New Jersey Transit (NJT) awarded three contracts aimed at providing the agency's customers with a modernized bus fleet and reducing engine emissions. Neoplan USA Corp. received a contract not to exceed $42.5 million to supply 85 articulated buses with an option to purchase 70 more. The buses, which can carry 59 seated passengers and additional standees, will primarily be used on NJT's heavier traveled local and intercity bus routes. All of the buses have kneeling capablities, wheelchair lifts and wheelchair seating areas. NJT also awarded a contract not to exceed $8.8 million to MCII and ISE Research to purchase seven hybrid electric buses. Those buses will serve as demonstration buses that will allow NJT to evaluate another fuel-efficient alternative for its bus fleet. The buses will consist of four cruiser buses for use on intercity routes and three transit buses for use on local routes. NJT also purchased more than 20 million gallons of ultra low sulfer diesel from Sprague Energy Corp. (dba RAD Energy Marketing) for $54.2 million to fuel the agency's bus fleet.