Overview
- The signed bill, SB 168, creates the MyFirstEV program that offers $3,500 off new zero-emission vehicles with an MSRP cap of $50,000 and $1,750 off used ZEVs priced at $25,000 or less.
- California is dedicating $135.5 million to the program and will dollar-match funds contributed by participating automakers to deliver up to $270 million in point-of-sale savings, though the total depends on which manufacturers opt in.
- State agencies, led by the California Air Resources Board, must complete rulemaking on enrollment, dealer and automaker participation, and buyer verification before rebates start later this summer.
- The package sits inside a $600 million 2026–27 clean-transportation budget that is funded by Cap-and-Invest revenue and smog-abatement fees and also allocates money for charging, truck and bus vouchers, and low-income programs.
- Governor Newsom framed the rebate as a state response to recent federal changes that reduced national EV incentives and signaled the move could affect demand, supply-chain jobs, and which vehicles qualify if carve-outs for California-headquartered firms are enforced.