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E-Bike Work Group Report Back: April 26, 2023

May 12, 2023/by Laura McCamy

On April 26, 2023, CARB held another well-attended work group meeting to gather feedback on the details of its Electric Bicycle Incentive Project. One of the major takeaways is that the statewide program launch is pushed back yet again: Most Californians won’t be able to apply for a voucher until at least the third quarter of 2023.

Here’s what else we learned at the meeting. We’ve included the video and presentation below, in case you want to learn more.

New details about program implementation

As it has throughout the process, CARB has taken feedback from prior work groups and revised the program based on stakeholder input. For example, recipients can now use part of their incentives to purchase safety gear. The only gear listed was helmets, and CARB specifically excluded lights, reflective gear, and racks. The program requires eligible bikes to come with lights (most e-bikes have built-in lights), so that makes sense. However, based on feedback, we’re hopeful that cargo racks will also be an allowed expense. CalBike would like to see locks included, since a secure lock for an e-bike can be costly.

Participants will have 30 days to purchase a bike and redeem their vouchers and may ask for a one-time extension if they need more time. CalBike is advocating for extending that 30-day window, since researching and buying an e-bike is often a lengthy process.

Vouchers will be limited to one per person, but there is no household limit. Participants will be required to own the bike for at least one year.

Here are some of the other details we learned.

What do we know about the e-bike incentive application process?

We still don’t have all the details about the application process. CARB promises that a guide will be available online ahead of program launch so people interested in participating will have time to prepare.

CARB did share an outline of the application process as they envision it currently. Applicants would submit proof of income and residency, choose the bike they want to buy, take a 90-minute online bike safety and environmental class, then find out if they qualify for a voucher.

CalBike strongly objects to the process as currently outlined, and we have sent a letter to CARB detailing our recommendations. Our concerns include:

It will be hard to choose a bike without confirmation of the voucher amount because the person won’t know how much money they will need to come up with to complete the purchase.
While CalBike supports e-bike safety education and is excited for the resource being developed as part of this program, we feel that education should be a resource, and that any requirement of a lengthy class may serve as a barrier to many trying to access the incentives. We particularly object to requiring participants to sit through any content that isn’t directly related to safe operation and storage of an e-bike.
Requiring two extra steps before applications are vetted will further disadvantage applicants with the least time and/or access to a computer.
Because many Californians are more comfortable in a language other than English and those languages are diverse, an education component will inevitably exclude many potential participants. For comparison, the US Census is conducted in 12 languages in California.

We plan to meet with CARB to discuss these issues, and we’re hopeful that advocacy and lessons from the soft launch will lead to a better application process.

June soft launch

The first phase of the program will be a soft launch in June. With a budget of $300,000, the soft launch will provide 20-40 incentives to applicants in each of four communities that have been historically underserved by CARB programs:

Barrio Logan, San Diego
Fresno
Bayview Hunters Point, San Francisco
California Native Tribal Governments

The soft launch will allow CARB and the administrator to test systems and get feedback on what works and doesn’t work before opening the program statewide.

When will the statewide program launch?

We don’t know exactly when California’s incentives will become available. However, we have heard that the soft launch is expected to take at least two months. Expect a full launch sometime in the fall, after CARB and the administrator have worked out glitches in the application process.

We realize this program has taken an excruciatingly long time to come online. Another reality check: Demand may far exceed the number of incentives available. If you’d like help to purchase an e-bike, check out this list of local programs.

Is anyone already in line to receive an e-bike voucher?

Several people who spoke at the April meeting shared that they had submitted an application for an e-bike voucher last year and wanted to know if they were in line for an incentive. CARB clarified that no one is in line for a voucher yet. Everyone will need to apply once the window opens, later this year.

We don’t know if there will be another work group before the soft launch in June or before the statewide program launch. If you sign up for our email list, we’ll let you know about future meetings and any other information on the status of the program and the application process.

CARB Presentation

Coalition Requests $50M E-Bike Funding

April 27, 2023/by Laura McCamy

For Immediate Release: 4/27/23

Contact: Laura McCamy, CalBike | 510-214-6156, laura@calbike.org

Clean Air and Active Transportation Groups Seek $50M for CA E-Bike Program

Sacramento, CA – Today, a coalition of environmental, public health, and active transportation organizations have sent a letter to California state budget leadership requesting an additional $50M for the California Air Resources Board’s Electric Bicycle Incentive Project. The coalition argues this funding will “…help the state transition to clean transportation in order to meet its ambitious climate goals.”

