Michigan Propane School Buses

Q: Michigan Clean Diesel Program

COMING SOON Includes propane vehicles. Buses, medium heavy-duty or heavy heavy-duty trucks, marine engines, locomotives, non-road engines, equipment, or vehicles used in: construction, handling of cargo (including at a port, airport, or train yard), agriculture, mining, industry and energy production. A total of $375,960 is available. All grant proposals should be between $25,000 (the minimum) and $375,960 (the maximum). CONTACT: Dan Zbozien, EGLE ZbozienD@Michigan.gov (517) 290-5722 More info->

Q: Clean School Bus Program Rebates

Deadline: Round Closed, Next round coming soon Includes propane school buses or buses in service for transportation of students. EPA anticipates awarding approximately $400 million in competitive grant funding under the Clean School Bus (CSB) Grants Program Notice of Funding Opportunity (NOFO) . CONTACT: Clean School Bus Program cleanschoolbus@epa.gov More info ->

Q: Diesel Emissions Reduction Act (DERA) Grant

CLOSED Includes propane vehicles. Eligible diesel vehicles, engines, and equipment include School buses, Class 5 – Class 8 heavy-duty highway vehicles, Locomotive engines, Marine engines, Non-road engines, equipment or vehicles used in construction, handling of cargo (including at ports or airports), agriculture, mining or energy production (including stationary generators and pumps). CONTACT: DERA Helpline dera@epa.gov 877-623-2322

One-stop for huge savings on vehicle fuel, maintenance, fueling infrastructure, and tailpipe emissions.

Propane Bus Qualities

Click Image to Enlarge

Micro Bird G5 School Bus

With their precious cargo, school bus companies take every precaution to ensure the safety of the children they transport on a daily basis. The Blue Bird Micro Bird G5 is a Type A multi-function school activity and commercial bus fueled by non-toxic, non-carcinogenic and non-corrosive propane autogas.

Source: https://www.roushcleantech.com/micro-bird-product-page/

Click Image to Enlarge

Blue Bird Type C School Bus

The Blue Bird Vision equipped with propane autogas fuel system provides the most tank options available of any propane-powered school bus.

Source: https://www.roushcleantech.com/blue-bird-type-c-school-bus/

Purchase New / Used School Buses and Maintenance through Roush and Holland Bus Co.

Easy to Install Infrastructure

	Off-site Private/Public Network	On-site Standard Private Fueling Station	On-site Advanced Private Fueling Station
Ownership	None, Off-site Fueling Station	On-site, Propane Supplier Owns	On-site, Propane Supplier Owns
Vehicle Access	24/7 by Keycard	24/7	24/7
Vehicle Limit	Unlimited	< 50 vehicles	50 + vehicles
Infrastructure Costs	None	District Covers Onsite Prep Costs $1,500 – $15,000 (Crash Protection, Electrical)	District Covers Onsite Prep Costs $5,000 – $75,000 (Crash Protection, Electrical)
Propane Tank Size	N/A	Propane Supplier Sets 1,000 – 3,000 Gallon Propane Tank	Propane Supplier Sets High-Capacity Propane Tank w/Canopy
Equipment Costs	None	None—if Owned by Propane Supplier Propane Supplier Installs Pump, Meter and 1 or more Dispensers If School District Owns Equipment: $20,000 – $60,000	None—if Owned by Propane Supplier Propane Supplier Installs Pump, Meter and Multiple Fuel Dispensers If School District Owns Equipment: $60,000 – $225,000
Propane Cost per Gallon	Negotiated with Propane Supplier	Negotiated with Propane Supplier	Negotiated with Propane Supplier

Work With Your Propane Provider to
Get the Lowest Cost Per Mile

Work With Your Propane Provider to Get the Lowest Cost Per Mile

There are 380 Propane Marketers in Michigan, Use the Map to Find One in Your Local Area

Propane Public Fueling Stations
& Service Centers

Rebate Application

Receive up to $16,000 from the MPGA

The MPGA is offering fleet owners propane vehicle rebates

Apply Today! Rebates are available first come, first serve, while funding lasts.

