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Lawmakers review plan to broaden income eligibility for vehicle emissions repair vouchers
Summary
The House Transportation Committee reviewed proposed amendments to H.632 that would replace LIHEAP household criteria with adjusted gross income brackets and add a sliding scale of vouchers (up to $2,500). DEC reported limited uptake to date and asked for additional data and a fiscal estimate.
The House Transportation Committee reviewed section 24 of H.632 on Tuesday, a change to the Automotive Emissions Repair Assistance Program that would alter income eligibility and create a sliding scale of repair vouchers for Vermont-registered vehicles.
Deirdre Ritzer, mobile sources section chief at the Department of Environmental Conservation, told the committee the program "launched in August 2024" and was created to help low-income motorists cover emissions-related repairs required after onboard diagnostics (OBD) inspection failures. Under the bill as discussed, vouchers remain capped at $2,500; eligibility would move from LIHEAP household rules to adjusted gross income (AGI) brackets tied to federal poverty levels.
Supporters said AGI will streamline auditing and is consistent with other transportation incentive programs administered by VTrans. Under the amendment discussed, applicants at or below 185% of the federal poverty level would qualify for the full $2,500 voucher, those at or below 250% would qualify for up to $1,875, and applicants at or below 300% would qualify for up to $1,250. The bill also requires that a vehicle have a fair market value at least double the voucher amount (for example, a vehicle must be worth at least $5,000 to be eligible for a $2,500 voucher).
Ritzer told members the department has limited operational capacity so far: "We have had a 114 inquiries to the program. And of those, a 105 applicants were prescreened for basic eligibility. And based on the outcome from those that prescreening, 25 complete applications been submitted, and we've issued 3 repair vouchers." She said two other applicants were ineligible because repairs were covered under warranty, and DEC helped those motorists resolve warranty-denial issues with dealers or manufacturers so repairs could proceed.
On funding, Ritzer said the program initially received $375,000 from the Transportation Fund in 2021 and later received a one-time $600,000 general fund appropriation in SFY 2024; DEC has used the funding to run a smaller in-house program after failing to secure a third‑party administrator. DEC currently contracts with two repair facilities (Shelburne and Bennington) and operates the program with roughly 0.25 full-time equivalent staff.
Committee members pressed for a fiscal note and more data on likely uptake if eligibility is broadened. Ritzer noted DMV has been issuing repair waivers (579 waivers in 2025) that DEC expects to end, which would likely increase demand for financial assistance. The committee asked DEC to supply supplemental slides and inspection/failure counts so legislators can assess cost implications before taking further action.
The committee did not take a vote; staff said supplemental materials and a fiscal estimate would be provided to members for follow-up.