The coalition submitting this request includes: Active San Gabriel Valley, California Bicycle Coalition, Coalition for Clean Air, Environment California, Safe Routes Partnership, and the San Francisco Bay Area Planning and Urban Research Association (SPUR).

E-Bikes: A Great Climate Investment for California

Callifornians are eager to begin replacing car trips with e-bike trips. The conversion of Vehicle Miles Traveled (VMT) from auto to active transportation can dramatically improve air quality for children and the elderly in our polluted cities. It’s also a climate-transportation win-win.

“The Coalition for Clean Air is proud to be a part of a coalition advocating to increase funding for the Electric Bicycle Incentive Project. We believe this program will reduce greenhouse gas and air pollutant emissions, lower VMT, promote equity, and improve quality of life for Californians if properly administered and funded,” said Sofia Rafikova, Policy Advocate at the Coalition for Clean Air.

The Electric Bicycle Incentive Project, run by CARB, the letter explains, “…is modeled after similar programs across the country, this program will award at-point-of-purchase vouchers to low-income Californians to reduce the costs of purchasing an electric bicycle.…This program ensures that these benefits only apply to those who need them the most and that the vouchers successfully incentivize the switch from driving to using electric bicycles, thus, reducing the amount of greenhouse gas and air pollutant emissions coming from the transportation sector.”

More Funding Needed

The California Bicycle Coalition has been curating an e-bike incentive interest list that currently has over 16,000 members. Based on the $7.5M currently available through the EBIP program after administration, education, and outreach costs, the pilot program to be between 3,000 and 7,000 vouchers. Because the program only has a fraction of the funding it needs to meet the demand, the coalition letter warns, “…the funding for the program could run out just a few days after its launch.”

“The California Electric Bicycle Incentive Project offers a huge bang-for-the-buck being spent to reduce the state’s climate pollution. Expanding this program will provide more equitable access to clean transportation and help the state meet our climate goals. It’s a double win,” said Jared Sanchez, Policy Director, CalBike.

“The Electric Bike Incentive Program (EBIP) will enable low-income Californians to travel more conveniently and sustainably, in addition to drastically reducing emissions from gas-powered cars. The state should expand this program and make it recurring to meet the overwhelming demand for electric bike incentives,” said Jack Barber, Campaign Associate, Environment California

More Info:
Why E-Bikes Could Change Everything: Cities take on transportation’s whopping carbon footprint – Sierra Magazine, October 2022
E-Bike Purchase Incentives FAQs – CalBike, April 2023

Federal E-Bike Rebate Back on the Table

March 21, 2023/by Laura McCamy

Electric cars are eligible for a federal tax rebate, but electric bikes are not. A federal e-bike rebate provision didn’t make it into the final version of the climate and infrastructure bill, the Infrastructure Investment and Jobs Act. But Congressman Jimmy Panetta, who represents District 19 along California’s central coast, today introduced the Electric Bicycle Incentive Kickstart for the Environment (E-BIKE) Act.

The E-BIKE Act would provide a refundable federal income tax rebate of up to 30% of the cost of buying an e-bike, capped at $1,500. The rebate would be available to people earning up to $150,000 for single people, up to $300,000 for a two-person household. Because it’s a refundable tax credit, people who owe less in tax than the amount of the incentive will get a check for the difference and income-qualified applicants may be able to take the rebate as a point of sale discount.

CalBike strongly supports this legislation, as do many of our allies, including the League of American Bicyclists, which has long advocated for a measure like this. “The League knows life is better for everyone when more people ride bikes, and we know e-bikes make biking a more accessible and easier option for more Americans,” said Bill Nesper, the League’s executive director. “We’re encouraged by congressional leadership on the E-BIKE Act, a bill that, if passed, will enable Americans to fight climate change and improve public health through the simple act of bicycling.”

Use the League’s action tool to email your representatives and tell them to support the E-BIKE Act.

“E-bikes are not just a fad for a select few, they are a legitimate and practical form of transportation that can help reduce our carbon emissions,” said Congressman Panetta. “My legislation will make it easier for more people from all socio-economic levels to own e-bikes and contribute to cutting our carbon output. By incentivizing the use of electric bicycles to replace car trips through a consumer tax credit, we can not only encourage more Americans to transition to greener modes of transportation but also help fight the climate crisis.”

