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Volkswagen Grants 2020

Adopted rule

Administrative Order No. DEQ-2-2021
Filed and effective: Jan. 21, 2021
See Oregon Bulletin, February 2021


The 2019 Oregon Legislature passed House Bill 2007 authorizing the Oregon Environmental Quality Commission to adopt rules to implement an expanded diesel emissions reduction program with Volkswagen Environmental Mitigation Trust Agreement funds. The EQC adopted rules creating a grant program which specifies application requirements, project selection criteria, and other requirements included in statute. 


DEQ has formed a rulemaking advisory committee with the following goals:
  • Help clarify and interpret the Volkswagen Environmental Mitigation Grants in HB 2007
  • Make recommendation on basic program design
  • Consider eligibility and project selection criteria
  • Think about project solicitation processes and timing
  • Advise on what should go into rule versus program guidance
Policy guidance from Oregon Revised Statute, Volkswagen Environmental Mitigation Trust, and the federal Diesel Emissions Reduction Act will directly inform program rules. Rules may not conflict with this guidance.
Oregon's diesel emission reduction grant program is restricted by the Volkswagen Environmental Mitigation Settlement Agreement and the Environmental Protection Agency’s Diesel Emission Reduction Act requirements. This detailed comparison of both programs provides a sense of the maximum reimbursement amounts allowed for specific diesel owners, project types, and equipment types. Oregon’s grant program must comply with these requirements and will likely provide additional guidance based on the administrative rulemaking process and Environmental Quality Commission action.

​​DEQ expects this rulemaking to include 3-5 committee meetings over a 6-8 month period beginning in early 2020 and ending with EQC action in the fall of 2020.

​Meeting 4

Aug. 28, 2020, 10 a.m. to noon

Meeting materials:

Meeting 3

Aug. 17, 2020, 10 a.m. to noon

Meeting materials

Meeting 2

May 26, 2020

Meeting materials

Meeting 1

March 9, 2020

Public involvement

The public comment period for this rulemaking closed at 4 p.m. on Oct. 22, 2020.

Notice of Proposed Rulemaking and Draft Rules
Includes the public notice, proposed rules and any supporting documents

Public hearing

A public hearing was held on Oct. 19, 2020.

EQC action

The Environmental Quality Commission adopted these rules at its meeting on Jan. 21, 2021.