Diesel School Bus Replacement Program

In response to the Volkswagen settlement, the Oregon Department of Environmental Quality (DEQ) established the diesel school bus replacement program to support the replacement or retrofit of school buses. Under this program, school districts have the option to install diesel particulate filters or to scrap and replace buses in their fleet. Buses selected for replacement must have at least three years of remaining useful life, have operated in Oregon in the past year, and will continue to operate in Oregon for at least the three years following. The funding amount is up to 100% of costs to purchase and install exhaust controls, or the lesser of $50,000 or 30% of replacement costs to purchase an Oregon minimum standard bus to replace the bus that is scrapped.