Yellowstone-Teton Clean Cities serves as the primary information point for all transportation related funding opportunities in the region.
Funding
State Funding
2025 School Bus Replacement Now Open
The Wyoming Department of Environmental Quality (WYDEQ) is providing over $1,000,000 of grant funding for early replacement of diesel school buses through the Diesel Emissions Reduction Act (DERA 23 and 24 Grants).
The WYDEQ created the School Bus Replacement Program in 2016 with money from the Environmental Protection Agency’s Diesel Emissions Reduction Act and from matching funds from the 2016 Volkswagen Settlement. With this program, WYDEQ has helped replace over 130 buses in Wyoming’s school districts.
The application period is now open for eligible buses.
Montana Clean Transportation Funding
The Montana Department of Environmental Quality (DEQ) is announcing a new funding opportunity to help curb nitrogen oxide (NOx) emissions with clean transportation. Details about the funding opportunity are available on DEQ’s website and draft applications are due by Dec. 5, 2025.
The Clean Truck, Bus & Airport Equipment Program matches funds to replace older diesel trucks, buses or airport ground support vehicles with battery electric, alternate fuel or newer diesel vehicles. Examples of vehicles eligible to receive funding through this opportunity include garbage trucks, school buses, street sweepers, bucket trucks, buses or vehicles that service aircraft between flights.
This funding opportunity is similar to one announced in 2021 and 2024 that successfully funded the first electric school buses and electric street sweepers in Montana. For school districts considering purchasing an electric school bus, the Montana Electric School Bus Technical Assistance Report provides information on actual fuel costs, maintenance issues and performance of electric buses operating in Montana.
Volkswagen Settlement Funds
In 2016, the United States, on behalf of the Environmental Protection Agency (EPA), filed a complaint against Volkswagen due to violations of the Clean Air Act. The allegations were that certain Volkswagen vehicles made between 2009 and 2016 were producing nitrogen oxide (NOx) emissions significantly greater then the act allows. The United States and California entered into three partial settlements with Volkswagen to correct this issue. The first partial settlement required Volkswagen to buy back or modify the emission systems of 85% of their violating vehicles. As well as, be held accountable for the excess Nox emissions by providing a $2.7 billion environmental mitigation trust. Also, Volkswagen was required to invest in and encourage usage of zero-emission vehicles and infrastructure, with a $2 billion ZEV investment program. The second settlement required Volkswagen to add another $225 million to the mitigation trust fund. Lastly, the third partial settlement addressed how to prevent future violations by the company. The Department of Environmental Quality (DEQ) finalized the Volkswagen Mitigation Plan in 2018. In Yellowstone-Teton Clean Cities’ Coalition the states of Idaho, Montana, and Wyoming have access to this funding.
Federal Funding
National Electric Vehicle Infrastructure Program (NEVI) Updates
The U.S. Department of Transportation’s (DOT) Federal Highway Administration (FHWA) NEVI Formula Program provides funding to states to strategically deploy electric vehicle (EV) charging stations and to establish an interconnected network to facilitate data collection, access, and reliability. Funding is available for up to 80% of eligible project costs, including:
The acquisition, installation, and network connection of EV charging stations to facilitate data collection, access, and reliability;
Proper operation and maintenance of EV charging stations; and,
Long-term EV charging station data sharing.
Learn more about this program here.
Below are resources and updates for the Montana, Idaho and Wyoming NEVI programs.
Montana
The Montana Department of Transportation (MDT) and the Montana Department of Environmental Quality (DEQ) developed Montana’s Electric Vehicle Infrastructure Deployment Plan which describes Montana’s approach to meet the goals of the NEVI Formula Program and identifies Montana’s Alternative Fuel Corridors. This Project consists of performing all services necessary to design, construct, operate, and maintain 7 EV charging stations in communities along Montana AFC’s on I-15, I-90, and I-94. The EV charging station locations within the communities are to be determined by Proposers.
The work generally includes the following:
Design and construct a minimum of four network-connected direct current (DC) 150 kilowatt (kW) charging ports, at each of the 7 EV charging stations, capable of simultaneously and continuously charging four EVs, located within a one-mile driving distance of an AFC and available for use by the public 24 hours per day, seven days per week, year-round.
Operate and maintain the EV charging infrastructure for a minimum of five years following EVSE Acceptance pursuant to the Contract in accordance with the O&M period requirements.
Provide secure payment methods.Collect, process, retain, and share near real-time and static data.
Provide a minimum of 20 percent of the Eligible Project Cost.
Advertised Bid Packages: https://www.mdt.mt.gov/business/contracting/advertised-bid-packages.aspx
Q&A Forum: https://www.mdt.mt.gov/business/contracting/qacurrent.shtml
Post a question to the Q&A Forum: https://app.mdt.mt.gov/qaf/external/askQuestion
Idaho
The Idaho Transportation Department is pausing work on the State’s NEVI program until further notice pending a review of the Administration’s Executive Order “Unleashing American Energy.”
Wyoming
The Federal Government approved Wyoming’s Year 2 NEVI Plan. You can see the approval letter here.
To read the plan, click the hyperlinks below.