| Chapter 132 |
| 2016 -- S 3057 SUBSTITUTE A Enacted 06/24/2016 |
| A N A C T |
| RELATING TO MOTOR AND OTHER VEHICLES - CLEAN DIESEL |
| Introduced By: Senators Gallo, Archambault, Sosnowski, Lynch Prata, and Pearson |
| Date Introduced: June 02, 2016 |
| It is enacted by the General Assembly as follows: |
| SECTION 1. Chapter 31-47.3 of the General Laws entitled "The Diesel Emissions |
| Reduction Act" is hereby amended by adding thereto the following section: |
| 31-47.3-5.1. Establishment of the Rhode Island clean diesel fund. -- (a) There is |
| hereby authorized and created within the Rhode Island department of environmental |
| management (DEM) a Rhode Island clean diesel fund for the purpose of reducing emissions |
| from heavy-duty diesel engines operating on state roads and helping companies improve supply |
| chain efficiency as described in the United States Environmental Protection Agency's SmartWay |
| Program. The clean diesel fund will solicit projects that undertake eligible clean diesel measures |
| and award grants from the fund to reimburse applicants for undertaking these measures. |
| (b) DEM shall promulgate rules and regulations pursuant to chapter 35 of title 42 |
| containing a list of eligible clean diesel measures that shall include, but not be limited to, the |
| following: |
| (1) Aerodynamic technologies; |
| (2) Clean alternative fuel conversions; |
| (3) Diesel emission reduction solutions; |
| (4) Engine repowers; |
| (5) Idle reduction technologies; |
| (6) Low-rolling resistance tires; |
| (7) Vehicle replacements; |
| (8) Replacement or upgrades of transport refrigeration units or transport refrigeration unit |
| generator sets; and |
| (9) Routine maintenance shown to improve fuel efficiency or decrease emissions |
| including, but not limited to, oil changes and cleaning of diesel particulate filters. |
| (c) Equipment eligible for grant funding must: |
| (1) Be intended for on-road use; |
| (2) Be registered with the Rhode Island division of motor vehicles; |
| (3) Be kept or garaged in Rhode Island as indicated on the vehicle registration issued by |
| the division of motor vehicles; |
| (4) Have been certified to DEM that fifty percent (50%) or more of vehicle miles |
| traveled, or hours of operation, shall be projected to be in Rhode Island for at least five (5) years |
| following the grant award; and |
| (5) Meet any other criteria established in DEM rules and regulations promulgated by |
| DEM pursuant to Chapter 35 of title 42. |
| (d) Administrative costs. - The cost of administration and outreach by DEM shall not in |
| any year exceed two hundred thousand dollars ($200,000), or ten percent (10%), of the fund |
| appropriation, whichever is greater. |
| (e) Project priority list. - DEM shall promulgate rules and regulations pursuant to chapter |
| 35 of title 42 that contain a project priority list for the Rhode Island clean diesel fund and the |
| process through which an eligible applicant may submit an application for inclusion of a project |
| on the project priority list. Upon issuance of the project priority list by DEM, the project priority |
| list shall be used by DEM to determine the order in which grants shall be awarded. |
| (f) Awarding of grants. - DEM shall only award grant funds after verifying that the |
| eligible measures outlined in the application have been implemented successfully by the |
| applicant. If the final invoice price of an eligible measure is less than the initial quoted price, the |
| grant award shall be reduced accordingly. Grants shall not be awarded to aid in compliance with |
| existing mandates in state or federal law. |
| (g) Grant amounts. - For each eligible measure implemented by the applicant, DEM shall |
| only issue grants for up to fifty percent (50%) of the total project cost. DEM shall promulgate |
| rules and regulations pursuant to chapter 35 of title 42 that set the exact reimbursement amount |
| for each eligible measure. The total project cost shall include both the material and labor needed |
| to implement each eligible measure. No one applicant shall be awarded more than twenty-five |
| percent (25%) of the grant funds appropriated during a given fiscal year, provided that the total |
| grants requested exceed the amount appropriated. If the total amount of grants requested is less |
| than the amount appropriated in a given fiscal year, DEM may allocate more than twenty-five |
| percent (25%) of the fund to one applicant. |
| (h) Vehicle replacements. - For projects that propose to replace vehicles, the following |
| conditions shall be met: |
| (1) The applicant shall replace an older vehicle with a newer vehicle certified to more |
| stringent emissions standards than the engine or vehicle being replaced; |
| (2) The vehicle being replaced is a model year at least ten (10) years old; |
| (3) The vehicle being replaced has a gross vehicle weight rating of thirty-three thousand |
| one pounds (33,001 lbs.) or greater; |
| (4) The replacement vehicle purchased by the applicant is a model year no more than |
| three (3) years old; |
| (5) The replacement vehicle has a gross vehicle weight rating of thirty-three thousand one |
| pounds (33,001 lbs.) or greater; |
| (6) The replacement vehicle must be operable with remaining useful life as defined in |
| rules and regulations promulgated by DEM pursuant to chapter 35 of title 42; |
| (7) The engine of the vehicle being replaced must be scrapped or otherwise rendered |
| inoperable in a manner consistent with rules and regulations promulgated by DEM pursuant to |
| chapter 35 of title 42; |
| (8) The amount of funding requested must contain the sale price of the vehicle, not |
| including any interest or other finance charges; and |
| (9) A vehicle purchased on a lease must be operated for the life of the project, with the |
| life of the project being included in the application approved by DEM. |
| (i) Transport refrigeration unit replacement. - For projects that propose to replace or |
| upgrade transport refrigeration units or transport refrigeration unit generator sets, the following |
| conditions shall be met: |
| (1) The transport refrigeration unit or transport refrigeration unit generator set being |
| replaced or upgraded is powered by a diesel engine; |
| (2) The transport refrigeration unit or transport refrigeration unit generator set being |
| replaced or upgraded is being used on a vehicle with a gross vehicle weight rating of thirty-three |
| thousand one pounds (33,001 lbs.) or greater; |
| (3) The replacement or upgraded transport refrigeration unit or transport refrigeration unit |
| generator set produces fewer emissions than the equipment being replaced or upgraded; and |
| (4) The replacement or upgraded transport refrigeration unit or transport refrigeration unit |
| generator set meets emission criteria established by DEM in rules and regulations promulgated by |
| DEM pursuant to chapter 35 of title 42. |
| (i) Reporting. - Projects receiving grant funding from DEM shall be subject to any |
| reporting and data collection requirement specified in DEM rules and regulations promulgated by |
| DEM pursuant to chapter 35 of title 42. |
| (j) Penalties. - Applicants awarded funds under this program may be penalized for |
| breaching the terms of their grant award or for other project non-performance through the: |
| (1) Cancellation of the grant award; |
| (2) Recovery of all, or a portion of, the grant award; |
| (3) Other fiscal penalties on an applicant based on the severity of non-performance and as |
| specified in rules and regulations promulgated by DEM pursuant to chapter 35 of title 42; or |
| (4) Prohibiting an applicant or a specific vehicle from participating in the program in the |
| future. |
| (k) Appropriation. - The general assembly shall annually appropriate such funds as it |
| deems appropriate for this program. |
| SECTION 2. This act shall take effect upon passage. |
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| LC006116/SUB A |
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