CalBike’s policy director, Jared Sanchez, said, “The route the E-BIKE Act takes to encourage bike ridership and reducing carbon emissions is different from the program we helped shape in California, but the goals are the same. An income tax rebate will help many more Americans choose this healthy, economical mode of transportation.”

CalBike focuses most of our efforts on advocacy within California, but we’ll be supporting our national partners in helping to get this critical bill through Congress. We’ll let you know about opportunities to reach out to representatives and senators to support a federal rebate for e-bike purchases.

ActiveSGV Pioneers New Model for E-Bike Program

February 17, 2023/by Laura McCamy

Based in the San Gabriel Valley, local advocacy partner ActiveSGV has operated a unique e-bike program, GoSGV since the summer of 2022 and is rolling out new options in 2023.

Unlike many local e-bike programs, GoSGV doesn’t give subsidies for an e-bike purchase and, unlike San Diego’s Pe d al Ahead program, it doesn’t require users to log miles or ride a certain distance. We spoke with Jazmin Joyce, Special Programs Specialist with ActiveSGV, about how the program works and why its innovative approach could be a model for other local e-bike programs.

Small group, big plans

Started as a Facebook group a little more than a decade ago, ActiveSGV isn’t a big organization, but the savvy of its staff, board, and volunteers, and its willingness to take risks on innovative programs, have made it stand out. Its first e-bike program, launched in 2016, gave San Gabriel Valley residents $750 toward an e-bike purchase, and it was one of the first such programs in the U.S.

“What we do really well is partnerships,” Joyce says. The group looks for funding opportunities and tries to understand the needs of the community, then works to meet those needs. In the San Gabriel Valley, the bus system is spotty (especially since COVID), there aren’t a lot of accessible bike lanes, and cost is a barrier to riding a bicycle, especially an e-bike. “Transportation is a big barrier. We hear that all the time,” she says.

ActiveSGV decided to create an e-bike program because “people need to get to places that are far away,” Joyce says. “The e-bike is offering that opportunity to not just make it a recreational ride — to make it a useful ride.” With the region’s hilly terrain and hot summers, e-bikes are a natural fit for the group.

Share-to-own e-bikes

However, making e-bikes accessible is a big lift for a small group. So, while GoSGV has relied on grant funding to get started, it hopes that its unusual approach will make the program self-sustaining eventually.

Starting in 2018, GoSGV allowed people to try out bikes. It was originally operated by a private micromobility company. When private operators folded due to the pandemic, ActiveSGV stepped in to run it, with a vision for a program more suited to the needs of the region than docked, short-term rentals.

Under ActiveSGV’s stewardship, GoSGV rents e-bikes by the month, with reduced rates for low-income folks. The program offers a commuter bike and a bakfiets-style cargo bike with a basket in the front. The cargo bikes have been particularly popular, with people using them to take kids to school.

Since its relaunch in August 2022, the program has distributed over 200 bikes, and 23% of users have kept their bikes since the start of the program.

GoSGV gives people a low-cost way to try out life on an e-bike and figure out if it’s a good fit for them. “People really enjoyed the exposure to the e-bike, and they want to buy a bike for themselves because they enjoyed it,” Joyce says. At least five members have bought an e-bike as a result of their experience with the rental bike.

GoSGV also offers test-ride events to raise awareness about the program and give people a chance to try it out before committing to a monthly rental. “We’re able to connect with the community in a different way about bikes,” she says. The team hosts group bike rides, provides guidance and tips on safe riding and storage for new renters, and tries to respond to user questions quickly.

The program recently added a new twist: If a user rents a bike for 36 months, they can keep it as their own. At that point, the rental fees will have covered the purchase price of the bike, with the rider getting to pay for the purchase in small increments while having use of the e-bike.

A self-sustaining model for e-bike access

The funding to buy the e-bikes came through an ATP grant to the San Gabriel Valley Council of Governments. At present, operational costs are covered by rental fees, donations, and grants, but Joyce believes the GoSGV model can become self-sustaining.

The group plans to expand the program to local university campuses and also hopes to expand its bike fleet, especially the cargo bikes, which are in such high demand that they are limited to a two-month rental.

“We want to create access and exposure to these types of bikes,” Joyce says. Many people hadn’t thought about buying an e-bike before. ActiveSGV builds bike culture, one bike at a time, through its GoSGV program.

