LAWS AND LEGISLATION
AGENDA
REGULAR MEETING
January 23, 2026, 12:00 p.m.
City Hall North Conference Room A
1600 Truxtun Avenue
Members
Eric Arias
Andrae Gonzales
Ken Weir
1. ROLL CALL
2. PUBLIC STATEMENTS
a. Agenda Item Public Statements
b. Non-Agenda Item Public Statements
3. ADOPTION OF MINUTES
a. Adoption of the September 26, 2025, Regular Meeting minutes.
Staff recommends approval of the minutes.
4. STAFF REPORT
a. Quarterly Update on State Legislative Advocacy and Grant Funding - January 2026 Staff recommends Committee receive and file.
b. Quarterly Update on Federal Legislative Advocacy and Grant Funding - January 2026 Staff recommends Committee receive and file.
5. NEW BUSINESS
6. COMMITTEE COMMENTS
7. ADJOURNMENT
Laws and Legislation Committee
Minutes
Regular Meeting
Friday, September 26, 2025
12:00 p.m.
City Hall North, First Floor, Conference Room A
1600 Truxtun Avenue, Bakersfield CA 93301
Committee Members:
Eric Arias – Chair
Andrae Gonzales
Ken Weir
Agenda
Meeting called to order at 12:08 p.m.
1. ROLL CALL
Committee members present: Councilmembers Arias and Gonzales
Committee members absent: Councilmember Weir
City Staff: Christian Clegg, City Manager
Juan Heredia, Michelle Cruz, City Manager’s Office
Julie Drimakis, City Clerk
Mayor Goh
2. PUBLIC STATEMENTS
a. Agenda Item Public Statements
None.
b. Non-Agenda Item Public Statements
None.
3. Adoption of the May 30, 2025, Special Meeting Minutes. (Staff recommends adoption of the minutes.)
Motion by Councilmember Gonzales to adopt the May 30, 2025, Special Meeting Minutes.
Motion approved with Councilmember Weir absent.
4. STAFF REPORT
4.a. Quarterly Update on State Legislative Advocacy and Grant Funding - September 2025 (Staff recommends Committee receive and file.)
Assistant to the City Manager Heredia provided staff comments and introduced Sharon Gonsalves from California Public Policy Group (CPPG) who provided a PowerPoint presentation.
City Manager Clegg made additional staff comments.
Jake Whitaker, CPPG provided comments on Grant Funding.
Legislative and Legislation Committee
Regular Meeting September 26, 2025, Agenda
Motion by Councilmember Gonzales to receive and file. Motion approved with Councilmember Weir absent.
4. STAFF REPORT continued
4.b. Quarterly Update on Federal Legislative Advocacy - September 2025 (Staff recommends Committee receive and file.)
City Manager Clegg and Assistant to the City Manager Heredia provided staff comments and introduced Terry Huebert from Summit Strategies who provided a PowerPoint presentation.
Jake Whitaker, CPPG made additional comments.
Motion by Councilmember Gonzales to receive and file. Motion approved with Councilmember Weir absent.
5. NEW BUSINESS
None.
6. COMMITTEE COMMENTS
None.
7. ADJOURNMENT
The meeting was adjourned at 1:17 p.m.
___________________________________
JULIE DRIMAKIS, MMC
CITY CLERK and Ex Officio Clerk of
the Council of the City of Bakersfield
ADMINISTRATIVE REPORT
MEETING DATE: January 23, 2026 AGENDA CATEGORY: STAFF REPORT TO: Laws and Legislation Committee
FROM: Juan M. Heredia, Assistant to the City Manager
DATE: January 16, 2026
SUBJECT: Quarterly Update on State Legislative Advocacy and Grant Funding – January 2026
[Document Description]
RECOMMENDATION:
Staff recommends Committee receive and file.
BACKGROUND:
California Public Policy Group (CPPG) provides the City of Bakersfield with legislative advocacy services at the state level, and grant writing services for state and federal grants. Each quarter, CPPG provides an update to the Laws & Legislation Committee on legisl ative advocacy in Sacramento and the City’s grant awards.
For the January 2026 meeting, CPPG will present the End of Year Report, discuss two Housing Informational Hearings, review some key items in the Governor’s Budget , and re -cap any major grant developments in the last quarter of 2025.
FISCAL IMPACT:
There is no fiscal impact to the General Fund.
COUNCIL GOAL:
Innovative and Efficient City Government
ATTACHMENTS:
1. CPPG Bakersfield 2025 End of Year Report
2. CPPG Bakersfield Housing Informational Hearing – January 7th
3. CPPG Bakersfield Housing Informational Hearing – January 14th
4. CPPG Bakersfield 2026-27 Governor’s Proposed Budget
5. CPPG Municipal Funding Outlook – January 2026
2025 END OF YEAR REPORT
CITY OF BAKERSFIELD
Prepared by:
Sharon Gonsalves, Managing Director
(916) 849-5536
[email protected]
1127 11TH STREET, SUITE 300, SACRAMENTO, CA 95814 • 916.974.9270 • PUBLICPOLICYGROUP.COM PAGE 2
TABLE OF CONTENTS
TRANSMITTAL LETTER................................ ................................ .............................. 3 CPPG/CITY OF BAKERSFIELD 2025 LEGISLATIVE HIGHLIGHTS ................................ .... 5 CPPG/CITY OF BAKERSFIELD 2025 GRANT FUNDING HIGHLIGHTS ............................. 6 YEAR IN REVIEW ................................ ................................ ................................ ..... 7 KEY PERFORMANCE INDICATORS ................................ ................................ ............ 9 HIGHLIGHTS: LEGISLATIVE ADVOCACY SUCCESS ................................ .......... 9 HIGHLIGHTS: STATE AND FEDERAL GRANTS AND EARMARKS ........................ 14 SUMMARY OF ADVOCACY DELIVERABLES................................ .................... 17 LOOKING AHEAD ................................ ................................ ................................ .. 18 LOCAL GOVERNMENT REVENUE................................ ................................ .. 18 HOUSING AND LAND USE ................................ ................................ ........... 19 CALIFORNIA ENVIRONMENTAL QUALITY ACT CLEAN UP ............................... 19 ELECTION YEAR POLITICS ................................ ................................ ........... 20 GRANT FUNDING ................................ ................................ ....................... 22
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TRANSMITTAL LETTER
November 20, 2025
To: Christian Clegg
City Manager
City of Bakersfield
From: Sharon Gonsalves
Managing Director
California Public Policy Group
Dear Mr. Clegg:
On behalf of the California Public Policy Group (CPPG), I want to thank you, your team, and the City of Bakersfield City Council for engaging our firm for state legislative advocacy and grant services.
This End of Year Report provides an overview of the services our firm delivered to the City during 2025, along with insights and next steps as we prepare for the 2026 legislative and funding year.
Throughout 2025, CPPG worked closely with your staff to advance the City’s priorities, strengthen relationships with the Administration and state agencies, and elevate your organization’s profile in Sacramento. This was a dynamic and productive year in which CPPG continued to position the City as a credible and effective voice in the policy arena, ensuring that lawmakers and regulators understood your key issues and local impacts.
Our work included engaging on state legislation across a wide range of policy areas —housing and land use, revenue and taxation, climate, public safety, and governmental operations —resulting in more than 530 direct “touchpoints” either with your agency or on its behalf.
In total, CPPG monitored and analyzed over 900 pieces of state legislation , with the City taking official positions on 27 measures and achieving positive outcomes on the majority. Deliverables included policy analyses, memos, position letters, stakeholder coordination, and direct advocacy with state legislators and committee staff.
