Application Period is Closed
Through the Diesel Emissions Reduction Act (DERA), Congress appropriates funds for projects to reduce diesel emissions from diesel fleets. The Volkswagen Trust - DERA Option award category is a cost-share program allowing both private and public entities to apply for DERA funding. The department matches the DERA grant with Volkswagen Trust funds to ensure that Missouri qualifies for the matching bonus from the federal DERA grant. By doing this, the department earned a bonus resulting in a 50% increase in federal grant funding.
Information and Assistance
Applicants may direct all questions pertaining to this application to MOVWTeam@dnr.mo.gov. Please include “DERA Question” in the subject line of the email. You may also call 573-522-3222.
Who Can Apply
Organizations in Missouri that own vehicles, engines or equipment meeting eligibility requirements may apply for funding.
Eligible Projects and Costs
Projects must fall under either the Vehicle/ Equipment Replacement or Engine Replacement diesel emission reduction solutions. Projects may include, but are not limited to, the following heavy-duty diesel emission source types:
- Buses (transit, shuttle, school)
- Medium- or heavy-duty trucks
- Marine vessels
- Locomotives
- Nonroad engines, equipment or vehicles used in:
- Construction
- Cargo handling (including at a port or airport)
- Agriculture
- Mining
- Energy production (including stationary generators and pumps)
For specific eligibility requirements and restrictions regarding projects, review the department's DERA Program Requirements.
Applicants who own eligible heavy-duty diesel highway vehicles or nonroad equipment could receive a percentage of the cost of a new diesel vehicle or equipment or new diesel engine. New diesel school bus replacements are eligible for a percentage of the cost per bus project. Other emission reduction projects could be eligible to receive a percentage of the project cost. This program offers additional funding incentives for adopting alternative fueled engines, equipment or vehicle replacements. For cost-share award amounts, review the department's DERA Implementation Guidelines.
After the department approves projects for an award, the applicant must provide the total upfront cost for the project and fulfill all program requirements. Upon completion of the project, the applicant will receive reimbursement for the allowable percentage of the eligible cost or the funding requested in the application for the project, whichever is less. There is no limit on the total amount of individual vehicle/equipment/engine replacement projects that can be included in an application.
Note: Awarded applicants must permanently disable the old vehicle or engine.
Application Process
The application period for the DERA State Grants Program is currently closed. The department anticipates opening another application period in late 2026 or early 2027. Any questions regarding applications may be submitted to MOVWTeam@dnr.mo.gov.
- DERA Implementation Guidelines
- DERA Program Requirements
- Diesel Emissions Reduction Act (DERA) State Grants Program Guide - EPA
The department will select program beneficiaries from the pool of eligible applications using a lottery process. The department will keep the drawing order of eligible projects to be used as alternatives in case any beneficiaries selected in the lottery decide not to participate in the program.
Past Awards
- Fiscal Year 2025 Diesel Emission Reduction Act Option Awardee List
- Fiscal Year 2024 Diesel Emission Reduction Act Option Awardee List
- Fiscal Year 2023 Diesel Emission Reduction Act Option Awardee List
- Fiscal Year 2022 Diesel Emission Reduction Act Option Awardee List
- Fiscal Year 2021 Diesel Emission Reduction Act Option Awardee List
- Fiscal Year 2020 Diesel Emission Reduction Act Option Awardee List
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Contact Information
Air Pollution Control Program
Division of Environmental Quality
P.O. Box 176
Jefferson City, MO 65102-0176
United States