A state program will offer Vermont residents $6,000 to replace a flood-destroyed gas-powered car with a new electric vehicle (EV). The federal government offers a $7,500 EV tax incentive. That, combined with another state program, gives Vermonters up to $18,500 off a new EV.
Hurricane Beryl Hit Vermont Hard
The remnants of Hurricane Beryl hit Vermont in early July.
The AP reports, “Beryl’s remnants dumped more than 6 inches (15 centimeters) of rain in just a few hours…destroying and damaging homes, knocking out bridges, cutting off towns, and retraumatizing a state where some people are still awaiting assistance from the last catastrophic floods that hit a year ago to the day.”
The State Modified An Existing Program
The state’s Replace Your Ride program has long offered Vermonters a financial incentive that helps them swap a gas-powered car for a new EV. But until now, it only worked with gas-powered vehicles 10 years old or older. They had to be in working condition, recently registered, and with a current inspection.
Related – Electric Car Rebates and Incentives: What to Know by State
The state’s Department of Transportation recently decided to accept any flood-damaged car to help Vermonters recover from damage caused by Hurricane Beryl.
The state modified the Replace Your Ride program to help residents recover. Program documents now say, “For Vermonters impacted by the 2024 flood events, vehicles totaled by the flooding may be scrapped, regardless of age.” The vehicles don’t have to be in working condition or even able to start.
Residents Can Stack Assistance Programs
Vermont residents can combine the effects of several programs to get a bigger discount. The Vermont Department of Transportation says residents can get “up to $6,000 for new plug-in electric vehicles, up to $5,000 for scrapping a gas- or diesel-powered car for cleaner transportation options, and up to $5,000 for income-eligible Vermonters for a qualifying used high-efficiency vehicle.”
Combined with the federal tax rebate, that totals $18,500.
The least-expensive EV in America in 2024, the Nissan Leaf, is not eligible for the full federal tax credit. But, many Chevrolet dealers still have Bolt EVs on the lot for well under $30,000 that are eligible for the full discount. Chevrolet no longer builds new Bolts. But the company has tens of thousands left in inventory.
Used EVs Eligible, Too
For many Vermonters, the money might be better spent on a recent used EV.
Vermont Transportation Secretary Joe Flynn tells MyChamplainValley that used EVs qualify for almost the same discount. Residents can “bundle state incentives for up to $11,000 off the price of a new plug-in vehicle and $10,000 off the price of a used plug-in vehicle.”
The federal government provides a $4,000 tax credit on the purchase of a used EV. Vermonters can qualify for a total of $14,000 in assistance when trading a flooded vehicle for a used electric car.
