Volkswagen (VW) Settlement: DERA Option
General Information
On October 25, 2016, the court approved a settlement that partially resolves allegations that Volkswagen violated the Clean Air Act by the sale of approximately 500,000 motor vehicles containing 2.0 liter diesel engines equipped with “defeat devices.”
Under the partial settlement, Volkswagen will pay $2.7 billion to fully remediate the excess NOx emissions from the affected 2.0 liter engines. This money will be used to establish a mitigation trust that will be administrated through a mitigation trustee, with allocations to specific state, territorial, and tribal government beneficiaries to be used for specific NOx reducing actions. These actions can be found in Appendix D of the Consent Decree. Action #10 allows for Beneficiaries to use Trust funds for their non-federal voluntary match (DERA Option).
Settlement Highlights
- Volkswagen Clean Air Act Partial (2.0 Liter) Settlement Highlights
- FAQs for Beneficiaries to the VW Mitigation Trust Agreement
- Amended 2.0L Partial Consent Decree (PDF)(225 pp, 4.3 MB, About PDF) entered by the court on September 30, 2016.
- Presentation: Prospective Beneficiaries to the Mitigation Trust Under the Volkswagen Partial Settlement(November 18, 2016)
States
The States, Puerto Rico, and the District of Columbia may obtain funds as Mitigation Trust Beneficiaries upon application to the Trustee to implement NOx reduction projects as defined in Appendix D-2, including the DERA Option under the DERA State Clean Diesel Grant Program.
- VW DERA Option Factsheet (January 2017)
- Detailed Comparison of VW Eligible Mitigation Action 1-9 and Eligible Mitigation Action #10 (DERA Option) (January 2017)
- VW Settlement Webiner Slides: DERA Option for States (December 12, 2016)
Please submit questions related to Appendix D of the VW Consent Decree to the Clean Diesel helpline with the subject line “VW Question - State”
Tribes
Federally recognized tribes may obtain trust funds as Beneficiaries upon application to the Trustee to implement NOx reduction projects as defined in Appendix D-2, including the DERA Option under the competitive DERA Tribal Clean Diesel Grant Program.
Please submit questions related to Appendix D of the VW Consent Decree to the Clean Diesel helpline with the subject line “VW Question - Tribe”