Bill adding excessive fees for electric vehicles headed to governor’s desk

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For Immediate Release: May 5, 2021

Bill adding excessive fees for electric vehicles headed to governor’s desk

HB 188 will raise registration fees for electric vehicles in Montana to some of the highest in the nation

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Helena, MT — A bill that will create some of the highest fees in the nation for electric vehicle registration was approved by the legislature on April 28 and is headed to the governor to sign into law.

If signed, HB 188 by Rep. Denley Loge (R-Saint Regis) will add additional fees on top of normal vehicle registration fees for electric vehicles. While most states charge a flat fee for electric vehicle registration, Montana would become one of two states to create a special fee for electric SUV and light truck owners.

Owners who register an electric SUV or light truck would have to pay normal registration fees, plus an additional $375 each year. For example, a gas-powered SUV in Montana that is 4 years old or newer would cost $217 to register. Someone who owns an electric SUV up to 4 years old would have to pay $592 each year under this new law.

These would be the highest registration fees for electric SUVs and light trucks in the nation.

“Many manufacturers are bringing to market new trucks and SUVs, offering a clean transportation option in these vehicles that are so popular with Montana drivers. Montana should support EV adoption in this segment, and not discourage it with excessive taxes,” said Joel Levin, Executive Director of Plug In America.

Owners of smaller electric vehicles would have to pay an extra $195 on top of annual registration fees, making these fees the third-highest in the nation.

If signed into law, these registration fees could discourage the growth of the electric vehicle industry in Montana, despite the vehicle manufacturing industry’s 2021 commitment to electric vehicle production.

“While we understand the desire of legislators to establish long-term sources of transportation funding, this bill is not an appropriate path forward,” said Philip B. Jones, Executive Director of the Alliance for Transportation Electrification. “Any rational analysis of state transportation funding needs will demonstrate that future shortfalls are primarily due to the lack of indexing the state motor fuels tax, and the increasing efficiency of conventional internal combustion vehicles. Putting a tax on electric vehicles at this early stage of market development is punitive and misguided. As a businessman, the Governor will likely understand the need of early-stage businesses to receive good policy support from government, rather than excessive measures like this that are meant to punish innovation and American ingenuity in vehicle and battery development.”

In January, General Motors (GM) became the first U.S.-based automaker to pledge a cessation on gasoline-powered cars, vans, and SUVs by 2035. Ford has also made promises to invest in electric and autonomous vehicles, introducing their more affordable Mustang Mach-E to dealerships in March. Similarly, Volkswagen announced recently that it aims for more than 70% of their European sales to be EVs by 2030, with a goal of 50% each in the U.S. and China.

Montana has been slower to adopt electric vehicles compared to some other states, despite the availability of state and federal tax credits for purchasing an electric vehicle and developing infrastructure to support their use.

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About Plug In America: Plug In America is the nation’s leading independent consumer voice for accelerating the use of plug-in electric vehicles in the United States. Formed as a non-profit in 2008, Plug In America provides practical, objective information collected from our coalition of plug-in vehicle drivers, through public outreach and education, policy work and a range of technical advisory services. PlugInAmerica.org

About the Alliance for Transportation Electrification: The Alliance for Transportation Electrification (ATE), a 501(c)(6) non-profit corporation, is led by utilities, electric vehicle (EV) infrastructure firms and service providers, automobile manufacturers, and EV charging industry stakeholders and affiliated trade associations. The organization includes about 50 national dues-paying members and affiliated organizations. They are actively involved in over twenty regulatory and other state and Provincial proceedings in North America today. evtransportationalliance.org

START BUS UNVEILS 8 ELECTRIC PROTERRA BUSES TO SERVE THE TETON VILLAGE ROUTE

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JACKSON, WYO. – START Bus and Proterra, a leading innovator in heavy-duty electric transportation, unveiled the community’s first of eight Proterra® ZX5 battery-electric transit buses. They are the first battery-electric buses in Wyoming and first Proterra ZX5 buses to be deployed in the United States.

START Bus will put the buses into service in late November. START hosted Proterra representatives for a small ribbon-cutting ceremony on Nov. 12. Due to COVID-19, it was not a public event. For the public to join in the fun, next Thursday, Nov. 19, from 11 a.m. to 12 p.m. Yellowstone-Teton Clean Cities will host a webinar with Proterra representatives sharing specifics about the e-bus deployment in Teton County and the premiere of a video about the project. Look for Zoom details through Yellowstone-Teton Clean Cities.