How to apply for the program:

San Gabriel Valley residents can apply by submitting an application at GoSGV.com. Once you’re approved for the program, you can schedule a time to pick up your bike or have it delivered for a $45 delivery fee.

Electric Bicycle Incentive Work Group Meeting Report: 1/31/23

February 17, 2023/by Laura McCamy

The meeting of the California Air Resources Board (CARB) Electric Bicycle Incentives Project work group on January 31, 2023, provided more information about program parameters and a robust discussion of details still being formulated. Here’s what you need to know.

California’s statewide e-bike program begins to take shape

Over the past few work group meetings, with excellent input from the public (including many of you), CARB has settled on these parameters for the e-bike incentive program:

To qualify, participants can make no more than 300% of the federal poverty level (FPL).
The base incentive will be $1,000.
Participants can get an additional $750 toward the purchase of a cargo bike or adaptive bike.
People whose income is below 225% of FPL or who live in a disadvantaged community can qualify for an additional $250, so the maximum incentive amount is $2,000.
Incentives can be applied toward sales tax, as well as the purchase price.
Incentives will be applied at the point of sale.
All three classes of e-bikes can qualify for incentives.
Used bikes will not be eligible.
Incentives can be used to buy e-bikes from local bike shops or online retailers with a business location in California.
Adaptive bikes can include tricycles. CARB plans to keep the definition of adaptive e-bikes as broad as possible.

The incentives will be first-come-first-served but with a hybrid model that reserves at least 50% of funding for priority applicants (those under 225% FPL or living in disadvantaged communities).

We also learned that the launch date, scheduled for Q1 of 2023, will be delayed until the second quarter, so look for the application window to open in April or later (no date set yet).

There will be another work group meeting, probably in March. We will give you more specific information about launch dates as soon as we have it.

CARB presentation

E-bike options still to be determined

The work group participants had a lot to say about the quality of e-bikes. Some are concerned that, if they buy one of the least expensive models available, the bike might break down, it might be hard to get parts to service it, and there might be an increased chance of battery fires. Several people expressed concerns about risks from improperly charging batteries.

CARB indicated an openness to allowing participants to use a portion of their incentives for gear such as helmets and locks, if the cost of the bike is less than the full incentive amount. Also, after discussion at the prior work group, the agency proposed requiring a minimum one-year warranty on electrical parts. The previous proposal had been two years, which would have disqualified some of the more affordable makes of e-bikes.

A CARB proposal that eligible bikes come with front and rear lights installed was not controversial. But requiring bikes to be assembled by the manufacturer at the manufacturer’s expense was hotly debated. Assembly is standard when buying bikes through a local retailer, but many e-bikes ordered online come with some assembly required. The program needs to balance the concern that people might get a bike they aren’t able to assemble against the need to include online retailers in the program and the fact that some communities don’t have a nearby bike shop.

People at the meeting expressed concern about education and training for participants, which will be discussed at a future work group. Other possible program parameters include priority for applicants with disabilities and a follow-up program to provide repair services to keep the bikes in good working condition.

As always, CalBike will continue to follow the development of this program and give you all the latest information. If you’re not already on our e-bike mailing list, you can sign up below.

Local E-Bike Incentives Provide More Options for Californians

January 17, 2023/by Laura McCamy

The rollout of California’s statewide e-bike incentive program is getting closer, but it’s still a few months away. If you’d like to buy an e-bike and need help to make your purchase, many local programs currently provide incentives, and new ones may come online soon.

We spoke with managers from two Bay Area agencies about the programs they administer. Peninsula Clean Energy (PCE) and 511 Contra Costa (511CC) have very different programs, and both have done follow-up surveys with participants, providing valuable insights about the successes and challenges of e-bike incentives.

Peninsula Clean Energy: Income-qualified e-bike vouchers

PCE started its E-Bikes for Everyone program in 2021 because “our end goal is zero transportation emissions by 2035,” according to Programs Manager Phillip Kobernick. Transportation is the largest source of greenhouse gas emissions, so he says PCE saw “potentially a lot of VMT reduction potential” in its e-bike voucher program.

In 2021, PCE offered $800 vouchers to residents in its service area (San Mateo County) with income at or below 400% of the federal poverty level. “It’s the most popular program we ever launched,” Kobernick says. The program had a $250,000 budget to provide 300 vouchers, and they were all claimed within four days after launch.