CPPG was pleased to welcome the Mayor to Sacramento for the Big City Mayor’s Coalition lobby day to discuss the state budget and homelessness. In April, CPPG accompanied the City for productive meetings with its legislative delegation. These conversations provided an important opportunity to highlight the City’s priorities, share updates on local initiatives, and strengthen relationships with key legislative offices. The visit also helped ensure that state representatives remain informed and engaged on the issues most critical to the community.
We met again in Long Beach during the 2026 annual conference to continue discussions on emerging legislative trends, other bills anticipated for the upcoming session and funding opportunities. These follow-up conversations allowed CPPG and City leadership to align early on strategy, anticipate areas of impact, and identify opportunities for proactive engagement.
1127 11TH STREET, SUITE 300, SACRAMENTO, CA 95814 • 916.974.9270 • PUBLICPOLICYGROUP.COM PAGE 4 Our team continues to work to weave our legislative and funding efforts to create the best opportunities for success. Aligning grant proposals with broader legislative priorities demonstrates relevance, creates stronger narratives, and builds credibility with funders who value the mission of its organization. At the same time, insights gained from advocacy efforts —such as emerging policy trends or stakeholder needs—can inform more strategic, competitive grant applications. Together, these activities reinforce each other, helping organizations advance their missions more effectively and sustainably.
In addition to our legislative work, CPPG’s Grant Services Team supported the City through a robust program of monthly Municipal Funding Outlooks , targeted Grant Alerts, and regular coordination meetings. Our grant professionals worked alongside your departments to identify and pursue competitive state and federal funding opportunities aligned with your strategic goals. This year, CPPG assisted in developing and submitting multiple grant applications and tracked ongoing federal earmark requests totaling more than $31 million for local infrastructure and community programs— with a total of $28 million in grant funding awarded to the City this past year.
We greatly appreciate the opportunity to represent the City of Bakersfield and value your continued confidence in our firm. While 2025 brought meaningful progress and several legislative and funding successes, more work remains to ensure your interests are protected and advanced in the coming year. Thank you again for your trust and partnership—we look forward to building on this momentum in 2026.
Sincerely,
Sharon Gonsalves
Managing Director
California Public Policy Group, Inc.
Jake Whitaker
Director of Grant Services
California Public Policy Group, Inc.
CC: Juan Heredia, Assistant to the City Manager, City of Bakersfield
1127 11TH STREET, SUITE 300, SACRAMENTO, CA 95814 • 916.974.9270 • PUBLICPOLICYGROUP.COM PAGE 5 CPPG/CITY OF BAKERSFIELD 2025
LEGISLATIVE HIGHLIGHTS
PIECES OF LEGISLATION TRACKED ON BEHALF
OF THE CITY
Legislation tracked and assessed for impacts on the City to its legal, operational, or fiscal authority and decision making.
SUCCESS RATE ON LEGISLATIVE
ENGAGEMENT—MAKING THE CITY’S VOICE
HEARD
CPPG achieved the desired outcome or secured critical
amendments to dramatically reduce adverse impacts to
the City. (14 desired outcomes out of 27 total positions.) * Some bills that the City positioned in support of were made into two-year bills.
COMBINED DELIVERABLES AND
TOUCHPOINTS
Legislative updates, position letters, policy and political analyses, and meetings with the City and/or with the
Administration or the Legislature on behalf of the City. *From November 1, 2024 to October 31, 2025.
930+
14/27
570+
1127 11TH STREET, SUITE 300, SACRAMENTO, CA 95814 • 916.974.9270 • PUBLICPOLICYGROUP.COM PAGE 6 CPPG/CITY OF BAKERSFIELD 2025 GRANT
FUNDING HIGHLIGHTS
IN STATE AND FEDERAL FUNDING SECURED FOR
THE CITY (ALL-TIME)
Combined funds that CPPG secured for the City from state and federal grants and federal Community Project
Funding.
APPLICATIONS FOR STATE AND FEDERAL
FUNDING SUBMITTED (2025)
Grant applications for state and federal funding that CPPG has worked on for the City.
APPLICATIONS FOR STATE AND FEDERAL
FUNDING CURRENTLY PENDING (2025)
Grant applications that CPPG and the City have
collaborated on and submitted that are still awaiting
awards.
IN GRANT FUNDING APPLIED FOR (2025)
Combined funds that CPPG and the City have applied for
through state and federal agencies and federal
Community Project Funding.
IN GRANT FUNDING AWARDED (2025)
Combined funds that CPPG secured for the City from state and federal grants and federal Community Project Funding in 2025. Please note that this includes applications that were submitted in 2024 and awarded in 2025.
$120M
11 6
$31M
$28M
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YEAR IN REVIEW
The Legislature Returns: The California State Legislature held its Organizational Session in early December 2024, officially launching the 2025-26 legislative session, and reconvened in early January to begin regular business. The session welcomed 35 newly elected state legislato rs—25 Assemblymembers and 10 Senators —who joined a Legislature led by Assembly Speaker Robert Rivas (D -Hollister) and Senate President pro Tempore Mike McGuire (D -Geyserville). In the Assembly, Josh Lowenthal (D -Long Beach) was appo inted the new Speaker Pro Tempore, with Cecilia Aguiar-Curry (D-Winters) remaining as Majority Leader. The 2024 election brought a minor shift in the Legislature’s composition, with Republicans gaining two seats in the Assembly and one seat in the Senate. In early May, a reorganization plan was introduced to dissolve the Business, Consumer Services, and Housing Agency and create two new entities: the Business and Consumer Services Agency and the California Housing and Homelessness Agency. The plan will take effect on July 1, 2026.
The Governor’s Budget: In early January, Governor Gavin Newsom revealed his proposed budget for fiscal year 2025 -26 during a press conference. The proposal projected total state spending at $322.27 billion, with a minor surplus of $363 million. The May revision to the January p roposal indicated a slight reduction in total spending to $321.9 billion, with a deficit now projected at $12 billion. The deficit was based on the increasing costs of state programs and declining economic conditions from a “growth re cession” caused by federal policies in conjunction with the wildfires which devastated Southern California, resulting in over 18,000 homes being destroyed. In mid-June, the Legislature met its constitutional deadline to advance a balanced state budget for fiscal year 2025-26, passing SB 101 (Wiener) [Chapter 4, Statutes of 2025]. The final budget totaled $324.7 billion in spending—about 10% higher than in 2024-25—and closed a $12.3 billion deficit.
In late June, provisions of several bills having to do with building standards and the California Environmental Quality Act (CEQA) were added into AB 130 (Committee on Budget) [Chapter 22, Statutes of 2025], the housing budget trailer bill. The final versi on of AB 130 represented one of the most consequential housing and land use measures of 2025. The bill established a moratorium on new or amended state and local residential building standards —including energy, green building, and design requirements—from October 1, 2025, through June 1, 2031. Changes to CEQA in the bill included new categorical exemptions for certain infill and mixed -income projects, streamlined litigation timelines, and restrictions on the scope of CEQA challenges that can be brought agai nst projects consistent with certified housing elements.
These CEQA changes were among the most far-reaching in years and signaled a broader legislative effort to reduce procedural barriers to housing construction. Perhaps most notably, AB 130 marked the first time in recent memory that major policy reforms were included in a budget bill instead of being pursued through standalone legislation. This approach enabled the provisions to advance rapidly through the legislative process, bypass most policy and fiscal debate, and take effect immediately rather than at the start of 2026.