Darren Brugmann START Director notes, “START Bus and the Town of Jackson are thrilled to add battery-electric buses to our fleet. These buses will provide cost effective, clean, efficient transportation, and help START reduce emissions to improve air quality. START is committed to transitioning 40% of its fleet to electric by 2022 and deploying these first eight buses is a major step toward that goal.”

START selected the 40-foot Proterra ZX5 MAX battery-electric transit bus with 660 kWh of onboard energy and the DuoPower™ drivetrain.

Just available in September, the Proterra ZX5 MAX can deliver up to 329 miles of drive range, which represents the most energy storage and longest drive range of any 40-foot electric bus available in the market today.

The DuoPower drivetrain delivers nearly twice the horsepower and five times better fuel efficiency than a standard diesel engine. It features two electric motors that deliver an impressive 550 horsepower, accelerating a ZX5 bus from 0 to 20 mph in under six seconds.

In addition, the DuoPower can propel a bus up a 25% grade, making it an ideal option for routes with steep hills. By combining this drivetrain with Proterra’s industry-leading battery technology and lightweight composite bus body, this vehicle provides superior performance and is designed to tackle Jackson’s routes and winter climate.

START utilized Proterra’s battery lease program to help lower the upfront price of their buses and ensure funding to deploy eight at once, representing one-third of START’s total fleet.

“Proterra is excited to partner with START to bring the first battery-electric transit buses to Wyoming and deliver clean, quiet transportation to local riders,” said John Walsh, Proterra’s Senior Vice President.

Manufactured in the United States, Proterra battery-electric buses feature zero tailpipe emissions, saving approximately 230,000 pounds of greenhouse gases annually when replacing diesel buses. The purpose-built electric buses further offer a quieter ride for reduced noise pollution, greater efficiency, and lower operating costs than combustion engine vehicles.

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About START
START Bus is a public transit system serving Jackson and Teton County, Wyoming, and nearby areas including Teton Village, Star Valley and Teton Valley, Idaho. It is owned and operated by the Town of Jackson.

About Proterra
Proterra is a leader in the design and manufacture of zero-emission, heavy-duty electric vehicles, enabling bus fleet operators to significantly reduce operating costs while delivering clean, quiet transportation to local communities across North America. The company’s configurable ZX5 platform is designed to serve the daily mileage needs of a wide range of transit routes on a single charge. With industry-leading durability and energy efficiency based on rigorous U.S. independent testing, Proterra products are proudly designed, engineered and manufactured in America. For more information, visit: www.proterra.com.

Source: Town of Jackson, WY

New Funding Announcement

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The Montana Department of Environmental Quality (DEQ) announced two new clean transportation funding opportunities using the State’s Volkswagen Settlement funds. Applications for both are due January 11, 2021. Additional details are provided below.

Fast Charge Your Ride

DEQ is seeking eligible applicants interested in installing Level 3 direct current fast charging (DCFC) stations along key travel corridors in Montana. DCFC stations are capable of providing at least a 50-kilowatt (kW) output for a single vehicle. Each DCFC station location must also have a Level 2 station on site for redundancy in case the DCFC station is temporarily out of service, already in use, or for use by vehicles unable to use the DCFC station.

Proposed EVCS locations eligible for funding are along I-90, I-15, US-93, and a portion of US-2. Additional priority locations include Gardiner, Seeley Lake, and West Yellowstone.

The purpose of this program is to help fund the installation of EVCS stations for light duty vehicles in support of expanding electric vehicle charging infrastructure along key travel corridors in Montana in order to help reduce emissions of nitrogen oxides (NOx), greenhouse gases and particulate matter associated with light duty vehicles in Montana.

Find the Request for Applications (RFA) here. Read the RFA to determine if your proposal requires the Corridor application or the Additional Priority Location application.

Clean School Bus Program

DEQ is soliciting interest from all K-12 schools and all districts in Montana to replace model years 1996-2019 diesel-powered C and D type school buses with new battery-electric or certified low NOx emission school buses or model year 1996-2009 diesel-powered C and D type school buses with propane and cleaner diesel buses.

The application and instructions provide the information to allow schools to determine whether they are eligible to apply. Districts that operate their own buses or contract with a fleet manager are both eligible.

Find the Request for Applications and application here.

Questions?

If you have questions about either funding opportunity or eligibility, please contact Neal Ullman at 406-444-6582 or neal.ullman@mt.gov.