STATEMENT: New York’s state budget bolsters electric school bus transition with up to $100 million in additional funding
ALBANY, NY (May 9, 2025) – Today, New York Governor Kathy Hochul signed legislation as part of the state's FY 26 Enacted Budget, which includes up to $100 million in new funding to support the state’s nation-leading commitment to achieve the first fully zero-tailpipe-emission statewide school bus fleet in the country.
This funding, which was included as part of the FY26 budget’s Sustainable Future Program, will help districts implement the state’s transition to a fully electric school bus fleet, building on the historic decision for all new school bus purchases to be zero emission by 2027, while requiring that all school buses in operation be electric by 2035. This funding complements the $500 million dedicated to zero-emission school buses through the Clean Air, Clean Water and Green Jobs Environmental Bond Act (Bond Act) passed by voters in 2022, alongside support from prior year state budgets. This year's budget also provides additional waiver flexibility and technical assistance for districts in need of additional support, as well as a provision for manufacturers to provide range estimates for their vehicles.
Most of New York’s 50,000 school buses still burn diesel fuel, exposing children across the state to harmful pollutants with proven links to respiratory conditions and negative cognitive impacts. Yet thanks to the fleet electrification deadline, the Bond Act and technical assistance offerings from the state, school districts are making progress in their transition to zero-emission buses. New York school districts have committed to nearly 900 electric school buses – defined as awarded, ordered, delivered or operating. Additionally, more than half of school districts in the state have completed or are working on plans to electrify their school bus fleet.
Following is a statement from Sue Gander, Director of WRI’s Electric School Bus Initiative:
“New York continues to lead the charge on prioritizing student health. This additional funding reflects the state’s commitment to delivering quiet, clean rides for the more than two million students who ride the bus to school in New York.
“With a phased-in process that features adequate funding, resources, expanded waiver flexibility and stronger technical support, New York’s transition to electric school buses offers school districts the support they need to make it happen. This funding is especially important for students from underserved communities, who too often bear the greatest impact of diesel and other pollution. And not only are electric school buses better for students’ health, they also are being used successfully in New York and elsewhere on a variety of routes and in cold weather conditions. They’re even being used to help strengthen the electric grid by sending power back when it’s most needed.
“States have long led the way on delivering clean rides for students. The funds in this budget will deliver cleaner school commutes for New York’s kids, create new jobs and combat climate change. It’s a great opportunity for other states to learn from their leadership.”