States Plan Ahead for Volkswagen Settlement


States are about to get $2.7 billion under a settlement with Volkswagen for its scandal involving diesel-engine cars sold with defeat devices, which allowed the vehicles to sail through emissions tests despite emitting way more pollution than allowed under federal standards.   

VWCarSign2

The 2016 settlement over Volkswagen’s 2.0-liter diesel engine cars established a $2.7 billion mitigation trust fund, reports Bloomberg BNA reporter Patrick Ambrosio. The EPA and California Air Resources Board announced in September 2015 that Volkswagen and Audi sold about 480,000 vehicles fitted with these devices intended to bypass emissions testing protocols.  

emissions test

Though states won’t see this cash till sometime later this year, they’re already hammering out plans for spending it, Patrick writes.

Some state agencies are looking at projects to get the biggest emissions reductions for the dollar, improve air quality or to leverage additional public and private funding, he says in his story States Look to Stretch VW Settlement Billions.