SEC 74 Clean School Bus Grant

Purpose: The Section 74(b) Clean Bus Energy Grant helps Michigan schools replace older diesel buses with cleaner alternatives, improving student health and air quality while advancing state clean energy goals. Eligibility: Michigan public school districts and intermediate school districts may apply; high-need districts receive prioritization based on income, environmental risk, and rural or indigenous population criteria, and may qualify for up to 90% funding. Project eligibility: New electric school buses and charging infrastructure are eligible; propane and CNG buses may be funded at lower levels. Replacement projects must retire and scrap the old bus being replaced. Application process: Applicants submit proposals through the State of Michigan NexSys system (via MILogin), completing and uploading required pages, including School Board Awareness Certification, Utility Awareness Certification, Scrappage Statement, and Service Level Agreement. Proposals are due by 12/18/2025. Program office hours and informational webinars are available; questions may be emailed to the program inbox.