In 2022, PCE increased the rebate amount to $1,000, did more targeted outreach to slow the process, and gave out 239 vouchers.

Like the upcoming statewide incentive program, the PCE incentive is a point-of-sale voucher. It contracts with bike shops and sends qualified customers to buy bikes there. The buyer gets a discount in the amount of the voucher, and PCE pays the difference to the shop. Participants can also buy elsewhere (about half of the people in the program chose to do that) and get reimbursed after the purchase. The incentives cover up to 80% of the purchase price, so participants must pay for the remaining 20%.

There have been some glitches in the rollout. For example, about half the people awarded vouchers didn’t use them; follow-up surveys found that the main reasons were price, availability of the desired model, and inability to do a test ride. PCE offered unused vouchers to people on the waitlist, and funds that don’t get used roll into the program budget for the following year. And they discovered a couple of instances where a grantee tried to sell their voucher rather than use it themselves.

Despite the challenges, the program is meeting its goals. “It looks like, through our surveys, we are seeing a noticeable reduction in VMTs (vehicle miles traveled),” Kobernick says. About one-third of participants now say that an e-bike is their primary mode of transportation, and he estimates that they have reduced their VMT by 10% on average. He noted that most cities would jump at a chance to implement a program delivering a VMT reduction.

The PCE program has had a budget of $547,000 over two years and will offer another round of vouchers in 2023. In 2022, El Concilio provided support for completing applications, and PCE worked with the Silicon Valley Bicycle Coalition to provide group rides and classes to help people feel comfortable on their bikes.

How to apply for an E-Bikes for Everyone Voucher: The program is only open for a short period each year. Check their website for 2023 program information.

511 Contra Costa: E-bike rebates without income caps

The Electric Bicycle Rebate Program 511CC offers to Contra Costa County residents differs from both the PCE and statewide incentives in several ways:

It’s an after-purchase rebate rather than an up-front incentive.
All county residents are eligible for a rebate with no income caps.
The rebate amounts are much lower: $150 standard rebate; $300 rebate for people living at or below 400% of the federal poverty level.
The funds are available throughout the year on a rolling basis rather than during a short application window.

“Part of our overall goal of 511 Contra Costa is to reduce vehicle trips,” says Kirsten Riker, Project Manager for Advanced Mobility Group, which manages transportation demand management programs for 511CC. “It’s not designed for social equity. It’s designed to get people into other modes. This is a little extra carrot.”

Riker also manages a second program, Charge Up, that offers $500 rebates. Funded by a half-cent sales tax through the Contra Costa Transportation Authority, that incentive has income caps, and only residents of specific communities within the county can qualify. If someone applies for the 511CC rebate and could qualify for the higher incentive, their application is automatically forwarded to this program.

However, the primary goal of Riker’s work is reducing VMT and carbon emissions. “When we developed the program, we knew that you could go with a much higher amount and help fewer people,” Riker says. “We took the approach that less means more.”

Since it rolled out in 2020, the 511CC program has given out $162,000 for 888 rebates, with 23% going to low-income residents. The Charge Up program has given 64 rebates since it started in 2022.

The programs do extensive surveying to determine their effectiveness, and 90% of participants have responded. That data helps ensure that the e-bike rebates are achieving their goals. It will help local and statewide agencies deliver more effective e-bike programs in the future, with a report coming soon from a UC Davis researcher. For example, the 511CC initially had a price cap of $5,000 for eligible bikes, but now every e-bike qualifies for a rebate as long as it has pedals.

“$150 isn’t going to change the world,” Riker says, but she feels it creates “e-bike ambassadors” — people excited about riding who want to tell their friends and neighbors how stoked they are about their bikes. She adds, “For a lot of people, their e-bike has changed their life.”

“I feel like there’s a tipping point. At some point, everybody’s going to buy an EV because you’re going to have to,” she says. She notes that over half the bikes at Bike to Work Day in Contra Costa County in 2022 were e-bikes. She feels like getting people to experience the joy of biking on an electric bike is a great way to get people who have never biked to ride. “We’re not going after bicyclists. We’re going after drivers,” she says.

How to get a 511CC or Charge Up e-bike rebate: Any Contra Costa County resident can get a $150 after-purchase rebate. If you live in an equity priority community within the county and meet the income qualifications, you can apply for a $500 Charge Up rebate.