More Housing Laws Aimed at Targeting Local Agencies: In 2025, the Legislature once again placed much of the responsibility for solving California’s housing crisis on local governments. As in prior years, a central theme of the legislative agenda was curbing or preempting local control over land
1127 11TH STREET, SUITE 300, SACRAMENTO, CA 95814 • 916.974.9270 • PUBLICPOLICYGROUP.COM PAGE 8 use and housing decisions. Lawmakers advanced a series of measures designed to streamline approvals, override local zoning, and impose new state -level mandates on production targets and permitting timelines.
These actions reflect a persistent narrative that local governments continue to act as barriers to housing growth—a view that continues to shape state policy. Yet this approach often overlooks the substantial progress many cities and counties have already made. Across the state, local governments have implemented innovative programs to incentivize affordable housing, expedite approvals for infill and accessory dwelling units, and adopt more flexible zoning standards to support density and mixed-use development.
Notably, there has been a subtle but important shift in tone among some lawmakers, signaling a growing recognition that local agencies are not solely responsible for California’s housing shortfall.
For example, the Senate Housing Committee declined to adva nce Senator Scott Wiener’s (D -San Francisco) proposal to dramatically expand the controversial SB 9 (Atkins, 2022), citing the need to respect local community planning processes and acknowledging that eliminating all development fees would undermine the ability of local governments to fund essential public services.
Similarly, SB 499 (Stern) [Chapter 543, Statutes of 2025] was passed and signed by Governor Newsom, marking a rare acknowledgement of the balance between housing production and community infrastructure. The measure reaffirms the importance of parks and open space as critical public safety assets and restores the ability of public utilities to assess connection and capacity charges at the time of development —recognizing that such tools are vital for maintaining sustainable growth.
While these developments suggest a modest rebalancing of the state -local relationship, the Legislature’s broader framework still largely frames California’s housing crisis as a failure of local governance. This ongoing tension between state mandates and local innovation risks complicating, rather than accelerating, the state’s long-term housing production goals.
Leadership Change Announced: In mid-June, Senator McGuire announced that Senator Monique Limón (D-Santa Barbara) would succeed him as Senate President pro Tempore. Senator McGuire, who had served as pro Tem since early 2024, is running for one of the newly drawn congressional districts created by Proposition 50. Senator Limón, a former Assemblymember, was formally elected Senate leader on September 13 and officially took office on November 17. She will lead the Senate through the remainder of the 2025-26 session and will term out in 2028.
Late Session Gut -and-Amends: In mid -August, Governor Newsom and legislative leaders introduced a legislative package that called for a special election to seek voter approval of Proposition 50. Voters approved the measure, which temporarily replaces California’s existing congressional redistricting process until the next certification in 2031. In early September, with only days left in the legislative session, the Legislature introduced several bills to address affordability, including gasoline and energy costs, and greenhouse gas emissions targets. The legislation included two measures that extended the state’s Cap -and-Invest Program, which is funded by the Greenhouse Gas Reduction Fund and overseen by the California Air Resources Board. The legislation also allocated $1 billion annually from the Program to High-Speed Rail and an additional $1 billion in 2026-27 for other appropriations.
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KEY PERFORMANCE INDICATORS
Our legislative advocacy for your City involves the CPPG team engaging with individual lawmakers— both within and beyond the City’s legislative district —as well as committee staff, the Governor’s Administration, and regulatory officials to advance the City’ s policy objectives. This collaborative approach is designed not only to move the City’s priorities forward but also to mitigate potential legal, operational, and fiscal challenges arising from state legislation.
Effective advocacy depends on raising awareness and sharing key information about priority issues.
Empowering your City Council, staff, and advocacy team is essential to advancing your state policy priorities. Our efforts range from collaborating with lawmakers and legislative staff to refine bill language and offer technical amendments, to building strong coalitions that align with the City’s goals. These efforts include educating legislators, mobilizing supporters, engaging the media, and forging strategic partnerships—all while maintaining a clear and focused approach.
Over time, a sustained legislative advocacy effort helps your City to develop strong alliances and enduring relationships with your allies. Working with legislators to familiarize them with your concerns often results in lawmakers —even those outside your legislative district —becoming champions for your specific issues. Establishing personal connections with legislators enhances your City’s credibility, allowing for significant influence in the legislative process. While sustained advocacy does not guarantee success on every front, a lack of engagement will lead to state policies that undermine local decision making and introduce new legal, operational, or fiscal hurdles.
The following highlights summarize our key accomplishments for your City in 2025, demonstrating how our efforts advanced your interests or reduced potential impacts on your agency.
Highlights: Legislative Advocacy Success
✓ SB 423 (Gonzalez) Housing: real property transfer taxes: affordability covenants (City of Bakersfield: Oppose)
[Please note: an official position was not adopted due to time constraints.] In the final days of the 2025 legislative session, SB 423 was “gut and amended” to include language that would have prohibited cities from imposing a real estate transfer tax on certain newly constructed residential and commercial properties. The proposal would have barred transfer taxes for 15 years following the issuance of a certificate of occupancy for multifamily and commercial developments and for five years on single -family homes rebuilt after a disaster. Another version of the proposal extended thes e restrictions to document transfer taxes, posing significant fiscal impacts for local governments statewide.
CPPG mobilized immediately, working directly with city clients to quantify potential revenue losses and prepare city -specific impact analyses. Our team also coordinated with each city’s legislative delegation, the League of California Cities, and external partners such as the California Professional Firefighters, amplifying statewide opposition and elevating the issue politically.
1127 11TH STREET, SUITE 300, SACRAMENTO, CA 95814 • 916.974.9270 • PUBLICPOLICYGROUP.COM PAGE 10 Our coordinated advocacy resulted in SB 423 being narrowed to apply only to the City of Los Angeles before ultimately stalling at the end of session.
✓ AB 379 (Schultz) Crimes: prostitution (City of Bakersfield: Support) AB 379 strengthens California’s legal framework to prevent the commercial sexual exploitation of minors and support survivors of human trafficking. The bill expands penalties for offenders, establishes a Survivor Support Fund , and creates new diversion opportunities for individuals engaged in prostitution under certain conditions. The City of Bakersfield has consistently supported legislation to protect victims of human trafficking, and this bill builds on prior reforms by bal ancing accountability with reha bilitation while expanding resources for victim -centered programs statewide.
Due to significant opposition from progressive groups, the Assembly Public Safety Committee removed the proposed felony provision for soliciting 16 - and 17 -year-olds in order for the bill to advance—causing public tension. CPPG engaged with legislative staff, local governments, law enforcement agencies, and survivor advocacy groups to ensure balanced consideration of enforcement and implementation impacts.
CPPG monitored amendments and collaborated with public safety partners to align the bill with local operational realities while maintaining its protective intent. The bill passed both chambers with broad bipartisan support, reflecting consensus around the need for stronger protections and survivor resources.
After a series of amendments, AB 379 was signed into law by Governor Newsom on July 30 (Chapter 82, Statutes of 2025).
✓ AB 825 (Petrie-Norris) Independent System Operator: independent regional organization (City of Bakersfield: Support)
AB 825 authorizes the California Independent System Operator (ISO) and the electrical corporations that are participating transmission owners operated by the ISO to use voluntary energy markets governed by an independent regional organization.
Regional energy markets allow utilities and energy authorities to buy and sell electricity across a wider area, which lowers costs for consumers, provides more access to renewable energy sources, and ensures a stable and reliable energy supply.
On September 19, AB 825 was signed into law by Governor Newsom (Chapter 116, Statutes of 2025).
