Rebate Grants Program

A Program of the Texas Emissions Reduction Plan (TERP)

FY18 Rebate Grants Application Workshop Presentation (PDF)

What are the eligible Areas? (Map PDF)

 Applicants

• How Do I Know If I Am Eligible for a Grant?
• How Do I Apply for a Grant?
• Maximum Rebate Grant Amount Tables

How Do I Know If I Am Eligible for a Grant?

The Rebate Grants program provides grants to repower or replace older on-road heavy-duty diesel vehicles and select non-road heavy-duty diesel equipment. This section lists general information about eligible applicants, vehicles/equipment, projects, and areas under the Rebate Grants Program. For complete information applicants should refer to the latest Request for Grant Applications (RFGA).

Eligible Applicants:

• Persons who operate or plan to operate on-road heavy-duty vehicles or non-road equipment in the eligible counties as designated below are eligible to apply for a rebate grant.
• Eligible applicants include individuals, corporations, organizations, governmental subdivisions or agencies, business trusts, partnerships, associations, or any other legal entity.
• Entities meeting the definition of a small business, as explained below, may be eligible for special funding consideration. Under this program, a small business is defined as a person who:
  1. owns and operates not more than five vehicles or pieces of equipment, one of which is:
     1. an on-road diesel heavy-duty vehicle; or
     2. a non-road diesel-powered piece of equipment with a engine with uncontrolled emissions; and
  2. has owned the vehicle or equipment described under (1)(a) or (b) above for more than two years.
• Entities applying to replace or repower vehicles and equipment damaged or destroyed as a result of Hurricane Harvey may be eligible for special funding consideration.

Eligible Vehicles and Equipment:

•  Heavy-Duty On-Road Diesel Vehicles must have a gross vehicle weight rating (GVWR) of 8,500 pounds or more and be certified by the Environmental Protection Agency (EPA) to the heavy-duty vehicle federal emission standard.
• Heavy-Duty Non-Road Diesel Equipment consistent with the equipment types, horsepower ranges, and model years listed in the Maximum Rebate Grant Amount Tables.

Project Categories for Eligible Vehicles and Equipment:

• Replacement: The replacement of an eligible vehicle or piece of equipment with a newer vehicle or piece of equipment.
• Repower: The replacement (repower) of an existing engine in an eligible vehicle or piece of equipment with a new, rebuilt, or remanufactured engine.

Project Requirements:

• For at least the two years immediately preceding the submission of the grant application, on-road heavy-duty vehicles being replaced or repowered must have been:
  • owned, leased, or commercially financed by the grant applicant;
  • used in its primary function in the routine operations of the applicant in Texas; and
  • continuously registered and used in Texas; and
  • continuously had an up-to-date inspection.
• For at least the two years immediately preceding the submission of the grant application, non-road heavy-duty equipment being replaced or repowered must have been:
  • owned by the grant applicant; and
  • used in its primary function in the routine operations of the applicant in Texas.
• Hurricane Harvey Exception. The TCEQ is providing an exception to the requirement that a vehicle/equipment to be repowered or replaced is being used in its primary function in the routine operations of the applicant as a result of the vehicle being damaged or destroyed by Hurricane Harvey. Applicants applying under a Hurricane Harvey exception should review Appendix E, and complete Supplemental Form 1: Harvey Exception, in addition to the project application forms.

Eligible Areas:

For this grant funding period, the eligible counties (grouped by area) include:

• Austin Area: Bastrop, Caldwell, Hays, Travis, and Williamson Counties
• Beaumont-Port Arthur Area: Hardin, Jefferson, and Orange Counties
• Corpus Christi Area: Nueces and San Patricio Counties
• Dallas-Fort Worth Area: Collin, Dallas, Denton, Ellis, Henderson, Hood, Hunt, Johnson, Kaufman, Parker, Rockwall, Tarrant, and Wise Counties
• El Paso Area: El Paso County
• Houston-Galveston-Brazoria Area: Brazoria, Chambers, Fort Bend, Galveston, Harris, Liberty, Montgomery, and Waller Counties
• San Antonio Area: Bexar, Comal, Guadalupe, and Wilson Counties
• Tyler-Longview Area: Gregg, Harrison, Rusk, Smith, and Upshur Counties
• Victoria Area: Victoria County

Operation Requirements for New Vehicles and Equipment:

•  The applicant must commit to use the new vehicle or equipment at least 75% of its total annual mileage or hours of operation in the counties that the applicant designates in the application.
• Grant recipients must monitor and report annually on location and mileage or hours of use over the activity life of the grant.

