H1950B2689A06323     JKL:JMM  11/15/11     #90        A06323

AMENDMENTS TO HOUSE BILL NO. 1950 (As amended by A06347)

Sponsor: REPRESENTATIVE MOUL

Printer's No. 2689

Amend Bill, page 1 (A06347), by inserting before line 1

Amend Bill, page 1, line 9, by inserting after "transfers;"

establishing the Clean Transit Program; and providing a transfer

of funds from the Oil and Gas Lease Fund to the Department of

Environmental Protection for a loan program for the transition

of large mass transit bus fleets to compressed natural gas;

Amend Bill, page 1, by inserting between lines 12 and 13

(A06347)

C.  Clean Transit

Amend Bill, page 3, by inserting between lines 18 and 19

(A06347)

SUBCHAPTER C

CLEAN TRANSIT

Sec.

3311.  Short title of subchapter.

3312.  Definitions.

3313.  Clean Transit Program.

§ 3311.  Short title of subchapter.

This subchapter shall be known and may be cited as the Clean

Transit Act.

§ 3312.  Definitions.

The following words and phrases when used in this subchapter

shall have the meanings given to them in this section unless the

context clearly indicates otherwise:

"Dedicated compressed natural gas bus."  A bus which runs

solely on compressed natural gas.

"Department."  The Department of Environmental Protection of

the Commonwealth.

"Large mass transit authority."  A mass transit authority

located in this Commonwealth that exceeds 245,000 revenue

vehicle hours for two consecutive years.

"Mass transit authority."  An operator of regularly scheduled

transportation that is available to the general public and is

provided according to published schedules along designated

published routes with specified stopping points for the taking

on and discharging of passengers. The term does not include

exclusive ride taxi services, charter or sightseeing services,

nonpublic transportation or school bus or limousine services.

"Program."  The Clean Transit Program.

§ 3313.  Clean Transit Program.

(a)  Establishment.--The department shall establish and

administer the Clean Transit Program.

(b)  Purpose.--The program is established in order to

decrease emissions from mass transit buses by utilizing natural

gas as a vehicle fuel.

(c)  Transfer of funds.--The State Treasurer shall transfer

from the Oil and Gas Lease Fund to the department the sum of

$7,500,000 to fund the program.

(d)  Use of funds.--The sum of $7,500,000 shall be deposited

into a fund to be administered by the department and made

available to large mass transit authorities for the purchase of

new dedicated compressed natural gas buses. The following shall

apply:

(1)  The money in the fund is hereby appropriated on a

continuing basis to the Department of Environmental

Protection for the purposes provided for in this subchapter.

(2)  No more than 1.5% of the fund may be used for

administration.

(3)  The department may set terms applicable to loans in

any manner it deems appropriate, subject to the provisions of

this subchapter.

(e)  Application process.--

(1)  A mass transit authority must complete and submit to

the department a clean transit loan application.

(2)  Approved applications must obligate the mass transit

authority to contract with a private company:

(i)   to build exclusively with private funds; and

(ii)  to maintain and operate any new compressed

natural gas fueling facility necessary to support

compressed natural gas buses purchased with funds

received under this act.

(3)  The term "operate" as used in this subsection shall

not include the actual act of fueling buses.

(f)  Eligible costs.--

(1)  Loan funds received under this subchapter shall be

eligible for:

(i)  Federally assisted purchases of new dedicated

compressed natural gas buses and shall be limited to the

total percentage of the State and local match.

(ii)  Nonfederally assisted bus purchases and shall

be limited to 50% of the total incremental cost of a new

compressed natural gas bus.

(2)  The incremental cost shall be capped at $60,000 for

buses which have a gross vehicle weight rating over 26,000

pounds and $35,000 for buses with a gross vehicle weight

rating of 26,000 pounds and under.

(3)  Buses with a gross vehicle weight rating of less

than 16,000 pounds shall be ineligible.

(4)  Priority shall be given to those applications which

provide for public access to compressed natural gas vehicle

fueling dispensers.

(g)  Loan program.--The department shall establish a formula

and method for awarding of loans under the program consistent

with this subchapter.

(h)  Fund repayment.--

(1)  Loans disbursed from the fund under subsection (d)

shall be repaid to the Oil and Gas Lease Fund within five

years from disbursement and before June 30, 2021.

(2)  On June 30, 2021, no money shall be deposited into

the fund and any remaining money in the fund shall be

transferred to the Oil and Gas Lease Fund.

(3)  The interest rate for loans provided by the program

shall not exceed 2%.

(i)  Appeal process.--Applicants that are not awarded grants

under this subchapter shall not have the right to a hearing or

the issuance of an adjudication under section 4 of the act of

July 13, 1988 (P.L.530, No.94), known as the Environmental

Hearing Board Act, regarding the department's decision.