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Committee advances bill giving districts option and funding parity to buy electric or zero‑emission school buses

5704824 · February 6, 2025

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Summary

The Transportation, Public Works & Capital Improvements Committee advanced House Bill 32, which would allow school districts to purchase electric or other zero-emission school buses with state transportation funding applied up to the diesel-equivalent amount and would enable districts to enter agreements with utilities to use bus batteries for grid services.

The Transportation, Public Works & Capital Improvements Committee advanced House Bill 32, which would allow school districts to purchase electric or other zero-emission school buses with state transportation funding applied up to the diesel-equivalent amount and would enable districts to enter agreements with utilities to use bus batteries for grid services.

Senator Sills presented the measure on behalf of the house sponsor and said the statute would give districts ‘‘the option to replace school buses’’ with electric models and clarify that state funds may cover the diesel-equivalent portion of the purchase price. Technical witness Charles Goodmacher described vehicle‑to‑grid options that let districts use bus batteries to absorb excess renewable electricity or supply power during peak demand.

Supporters included district staff and environmental and health groups. Santiago Hardy, a 19‑year‑old intern with NM Native Vote, said electric buses would reduce exhaust exposure for students. The Dulce Independent Schools transportation director, Jacob Herbstor, told the committee his district operates two electric buses purchased through the EPA’s Clean School Bus program and reported early fuel-cost savings. Groups including New Mexico Voices for Children, Conservation Voters New Mexico, Sierra Club Rio Grande Chapter, Moms Clean Air Force, Healthy Climate New Mexico and youth climate groups testified in favor.

Members pressed presenters on the economics and operational constraints. The committee and witnesses discussed purchase-price differences (the fiscal-impact report cited example figures: electric bus purchase $352,000 vs. diesel $103,000 and charging infrastructure costs), battery‑replacement timing (the FIR cites replacement risk around year eight), insurance and lifetime‑cost tradeoffs, and grid capacity in rural co‑op service areas. Presenters said total-life maintenance and fuel savings, and the potential revenue from vehicle‑to‑grid services, could offset higher upfront costs over 10–12 years, but several legislators expressed concern about rural charging access, grid capacity, and upfront capital.

Representative Romero moved and Representative Allego seconded a motion to pass; the committee recorded a 7–4 roll-call vote in favor. Representatives who opposed or voted no expressed concerns about codifying a purchasing parity in statute instead of handling the matter through procurement rules, questioned fiscal implications for taxpayers, and raised grid‑reliability and battery‑safety issues.

Votes at the hearing: motion to pass HB32 carried 7–4; several members asked for further examination of funding pathways, grid capacity in rural co‑op territories, and battery-safety and disposal planning.