The 2026-27 Budget: Proposed Zero-Emission Vehicle Incentive

Feb 24, 2026 - In July 2025, the President signed H.R. 1 —also known as the One Big Beautiful Bill Act —which eliminated these ZEV purchase incentives as of the end of September 2025. Since the passage of H.R. 1, some vehicle manufacturers have signaled that they expect to scale back their previously planned production of ZEVs.
https://lao.ca.gov/Publications/Report/5140