Published April 2, 2008
We're doing our best to track hybrid incentives and rebates across the country. Please verify exact current rulings with appropriate state or city officials.
On Feb. 9, 2007, the Arizona Department of Transportation and Gov. Janet Napolitano announced that three hybrid models—the Honda Insight, Honda Civic Hybrid, and Toyota Prius—are now permitted to use car pool lanes on freeways in Arizona. The decision clears the way for the estimated 9,000 Toyota Prius, Honda Insight and Honda Civic Hybrid vehicles in Arizona to use the carpool lanes, regardless of the number of passengers. The state plans to issue 10,000 hybrid-vehicle permits on a first-come, first-serve basis. . A special license plate can be ordered online at www.servicearizona.com [1] or by calling (602) 255-0072.
Latest News on Hybrid HOV use in California and other states [2]
Hybrid Car owners who have purchased their hybrids from San Jose dealers are exempt from local parking fees. For eligibility, contact Jason Burton (408) 794-1427, jason.burton@ci.sj.ca.us [3].
The City of Los Angeles, which had been offering free parking to owners of Zero Emission Vehicle or Super Ultra Low Emission Vehicle as defined by the California Air Resources Board, is reconsidering that privilege [4]. For the current status, visit:
http://www.lacity.org/LADOT/FreePark.htm [5]
If your vehicle has the decal affixed to your alternative fuel, hybrid or electric vehicle, the Santa Monica Municipal Code (3.16.120) allows you to park in any metered parking space in the city without charge for the maximum amount of time allowed by that meter. In other words, if you’re at a 2-hour meter, you can park there free for 2 hours—but beyond that, you’re subject to ticketing for overstaying your welcome. Clean Air Vehicle decals are issued by the state.
The Colorado Department of Revenue offers a tax credit for the purchase of a hybrid electric vehicle (HEV), up to $4,713.00. For more information, including tax credit amounts for Model Year 2002 and 2003 HEVs, please visit www.revenue.state.co.us/fyi/html/income09.html [6].
The following vehicles are exempt from emissions testing: Toyota Prius and Honda Insight. For questions about other vehicles, contact your county motor vehicle office [7].
Colorado has passed legislation that would allow the hybrids to use the HOV lanes with single occupants. While a federal waiver has been passed, the Colorado Department of Transportation is analyzing that bill and state for compatibility. The EPA has up to 180 days to give the states guidelines for which vehicles would be allowed into HOV lanes pursuant to the new federal law.
Hybrid vehicles registered in the city of Aspen are eligible for a $100.00 rebate on license registration is allowed to park with impunity in the city's residential and carpool zones. Owners must register the vehicle with the Parking Department. The City of Manitou Springs offers free parking to hybrid vehicles in the two city parking lots.
The purchase of hybrid electric vehicles (HEVs) with a fuel economy rating of at least 40 miles per gallon (mpg) and the original purchase of dedicated natural gas, LPG, hydrogen, or electric vehicles are exempt from sales tax.
On June 6, 2005, the city of New Haven passed a law permitting hybrid vehicles registered in New Haven free parking at metered spots within the city. The ordinance will take effect within one month and only apply to alternative fuel vehicles registered in New Haven. Owners will have to come to City Hall to receive a decal which will be attached the to vehicle. Motorists will still need to obey posted time limits and must park in legal spots. For more information contact DSlap@Newhavenct.net [8].
The DMV Reform Amendment Act Of 2004 went into effect on April 15, 2005. It exempts owners of hybrids and other alternative fuel vehicles from excise tax and reduces vehicle registration charges. For more information, contact Elizabeth.Berry@dc.gov [9] or Corey.Buffo@dc.gov [10].
Inherently low-emission vehicles (ILEVs) and hybrid electric vehicles (HEVs) may be driven in high occupancy vehicle (HOV) lanes at any time regardless of vehicle occupancy. ILEVs and HEVs that are certified and labeled in accordance with federal regulations may be driven in HOV lanes at any time, regardless of the number of passengers in the vehicle. The vehicle must have a decal issued by the Florida Division of Motor Vehicles, obtained for a $5 fee, which must be renewed annually. For more information, please contact the Florida Division of Motor Vehicles at dmv@hsmv.state.fl.us [11] or (850) 922-9000.
