Driving Clean Financing Assistance Program

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The Community Housing Development Corporation, a community‑based organization in Richmond, received over $6.5 million from California Climate Investments for a pilot project to assist with the purchase of newer, cleaner cars in low‑income households in Sacramento and the Bay Area. The pilot project, known as Financing Assistance for Lower-Income Consumers, provides up to $5,000 for hybrid or plug‑in electric vehicle price buy‑down and up to an additional $2,000 for electric vehicle service equipment. The pilot enables low‑income individuals and families, who would otherwise not qualify for a loan due to credit challenges, to obtain a loan at competitive rates. This transformative initiative includes credit counseling, budget counseling, and financial education.

“I never thought that I would ever be able to afford a hybrid vehicle. Because of this program, I now have a reliable vehicle to get to work and I save gas and help the environment,” said Anwar Hughes. With the help of Community Housing Development Corporation and the Financing Assistance Pilot Project, Anwar was able to purchase a clean, reliable vehicle.

This pilot project helps communities that are over burdened with poor air quality by swapping out older, polluting cars with more advanced cleaner cars. Another major benefit is that it offers a reliable mode of transportation for people like Anwar, who do not think they can afford an advanced clean car. Other project benefits for recipients include increased access to jobs, health care, education, and other everyday activities, while also helping achieve climate change goals.

The program’s impact is compounded when it is combined with other grant programs for purchasing advanced clean cars, such as the Clean Vehicle Rebate Program and Clean Cars 4 All. After combining all of these benefits, it is often cheaper to purchase a cleaner vehicle over a standard gas vehicle with higher emissions.