Federal Funds Restricted for School Bus Purchases from Certain Foreign Manufacturers.
This law amends the Clean School Bus program, restricting how federal grants can be used to purchase new school buses. School districts are prohibited from using these funds to buy buses from manufacturers financially or legally tied to corporations based in specific foreign countries identified as trade risks, explicitly including the People's Republic of China. The goal is to secure the supply chain and prioritize domestic or allied manufacturing.
Key points
Federal funding for clean school buses cannot be used to purchase vehicles from manufacturers linked to certain foreign countries identified as nonmarket economies or priority foreign countries.
The restriction specifically targets companies based in the People's Republic of China, even if the relationship is only a minority investment.
Existing contracts signed before the law takes effect are protected, but any extensions or amendments will fall under the new rules.
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