✓ SB 237 (Grayson) Oil spill prevention: gasoline specifications: suspension: California Environmental Quality Act: exemptions: County of Kern: transportation fuels assessment:
coastal resources (City of Bakersfield: Support)
SB 237 was introduced just days before the 2025 legislative session ended as part of a broader package of bills focused on affordability. SB 237 aimed to stabilize California’s fuel market and manage refinery transition risks while maintaining existing env ironmental safeguards. The bill permits Governor Newsom, in consultation with the California Energy Commission (CEC) and the
1127 11TH STREET, SUITE 300, SACRAMENTO, CA 95814 • 916.974.9270 • PUBLICPOLICYGROUP.COM PAGE 11 California Air Resources Board (CARB), to temporarily suspend California’s costlier summer -blend gasoline during price spikes. The bill also directs the CEC to evaluate fuel specifications for affordability and emissions impacts and updates oil -spill prevention, pipeline safety, and Coastal Act permitting rules. Most importantly for the City of Bakersfield, the bill clarifies California Environmental Quality Act (CEQA) coverage for Kern County oil -and-gas projects under CalGEM oversight.
On behalf of the City, CPPG collaborated with other local governments and labor and energy partners to position SB 237 as a critical affordability and jobs measure during late -night committee hearings, effectively countering opposition from environmental and coastal groups concerned about air-quality and public-health impacts.
On September 19, SB 237 was signed into law by Governor Newsom (Chapter 118, Statutes of 2025).
✓ SB 415 (Reyes) Planning and zoning: logistics use developments: truck routes. (City of Bakersfield: Support)
CPPG worked tirelessly throughout 2025 to secure necessary cleanup to AB 98 (Carillo) [Chapter 931, Statutes of 2024], 2024’s gut and amend measure that imposed new statewide regulations on logistics use developments such as warehouse distribution centers. Many ambiguities surfaced when AB 98 was introduced, and the last-minute timing of the bill prevented amendments from being made. Therefore, Assemblymember Carrillo (D -Palmdale) and Senator Reyes (D -Grand Terrace) made a commitment to address concerns thr ough subsequent legislation and at the beginning of 2025, two identical bills were introduced, AB 735 (Carrillo) and SB 415 (Reyes).
After months of stakeholder meetings, several critical amendments were accepted over the course of the year. Amendments included:
• Allows cities and counties outside the Warehouse Concentration Region to meet AB 98’s truck route planning requirements by adopting an ordinance —rather than updating their circulation element —by January 1, 2028 . This provides greater flexibility for local governments statewide.
• Safe harbor language for all cities and counties that if the Attorney General brings an action against a jurisdiction for not complying with the circulation element update or ordinance adoption, the court may consider whether a city or county is making a good faith effort to come into substantial compliance or is facing substantial undue hardships. • Clarify buffer area requirements without mandating full landscaping. • Correct dock door/loading bay orientation provisions by allowing bays to face away from sensitive receptors, to the extent feasible, while maintaining protections.
On October 3, SB 415 was signed into law by Governor Newsom (Chapter 316, Statutes of 2025).
Stakeholders continue to work to address outstanding concerns.
✓ SB 445 (Wiener) High-speed rail: third-party agreements, permits, and approvals:
regulations (City of Bakersfield: Oppose)
SB 445 was introduced to address major permitting and coordination delays affecting transit and other large infrastructure projects, and was later amended to focus specifically on the California
1127 11TH STREET, SUITE 300, SACRAMENTO, CA 95814 • 916.974.9270 • PUBLICPOLICYGROUP.COM PAGE 12 High-Speed Rail Project. The author sought to address deadlines in the permitting process by imposing deadlines on local governments, special districts, telecommunications companies, and public and private utilities to comply with the permitting process. If the transit agency does not get those permits because of these delays, they are empowered t o just begin construction. The legislation also limits local governments from requiring concessions unrelated to the project as a requirement for receiving a permit.
CPPG engaged with the California Municipal Utilities Association, the League of California Cities, and the Association of California Water Agencies to highlight the numerous issues of concern in the bill including the ability to manage public infrastructure, ensure worker and public safety, and coordinate with all critical infrastructure sectors.
On June 30, SB 445 was amended and narrowed to only apply to the California High Speed Rail Project. On August 29, the bill was held in the Assembly Appropriations Committee, halting its progress in 2025.
❖ AB 339 (Ortega) Local public employee organizations: notice requirements (City of Bakersfield: Oppose)
AB 339 exemplified a growing trend in state policymaking —efforts to restrict or complicate a local agency’s ability to contract for essential services. As introduced in January 2025, the bill would have required local agencies to provide 120 days’ notice to every bargaining unit for any service contract (new or renewal) involving similar or related work. It also allowed bargaining units to reopen existing MOUs and demand “meet-and-confer” negotiations for each affected contract. Collectively, these provisions would have made local contracting virtually unworkable. Recognizing the threat, CPPG engaged early, providing a detailed analysis, coordinating with the League of California Cities, the California Contract Cities Association, and the California Chamber of Commerce, helping to build a broad opposition coalition to educate legislators on the operational and fiscal consequences for local governments.
Through sustained advocacy, CPPG and coalition partners secured a series of major amendments that substantially reduced the bill’s impact before its passage. Key amendments included:
• Elimination of the “meet and confer” requirement and the removal of the MOU reopening provision.
• Reduction of the notice period from 120 days to 45 days. • Full exemption for contracts related to declared states of emergency. • Targeted exemptions for:
o Construction, alteration, demolition, installation, repair, and maintenance work. o Specialized data, software, or services related to those activities. o Contracts for the planning, design, administration, oversight, or delivery of public works, residential, commercial, or industrial projects subject to uniform codes or standards.
While AB 339 was ultimately signed into law, these amendments transformed a bill that would have crippled local contracting into one that is far narrower in scope and more administratively manageable for cities like the City of Bakersfield.
1127 11TH STREET, SUITE 300, SACRAMENTO, CA 95814 • 916.974.9270 • PUBLICPOLICYGROUP.COM PAGE 13 On October 13, Governor Newsom signed a significantly amended version of AB 339 into law (Chapter 687, Statutes of 2025).
❖ SB 79 (Wiener) Housing development: transit-oriented development (City of Bakersfield:
Oppose)
SB 79 establishes statewide standards for housing development within one-half mile of major transit stops, making qualifying “transit-oriented housing developments” an allowed use regardless of local zoning restrictions. It overrides local government planning authority by setting minimum height, density, and floor area ratios that cities and counties cannot reduce, and by deeming compliant projects automatically consistent with local plans under the Housing Accountability Act. This centralizes land-use control for transit-adjacent areas, limiting local discretion and presuming local denials unlawful in high-resource areas beginning January 1, 2027. SB 79 reappropriates local land use authority to transit agencies despite local governments investing heavily in planning through the state mandated housing element process that prioritize public participation.
Immediately upon introduction, CPPG worked with advocates in the broader local government advocacy community—including the League of California Cities, among others—to create a robust opposition coalition to educate the Legislature on specific impacts to local agencies.
As a direct result of our efforts with a coalition of stakeholders, SB 79 was substantially amended prior to making its way to Governor Newsom to create exemptions for sites in high fire hazard zones, sites vulnerable to sea level rise, and sites with historic resources.
While we continued to advocate for a veto, the bill’s impact was reduced through a series of negotiated amendments. On October 10, a significantly amended version of SB 79 was signed into law by Governor Newsom (Chapter 512, Statutes of 2025).