Propane Vehicle Rebate Eligible Options include:

New propane school bus – $4,000/bus, up to $16,000
Used propane school bus (not lease) –$2,000/bus, up to $4,000
New Propane Vehicle – $4,000/vehicle, up to $16,000
New Propane Vehicle Conversion (EPA) – $4,000/unit, up to $16,000

Download the 1-page application(s) from: MIAutogas.com

Vehicle Information
Applicant information
Propane Supplier information
Attach invoice for new propane vehicle or propane retrofit system

Return completed application in 1 of 3 ways:

Email to: mpga@kdafirm.com
Fax to: (517) 485-9408
Mail to:
MPGA
629 W. Hillsdale St.
Lansing, MI 48933
OR
Upload Completed Application Below

Questions? Contact the Rebate Team: (517) 312-0097

Qualifications

Michigan Grants

Michigan Clean Diesel Program

COMING SOON

Includes propane vehicles. Buses, medium heavy-duty or heavy heavy-duty trucks, marine engines, locomotives, non-road engines, equipment, or vehicles used in: construction, handling of cargo (including at a port, airport, or train yard), agriculture, mining, industry and energy production.

A total of $375,960 is available. All grant proposals should be between $25,000 (the minimum) and $375,960 (the maximum).

CONTACT:
Dan Zbozien, EGLEZbozienD@Michigan.gov(517) 290-5722

More info->

Michigan Clean Bus Energy Grant Part 3

What:

MI Clean School Bus Grant – $125 million to purchase no- or low-greenhouse gas emission school buses, including alternative fuel vehicles, such as charging stations, as eligible expenses.

Who Can Apply:

Any School District
School District must be the applicant, no third-party vendors

What:
Propane School Buses:

40% Costs Covered – prioritized school districts
25% Costs Covered – non-prioritized school districts
1 School Bus minimum, 10 School Bus maximum, or 50% of your fleet, whichever is fewer.

Detail Launch:
November 4th, 2024

Grant Deadline:
May 2nd, 2025

Link to Grant

Contact:
Troy Hansbarger, Michigan Dept. of Education
hansbargert@michigan.gov

Katrina Morris, Executive Director, Michigan Association of Pupil Transportation
kmorris@wsesd.org

Add-Ons (Each qualifying add-on increases the funding amount by 5%):

High need district/SAIPE: School Districts listed in the Small Area Income and Poverty Estimates (SAIPE) School District estimates for 2022 as having 15% or more students living in poverty.

Tribal School: School districts that are federally funded through the Bureau of Indian Affairs, School districts that receive basic support payments under section 7703(b)(1) of Title 20 for children who reside on Indian land

NAAQS: School districts residing in a county currently designated as in nonattainment or maintenance status for NAAQS

Free/Reduced Lunch: School Districts with the percentage of students receiving free and reduced lunch for the 2022-23 school year greater than or equal to 70%

Rural School District: Limited to school districts identified with locale codes “42 rural distant or “43 rural remotes” by the National Center for Educational Statistics

ADA-Accessible Bus School districts wishing to utilize funding to purchase an ADFA-accessible school bus

The Michigan Department of Education (MDOE) encourages school districts to stack funding; Stackable funding must be received on January 1st or after. The Michigan Propane Gas Association’s propane vehicle rebate qualifies as additional funding. If you apply, stack the MPGA’s rebate funding with it!

National EPA Grants

Clean School Bus Program Rebates

Deadline: Round Closed, Next round coming soon

Includes propane school buses or buses in service for transportation of students. EPA anticipates awarding approximately $400 million in competitive grant funding under the Clean School Bus (CSB) Grants Program Notice of Funding Opportunity (NOFO).

CONTACT:

Clean School Bus Program

cleanschoolbus@epa.gov

More info ->

Diesel Emissions Reduction Act (DERA) Grant

CLOSED

Includes propane vehicles. Eligible diesel vehicles, engines, and equipment include School buses, Class 5 – Class 8 heavy-duty highway vehicles, Locomotive engines, Marine engines, Non-road engines, equipment or vehicles used in construction, handling of cargo (including at ports or airports), agriculture, mining or energy production (including stationary generators and pumps).

CONTACT:DERA Helplinedera@epa.gov877-623-2322

National Tax Credit Information

Alternative Fuel Refueling Property Credit

If you’re installing propane fueling infrastructure between January 1, 2023, and December 31, 2032, you may qualify for the Alternative Fuel Vehicle Refueling Property Credit. Businesses can receive:

6% of installation costs (up to $100,000), or
30% of installation costs (up to $100,000) if labor and apprenticeship rules are met.

