Health and Safety Code section 43215
(a)
For purposes of this section, both of the following definitions apply:(1)
“California-headquartered zero-emission vehicle company” means a corporation or other business form organized for the transaction of business that has its headquarters in California and the fleet of vehicles it manufactures is only zero-emission vehicles. For a multinational corporation, “California-headquartered zero-emission vehicle company” means the corporation’s United States-based headquarters is in California.(2)
“Headquarters” means the location where the corporation’s executive management and key managerial and support staff are located, and from where the corporation is managed as of January 1, 2026.(b)
The funds made available in Items 3900-101-3228 and 3900-102-0115 of the Budget Act of 2026 shall be used to establish a new zero-emission electric vehicle incentive program pursuant to the requirements of this section for first-time zero-emission electric vehicle buyers, as confirmed by a buyer attestation.(c)
The state board shall establish the program described in subdivision (b) and, as part of the program, shall do both of the following:(1)
Enter into grant agreements with light-duty passenger vehicle original engine manufacturers to provide incentives for consumers for the purchase or lease of new, and the purchase of used, light-duty passenger electric vehicles at the point of sale and registered to California residents.(2)
Set an incentive amount for new vehicles and a lower amount for used vehicles. The incentive amounts shall be matched from participating manufacturers.(d)
(1)An incentive shall not be provided under the program for a new vehicle with a manufacturer’s suggested retail price exceeding fifty thousand dollars ($50,0000), or for a used vehicle with a sales price exceeding twenty-five thousand dollars ($25,000).(2)
Notwithstanding paragraph (1), incentives under the program shall be provided to California-headquartered zero-emission vehicle companies regardless of the vehicle manufacturer’s suggested retail price or sales price.(3)
If a court of competent jurisdiction holds that the application of paragraph (2) is invalid, the remainder of this section shall remain in force and effect as if this section had not included paragraph (2).(e)
An incentive shall not be provided under the program to vehicles with a curb weight exceeding 8,500 pounds.(f)
Participating manufacturers shall disclose to consumers the portion of the incentive that is coming from the State of California.(g)
Participating manufacturers shall not resell or release any vehicle purchased or leased using this incentive in another state until no less than 4 years after the date of the purchase or lease using this incentive.(h)
The Administrative Procedure Act (Chapter 3.5 (commencing with Section 11340) of Part 1 of Division 3 of Title 2 of the Government Code) does not apply to any guidelines or other standards adopted or used by the state board in administering funds governed by this section.(i)
This section shall become inoperative on September 1, 2031, and, as of January 1, 2032, is repealed.
Source:
Section 43215, https://leginfo.legislature.ca.gov/faces/codes_displaySection.xhtml?lawCode=HSC§ionNum=43215. (updated Jul. 13, 2026; accessed Jul. 20, 2026).