Of course, there are other local e-bike purchase incentives available. If you have a qualifying car to trade in, you could get up to $7,500 from your local air quality management district. And stay tuned for more information about California’s statewide e-bike purchase incentive program.

E-Bike Incentives Report: November 30, 2022, CARB Work Group Meeting

January 9, 2023/by Laura McCamy

The California Air Resources Board held a work group meeting to continue its discussion of the parameters of the Electric Bicycle Incentives Project on November 30, 2022. Around 150 people attended the Zoom workshop, including representatives from the e-bike industry, bicycle shop owners, nonprofits who work with potential voucher recipients, bicycle coalition leaders, and members of the public interested in the program.

Here are some highlights from the meeting, plus information CalBike learned about e-bike purchase incentives after following up with CARB staff.

More funding for implementation

At the work group, CARB announced that it has another $3 million for the program in addition to the $10 million allocated by the legislature. Program staffers anticipate that the extra funding will help augment their outreach. Hopefully, the extra money will free up more of the $10 million for incentives rather than administrative expenses. CalBike applauds CARB for finding the extra funding and demonstrating that the agency understands the value of the e-bike incentive program.

Lowered income eligibility limits, more discussion of eligible bikes

CARB staff confirmed to CalBike that two parameters for the program have been finalized: the income eligibility limits and which classes of e-bikes will be eligible for incentives.

In prior presentations, CARB proposed 400% of the federal poverty limit as the income cap for e-bike incentives. However, at the last work group, staff announced that the income limit will be lower: 300% of FPL to align the eligibility requirements for the e-bike program with those of other CARB clean vehicle programs, which will be lowered to 300% FPL in 2023.

In response to overwhelming support for allowing Class 3 e-bike models to be eligible for incentives, CARB will include all three classes of e-bikes in the program. However, manufacturers will have to apply for their models to be eligible for purchase with the vouchers.

In response to concerns about maintenance, to ensure that people who receive the vouchers have support to keep their bikes in good repair, CARB proposed requiring a manufacturer’s warranty of at least two years. That would eliminate Rad Power Bikes, which makes some of the most affordable e-bikes on the market because it only offers a one-year warranty. Commenters noted that more expensive bikes tend to have longer warranties, which might put this requirement at odds with the equity goals of the program.

A quick internet search found that many e-bike manufacturers offer a five-year warranty on the frame and fork and one year on other parts. Provisions to ensure bike quality and repairability will undoubtedly get further discussion at future work group meetings.

Next steps for California’s e-bike incentive program

CARB plans to hold another work group meeting in January to continue receiving input on program parameters. If you’re not already on CARB’s list and want to be notified about this and future e-bike meetings, sign up for CARB’s e-bike list. In the past, they sent meeting notifications to everyone interested in transportation electrification, but future notices will be sent only to the e-bike-specific list.

Of course, CalBike will also let you know about future e-bike meetings. You can sign up for our list at the bottom of this post.

Meeting presentation

Video of the 11/30/2022 meeting

CARB Electric Bicycle Incentives Project Work Group Report Back: September 28, 2022

October 25, 2022/by Laura McCamy

On September 28, 2022, the California Air Resources Board held a follow-up meeting of the Electric Bicycle Incentives Project work group to continue the discussion from the August meeting on the pilot of the statewide e-bike voucher program, which will launch in 2023. Participants weighed in on what types of e-bikes should qualify, how to distribute the funds equitably, incentive amounts and more.

Like the previous meeting in August, the session was well-attended, with almost 200 participants signing on to ask questions, participate in polling, and provide feedback on aspects of the program. Thank you to everyone who came and gave input. You are helping to make this a better program!

A poll on the base amount for the incentive showed that most participants want a higher amount than the $750 proposed by CARB. However, for this session, most of the discussion focused on which e-bikes should qualify and how to ensure that the funds are distributed as equitably as possible.

Incentive amounts polling for September 2022 CARB e-bike work group meeting

Class 3 e-bikes are transportation

California breaks e-bikes into three classifications:

Class 1: speed limited to 20 mph, pedal assist only
Class 2: speed limited to 20 mph, pedal assist and throttle
Class 3: speed limited to 28 mph, pedal assist only

The same rules that apply to standard bikes apply to Class 1 and 2 e-bikes, but Class 3 e-bikes have additional restrictions: You have to be at least 16 to operate one, and riders of all ages must wear a helmet.