❖ SB 707 (Durazo) Open meetings: meeting and teleconference requirements (City of Bakersfield: Oppose)
Upon introduction, SB 707 proposed sweeping changes to California’s Brown Act, dramatically broadening the definition of “legislative bodies” and imposing a series of costly new mandates on local agencies. As introduced, the bill would have required all legislative bodies to:
• Provide opportunities for remote public participation; • Translate meeting agendas into multiple languages using human translators; • Offer live interpretation services during meetings;
• Provide physical public access to computers during meetings; • Require all employment matters discussed in closed session to be publicly disclosed; • Obtain a four-fifths vote for any closed-session action or to conduct a special meeting.
Recognizing the significant fiscal and operational impacts, CPPG immediately engaged alongside a broad coalition of local government stakeholders to oppose the measure. As chair of the Senate Local Government Committee, Senator Durazo later merged four separate —largely favorable — Brown Act-related proposals into SB 707, creating a challenging dynamic in which local agencies supported certain provisions while strongly opposing others.
1127 11TH STREET, SUITE 300, SACRAMENTO, CA 95814 • 916.974.9270 • PUBLICPOLICYGROUP.COM PAGE 14 Throughout the spring, CPPG played a central role in negotiations, working closely with committee staff, the author’s office, key legislators, and other stakeholders to secure substantial amendments that removed or narrowed nearly all of the bill’s most bu rdensome provisions. These changes significantly reduced the measure’s fiscal and operational impacts while introducing new flexibility for legislative bodies subject to the Brown Act. However, the combining of measures effectively split the local governme nt coalition, with three statewide local government organizations shifting their position to support the bill and another moving to neutral.
Despite these improvements, several problematic provisions remained. In the final month of the legislative session—with a fractured local government coalition, CPPG directly led the opposition coalition, meeting with virtually every member of the Assembly to urge rejection of the bill. As the session drew to a close, CPPG successfully led efforts to have SB 707 placed on the Inactive File on September 11, effectively stalling it for the year. However, due to commitments Senator Durazo had made to the author s of the consolidated measures, the bill was pulled from the Inactive File in the final hours of session and passed both houses on September 13.
While disappointing that the bill ultimately advanced, CPPG’s advocacy directly resulted in major amendments that dramatically mitigated local agency impacts and preserved greater flexibility within open meeting requirements.
On October 3, Governor Newsom signed a significantly amended version of SB 707 into law (Chapter 327, Statutes of 2025).
Highlights: State and Federal Grants and Earmarks
Over the past year, CPPG ’s Grant Services Team has worked to provide information on potential grant opportunities, to monitor funding cycles, and to prepare competitive grant applications in collaboration with staff on behalf of the City. Each month, the CPPG Grant Services Team sends out a comprehensive update on current and upcoming funding opportunities . In April 2025, CPPG revamped this monthly update and launched the Municipal Funding Outlook —with the goal of streamlining key information in an easy -to-ready format. The Outlook is sorted by subject area (Sustainability, Transportation, Hazard Mitigation, etc.). In addition to the Outlook, CPPG sends targeted Grant Alerts highlighting recently announced programs. The Funding Catalog, in addition to the Grant Alerts , keeps the City up to date on all grant funding opportunities impacting the public sector. To date, 10 Municipal Funding Outlooks and 52 Grant Alerts have been sent to City staff in 2025. CPPG ’s Director of Grant Services, Jake Whitaker , attends monthly meetings with staff to review the City’s list of tracked funding opportunities and to provide updates on grant applications in-progress.
Since January 2025, the federal funding landscape has been marked by significant shifts under the Trump Administration, driven by OMB directives, new Executive Orders, agency -level policies, and legal challenges that together introduced unprecedented uncertainty for local government agencies. CPPG’s team has worked diligently to provide the City with timely memos and monthly Federal Action Updates, incorporated into the Municipal Funding Outlook, to help navigate these rapidly evolving circumstances. A temp orary government -wide pause on federal financial assistance initiated in January 2025 triggered broad program reviews and delays in obligations and
1127 11TH STREET, SUITE 300, SACRAMENTO, CA 95814 • 916.974.9270 • PUBLICPOLICYGROUP.COM PAGE 15 disbursements. Subsequently, Executive Order 14332, titled Improving Oversight of Federal Grantmaking, restructured the grantmaking process to require that discretionary awards directly advance presidential priorities, expand “termination for convenience” authority, restrict allowable costs, and heighten scrutiny of programs involving climate, equity, gende r-related services, or services to immigrant communities. Actions at USDOJ targeted funding for “sanctuary jurisdictions,” leaving California-based agencies in a challenging position due to California’s status as a “sanctuary state.” Agency-specific directives , most notably at USDOT , initiated project -by-project reevaluations of prior Infrastructure Investment and Jobs Act (IIJA) and Inflation Reduction Act (IRA) awards, particularly for projects including equity, active transportation, or clean energy elements.
These administrative actions resulted in the termination of a $20 million grant award made to the City of Bakersfield by the EPA, the Community Change Grant funded by the Inflation Reduction Act (IRA). CPPG’s team worked closely with City staff to dispute the decision and attempted to restructure the grant scope of work to realign it with the administration’s policy priorities . T hese efforts were ultimately unsuccessful, and the City chose to accept closeout of the grant award.
CPPG’s team is working with staff to identify alternative opportunities to support projects that were funded through the EPA grant.
The past year has also included several major victories for the City. Notably, the City received a $22.8 million investment from the state —the largest state grant that the City has received in the last decade—from the Proposition 1 -funded Behavioral Health Continuum Infrastructure Program (BHCIP). The City also received $5 million from the state for improvements to the City’s Material Recovery Facility, $350k in funding from the Jobs First Catalyst Fund, and $188k federal funding to support officer wellness initiatives.
The City currently has $ 3,000,000 pending in federal earmark funding from Rep. David Valadao’s Office for the Monitor Street Complete Streets project, and $3,500,000 in earmark funding from Sen.
Alex Padilla’s Office for the South MLK Sewer Improvements project. This funding is contingent upon approval of the federal budget. CPPG’s consultants worked with the City to prepare these funding requests to federal lawmakers.
More information regarding specific funding opportunities being tracked, pending application submittals, and federal earmark awards can be found in the tables below.
Grants Awarded
Grant Name Amount Awarded Project Description
Behavioral Health Continuum
Infrastructure Program (BHCIP) $22,867,345
Funding will be used to create a new, 65-
bed substance use treatment facility for
adults and prenatal women.
Quality Infrastructure Grant
Program $5,147,934
Funding will be used to upgrade the City’s
Material Recovery Facility to modernize the
sorting line for recyclables and increase
CRV-eligible material capture rates.
1127 11TH STREET, SUITE 300, SACRAMENTO, CA 95814 • 916.974.9270 • PUBLICPOLICYGROUP.COM PAGE 16 Law Enforcement Mental
Health and Wellness Act
(LEMHWA) Program
$188,000
Funding will be used to support BPD’s
officer wellness program, Shielding the
Frontline, by providing more capacity for
officer wellness sessions and funding a
Wellness Liaison.
Jobs First Catalyst Funding
$1,496,116 awarded to
the Kern Coalition.
$350,000 for the City of
Bakersfield.
Funding will be used to advance renewable
energy and advanced manufacturing
sector development in accordance with
the Jobs First Regional Plan.
Grant Proposals Submitted and Pending
Grant Name Amount Requested Project Description
Homekey+ $12,635,799
Funding will be used to convert Ramkabir
Motel into 30 permanent supportive
housing (PSH) units.
Solid Waste Infrastructure for
Recycling (SWIFR) $5,000,000
Funding will be used for updated
equipment at the Material Recovery
Facility.
Land and Water Conservation
Fund (LWCF) $3,207,625 Funding will be used for MLK Park Renovation Project Phase III.
