One Last Hurrah? NCDEQ Announces Additional RFP for Nearly $2M in VW Settlement Funding

More than five years have passed since Gov. Roy Cooper tapped the NC Department of Environmental Quality (NCDEQ) to manage the state’s share of the national Volkswagen (VW) Settlement. Over this period, transportation advocates have seen more than $92 million leveraged for diesel school bus replacements (including with electric school buses), transit bus electrification and publicly accessible electric vehicle (EV) charging infrastructure. To date, NCDEQ VW Settlement awards have included:

• 76 all-electric, zero-emission vehicles, including school buses, transit buses and heavy-duty trucks and equipment.
• 155 DC fast charging ports at 78 sites.
• 839 Level 2 charging ports at 240 sites.

Historically, VW Settlement funds have been released in batches as requests for proposals (RFPs) based on project type. However, as the funds near their full distribution, those interested in EV charging have one more, “come one, come all,” moment to pursue funding. Here are details of the Community and Destination Charging RFP.

What types of projects are eligible?

NCDEQ cast a wide net of eligible applicants for this RFP, who include:

• Incorporated nonprofits.
• Municipal governments and municipal authorities.
• North Carolina State government agencies.
• North Carolina tribal government agencies.
• Metropolitan or rural planning organizations located in North Carolina.
• Businesses: Corporations, partnerships, sole proprietorships, limited liability companies, business trusts or other legal business entities incorporated in or registered with the NC Department of the Secretary of State.
• Air quality or transportation organizations.
• Federal government agencies located in North Carolina.

The purpose of this funding is to support publicly accessible charging deployments that do not fall within Alternative Fuel Corridors (AFCs). AFCs are generally the most active travel corridors across the state, but they’re already being prioritized for EV infrastructure development in North Carolina’s National Electric Vehicle Infrastructure (NEVI) program. To encourage more widespread station deployment, NCDEQ will award funds through this RFP for stations away from AFCs. A map of North Carolina’s AFCs is below.

In terms of charging station eligibility, this RFP has few requirements. Instead, funding amounts for DC fast chargers are awarded based on charging capability (higher-power units receive more funding) and property ownership. Government projects can receive 100% of eligible costs, while non-government projects will receive 80% of eligible costs. Level 2 stations are also eligible.

What are considered eligible costs?

• Charging equipment (50 kilowatts, or kW, or higher for DC fast chargers, 19.2 kW or lower for Level 2)
• Utility equipment upgrades (such as transformers, up to $15,000)
• Maintenance and warranty costs (five years)
• Signage, bollards, site work and concrete/asphalt costs
• Permitting, engineering and construction

What key roles may be needed for strong applications?

• Site hosts — the owners of the property (or parking lot) where the stations will be placed. A “site host agreement” will be needed. The site host can be the main applicant or not.
• Electric utilities — coordination with the utility should occur before RFP responses are submitted.
• Hardware and software providers for the equipment.

What are important dates for the RFP process?