Hybrid electric vehicles (HEVs) shall be authorized to use high occupancy vehicle lanes, regardless of the number of passengers if the U.S. Congress or U.S. Department of Transportation approve such authorization through legislative or regulatory action. (Reference Georgia Code Section 32-9-4) The term 'alternative fuel vehicle' is expanded to include HEVs. A HEV is defined as a motor vehicle, which draws propulsion energy from onboard sources of stored energy, which include an internal combustion or heat engine using combustible fuel and a rechargeable energy storage system. HEVs must also meet federal Clean Air Act and California emissions standards and must have a fuel economy that is 1.5 times the Model Year 2002 EPA composite class average for the same vehicle class.
Under its Green Rewards program, the Treasurer’s Office has committed $2 million in rebates to make high-mileage hybrid vehicles, which run on gasoline and electricity, more affordable. Illinois drivers are eligible for a $1,000 rebate with the purchase of a new hybrid or other fuel efficient vehicle. Participating banks and credit unions agree to accept a discounted deposit rate from the state for one year in exchange for providing the $1,000 rebates to Illinois residents. For more information:
http://www.treasurer.il.gov/cultivateillinois/greenrewards.aspx [12]
The Illinois Alternate Fuels Rebate Program (Rebate Program) provides rebates for 80% of the incremental cost of purchasing an AFV or converting a vehicle to operate on an alternative fuel. The maximum amount of each rebate is $4,000. Eligible vehicles include natural gas, propane, and electric. Gasoline-electric hybrid vehicles are not eligible.
The Louisiana Department of Natural Resources offers a state income tax credit worth 20% of the cost of converting a vehicle to operate on an alternative fuel, and 20% of the incremental cost of purchasing an Original Equipment Manufacturer (OEM) alternative fuel vehicle (AFV). For the purchase of an OEM AFV, the tax credit cannot exceed the lesser of 2% of the total cost of the vehicle or $1,500. Only those vehicles registered in Louisiana can receive the tax credit. For more information, please contact the Louisiana Department of Natural Resources at (225) 342-1399 or the Louisiana Department of Revenue at (225) 219-0102, option 2. (Reference Revised Statutes (RS) S47:38 and S47:287.757). The Louisiana department of revenue concluded that "The cost of equipment involved in converting to a hybrid vehicle or installed by a manufacturer of hybrid vehicles can be used to compute this credit." Note: The Revenue Ruling No. 02-019 November 8, 2002 established the department's position on allowing hybrids vehicles to receive this credit. However, a Revenue Ruling does not have the force and effect of law and is not binding on the public. It is a statement of the department's position and is binding on the department until superseded or modified by a subsequent change in statute, regulation, declaratory ruling, or court decision.
Maine's partial sales tax for hybrids expired on January 1, 2006. For questions, contact Melissa Morrill [13] at Maine Department of Environmental Protection.
H.B. 61 exempts qualified hybrid electric vehicles from motor vehicle emissions testing requirements.
Owners of hybrid cars will get discounts on parking at the 15 city-owned parking garages in Baltimore. The plan cuts between 32- and 85 dollars from the monthly fees for owners of the fuel-efficient vehicles. Baltimore will limit participation to 200 vehicles and the program will apply only to monthly, contract parking. Drivers of the three most fuel-efficient models can apply for a decal that will let them park in designated spots in the city's garages.
The town of Williamstown, Massachusetts launched a program which offers owners of 2003-2007 model hybrids and other fuel-efficient vehicles registered in the town a reimbursement grant of up to 75 percent of the state motor vehicle excise tax paid. Obtain the grant application by visiting www.williamstown.net [14].
The City of Ferndale allows free parking at city meters for drivers of hybrids and other vehicles that average 30 miles per gallon or more in city driving. Owners of eligible automobiles must register and pay an annual fee in order to get a permit for the exemption. To find out if your car qualifies, call the City Assessor at (248) 546-2372.