Homeless Housing, Assistance
and Prevention (HHAP) – Round
6 $6,504,298 Funding will be used to support the City’s response to homelessness.
Hazard Mitigation Grant
Program $153,887 Funding will be used to install a new
backup generator for Fire Station 3.
Illegal Disposal Site Abatement $275,000
Funding will be used for cleanup at four
sites: an abandoned golf course, an
abandoned development, a site near the
Kern River, and Daniel’s Lane.
1127 11TH STREET, SUITE 300, SACRAMENTO, CA 95814 • 916.974.9270 • PUBLICPOLICYGROUP.COM PAGE 17 Pending Federal Earmarks
Congressional Office Amount Requested Amount Appropriated Project Description Rep. David Valadao $5,000,000 $3,000,000
Funding will be used for the
Monitor Street Complete
Streets project.
Sen. Alex Padilla $3,500,000 $3,500,000
Funding will be used for the
South MLK Sewer
Improvements project.
Summary of Advocacy Deliverables
At CPPG, our commitment extends far beyond traditional state legislative advocacy —it’s a year - round partnership dedicated to serving the City of Bakersfield in every capacity possible. We tackle local challenges that intersect with state interests, collaborate with City staff on innovative policies, and deliver educational resources that enhance the Council ’s and staff’s understanding of critical issues.
In advocating for your City, consistent communication with your staff and Council is a top priority for our team. Keeping you well -informed supports our ability to effectively and successfully represent your interests. To this end, we provide memos tailored to your City that include specific analyses of legislation and regulatory matters, and updates on the legislative process, as needed. In 2025, CPPG sent your team 32 memos with analyses or updates that illustrated City -specific impacts and/or potential funding sources for the City. These memos kept you informed about specific legislation and policies of potential interest to your City, especially those that may impact your City ’s operations, authority, or decision making.
We kept you updated on important developments in the Capitol through regularly scheduled Zoom meetings. These check -in meetings served as essential touchpoints, framing the continuous and often daily dialogue we maintained with City staff through calls, te xts, and emails. Additionally, we held presentations for your staff and Council whenever necessary, providing insights on legislative developments and highlighting the City ’s active participation in the legislative process. This consistent exchange of info rmation ensured that everyone stayed aligned and informed as we navigated the complexities of governance together.
Each month, CPPG supplied your City with a legislative summary that highlighted key developments in the Legislature and updates on legislation, along with announcements from the Administration, all of which were tailored to your City’s specific interests. Additionally, our Monthly Activity Reports meticulously documented every touchpoint CPPG had with and on behalf of the City.
1127 11TH STREET, SUITE 300, SACRAMENTO, CA 95814 • 916.974.9270 • PUBLICPOLICYGROUP.COM PAGE 18 Sacramento Lobby Day: Mayor Goh and City staff traveled to Sacramento on February 11 for the City’s advocacy day and CPPG organized meetings on the City’s behalf. Councilmembers and City staff, joined by Sharon Gonsalves, met with Jeff Macomber, Secretary of California Department of Corrections and Rehabilitation and Kim Johnson, Secretary of California Health and Human Services Agency. In April, as part of Cal Cities Legislative Days, Vice Mayor Kaur and City staff traveled to Sacramento and met with the City’s legislative delegation.
Updates on Legislative and Regulatory Processes, and Detailed Legislative Analys es: CPPG provided the City with several detailed analyses of pieces of legislation. These analyses were critical in helping the City assess pending legislation’s potential implications for operations, local discretion, and/or authority. CPPG also provided timely informational reports during critical stages of the budget and policy processes and followed up to answer any questions and close the loop.
These updates provided your City with the necessary situational awareness of statewide trends and of regulatory, fiscal, and legislativ e developments. Examples of these reports include but are not limited to:
• Analysis of AB 1337 (Ward)
• Analyses of SB 79 (Wiener) [Chapter 512, Statutes of 2025] • Analysis of SB 677 (Wiener)
• Analysis of SB 681 (Wahab)
• Advanced Clean Fleets regulations
• Organizational Session
• California Environmental Quality Act (CEQA) Bills
• High-Speed Rail press conference
• Homeless funding accountability
• Howard Jarvis initiative
• Budget updates: January proposal, May revision, and June final • Housing package budget trailer bills
• Appropriations Suspense Files
• End of session
LOOKING AHEAD
Local Government Revenue
California continues to face a structural deficit, compounded by growing uncertainty around federal health care policy. The Legislative Analyst’s Office (LAO) —the Legislature’s nonpartisan research and advisory division—recently warned that new federal actions reducing Medi-Cal reimbursements and provider tax revenues could cost the state’s General Fund billions of dollars annually. These losses—combined with lower federal participation and higher county administrative burdens —will likely intensify pressure on state finances and heighten the risk of future cost shifts to local governments.
In lean fiscal years, both the Administration and the Legislature have historically viewed local revenue sources as soft targets for backfilling state shortfalls. As the state contends with federal
1127 11TH STREET, SUITE 300, SACRAMENTO, CA 95814 • 916.974.9270 • PUBLICPOLICYGROUP.COM PAGE 19 retrenchment in Medi-Cal and other programs, legislation in 2026 is likely to push additional costs, enforcement duties, and programmatic responsibilities onto local agencies.
In one of its earlier forms, SB 423 (Gonzalez) proposed a cap on local document transfer fees —a measure with significant implications for municipal revenue stability. While the bill was ultimately narrowed to apply solely to Los Angeles and stalled in comm ittee, it reflected a broader trend of proposals seeking to limit local fiscal authority. Similar statewide measures affecting multiple jurisdictions are expected to reemerge in 2026.
Additionally, development impact fees, Quimby fees, and other local cost -recovery mechanisms may once again be targeted as part of broader efforts to “reduce barriers” to housing and economic development. Restricting or eliminating these local funding tool s would undermine the ability of local governments to maintain infrastructure, parks, affordable housing programs, and essential public services.
As the fiscal and policy landscape continues to evolve, local governments must remain vigilant in safeguarding existing revenue streams and defending against legislation that creates new unfunded mandates. Ensuring that local governments retain the authori ty and resources necessary to meet community needs will be a central advocacy priority heading into the 2026 legislative session.
Housing and Land Use
Continuing a trend of recent years, the 2025 legislative session saw the introduction of hundreds of housing-related measures, exceeding the volume introduced in prior years. In an unprecedented move, about 300 pages of statutory changes were enacted throu gh the 2025 -26 state budget. The pace of housing legislation is expected to remain intense in 2026. Anticipated trends include proposals to increase densities and building heights around transit corridors, expand zoning reforms to promote infill development, and impose new or expanded planning and reporting requirements.
Lawmakers are also likely to pursue further changes to accessory dwelling unit and duplex laws, as well as adjustments to the Davis -Stirling Act aimed at limiting common -interest developmen t restrictions.
Recent state housing measures have increasingly shifted costs and responsibilities onto local governments while limiting their discretion in land use planning. These policies often overlook the broader factors contributing to California’s housing crisis, i ncluding construction labor shortages, financing constraints, rising materials costs, and speculative ownership of existing housing stock.
Despite these challenges, cities and counties continue to demonstrate leadership by approving and entitling housing p rojects at significant levels. Local governments remain committed partners in addressing the state’s housing needs; however, mandates imposed without corresponding resources or flexibility risk undermining sustainable, long-term progress.