Maximum Eligible Grant Amounts:

Maximum Rebate Grant Amount Tables are arranged according to emissions source (on-road or non-road), and activity life (5 year or 7 year). Applicants may be eligible for up to the maximum grant amount listed for the type of activity or 80% of the eligible costs, whichever is less.

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Rebate Grants Program: How Do I Apply for a Grant?

This section outlines the process for completing and submitting a grant application under the Rebate Grants program. Interested entities should review the Request for Grant Applications (RFGA) and Rebate Grants Example Contract before completing and submitting the Application Forms.

Follow these steps:

STEP 1: Download and review copies of the RFGA and Rebate Grants Program Example Contract.

• Request for Grant Applications (RFGA) (PDF): The RFGA is the formal announcement of funding opportunities under the Rebate Grant Program, and serves as a guide for determining applicant eligibility.
• Rebate Grants Example Contract (PDF): The Rebate Grant Program Example Contract contains the terms and conditions which are the legal criteria that an applicant must follow if awarded a grant under the Rebate Grants Program.

STEP 2: Determine your Maximum Rebate Grant Amount using the instructions provided in Appendix A of the RFGA and the Maximum Rebate Grant Amount Tables.

STEP 3: Download a copy of the Replacement or Repower Project Application, Replacement or Repower Project Application Instructions, and W-9 Form.

Application Forms	PDF	Excel
Replacement Project Application (TCEQ-20332a): Application for the replacement of an eligible vehicle or piece of equipment with a newer vehicle or piece of equipment.	PDF	Excel
Replacement Project Application Instructions: Instructions for completing the Replacement Project Application.	PDF
Repower Project Application (TCEQ-20332b): Application for the replacement (repower) of an existing engine in an eligible vehicle or piece of equipment with a new, rebuilt, or remanufactured engine.	PDF	Excel
Repower Project Application Instructions: Instructions for completing the Replacement Project Application.	PDF
Supplemental Form 1: Harvey Exception (if applicable) Complete this form if the vehicle/equipment being replaced was damaged or destroyed by Hurricane Harvey.	PDF	Excel
W-9 Form: Request for Taxpayer Identification Number and Certification	PDF

If using Excel, each form of the Rebate Grants Program application Forms is on an individual worksheet within the Workbook. Use the tabs located at the bottom of the worksheet to access each form.

In order to print allthe pages located in the workbook, please follow these directions: (1)Click on "File"; (2)Click on "Print"; (3)Under the "Print What" section, select "Entire Workbook".

The TCEQ is committed to accessibility. If you would like to request a more accessible version of these documents, please contact the TERP program at 800-919-TERP

STEP 4: Complete and submit the Replacement or Repower Project Application using the instructions provided.

Applicants must electronically complete and submit via regular or express mail two (2) original copies (only original signatures will be accepted) of the following documents to be considered for eligibility:

• Rebate Grants Program Replacement Project Application Form (TCEQ-20332a) or Rebate Grants Repower Project Application Form (TCEQ-20332b)
• W-9
• If applying as an individual or sole proprietor, a photocopy of a state of federal identification card must be included
• Color photographs of old vehicle/equipment
• Proof of ownership (titles for on-road vehicles)
• Proof of current registration (on-road vehicles)
• A primary price quote for the new vehicle/equipment 
• Price Comparison Information

Questions on obtaining the RFGA and Rebate Grants Example Contract, determining the eligibility of a project, or completing and submitting applications? Contact TERP Staff to discuss.

Maximum Rebate Grant Amount Tables

• Determine your Maximum Rebate Grant Amount: Use these instructions and the Maximum Rebate Grant Amount Tables below to determine your Maximum Rebate Grant Amount.
  • Replacement Project Instructions
  • Repower Project Instructions
  • Emission Standards and Tier Levels by Year
  • Emission Factors: California Air Resources Board (CARB) On-Road Certification Database
  • Emission Factors: California Air Resources Board (CARB) Non-Road Certification Database

The TCEQ is committed to accessibility. If you would like to request a more accessible version of these documents, please contact the TERP program at 800-919-TERP (8377).

(Help with Downloading Files.)

Non-Road Heavy-Duty Equipment

On-Road Heavy-Duty Vehicles 

GVWR = Gross Vehicle Weight Rating. The value specified by the manufacturer as the maximum design loaded weight of a vehicle. This is the weight as expressed on the vehicle’s registration, and includes the weight the vehicle can carry or draw.

Contact Information:

Terp Staff
800-919-TERP (8377)
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