CARB had proposed allowing recipients to use incentives to buy only Class 1 and 2 e-bikes, but participants in the work group meeting made an excellent case for making Class 3 e-bikes eligible.

Reasons to support Class 3 e-bike purchases include:

The speed limitation is somewhat meaningless since people on non-electric bikes can and do ride faster than 20 mph.
The higher speed makes it safer for people to mix with car traffic in areas that have inadequate bike infrastructure.
The higher speed could be essential for people with longer commutes.

CARB program managers at the meeting indicated that they are open to expanding which bikes qualify and will likely include Class 3 e-bikes, based on the solid support at the work group.

Building equity into a state grant program

The work group included extensive comments and calls to distribute the $10 million in e-bike vouchers equitably. California’s experience with electric vehicle (EV) rebates, which went to buyers who were wealthier and Whiter than the average Californian in the program’s initial year, informed the discussion. EV programs for low-income buyers have failed to serve low-income Californians. Some work group participants voiced a desire to avoid those shortfalls with the e-bike incentives program, stating that equity was a paramount goal. In contrast, others noted that, if the goal is to reduce carbon emissions from car travel, recipients’ income level is less critical than how many car trips the e-bike will replace.

The program is structured with low-income recipients in mind, offering upfront vouchers rather than after-purchase rebates, which don’t help the people who need extra funds to be able to make a purchase. And CARB will limit eligibility to people earning 400% of the federal poverty level or less. However, the program is currently structured as first-come, first-served, which can give an edge to applicants with more connections and resources. Participants at the meeting expressed a strong desire to see CARB do better with the administration of this program, and there was discussion of switching to a needs-based application process.

If CARB moves to a needs-based approach, the program launch may be delayed because it will take longer to put systems into place to facilitate that process.

At CalBike, we feel that a crucial component of equity in incentive distribution is to leverage community-based organizations to help spread the word and assist their constituents in accessing and completing the application process, as well as choosing and maintaining their e-bikes. CARB currently has a CBO network through its electric vehicle incentives programs, but CalBike will work with the agency to encourage them to add bicycle-specific CBOs specifically to help with this e-bike program.

Eligible e-bike retailers

The work group discussed where incentive recipients should be able to buy e-bikes through the program. Concerns raised included ensuring that local bike shops can get parts from manufacturers to service the bikes bought through the program, even if people purchase them online.

Once the administrator is in place, it will set a process for retailers to apply to participate in the program based on criteria set by CARB. CalBike is following this discussion closely and plans to offer more resources for e-bike retailers soon.

A transparent process

At CalBike, we’ve been getting a lot of questions about the e-bike incentives program, so we created FAQs to answer some of them. We’re also engaging with CARB outside the work group meetings to encourage them to bring more transparency to the launch of the e-bike program. For more information about California’s e-bike incentives program, sign up for our e-bike interest list and view a meeting recording below.

Update: E-Bike Voucher Program Moving Forward — Slowly

July 15, 2022/by Jared Sanchez

When the legislature allocated $10 million for e-bike subsidies in the budget for this fiscal year, it included language stating that the program would launch on July 1, 2022. However, the California Air Resources Board (CARB) has moved more slowly, so the program is not yet ready to launch. Here’s what we do and don’t know about California’s statewide e-bike voucher program.

What’s the current status of the e-bike voucher program?

CARB is working on selecting a vendor to administer the program. We expect the agency to announce the vendor soon.

When will e-bike vouchers become available?

It’s not clear yet how soon the program will begin offering vouchers for e-bike purchases. Once a program administrator is in place, we hope to start getting more information, including a timeline for implementation.

What is CalBike’s role in the e-bike voucher program?

CalBike advocated for the $10 million budget allocation to help Californians buy e-bikes. We continue to follow the program closely and work with CARB to ensure that the vendor administers the program effectively and equitably.

CalBike doesn’t have any authority to set the rules of the e-bike program or give out vouchers. Our role as an outside watchdog allows us to advocate for things that will make the program successful, such as providing large enough grants to make an e-bike truly affordable.

CalBike will also continue to spread the word about e-bike vouchers, particularly once they become available so that the program is a success and we can have a much larger budget allocation next year!

Who is eligible for an e-bike voucher?