California Environmental Quality Act Clean Up
Significant reforms to the California Environmental Quality Act (CEQA) were enacted in 2025 through the state budget process—marking the most substantial changes to the law in decades. Despite the scale of that reform package, several issues remain unresol ved. Some legislators who reluctantly
1127 11TH STREET, SUITE 300, SACRAMENTO, CA 95814 • 916.974.9270 • PUBLICPOLICYGROUP.COM PAGE 20 supported the 2025 reforms have signaled their intent to pursue further “clean -up” legislation, focusing on concerns such as more prescriptive requirements for tribal consultation and clarification of the definition of “advanced manufacturing.” Additional CEQA-related bills may therefore emerge in 2026 to address these outstanding matters. Although many of these proposals are framed as technical adjustments, they carry the potential to introduce new mandates or increase litigation risks for local government s. Because cities and counties serve as the primary implementers of CEQA, it will be critical that any reforms remain both workable and adequately resourced—in order to maintain environmental protections while supporting responsible and sustainable development.
Advanced Manufacturing: The 2025 CEQA reforms exempt nine project types from environmental review, including “advanced manufacturing,” defined broadly to encompass big tech, semiconductors, aerospace, and electronics industries. Stakeholders have raised concerns — especially labor and environmental groups—that the definition is overly expansive and could erode environmental or community protections unless narrowly tailored and clearly defined.
Tribal Consultations: Under current law, local governments must offer consultation within 14 days and allow a 60 -day period for consultation to conclude. Local officials continue to seek clearer guidance on those timelines; tribal and indigenous organizations, conversely, are advocating for more time and meaningful engagement to ensure consultation is substantive.
Endangered Species Act: With the passage of SB 131 and AB 130 (both chaptered June 30, 2025), the definition of “natural and protected lands” was narrowed, prompting stakeholders to demand clarification that this change does not weaken conservation protections for critical species habitat.
Ballot Measure & Legislative Implications: In addition to statutory reforms, a proposed statewide ballot initiative titled the “Building an Affordable California Act”—filed by the California Chamber of Commerce and expected to appear on the November 3, 2026 ballot if qualified —seeks to further redefine the CEQA review process. The measure would establish strict deadlines for lead agencies (e.g., 365 days for EIRs, 180 days for Negative Declarations) and impose accelerated judicial-review timelines under a “substantial evidence” standard rather than “prejudicial abuse of discretion.”
Because the ballot initiative could drastically shift how CEQA is implemented statewide, it may in turn influence the Legislature’s approach to any follow -up statutory changes. In practical terms, local governments should anticipate that reforms in 2026 ma y come not only through bills but also through the interplay of voter -driven mandates and legislative reactions. This means advocates should maintain a dual focus: (1) refining the technical statutory language governing CEQA implementation, and (2) monitor ing how ballot measure outcomes could prompt additional legislative or budgetary changes.
Election Year Politics
Political Climate: With the upcoming national midterm elections, California’s political environment is expected to become increasingly charged and unpredictable. Voters will choose a new Governor on November 3, 2026, marking the end of Governor Newsom’s tenure as he position s himself for a likely presidential run. In the lead-up, the Administration is expected to double down on policies that
1127 11TH STREET, SUITE 300, SACRAMENTO, CA 95814 • 916.974.9270 • PUBLICPOLICYGROUP.COM PAGE 21 contrast sharply with those of the Trump Administration —particularly around climate action, healthcare access, and housing production.
Election years often amplify high-profile policy debates, and 2026 will be no exception. The Governor and legislative leaders will be eager to showcase tangible progress on housing, homelessness, and cost-of-living issues —areas where public frustration rem ains high. We can expect an increased emphasis on high -visibility housing enforcement measures, streamlined development proposals, and budget initiatives designed to demonstrate fiscal responsibility while maintaining progressive priorities.
Public safety will also remain a central political issue, as lawmakers seek to balance community concerns over rising property crime and retail theft with ongoing efforts to reform the criminal justice system. One area that we are focusing on is the ongoin g funding for Proposition 36. Despite the overwhelming voter approval rating, the Administration and the Legislature only allocated $ 100 million in this year’s budget for implementation. Next year could see a refocus on additional funding for the measure.
The combination of federal-state political tension, economic uncertainty, and leadership transitions will make 2026 a uniquely volatile year in Sacramento—one where policy outcomes are increasingly shaped by electoral dynamics as much as by sound governance.
Governmental Operations Measures: Even-numbered years traditionally bring a wave of labor - sponsored legislation. While often directed at large corporations, many of these proposals extend to the public sector—adding costs, compliance obligations, and new restrictions on local discretion.
Measures that limit a local agency’s ability to contract for specialized or temporary services, increase employer costs, or undermine the collective bargaining process are expected to resurface in 2026.
Growing concern over the public-sector use of artificial intelligence (AI) is also expected to drive new legislation in 2026. Labor organizations view AI as a potential threat to public -sector jobs, while privacy and community advocates are focused on data protection, algorithmic bias, and the preservation of human oversight. Together, these interests are likely to fuel a broad push for regulation. Anticipated proposals may require agencies to disclose AI use in decision-making, hiring, procurement, or publ ic safety operations; conduct bias and privacy assessments; or establish internal AI governance frameworks. While intended to enhance transparency and accountability, these measures could impose significant new reporting and compliance burdens —particularly for smaller agencies with limited technical capacity.
Similarly, “transparency” and “good governance” reforms are expected to return in 2026. This year’s SB 707 (Durazo) [Chapter 327, Statutes of 2025] enacted one of the most complex revisions to the Ralph M. Brown Act in decades, creating new requirements for remote participation, agenda posting, and language access. While the bill’s intent was to enhance public participation, its implementation has already proved to be administratively burdensome for local agencies. Following pushback from community groups who argued the bill did not go far enough, Senator Durazo has signaled plans to expand translation, accessibility, and recordkeeping requirements in the upcoming session.
1127 11TH STREET, SUITE 300, SACRAMENTO, CA 95814 • 916.974.9270 • PUBLICPOLICYGROUP.COM PAGE 22 Grant Funding
Prepared by: Jake Whitaker, Director of Grant Services
After a tumultuous year with major changes in the landscape of federal funding, many municipalities have started to pivot away from pursuing federal grant opportunities due to new requirements included in grant award agreements prohibiting diversity, equit y, and inclusion (DEI) practices and requiring cooperation with federal immigration enforcement efforts. However, the state of California faces a multi -year structural deficit, limits the state’s ability to backfill the loss of federal funding opportunities across the multitude of impacted areas, including transportation, clean energy adoption, and public safety.
Funding through Proposition 4, colloquially known as the “Climate Bond,” is currently being rolled out and represents the most immediate opportunity for municipalities to apply for discretionary grant funding. Due to the legislature’s failure to include an exemption to the Administrative Procedures Act (APA) for Climate Bond programs, the grant funding solicitations must follow the full administrative approval process which has contributed to a delay of approximately six months.
Some early appropriations made in January 2025 are currently going through public comment on the draft grant program guidelines, while other Climate Bond programs appropriated at the end of session in September 2025 are just now undertaking the APA approval process. The FY 25-26 budget appropriated $3.3 billion of the total $10 billion in spending authorized by the Climate Bond. While these funding opportunities are a welcome reprieve, grant funding is anticipated to be highly competitive with increased demand and the structure of the Climate Bond itself spreads these dollars across many different areas of investment—making this a wide yet shallow pool of funding.
Transportation
• Cycle 8 of the California Transportation Commission (CTC)’s Active Transportation Program is anticipated to be released in March 2026. The goals of the program are to increase biking and walking trips, increase the safety and mobility of non -motorized users, advance efforts of regional agencies, and enhance public health.
