                                 CODE OF VIRGINIA

DECLARATION OF POLICY SUPPORTING COST-EFFECTIVE VEHICLE PURCHASE AND LEASE;
TOTAL COST OF OWNERSHIP CALCULATOR; REPORT (§ 2.2-1176.2)

A. It is the policy of the Commonwealth to encourage and promote the use of
cost-effective vehicles by considering the total cost of ownership by agencies
of the Commonwealth.

B. By October 1, 2022, the Department shall identify a publicly available total
cost of ownership calculator that will be used to assess and compare the total
cost to purchase, own, lease, and operate light-duty internal combustion-engine
vehicles (ICEVs) versus comparable electric vehicles (EVs). Beginning on January
1, 2023, the Department and all agencies of the Commonwealth shall utilize the
calculator prior to purchasing or leasing any light-duty vehicles and shall
purchase or lease an EV unless the calculator clearly indicates that purchasing
or leasing an ICEV has a lower cost of ownership.

   1. The calculator shall, at a minimum, account for the vehicle&#8217;s make,
   model, and age; the average miles traveled per year for similarly used
   vehicles; the expected life expectancy of the vehicle and average annual
   depreciation; the upfront and annual costs of purchasing such vehicle and all
   other costs of vehicle ownership or lease; and all costs the agency must incur
   to add chargers or other fueling facilities to support such vehicles. The
   calculator shall be updated at least annually to account for updates in
   information, including information on the latest light-duty vehicle models
   available.

   2. The Department shall make the calculator available to all state and local
   public bodies and transit agencies. The Department shall also provide
   technical assistance to such public bodies utilizing the calculator upon
   request.
   				For purposes of this subsection, &#8220;light-duty vehicle&#8221; means a
   motor vehicle with a gross vehicle weight of 14,000 pounds or less.

C. Beginning January 1, 2026, and every three years thereafter, the Department
shall submit to the Governor and the General Assembly a report summarizing the
Department&#8217;s vehicle procurements and the vehicle procurements of other
agencies of the Commonwealth. The report shall, at a minimum, include a
compilation of types of vehicles by size, fuel sources, and the total estimated
cost savings and avoided emissions attributable to purchasing or leasing of EVs
instead of ICEVs.

D. Emergency vehicles, as defined in &#xA7; 46.2-920, and any vehicles used by
an agency of the Commonwealth in law-enforcement, incident response, or other
emergency response activities shall be exempt from the requirements of this
section. The Department may authorize other exemptions from the requirements of
this section upon finding that an EV is not a practicable alternative to an ICEV
for a particular use, or for some other compelling reason.

E. The Department shall develop guidance documents regarding the procedure for
requesting exemptions from the requirements of this section and the criteria for
evaluating such exemption requests. Before adopting or revising such guidance
documents, the Department shall publish the document on its website and provide
a 30-day period for public review and comment.

F. The Department may issue any directives or guidance documents or promulgate
any regulations as may be necessary to implement the requirements of this
section.

HISTORY: 2022, c. 789.