Diesel Emissions Reductions
Total Stimulus Appropriation: $300,000,000 total with $88,200,000 to state environmental departments via direct allocation and $206,000,000 available via regional and national competitions.
New Jersey’s Portion:$1,730,000 via direct allocation to state environmental departments; and  $18,400,000 available for USEPA Region 2 competition.
Allocation Method: $88,200,000 divided by 50 states plus the District of Columbia = $1,730,000 direct allocation per state.

Program Overview
Direct Allocation to State Environmental Departments (i.e., NJDEP)

Direct state allocations were given to state environmental departments and the District of Columbia. For New Jersey, it was given to NJDEP to be passed along. NJDEP will use the $1.73 million direct allocation for tailpipe retrofits of construction equipment to reduce particulate matter emissions. Specifically, the ARRA funds will be used to retrofit non-road diesel vehicles/equipment used on the following projects:
  • Construction conducted or funded under NJ’s Publicly Funded Site Remediation Program;
  • Construction conducted or funded by the NJ Department of Transportation (DOT); and
  • Construction conducted or funded by the NJ Environmental Infrastructure Trust.

We have an existing state contract which will enable us to process the grant money quickly, thereby complying with the intent of the American Recovery and Reinvestment Act. In addition, construction often occurs in urban areas, thereby exposing sensitive populations to harmful emissions for extended periods of time. Therefore, reducing emissions from construction equipment is a priority project for NJDEP.

Regional and National Competitions

The following entities were eligible to apply for the regional and national competitions:

A regional, state, local or tribal agency or port authority with jurisdiction over transportation or air quality; and a non-profit organization that promotes pollution reduction, transportation or air quality. Schools, municipalities, cities, counties and metropolitan planning organizations were also eligible, to the extent they fall within the above definition.

The competition was divided into three Requests for Applications:

National Clean Diesel Funding Assistance Program: These grants were awarded regionally through the regional diesel collaboratives. Eligible projects were new vehicle purchases, engine repowers, cleaner fuel, idling technologies, and retrofit technologies. The total amount competed was $18.4 million for USEPA Region 2 states, territories and eligible entities. NJDEP provided letters of support for projects that would significantly reduce diesel emissions at the Ports of Newark/Elizabeth and the Port of Camden. These ports represent concentrated sources of diesel emissions in close proximity to urban areas known to have high concentrations of diesel particulate matter. The Department also provided a letter of support for a coalition of construction trade associations applying to reduce emissions from diesel construction equipment used throughout the state.

National Emerging Technology Program: This was a $20 million national competition for emerging technologies to reduce diesel emissions.

Smartway Clean Diesel Finance Program: This was a $30 million national competition for innovative financing programs that lower costs to the purchaser of a new diesel vehicle by providing lower interest rates, longer repayment terms or greater approvability of loans.

Federal Requirements and Restrictions
See Program Overview above.
Program Eligibility
See Program Overview above.
Important Program Dates
State allocation ($1.73 million for NJ):
2/26/09 USEPA e-mailed states asking if they are interested in the direct allocation.
3/2/09 USEPA provided workplan template for states to apply for direct allocation.
3/6/09 States submitted Notices of Intent indicating their interest in direct allocation.
3/20/09 States submitted workplans.
4/8/09 USEPA makes awards to NJDEP.
9/30/10: Project Period ends.
National Clean Diesel Funding Assistance Program ($18.4 million for USEPA Region 2 states, territories and eligible entities):
3/19/09 USEPA Headquarters issued Request For Applications.
4/28/09 Applications due to regional USEPA offices.
7/09 USEPA makes awards for USEPA Region 2 entities.
9/30/10 Project period ends.
Competition for Smartway Clean Diesel Finance Program ($30 million nationally)
3/19/09 USEPA Headquarters issued Request For Applications.
4/28/09 Applications due to regional USEPA offices.
Pending USEPA makes awards.
9/30/10 Project period ends.
Competition for National Emerging Technology Program ($20 nationally)
3/19/09 USEPA Headquarters issued Request For Applications.
5/5/09 Applications due.
Pending USEPA makes awards.
9/30/10 Project period ends.
Frequently Asked Questions
Q: How will the American Recovery and Reinvestment Act (ARRA) Clean Diesel program help New Jersey?
A: The American Recovery and Reinvestment Act will provide New Jersey with $1,730,000 via direct allocation for diesel emission reduction projects. $18,400,000 is available for competition among USEPA Region 2 (NY, NJ, VI, PR) states and entities that meet the eligibility criteria.

