Last Mile Freight Rebates Now Open for Second Round of Applications
SCAG’s Last Mile Freight Program (LMFP) Rebate Program is now open for a second round of applications, with $49.1 million in rebate funding available for last-mile freight operators in the Los Angeles – Long Beach – Anaheim and the Riverside – San Bernardino – Ontario metropolitan statistical areas. Applications will remain open through Oct. 5, 2026.
The program, implemented in partnership with the South Coast Air Quality Management District through its INVEST CLEAN initiative and supported by funding from the U.S. Environmental Protection Agency funds the deployment of battery-electric commercial vehicles (BEVs) and the scrappage or conversion of existing diesel or gasoline vehicles used for last-mile freight operations. The LMFP Rebate Program completed its review of the first round of applications in January 2026.
Round two of the LMFP Rebate Program includes updates to eligibility criteria and the application process:
- BEV purchase and diesel vehicle replacement eligibility expanded to Classes 4-8.
- Gasoline vehicles scrappage and conversion added for Classes 4-6.
- A new class‑specific rebate structure aligns incentive amounts with vehicle size, reflecting the higher emissions‑reduction potential associated with larger vehicle classes.
Approved applicants may receive the following maximum rebate amounts per battery-electric vehicle, based on vehicle class:
- Class 4: $67,000
- Class 5: $67,000
- Class 6: $75,000
- Class 7: $75,000
- Class 8: $108,000
There are no limits on the number of rebates applicants can request. However, eligible applicants must commit to replacing their existing diesel vehicle(s) and/or gasoline vehicle(s) through scrappage or conversion for no less than 51 percent of the BEVs requested in their application. Rebates will be issued post‑purchase upon vehicle delivery and verification of compliance with all program requirements. For additional information on the Last Mile Freight Program Rebate Program please visit the SCAG website.
This project has been funded wholly or in part by the United States Environmental Protection Agency under assistance agreement #5E97T15501 to South Coast Air Quality Management District. The contents of this document do not necessarily reflect the views and policies of the Environmental Protection Agency, nor does the Environmental Protection Agency endorse trade names or recommend the use of commercial products mentioned in this document, as well as any images, video, text, or other content created by generative artificial intelligence tools, nor does any such content necessarily reflect the views and policies of the Environmental Protection Agency.