This credit applies to fuel dispensers and essential parts like installation labor. Tax-exempt entities, including state and local governments, may also qualify for the same credit.

For residential installations, consumers can claim a credit of up to 30% of the cost (up to $1,000) for propane fueling equipment installed at their homes.

To qualify, fueling equipment must be installed in a low-income or rural area. Check if your location qualifies using the 30C Tax Credit Eligibility Locator.

For more information, see IRS Form 8911.

Fuel Type	Light Duty	School Buses	Paratransit	Single Unit Short-Haul Truck	Single Unit Long-Haul Truck
Propane	$60,000	$140,000	$48,000	$104,000	$89,000
Electric	$93,000	$410,000	$93,000	$250,000	$185,000
Diesel	$63,000	$138,000	$53,000	$90,000	$75,000
Gasoline	$52,000	N/A	$42,000	$90,000	$75,000

	Propane	Gasoline	Diesel	Electric
Chemical Structure	C3H8 (majority) and C4H10 (minority)	C4 to C12 and Ethanol ≤ to 10%	C8 to C25	N/A
Fuel Material (feedstocks)	Fats and oils from sources such as soybeans, waste cooking oil, animal fats, and rapeseed	Crude Oil	Crude Oil	Natural gas, coal, nuclear, wind, hydro, solar, and small percentages of geothermal and biomass
Gasoline or Diesel Gallon Equivalent (GGE or DGE)	1 gal = 0.74 GGE 1 gal = 0.66 DGE	1 gal = 1.00 GGE 1 gal = 0.88 DGE	1 gal = 1.12 GGE 1 gal = 1.00 DGE	1 kWh = 0.030 GGE 1 kWh = 0.027 DGE
Energy Comparison (GGE = Gasoline Gallon Equivalent)	gallon of propane has 73% of the energy in 1 GGE due to the lower energy density of propane.	1 gallon of gasoline has 97%–100% of the energy in 1 GGE. Standard fuel is 90% gasoline, 10% ethanol.	1 gallon of diesel has 113% of the energy in 1 GGE due to the higher energy density of diesel fuel.	A typical battery that is the same size as a gallon of gas (0.134 ft3), when used for transportation, can store 15.3% of the energy in 1 GGE. [6][7]
Energy Content (lower heating value)	84,250 Btu/gal (c)	112,114– 116,090 Btu/gal (c)	128,488 Btu/gal (c)	3,414 Btu/kWh
Energy Content (higher heating value)	91,420 Btu/gal (c)	120,388– 124,340 Btu/gal (c)	138,490 Btu/gal (c)	3,414 Btu/kWh
Physical State	Pressurized liquid (heavier than air as a gas)	Liquid	Liquid	Electricity
Cetane Number	N/A	N/A	40–55 (d)	N/A
Pump Octane Number	105 (g)	84–93 (f)	N/A	N/A
Flash Point	-100° to -150°F (j)	45°F (j)	165°F (j)	N/A
Autoignition Temperature	850° to 950°F (j)	495°F (j)	~600°F (j)	N/A
Maintenance Issues			Lubricity is improved over that of conventional low sulfur diesel fuel. For more maintenance information see, the Biodiesel Handling and Use Guidelines—Fifth Edition. (d)
Energy Security Impacts	Approximately half of U.S. LPG is derived from oil, but no oil is imported specifically for LPG production.	Manufactured using oil. Transportation accounts for approximately 30% of total U.S. energy needs and 70% of petroleum consumption. (l)	Manufactured using oil. Transportation accounts for approximately 30% of total U.S. energy needs and 70% of petroleum consumption. (l)	Electricity is produced domestically from a wide range of sources, including through coal-fired power plants and renewable sources, making it a versatile fuel.

