USA Banner

Official US Government Icon

Official websites use .gov
A .gov website belongs to an official government organization in the United States.

Secure Site Icon

Secure .gov websites use HTTPS
A lock ( ) or https:// means you’ve safely connected to the .gov website. Share sensitive information only on official, secure websites.

U.S. Department of Transportation U.S. Department of Transportation Icon United States Department of Transportation United States Department of Transportation

If an agency plans to lease zero-emission buses, are the operating costs (e.g. lease payments) eligible?

Lease payments are considered a capital expense and are eligible under the Low-No Program. If an applicant proposes a capital lease in the application, the grantee will be required to provide the local match as the time of each payment under the lease agreement. In the case of the Low-No program, local funds must comprise 15% of each lease payment.