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Lee Zeldin Halts $2.3 Billion in Biden’s Electric School Bus Program, Threatening Hochul’s 2035 Mandate

Last updated: January 3, 2026 5:02 pm
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EPA Administrator Lee Zeldin has halted $2.3 billion in taxpayer-funded grants for Biden’s electric school bus program — citing waste, fraud, and broken promises — putting direct pressure on New York Governor Kathy Hochul’s 2035 zero-emission mandate and igniting a national debate over federal spending, accountability, and the future of public transportation.

Environmental Protection Agency Administrator Lee Zeldin has issued an abrupt pause to $2.3 billion remaining in federal funding for President Biden’s “Clean School Bus” initiative — a decision that sends shockwaves through education policy circles and directly undermines New York Governor Kathy Hochul’s aggressive timeline for transitioning all school districts to electric fleets by 2035.

The move comes after Zeldin declared that $2.7 billion previously awarded under Biden’s administration had been “frivolously wasted,” with each vehicle costing taxpayers nearly $318,452.45 to produce — a figure he described as emblematic of reckless spending and systemic failure. His office cited manufacturing delays, delivery failures, and widespread operational issues across school districts as reasons to reassess the entire program.

In New York City alone, more than $61 million was funneled into just two contractors — Bird Bus Sales and NYC School Bus Umbrella Services — to deliver 180 electric buses. Yet according to the state Energy Research Authority, only 150 are currently operational out of thousands promised — despite over $210 million spent.

“At the Trump EPA, we have a ZERO tolerance policy towards any waste and abuse of hard-earned tax dollars,” Zeldin told The Post. “We are in the process of reforming the Congressionally mandated Clean School Bus program to ensure child safety is prioritized and that taxpayers get high-quality, reliable buses worthy of their investments for our schools.”

The Costly Consequences of Premature Deployment

Biden’s EPA distributed rebates and grants totaling nearly $2.7 billion to 1,152 school districts — intended to replace 8,236 diesel buses — but dozens still awaited delivery as of February 2025, according to the Washington Free Beacon. The agency’s inspector general also found evidence of potential fraud and abuse, ultimately revoking $38 million in ineligible rebate requests.

New York State’s own transition has become a case study in logistical chaos. A report from the state education department revealed that only 7.4% of responding districts had approved ballot measures allowing them to incur new debt for electric buses — and seven of those proposals failed. Meanwhile, parents in Erie County reported children freezing inside buses during winter months, forcing families to wait half-hours in subzero temperatures.

“Lake Shore Central School District is aware of questions regarding heating on electric buses during cold winter conditions,” Superintendent Phil Johnson said. “Student comfort and safety remain a priority.” Yet district officials acknowledged no immediate plans to acquire more electric buses — highlighting the gap between political mandates and real-world functionality.

Political Fallout: From Albany to Capitol Hill

The controversy has galvanized opposition from both sides of the aisle. Assemblyman Robert Smullen (R-Fulton) called the mandate “an utterly ridiculous political act” and blamed it for diverting funds from classroom needs to a transportation program “that adds nothing to their children’s education.”

State Senator George Borello (R-Chautauqua), whose district borders Lake Shore Central, echoed this sentiment: “This should be another wake-up call for the governor that the federal government is not going to subsidize her radical costly agenda.”

Meanwhile, the EPA’s internal audit findings underscored deeper problems — including cases where recipients were deemed ineligible yet still received vehicles, such as one entity labeled an “administrative entity with zero students.” Such discrepancies raise serious concerns about oversight and eligibility criteria.

The Human Cost: Children Left Cold and Confused

Parents across New York have voiced growing frustration. In Erie County, children reportedly returned home shivering after rides on malfunctioning buses — incidents that triggered local media coverage and prompted emergency responses from school officials. Similar complaints surfaced in other districts, where heating systems failed or batteries died mid-route — leaving kids stranded in freezing weather.

“This continues to be a top area of concern that we hear about from school board members,” Brian Fessler, Government Affairs Director for the New York State School Boards Association, told The Post. His association estimates replacing nearly 45,000 diesel buses statewide will cost approximately $11.2 billion — without accounting for additional expenses like charging infrastructure, building upgrades, or staffing.

For many families, the issue transcends environmentalism — it’s about basic student welfare. “Our children deserve safe, reliable transportation,” said one parent quoted in WIVB’s reporting. “Not a political experiment that breaks down every time it gets cold.”

Broader Implications: Accountability vs. Ideology

Zeldin’s intervention signals a broader ideological battle — one between fiscal responsibility and progressive environmental goals. His predecessor’s administration emphasized strict oversight, and his recent actions reflect that philosophy. “The Biden EPA disastrously doled out cash to ill-suited manufacturers as advanced payments,” Zeldin stated. “It’s an unbelievably reckless approach that was frequently favored by our predecessors.”

The program’s bipartisan origins — rooted in the 2021 Infrastructure Law — now appear increasingly contentious. While Democrats championed the initiative as part of a climate strategy, Republicans see it as a bloated subsidy that ignores practical realities. As Zeldin prepares to unveil reforms, critics argue the damage may already be irreversible — with hundreds of millions lost and children suffering.

A Nation Watching: What Comes Next?

With roughly $30 billion in wasteful grants canceled since taking office, Zeldin’s EPA is positioning itself as a watchdog against bureaucratic excess — but its next steps could determine whether the Clean School Bus Program survives or is replaced entirely.

Despite the setbacks, the momentum behind electrification remains strong — especially among urban centers and environmentally conscious policymakers. Yet the experience in New York suggests that without rigorous vetting, clear timelines, and manufacturer accountability, even well-intentioned programs can spiral into costly failures.

As Zeldin prepares to announce further changes, one question looms large: Can the United States afford to spend billions on technology that doesn’t work — while children sit in freezing buses? Or will this moment serve as a turning point toward smarter, more accountable investment in public infrastructure?


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