Transportation Climate-Related Highlights from the Legislative Session

Leading into the final year of the 2021-2022 Vermont Legislative Biennium, we had high hopes for progress toward achieving Vermont’s carbon reduction requirements while simultaneously helping Vermonters recover from the pandemic-related fiscal crisis. With an influx of federal relief funds through the American Recovery Plan Act (ARPA), the Infrastructure Investment and Jobs Act (IIJA), and the hopes of Build Back Better, we had ambitious goals for the transportation sector. 

In addition, the Vermont Climate Action Plan which was released in December declared that most of these transportation policies were not just environmental wishlists but were solid policy proposals to meet Vermont’s carbon reduction requirements. The demise of the regional Transportation Climate Initiative meant Vermont needed to make some bold investments in transportation that could not wait for future legislatures.

Thankfully, climate champions Representatives Bartholomew, Burke, McCormack, Stebbins, and White led the charge with the introduction of the Transportation Innovation Act (TIA) H.522. The bill called for a suite of policies and appropriations to rapidly transform transportation choices. For vehicle electrification, the bill called for Vermont to appropriate sufficient funds to meet our carbon reduction targets this year.  Shortly thereafter the Governor followed with the Administration's recommended budget which proposed similar dollar amounts for the vehicle electrification programs. However, his budget was contingent on utilizing American Recovery Plan Act (ARPA) and the funds were to be slated for successive years. 

After months of testimony, we are pleased to see the progress made on the transportation front and appreciative that our transportation allies ensured that Vermont is now prioritizing these investments by designating Vermont general funds for the vehicle electrification programs.  This means that funds are available this upcoming fiscal year and are intended to be used sooner, rather than later.

While we are excited that the Vermont Legislature has taken seriously the need for investments in vehicle electrification, we still would like to see more progress in making roads safer for bicycles and pedestrians, expanding transit options, and exploring alternative funding mechanisms that incentivize clean transportation choices. Vermont must move forward in making the $600+  transportation budget consistent with the state's climate and equity goals.

Below are the highlights of the progress we have made in Vermont this year.

I. Transportation Bill H.736 and the Appropriations Bill H.730

Electric Vehicle (EV) Incentives and Marketing

(A) Incentive Program for New Plug-in Electric Vehicles (PEVs). The legislature authorized  $12,000,000 for PEV purchase and lease incentives under the Incentive Program for New PEVs.

(B) MileageSmart.  The legislature authorized up to $3,000,000 for purchase incentives under MileageSmart, which is the State’s used high-fuel-efficiency vehicle incentive program. They also capped administrative costs.

(C) Replace Your Ride.  The legislature authorized $3,000,000 for incentives under Replace Your Ride, which will be the State’s program to incentivize Vermonters to remove older low-efficiency vehicles from operation and switch to modes of transportation that produce fewer greenhouse gas emissions and, again, with capped administrative costs. This program was originally created in the 2021 Transportation Bill and is expected to be launched in the coming months.

(D) eBike Incentives. The legislature authorized  $50,000 for incentives under a continuation of the eBike incentives, which will be the State’s programs for providing incentives for purchasing electric bicycles, again with capped administrative costs. This program was originally created in the 2021 Transportation Bill and is expected to be launched in the coming months.

(E) Drive Electric Vermont (DEV).  The legislature authorized up to $2,000,000 to expand Vermont’s public-private partnership with DEV to support the expansion of the PEV market. DEV is the lead resource for vehicle electrification expertise and marketing in Vermont.

EV Charging Infrastructure-Electric vehicle supply equipment (EVSE).

In furtherance of the State’s goal to increase the presence of EVSE in Vermont:

(A) The legislature authorized up to $6,250,000 to install level 3 EVSE along with the State highway network and to cover capped administrative costs. 

(B) The transportation bill also amends Vermont’s goal to have a level 3 EVSE charging port available to the public within one driving mile, down from five miles, of every exit of the Dwight D. Eisenhower National System of Interstate and Defense Highways within the State and 25 driving miles, down from 50 miles, of another level 3 EVSE charging port available to the public along a State highway.

C)  The legislature authorized up to $10,000,000 to install EVSE at multi unit dwellings, workplaces, and public venues and attractions, such as parks, State Parks, access areas, downtowns, museums, and ski mountains, and to cover capped administrative costs. As advocates, we were supporting more money for the multi unit dwellings and workplaces to ensure that lower and middle income households could access charging infrastructure at home and work. The Governor had proposed $3 million exclusively for State parks and access areas, however, the Senate lumped those facilities in with this whole program.

D) The legislature extended by three years the July 1, 2022 sunset provision contained in 32 V.S.A. § 604 on State agencies’ and departments’ authority to establish and collect fees from the public use of their electric vehicle supply equipment (EVSE).

Transformation of the State Vehicle Fleet. 

