Vendor DID Get a MD Grant, But Jack Smith Told Board of Education: "As far as MCPS and the vendor know, this is the first budget neutral, non-grant dependent, school bus fleet electrification plan available."

Non-grant dependent? The vendor was awarded a grant from the State of Maryland the very next day. The grant had been applied for weeks earlier.

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February 23, 2021

Montgomery County Board of Education

Contract Approval for RFP No. 9462.1 Electrification of School Buses

...On August 31, 2020, MCPS issued a Request for Proposals for turn-key, budget neutral, electrification of the school bus fleet. Highland Electric Transportation, Inc., Hamilton, Massachusetts, was the offeror selected following the Request for Proposals evaluation process.

A contract has been negotiated and is recommended for approval with HET MCPS, LLC, a wholly owned subsidiary created by Highland Electric Transportation, Inc., specifically for this project.

Budget neutrality is possible over time because this vendor will invest in the otherwise high up-front costs of purchasing electric school buses with the plan to recoup that investment over time through decreasing vehicle prices, less expensive fuel (electric vs. diesel), and maintenance savings. MCPS will continue to spend what otherwise would be spent purchasing, operating, fueling, and maintaining equivalent diesel school buses until the investment is recouped.

Then MCPS will spend less than what otherwise would be spent on equivalent diesel buses.

As far as MCPS and the vendor know, this is the first budget neutral, non-grant dependent, school bus fleet electrification plan available. This is the leading edge of the trend that is expected to sweep through the school bus industry...

https://go.boarddocs.com/mabe/mcpsmd/Board.nsf/files/BYJNVV6118CC/$file/ADOPTED%20Cont%20Apprv%20RFP%209462.1%20Electrification%20Sch%20Buses.pdf