Michigan to Spend $44M in Taxpayer Dollars on Electric and Propane School Buses

Twenty seven districts to replace diesel buses with electric and propane models as other states report reliability concerns

LANSING, Mich. (AP) — Michigan is directing nearly $44 million in taxpayer funded grants to 27 school districts to replace aging diesel buses with electric and propane powered models, the final installment of a $125 million Clean Bus Energy Grant program launched in 2024.

The funding will support the purchase of 99 electric buses and 10 propane buses through the Michigan Department of Education’s state school aid payments.

State officials say the program is designed to reduce emissions and improve air quality around schools. But the expansion comes as some school transportation officials in other states have raised concerns about whether certain electric buses have performed reliably in real world conditions.

Support my independent journalism by becoming a paid supporter if you haven’t yet. Click the button below. Your support allows me to keep doing this work.

In Maine, multiple districts that received electric buses through a federal clean school bus initiative reported that some vehicles remained parked for extended periods because of mechanical and technical problems. In some cases, districts struggled to obtain repairs after a bus manufacturer sought bankruptcy protection.

Transportation directors there told local media they opened service requests that went unresolved, leaving buses unused while districts continued operating diesel fleets.

Gov. Gretchen Whitmer said the Clean Bus Energy Grant program helps districts keep students safe while improving air quality.

“The Clean Bus Energy Grant program helped districts across our state buy and use clean school buses to take kids to school safely and keep the air in and around our schools cleaner,” Whitmer said in a statement.

State Superintendent Dr. Glenn Maleyko said the investment supports student health and long term sustainability goals.

To date, the program has funded approximately 322 electric buses and 54 propane buses statewide, replacing 376 diesel vehicles.

In Ann Arbor, the school district spent most of the first two and a half years with at least one of its four electric buses out of service for diagnostics and repairs, and some even broke down during routes, forcing other buses to pick up stranded students. Repairs were slow, early charging technology failed to deliver as promised, and it was difficult to measure clear financial or environmental benefits. Ann Arbor was one of seven districts selected for a $4.2 million state pilot program in 2019 to test electric buses, but it was not until the 2023 to 2024 school year that the buses were used enough to begin showing the anticipated savings.

Experts say electric buses can reduce emissions and potentially lower long term maintenance costs, though some note that newer vehicle technology can experience early implementation challenges, particularly when charging infrastructure and service networks are still developing.

Districts receiving the latest grants are expected to begin integrating the new buses into service this year.