The Department of Buildings and General Services, which manages the State Vehicle Fleet, currently has 18 plug-in hybrid electric vehicles and 11 battery electric vehicles in the State Vehicle Fleet. In fiscal year 2023, the Commissioner of Buildings and General Services will continue to purchase and lease vehicles for State use in accordance with 29 V.S.A. § 903(g), which requires, to the maximum extent practicable, that the Commissioner purchase or lease hybrid or plug-in electric vehicles, with at least 75 percent of all vehicles purchased or leased being hybrid or plug-in electric vehicles.

Public Transit Program

The Transportation Bill authorized $50,239,278 for public transit uses throughout the State, a 9.6 percent increase over fiscal year 2022 levels. Included in the authorization are:

(A) Go! Vermont. With an authorization of $873,000, Go! Vermont will support transportation demand management (TDM) strategies, including the State’s Trip Planner and commuter services, to promote the use of carpools and vanpools.

(B) Mobility and Transportation Innovation (MTI) Grant Program, with an authorization of $1,500,000, this program will continue to support projects that improve both mobility and access to services for transit-dependent Vermonters, reduce the use of single-occupancy vehicles, and reduce greenhouse gas emissions. At least $1,250,000 of this authorization shall go towards microtransit projects. The Vermont Sierra Club advocated for $10 million for this program because we saw the need to create flexible and innovative transit options, however, the Agency stated there was not enough demand for the program.

(COne-time public transit monies were authorized and set at $1,200,000 to continue fare- free transit in urban routes. This authorization will allow public transit providers to, as practicable, provide zero-fare public transit on routes other than commuter and LINK Express and restore service to pre-COVID19 levels. Ideally, we would have preferred funding for both route restoration and fare-free service, so we hope transit providers will continue with the intentions of fare-free service.

See below for the bus electrification plan.

Bike and Pedestrian Programs. 

The Transportation Bill Act, in concert with 2020 Transportation Bill provides for a fiscal year expenditure, including local match, of $19,793,776, which will fund 29 bike and pedestrian construction projects and 18 bike and pedestrian design, right-of-way, or design and right-of-way projects for construction in future fiscal years. The construction projects include the creation, improvement, or rehabilitation of walkways, sidewalks, shared-use paths, bike paths, and cycling lanes; funding for the small-scale municipal bicycle and pedestrian grant program for projects selected during the fiscal year; funding for projects funded through the Safe Routes to School program; and funding for education and outreach to K–8 schools to encourage higher levels of walking and bicycling to school.

Vermont State Standards.  The Transportation Bill requires the Agency to develop a plan for updating the Vermont State Standards. The state standards have not been updated since 1997 and we hope to push the agency to update the standards in a timely manner.

Bicycle and Pedestrian Planning Integration Program.  The Transportation Bill requires the Agency to establish a program to support the continued development and buildout of bicycle and pedestrian infrastructure.

Transportation Alternatives Program. 

The Transportation Bill provides for a fiscal year expenditure of $5,665,880, including local funds, which will fund transportation alternatives construction projects and transportation alternatives design, right-of-way, or design and right-of-way projects. These projects involve environmental mitigation related to clean water or stormwater concerns or that involve bicycle and pedestrian facilities. 

Rail Program. The Transportation Bill authorized $35,363,182, including local funds, for intercity passenger rail service and rail infrastructure throughout the State, including the return of New York City–Burlington passenger rail service.

Carbon Reduction Program. The Transportation Bill requires the Agency of Transportation to consult with the Vermont Climate Council and ensure that within the Agency of Transportation’s Proposed Transportation Program for fiscal years 2024, 2025, and 2026 all federal monies that are proposed by the State for expenditure under the Carbon Reduction Program are allocated toward projects that align with the recommendations of the Climate Action Plan (CAP).

II. Actions not addressed in the Transportation Bill, but progress is being made.

Transitioning to Phase Out Electric Vehicles with Clean Cars II and Clean Trucks

The Climate Action Plan (CAP) calls for the Agency of Natural Resources to promulgate rules to follow California’s lead in adopting the Advances Clean Cars II and Advances Clean Truck rules. These rules will require manufacturers to sell more zero-emission vehicles. The Agency of Natural Resources is slated to propose a draft rule by July 1, 2022, and following the notice and comment period the agency is required to adopt the rules by December 1, 2022.

See the details here:

Advanced Clean Cars II (ACCII) and Advanced Clean Trucks (ACT) Rule Documents

Bus Electrification.

The Vermont Agency of Transportation’s Public Transit Program is putting in place the case studies and metrics necessary to ensure that electric transit vehicles are capable of maintaining the routes and services currently in place and planned for the future. Vermont has a total of 14 electric vehicles planned or in operation in Vermont as of January 1, 2022.  The Agency of Transportation plan specifies that by 2025 at least 10 % of the vehicle fleet will transition to electric; and by 2050 that 80% (should be 100%) of the vehicle fleet will be electric. The Agency of Transportation is committed to applying for ten electric buses through the Low-No-Emissions competitive grants as authorized in the Infrastructure Investment and Jobs Act(IIJA). See the plan here: https://legislature.vermont.gov/Documents/2022/WorkGroups/House%20Transportation/Public%20Transit/W~Ross%20MacDonald~VTrans%20Zero%20Emissions%20Transition%20Plan~1-13-2022.pdf