New Truck Lease Subsidy Program Begins
Applications accepted beginning Monday, May 18
May 15, 2009
The Port of Long Beach announces the beginning of a new round of funding for subsidized leases and loans in its $42.5 million Clean Truck Financing Program to help truck owners meet the requirements of its Clean Trucks Program.
In addition to funding new liquefied natural gas or diesel fueled trucks equipped with engines that meet the U.S. EPA’s 2007 heavy-duty engine emission standard, the Port’s revised Clean Trucks Program will also fund retrofit devices that reduce diesel soot and oxides of nitrogen emissions by at least 85% and 25% respectively. Funding is limited, and not all applicants will receive awards.Program overviewProgram overview (Spanish)LNG truck applicationDiesel truck applicationRetrofit applicationTruck options
Applications for subsidized loans and leases for new trucks, as well as grants for retrofit devices, will be accepted beginning Monday, May 18. Since funding is limited, applications will only be accepted for three weeks. The close of applications will be 4 p.m., Friday, June 5, 2009.
In early July, a random drawing will be used to award financing in three categories:
- Applicants requesting Sterling Liquefied Natural Gas (LNG) trucks;
- Applicants for other U.S. EPA 2007 complaint LNG and diesel trucks;
- Applicants for retrofit devices
A single applicant may receive funding for no more than 10 vehicles, but these 10 awards can be spread over the three categories. Should more funding become available or recipients return unused funds, a new drawing will be held.
Applicants for new truck leases or loans must commit to drive the Port-funded truck in port drayage for seven years, and make at least 300 trips a year to the Port, while applicants for retrofits must commit to two years and 150 trips a year to the Port. Applicants for either clean trucks or truck retrofits must also demonstrate that they have been working in port drayage for at least a year prior to application.
Applicants for clean trucks will have a choice between a subsidized lease and a subsidized loan. The "best" option for each applicant will depend on individual circumstances. Applicants must select a new truck from the Port’s pre-approved list. Only minor “options” for the truck are allowed, at the owner’s cost.
Truck owners can obtain either 2007 compliant LNG or diesel trucks through the Port’s funding program. Cargo owners using 2007 compliant LNG trucks are not charged the Port’s Clean Truck Fee (CTF). If, however, truck owners elect to use the Port funds to purchase or lease a 2007 compliant diesel truck, cargo owners using the funded truck will be charged the CTF. In addition, applicants for LNG trucks do not have to scrap an old truck to qualify for financial support, while truck owners who want to use their funds for a diesel truck must scrap their old truck and show proof of this scrappage.
The Port of Long Beach will also provide up to $20,000 in a one-time payment for a California Air Resources Board (ARB) verified diesel emission control (VDECs) retrofit device. The funds must be used for the purchase and installation of an emission control device that achieves at least an 85% reduction in emissions of diesel particulates and at least a 25% reduction in NOx, a key component in the formation of smog. Port retrofit funds may not be used to repair or upgrade the truck or any of its components.
Applicants for retrofit devices are advised that the units that are currently ARB-approved will not reduce emissions enough to enable the truck to avoid being banned from the Port on January 1, 2012. The retrofit device will, however, enable Model Year 1994 – 2003 trucks to continue to have access to the port’s marine terminals until 2012. Otherwise, non-retrofitted 1994 to 2003 trucks will be banned on January 1, 2010.
Interested applicants can obtain the funding application forms at the Clean Truck Center or via the Port website. Assistance is available in English or Spanish during normal working hours at the Port’s Clean Truck Center, located on Terminal Island at 3593 New Dock St. in San Pedro (Pier S Avenue and New Dock St.) All application forms and additional program information will be provided to interested truck owners when they visit the Clean Truck Center. To obtain additional details and make an appointment to meet with an advisor at the Clean Truck Center, truck owners should call or visit the Clean Truck Center at 888-KLN-TRUX (888-556-8789).