AR HB1834

Establishes the School Bus Compressed Natural Gas Conversion and Assistance Loan Program administered by the Division of Public School Academic Facilities and Transportation to provide loans to school districts for converting buses to natural gas, purchasing compressed natural gas buses, or constructing refueling stations.

School districts must apply by July 1, 2014, and provide evidence of need and estimated costs; the division prioritizes applications based on average daily route miles, conversion need, and prudent use of state funds, excluding academic facilities wealth index as a factor.

Loans are repaid without interest over 12 years, with no loan forgiveness for early repayment before the 12-year period ends.

Participating school districts are eligible for loan forgiveness of up to 50% for conversions or bus purchases and up to 75% for refueling station construction, forgiven annually at 1/12 of the total forgiveness amount per year.

Creates the School Bus Compressed Natural Gas Conversion and Assistance Loan Program Fund to distribute loan assistance using general revenues and other authorized funds.