The ARRA money will also improve air quality in New Jersey. Diesel engines emit a variety of pollutants, with diesel particulate matter having potentially the greatest health impacts. Diesel particulate matter can cause or aggravate a number of health problems and has been linked with illnesses and deaths from heart and lung disease. In addition, diesel particulate matter contributes the highest cancer risk of all air toxics in New Jersey. Projects funded by ARRA money will reduce the risk from diesel emissions in New Jersey.

Q: Who was awarded funding from the competitions?
A: The USEPA Region 1 and 2 awards, which were made through the Northeast Diesel Collaborative, can be viewed by going to http://www.northeastdiesel.org then use the links at the right to see the awards. Also, a press release describing several of the Region 2 awards is at: http://yosemite.epa.gov/opa/admpress.nsf/0/BC9EB1A67C1D3E38852575EE005F2EB0

In summary, projects awarded in New Jersey were:

1. Port Authority of New York & New Jersey – Regional Truck Replacement Program ($7,000,000): This project will replace up to 636 model year 1993 and older drayage trucks that service Port Authority facilities with cleaner, 2004 and newer model year trucks by offering truckers 25% off the cost of the newer truck.

2. Northeast States for Coordinated Air Use Management (NESCAUM) – Marine Ferry Repower and McAllister Sisters Marine Tug Repower Projects ($2,800,000): Under the Marine Ferry Repower project, NESCAUM will repower four marine vessels, including ferries that operate in the Hudson River and tugs operating at the Port of San Juan, by replacing 13 pre-regulation engines with new engines. Under the McAllister Sisters project, NESCAUM will repower one marine vessel that operates in the New York Harbor, Long Island Sound, and the Delaware River by replacing four pre-regulation engines with new engines.

3. Cascade Sierra Solutions aerodynamic truck project ($1,400,000): Cascade Sierra Solutions will partner with truckers to equip 789 long-haul truck trailers based in NJ and NY with aerodynamic technologies to help lower diesel emissions and fuel consumption.

For awards made in other USEPA regions pursuant to the National Clean Diesel Funding Assistance Program, go to: http://www.epa.gov/otaq/diesel/projnational-aara.htm 

Awards have not yet been announced for the Smartway Clean Diesel Finance Program and the National Emerging Technology Program

Q. How are other states using their direct allocations?
A. The following website lists each state that received a direct allocation as well as the general project category: http://www.epa.gov/otaq/eparecovery/progstate.htm#application.

Q: How did the USEPA determine which projects would be funded from the competitive funds?
A key objective of the American Recovery and Reinvestment Act is to preserve and create jobs and promote economic recovery. Therefore, projects were prioritized based on a “readiness to proceed”, ability to create or retain jobs, reduction of diesel emissions, and the project priority system described at http://www.epa.gov/otaq/eparecovery/index.htm. Each application was also scored using the criteria outlined in the Request For Applications which USEPA posted on March 19, 2009.

Q. If I think I’m eligible to receive money under the state direct allocation, where can I go for more information?
Go to: http://www.nj.gov/dep/stopthesoot/clean2.html 

Q: Where can I get more information about New Jersey’s Diesel Risk Reduction Program?
For more detailed information please visit the New Jersey Department of Environmental Protection’s website at www.StopTheSoot.org.