The eligibility criteria haven’t been firmly established. Still, early indications are that there will be an income eligibility requirement, with all or most of the first $10 million in funding going to low-income California residents.

We hope to get more information about eligibility once the vendor outlines an implementation plan, and we will share that information once we have it.

How much will the e-bike subsidies be?

The program administrator will set e-bike subsidy levels.

How do I apply for an e-bike purchase voucher?

There’s no application process in place as yet; the program administrator will put that in place.

What if the e-bike program runs out of money?

If the e-bike program quickly distributes all its funds, that would demonstrate the demand for this subsidy, and we would consider that a success. CalBike will advocate for more funding in future budgets, and we hope the program will secure funding to continue without interruption.

How do I find out more about e-bike purchase incentives?

Please sign our list to get updates about the program. Going forward, we expect to send more frequent updates as the details of the e-bike voucher program unfold.

Making California’s E-Bike Affordability Program Successful

February 9, 2022/by Kevin Claxton

Thanks to support from our members, CalBike won a $10 million appropriation in this year’s budget to help Californians purchase electric bikes. The California Air Resources Board will administer the program, which must be operating by July of 2022.

The program will distribute vouchers to people who meet income eligibility requirements. The CARB will release a Request for Proposals to implement the program in the next couple of months, detailing important goals and specifications to shape voucher distribution.

CalBike is working with CARB to help ensure that the implementation meets CalBike’s objectives for this program. Here’s what we know so far.

Which types of e-bikes are eligible for the voucher program?

“Electric bicycles eligible for the incentives include, but are not limited to, those designed for people with disabilities; utility bicycles for carrying equipment or passengers, including children; and folding bicycles.”

Who will be eligible for e-bike purchase incentives?

The Air Resources Board has signaled its intent to restrict eligibility to low-income households (defined as households with income less than four times the federal poverty level, or $51,520 for an individual, or $106,000 for a family of four). The income restriction is not required by law, and CARB’s electric vehicle incentive program doesn’t include any income requirements.

CalBike and the more than 50 organizations that supported the program advocated for at least 80% of the funds to go to low-income households. We wanted 20% of the vouchers available to middle-income families to allow for broader funding distribution. Plus, it would have recognized that, like EVs, e-bikes are a civic good, and the state wants to encourage people to choose this form of transportation.

CalBike supports this initial round of funding going exclusively to disadvantaged people. However, it will take more than a grant to make the program successful. The upfront cost of a quality e-bike will be out of reach for most low-income people, even with a hefty subsidy. To ensure that everyone can access this incentive, we want the program to include an arrangement with a lender to will provide low- or zero-interest loans to buyers so that they can pay for an e-bike in installments.

The role of community-based organizations

A bike purchase incentive program differs from an electric vehicle incentive program because many potential recipients don’t already recognize how a bike could improve their lives. Everyone (almost) wants a car and would welcome a purchase subsidy, but the same is not true for bikes.

That’s why CalBike sees an essential role for nonprofits in distributing the funds. If community organizations serving low-income people are able to make extremely low-cost e-bikes available to their constituencies, they can engage and educate about how to use the bike to replace car trips. A nonprofit can also provide bike safety information and classes, so grant recipients are confident to ride their e-bikes for transportation. With this support, the e-bike suddenly becomes a viable transportation choice and the subsidy a critical lifeline.

Community-based organizations can also help identify the people who would benefit most from a low-cost e-bike and help spread the word among their constituencies. Plus, they can assist with the paperwork to apply for the grants, and they might be able to combine this subsidy with other funding sources to make bikes truly affordable. These groups can also provide feedback to evaluate the impact of the e-bike affordability program.

The impact of $10M for e-bikes

If designed and administered well, California’s new e-bike affordability program could have an impact far beyond the lives of the people who will be able to buy e-bikes.

First, if CARB successfully markets the program, it will increase awareness of biking as a viable and green transportation option. That, we hope, will create demand to expand the program and increase the funding available to help people buy bikes. And the incentives will put thousands more bicycles on our streets, which will raise the visibility of biking, increase the pressure to build safe bikeways, and encourage more people to hop on a bike. Plus, up to 10% of the funding in this program may be used for bicycle education, so it’s a great opportunity to build skills and confidence for more riders.

We’ll keep you informed when there’s more to know about the e-bike affordability program. Sign up below to be the first to know when the e-bike vouchers become available.