Hybrid cars that are less than five years old are exempt from the emissions program currently governing Clark and Washoe Counties.
Hybrid electric vehicles (HEVs) with a U.S. Environmental Protection Agency (EPA) fuel economy rating of at least 27.5 miles per gallon are eligible for a one-time exemption from the motor vehicle excise tax and state sales tax.
In Albuquerque, hybrid cars are exempt from parking meter fees. For more information, visit: http://www.cabq.gov/parking/HybridPermits.html [15]. Or call The City of Albuquerque's parking office at 505-924-3950. Contact Deborah James: Djames@cabq.gov [16] (505) 768-3036
On May 4, 2006, the New Jersey Turnpike Authority, which administers the turnpike and the Garden State Parkway, voted to allow hybrid vehicles to use the high occupancy vehicles lanes on the turnpike.The ruling's effect may be limited since the turnpike, which sees an average of 700,000 drivers daily, has HOV lanes only between Interchange 11 in Woodbridge and Interchange 14 in Newark going both northbound and southbound. The Garden State Parkway does not have car pool lanes. Decals are not required. Turnpike Authority officials said state police do not anticipate any problems identifying which cars are hybrids.
New York's Alternative Fuel (Clean Fuel) Vehicle Tax Incentive Program, which offered tax credits and a tax exemption for purchasing new hybrid electric vehicles (HEVs), have expired. In Jan. 2006, Governor Pataki proposed new incentives. For more information, please contact the New York State Energy Research & Development Authority (NYSERDA) at 866- NYSERDA, via email at info@nyserda.org [17], or visit the web site at www.nyserda.org [18].
Clean Pass [19] is a program allowing eligible low-emission, energy-efficient vehicles to use the 40-mile Long Island Expressway High Occupancy Vehicle (LIE/HOV). Clean Pass is a multi-agency pilot program partnering three New York State agencies, the State Department of Transportation (NYSDOT), the State Department of Motor Vehicles (DMV), and State Department of Environmental Conservation (DEC).
Hybrid owners in Westchester County are allowed to park for free at two county-owned commuter lots. The cost of a monthly permit is usually $75.00. For more information, contact County Legislator Martin Rogowski at mlr1@westchestergov.com [20].
A Residential Tax Credit of up to $1,500 is available for the purchase of a HEV or dual-fuel vehicle. For more information, contact Deby Davis of the Oregon Department of Energy at (503) 378-8351, via email at deby.s.davis@state.or.us [21]. You can also find detailed information about qualifying vehicles at: http://egov.oregon.gov/ENERGY/TRANS/hybridcr.shtml [22].
A Business Energy Tax Credit is available for the purchase of hybrid electric vehicles (HEVs) and dual-fuel vehicles, the cost of converting vehicles to operate on an alternative fuel, and the cost of constructing alternative fuel refueling stations. The tax credit is 35% of the incremental cost of the system or equipment and is taken over five years.
Pennsylvania's Department of Environmental Protection will offer an opportunity to Commonwealth residents to apply for a rebate to assist with the incremental cost for the purchase of a new hybrid, bi-fuel, dual-fuel or dedicated alternative fuel vehicle. The rebate amount is $500 [23]. The rebate will be offered as long as funds are available. Rebates will be offered on a “first come, first served” basis. Rebate applications shall be submitted no later than six months after the purchase.
A press release issued by the Commonwealth of Pennsylvania on March 9, 2006: The program has been so successful, the state is expect to run out of rebate money sometime in April. DEP Secretary Kathleen A. McGinty said the commonwealth already has awarded more than $1.3 million in rebates from the $1.5 million allotted for the program for the 2005-06 fiscal year. Another $1 million will become available for the fiscal year beginning July 1. Because buyers have six months from the time of the purchase to apply for the rebates, people buying hybrid electric and alternative fuel vehicles after the current funding runs out still will be able to apply for rebates when the programs reopens.
For more information, visit www.dep.state.pa.us [24].
