There has been recent confusion over the eligibility of vehicles leased for fewer than 36 months, so the Clean Vehicle Rebate Project ( CVRP) staff would like to clarify some specifics of our program requirements.
Since the onset of the CVRP, the California Air Resources Board ( ARB) has established policy that a 36-month ownership period (through either continuous lease or purchase) of vehicle operation in the state is necessary to realize the air quality benefits associated with the substantial public investment in clean vehicle rebates. While a 24-month lease of a clean vehicle provides environmental benefits, and may present the best financial option for an individual, leases of less than 36 months do not demonstrate the intent to keep the vehicle for the required three years, and thus are not eligible for the state rebate.
In the rare cases in which unforeseen circumstances occur (such as job loss, move out of state, etc.), rebate recipients may be granted approval on a case-by-case basis by the ARB to sell or return their vehicle within the three year period. After receiving ARB approval for the sale or return of the vehicle, the applicant is required to return the full amount or a prorated portion of their rebate back to the program to fund more rebates.
Take-away message: CVRP-eligible vehicles leased for less than 36 months are NOT ELIGIBLE to receive the California rebate, and these applications will be denied upon submission.
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