Fuel Type	School Buses
Propane	$108,000
Electric	$300,000
Diesel	$100,000
Diesel HEV	$160,000
CNG	$130,000
Gasoline

Chassis	7.3L Version	GVWR	0.05 NOx
E-350	Premium	10,050	N/A
E-350	Economy	10,050	N/A
Economy	E-450	14,000	N/A
Premium	E-450	14,200	Yes
E-450	Premium	14,500	Yes

Fuel	Propane	Electric	Diesel
Purchase Cost	$140,000 / bus	$410,000 / bus	$138,000 / bus
STANDARD Infrastructure Cost 10 buses	$20K – $60K if district owned $1,500 – $15K if leased from propane co.	$80K – $480K	N/A
Fuel Range	up to 300 miles per 67-gal tank	up to 120 miles per charge	up to 500 miles per fill
Fueling / Charging Time	6-8 min.	6-8 hours	6-8 min.
Cost Per Mile* *Over a 15-year life-cyle	$0.63	$2.02	$0.86

Fuel	Weight
Propane	18,887 LBs
Diesel	19,237 LBs
Electric	22,679 LBs

Chassis Type	Power	Torque
2022 E-350	325 hp @ 3750 rpm	450 ft-lbs @ 3750 rpm
2022 E-450	300 HP @ 3,800	425 lb-ft @ 3,250

	MDE Prioritized Districts:	MDE Non-prioritized district:
New Propane School Bus	$140,000	$140,000
MPGA Rebate	- $4,000 (MPGA)	- $4,000 (MPGA)
MDE	- $56,000 (40%) MDE	– $35,000 (25%) MDE
Total Cost After Rebates	= $80,000 / Propane school bus	= $101,000 / Propane school bus

Michigan Propane School Buses

One-stop for huge savings on vehicle fuel, maintenance, fueling infrastructure, and tailpipe emissions.

Propane Bus Qualities

Micro Bird G5 School Bus

Blue Bird Type C School Bus

Purchase New / Used School Buses and Maintenance through Roush and Holland Bus Co.

Easy to Install Infrastructure

Work With Your Propane Provider to Get the Lowest Cost Per Mile

Work With Your Propane Provider to Get the Lowest Cost Per Mile

There are 380 Propane Marketers in Michigan, Use the Map to Find One in Your Local Area

Propane Public Fueling Stations & Service Centers

Rebate Application

Receive up to $16,000 from the MPGA

Propane Vehicle Rebate Eligible Options include:

Download the 1-page application(s) from: MIAutogas.com

Return completed application in 1 of 3 ways:

Qualifications

Michigan Grants

National EPA Grants

National Tax Credit Information

School buses

School Buses

EPA Certified Engines

Average Purchase Price

Average Maintenance Cost

Average ROI Time

Annual GHG Emissions

Fleet usage of propane in sectors optimal for propane Fuel (Autogas) include:

Food/bev Vehicles

Food/Beverage Vehicles

Average Cost Per Mile

Average Purchase Price

Average ROI Time

Annual GHG Emissions

Ave. Vehicle Life Span and Ave. Propane Fuel Use

EPA Certified Engines

Class 1 Vehicles

Class 2 Vehicles

Class 2 Light-Duty Trucks:

Class 2B Heavy-Duty Trucks:

Class 3 Vehicles

Class 4 Vehicles

Class 5 Vehicles

Class 6 Vehicles

Class 7 Vehicles

Service/Utility

Service/Utility Vehicles

Average Cost Per Mile

Average Purchase Price

Average ROI Time

Annual GHG Emissions

Ave. Vehicle Life Span and Ave. Propane Fuel Use

EPA Certified Engines

Class 1 Vehicles

Class 2 Vehicles

Class 2 Light-Duty Trucks:

Class 2B Heavy-Duty Trucks:

Class 3 Vehicles

Class 4 Vehicles

Class 5 Vehicles

Class 6 Vehicles

Class 7 Vehicles

Police/EMT Vehicles

Police/EMT Vehicles

Average Cost Per Mile

Average Purchase Price

Average ROI Time

Annual GHG Emissions

Ave. Vehicle Life Span and Ave. Propane Fuel Use

EPA Certified Engines

Class 1 Vehicles

Class 2 Vehicles

Class 2 Light-Duty Trucks:

Class 2B Heavy-Duty Trucks:

Class 3 Vehicles

Class 4 Vehicles

Class 5 Vehicles

Class 6 Vehicles

Paratransit

Paratransit Vehicles

Work With Your Propane Provider to
Get the Lowest Cost Per Mile

Propane Public Fueling Stations
& Service Centers

Fleet usage of propane in sectors optimal for
propane Fuel (Autogas) include:

Average
ROI Time

Average
ROI Time

Average
ROI Time