For questions or more information, please call Alan Romero at (831) 718-8030,

Monterey Bay Air Resources District
24580 Silver Cloud Court
Monterey, CA 93940
Phone: (831) 647-9411 | Fax: (831) 647-8501

Funding or Pin Number:

FY20 AB2766

URL for Full Text (RFP):

Geographic Focus:

USA: California: Monterey, San Benito, and Santa Cruz Counties

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