Consumers buying hybrid vehicles are provided a state tax credit equal to 20 percent of the federal tax credit scheduled to begin in tax year 2006.
The South Carolina Energy Freedom and Rural Development Act provides a sales tax rebate for the purchase or lease of fuel efficient vehicles beginning after June 30, 2008 and ending before June 30, 2013. It provides $300 for the in-state purchase of a hybrid vehicle, an electric vehicle, a plug-in hybrid vehicle, flex-fuel vehicle (FFV) capable of operating on E85, or a vehicle with an EPA city fuel economy rating of 30 mpg or higher. Up to $500 is allowed for the purchase of equipment for conversion of a conventional hybrid electric vehicle to a plug-in hybrid electric vehicle. For taxable years 2007-2010, it allows a $2,000 tax credit against the income tax imposed for the in-state purchase or lease of a plug-in hybrid vehicle.
The sales tax rate for hybrid vehicles is reduced to 3.5 percent. Hybrid vehicles are permitted into HOV lanes regardless of the number of occupants.
The City of Austin's "Drive Clean--Park Free" program gives city-registered owners of hybrid vehicles that receive an EPA air pollution score of 8 or better a $100 pre-paid parking cards to park in any of the city's 3,700 parking meters. Owners must submit an application to the city and receive a bumper sticker showing their participation in the program. Eligible vehicles must be purchased at certified dealerships within the Austin City Limits. For more information go to http://www.ci.austin.tx.us/airquality/parkfree.htm [25].
The City of San Antonio allows owners of hybrid vehicles to park for free at street parking meters. A City ordinance, which took effect immediately after City Council approval on May 4, 2006, requires all owners wishing to take advantage of the one-year pilot program to register their hybrid vehicles with the City’s Parking Division located at 243 N. Center Street. Registered hybrid vehicle owners can park at any of the City’s 2,010 street parking meters without charge, including the pilot Pay & Display locations. All drivers must follow street parking meter rules such as parking for only the time allotted at the respective meter. For more information, call (210) 207-8266.
Vehicles with clean fuel group license plates are authorized to travel in HOV lanes regardless of the number of occupants. The clean fuel plate may be purchased for $15 from any Motor Vehicle Division office by presenting a clean special fuel certificate. This incentive expires December 31, 2010, as extended by 2005 House Bill 96. For more information, please contact the Utah State Tax Commission's Motor Vehicle Division at (800) DMV-UTAH or (801) 297-7780, or visit: dmv.utah.gov/licensespecialplates.html [26].
The state's tax credit for "electric-hybrid" is no longer active.
Salt Lake City grants free metered parking to vehicles powered solely by an alternative fuel (i.e. propane, compressed natural gas, or electricity) or that are "top performers" in regards to city fuel economy or emissions. All available hybrids qualify. For details, including information about "Green Vehicle" parking permits, visit: http://www.slcgov.com/transportation/parking/green.htm [27]
On March 20, 2007, Virginia Gov. Timothy M. Kaine signed into law an extension that will give vehicles with "clean special fuel vehicle" license plates special access to express lanes. These vehicles are allowed to drive in high occupancy toll lanes with only one passenger, but that exception was going to expire this July. Now that exception will expire July 1, 2008.
The following vehicles qualify for the exception: Toyota Prius, Honda Insight, Honda Civic, 2005 Ford Escape, 2006 Ford Escape, 2006 Toyota Highlander, 2006 Lexus RX400, 2006 Mercury Mariner, 2006 Honda Accord, 2007 Toyota Camry, 2007 Lexus GS450h, 2007 Ford Escape, 2007 Mercury Mariner, 2007 Honda Accord and 2007 Toyota Highlander.
For more information, please visit the Virginia Department of Motor Vehicles Web site at www.dmv.state.va.us/webdoc/citizen/vehicles/cleanspecialfuel.asp [28]
Effective January 1, 2009 through until January 1, 2011, state sales taxes do not apply to sales of new passenger cars, light duty trucks, and medium duty passenger vehicles, which utilize hybrid technology and have an EPA estimated highway gasoline mileage rating of at least forty miles per gallon. "Hybrid technology" is defined as propulsion units powered by both electricity and gasoline.
Electric, CNG, and LPG vehicles are exempt from emission control inspections. Effective June 13, 2002, hybrid motor vehicles that obtain a rating by the U.S. Environmental Protection Agency of at least 50 miles per gallon of gas during city driving are also exempt from these inspections.
The State of West Virginia allows a credit for the purchase of a new motor vehicle that runs on an alternative fuel or for the conversion of a traditionally fueled motor vehicle to an alternatively fueled motor vehicle. Alternative fuel types include compressed natural gas, liquefied natural gas, liquefied petroleum, methanol, ethanol, coal-derived liquid fuels, electricity, solar energy and fuel mixtures containing at least 85 percent alcohol. The tax department includes hybrids in this tax credit. Print out the necessary tax form [29]. For more information see: http://www.state.wv.us/taxdiv/ [30]
Quebec's most recent financial budget, passed in Mar. 2006, includes a new tax rebate of up to $1,000 (CAD) for people who buy or lease hybrid vehicles. To be eligible for the rebate, the vehicle must use no more than six litres of gas per 100 kilometres (roughly equivalent to 40 mpg).
Residents of these three provinces are eligible for partial sales tax rebate on all hybrid vehicles. In British Columbia, residents can get a rebate of up to $2,000, in Ontario up to $1,000 and in PEI up to $3,000. These rebate are apparently for all hybrids, regardless of make or model. Check with regional tax authorities or a tax professional.
The provincial government of Manitoba which will give $2,000 cash to anyone who buys or leases an eligible hybrid car between Nov. 15, 2006 and Nov. 15, 2008.
Links:
[1] http://www.servicearizona.com
[2] http://www.hybridcars.com/local-incentives/carpool-hov-lanes.html
[3] mailto:jason.burton@ci.sj.ca.us
[4] http://www.hybridcars.com/news/la-reconsiders-free-parking-hybrids.html
[5] http://www.lacity.org/LADOT/FreePark.htm
[6] http://www.revenue.state.co.us/fyi/html/income09.html
[7] http://www.aircarecolorado.com/countyoffices.htm
[8] mailto:DSlap@Newhavenct.net
[9] mailto:Elizabeth.Berry@dc.gov
[10] mailto:Corey.Buffo@dc.gov
[11] mailto:dmv@hsmv.state.fl.us
[12] http://www.treasurer.il.gov/cultivateillinois/greenrewards.aspx
[13] mailto:Melissa.Morrill@maine.gov
[14] http://www.williamstown.net
[15] http://www.cabq.gov/parking/HybridPermits.html
[16] mailto:Djames@cabq.gov
[17] mailto:info@nyserda.org
[18] http://www.nyserda.org/
[19] http://www.dot.state.ny.us/traffic/its/cleanpassintro.html
[20] mailto:mlr1@westchestergov.com
[21] mailto:deby.s.davis@state.or.us
[22] http://egov.oregon.gov/ENERGY/TRANS/hybridcr.shtml
[23] http://www.dep.state.pa.us/dep/deputate/pollprev/afig/HybridAFV_Rebate.htm
[24] http://www.dep.state.pa.us/
[25] http://www.ci.austin.tx.us/airquality/parkfree.htm
[26] http://dmv.utah.gov/licensespecialplates.html
[27] http://www.slcgov.com/transportation/parking/green.htm
[28] http://www.dmv.state.va.us/webdoc/citizen/vehicles/cleanspecialfuel.asp
[29] http://www.state.wv.us/taxrev/uploads/wvafmv-1.pdf
[30] http://Clean Pass is a program allowing eligible low-emission, energy-efficient vehicles to use the 40-mile Long Island Expressway High Occupancy Vehicle (LIE/HOV). Clean Pass is a multi-agency pilot program partnering three New York State agencies, the State Department of Transportation (NYSDOT), the State Department of Motor Vehicles (DMV), and State Department of Environmental Conservation (DEC).