• The CTC has announced the Local Partnership Program for another round of funding. This program provides funding to projects where voters have approved fees or taxes dedicated solely to transportation improvements or that have imposed fees. Eligible activities include projects that address aging infrastructure, road conditions, active transportation, transit, and rail. The State has appropriated $202 million for this program. Applications are anticipated to be released around summer of next year.
• The U.S. Department of Transportation (USDOT) was planning to release a solicitation for the Better Utilizing Investments to Leverage Development (BUILD) program in November 2025 (potentially delayed due to the prolonged government shutdown). Funding can be used for surface transportation infrastructure projects with significant local or regional impact. • The USDOT is currently reviewing the Bridge Investment Program (BIP) , which has one remaining fiscal year of funding appropriated by the IIJA. BIP focuses on projects that address existing bridges that are either in poor condition or at -risk of falling into poor condition. The timeline for the re-release of the BIP solicitation is currently unclear. • The Federal Railroad Administration (FRA) is anticipated to hold competitions for the Consolidated Rail Infrastructure and Safety Improvements (CRISI) program and Railroad
1127 11TH STREET, SUITE 300, SACRAMENTO, CA 95814 • 916.974.9270 • PUBLICPOLICYGROUP.COM PAGE 23 Crossing Elimination (RCE) program in 2026. These two programs are popular opportunities for jurisdictions pursuing grade separation projects. Timelines for these competitions are unclear. Currently, funding for FY 25 and FY 26 appropriated by the Infrastructure Investment and Jobs Act (IIJA) have not been obligated for projects.
Parks and Recreation
• The State has appropriated $188.5 million through the Climate Bond (Prop 4) for the Statewide Park Development and Community Revitalization Program . The program’s intent is to create new parks and new recreation opportunities in critically underserved communities across California. Draft guidelines will be released soon for public comment.
The upcoming Round 5 competition, which will be held in Summer/Fall 2026, will be the only Climate Bond-funded round of grants.
• The Art in California Parks Grant Program is anticipated to be released in Spring 2026 for Round 3. The goal of the program is to revitalize local parks with diverse experiences that foster creativity, community connection and transform them into hubs of art, culture, and nature.
• The federal Outdoor Recreation Legacy Partnership (ORLP) program is currently paused for administrative review. ORLP funds a wide variety of recreational projects and facilities, from sports fields and playgrounds to walking trails and community gardens. The timeline for review and resumption of grant funding competitions is currently unclear. • The federally funded Land and Water Conservation Fund (LWCF) , however, has not been impacted by shifts in federal policy or administrative procedures. LWCF dollars are managed and awarded by the State as a federal pass -through grant. The LWCF provides matching grants to local governments for outdoor recreation projects. Grant competitions are typically held annually. The California State Parks Office of Grants and Local Assistance (OGALS) notes that the next LWCF competition is “coming soon.”
• The California State Parks Office of Grants and Local Services (OGALS) had a public comment period for the Recreational Trails Program (RTP) Non -Motorized this summer and are working on revisions of the guidelines. The next application cycle is anticipated to be released in 2026 or 2027.
• OGALS also had a public comment period for the Habitat Conservation Fund this spring and are working on revising the guidelines. The next application cycle is anticipated to be released in 2026 or 2027. This program funds projects for nature interpretation programs to bring urban residents into park and wildlife areas, protect ion of various plant and animal species, and acquisition and development of wildlife corridors and trails.
Water Quality and Conservation
• The Bureau of Reclamation has stated that several WaterSMART funding opportunities were planned to be launched in Fall 2025 prior to the government shutdown: Small-Scale Water Efficiency Program, Water and Energy Efficiency Grants, and Drought Resiliency Projects. • The State Water Resources Control Board accepts applications for the Clean Water State Revolving Fund and Drinking Water State Revolving Fund on a rolling basis. The annual Intended Use Plan drafts are published in November/December of each year. The RLF programs are funded through a combination of annual state and federal investments.
1127 11TH STREET, SUITE 300, SACRAMENTO, CA 95814 • 916.974.9270 • PUBLICPOLICYGROUP.COM PAGE 24 However, available funding is expected to tighten in the coming years with the expiration of IIJA supplemental federal funding.
• The State Water Resources Control Board is currently accepting applications for the Water Recycling Planning Grant . Applications are accepted on an ongoing basis until 6/30/2027.
Projects can include recycled water treatment, recycled water storage, distribution, and pumping, and groundwater recharge.
Economic Development
• The Economic Development Administration has announced the Disaster Supplemental Grant Program for areas that received major disaster declarations because of hurricanes, wildfires, severe storms and flooding, tornadoes, or other natural disasters in 2023 -2024.
The program provides funding to support economic recovery in these affected areas.
Applications are accepted on a rolling basis for Readiness and Implementation projects until funds are exhausted. For the Industry Transformation Path, applications are due 3/3/2026.
Housing Construction
• The California Department of Housing and Community Development (CalHCD) has appropriated $120 million for FY 25 -26 for the Multifamily Housing Program . The program funds projects for new construction or rehabilitation of existing housing development, as well as the conversion of nonresidential structures into residential structures. Funding is anticipated to be released in 2026.
• The Strategic Growth Council’s Affordable Housing Sustainable Communities receives a continuous annual appropriation from Cap -and-Invest Greenhouse Gas Reduction Fund.
This program provides funds for projects that achieve GHG reductions and benefit communities through accessibility of affordable housing, employment centers, and key destinations via low-carbon transportation. Guidelines are anticipated to be released early 2026.
• The legislature appropriated an additional $100 million for the Encampment Resolution Funding (ERF) program for FY 25 -26. However, this funding will be used for “look back” awards for unfunded projects from the ERF Round 3 competition. CPPG does not anticipate a Round 4 ERF competition in 2026.
Sustainability, Resilience, and Climate Action
• The Strategic Growth Council has released the draft guidelines for Round 6 of the Transformative Climate Communities Program. This program provides funds for community- led development and infrastructure projects that achieve major environmental, health, and economic benefits. The State has appropriated $100 million from the Climate Bond for this program. Draft guidelines are currently open for public comment until 1/2/2026. • The Strategic Growth Council has released the draft guidelines for Round 2 of the Community Resilience Center Program . This program provides funds for development and implementation of community resilience centers that mitigate the public health impacts of extreme heat and other emergency situations. The State has appropriated $55 million from
1127 11TH STREET, SUITE 300, SACRAMENTO, CA 95814 • 916.974.9270 • PUBLICPOLICYGROUP.COM PAGE 25 the Climate Bond for this program. Draft guidelines are currently open for public comment until 1/2/2026.
• The Extreme Heat and Community Resilience Program has announced a second round of funding. The Climate Bond appropriated $22 million for FY 25 -26. Funding will be used for planning projects that combine community services and physical improvements to protect communities from extreme heat. The RFP and Pre-Application Interest Form are anticipated to be released early 2026.
• The Climate Bond appropriated $46 million for the Urban Greening Program in FY 25-26. This program funds projects that result in the conversion of existing built environments into green space and green infrastructure. NOFOs are anticipated in early 2026. • The Coastal Conservancy has received Climate Bond funding appropriations of $62 million in FY 25 -26 for coastal resilience projects and $32.5 million in FY 25 -26 for sea level rise adaptation projects. Proposals are being accepted through the Coastal Conservancy Grants rolling application process.
• The EPA’s Brownfield Assessment and Cleanup Grants were anticipated to be released November 2025, but were delayed due to shutdown. These grants provide funds to conduct planning activities, develop cleanup plans, and implement cleanup activities for brownfield sites. It is currently unknown when the NOFO s will be released, but applications are expected to be due 60 days after solicitations are released.
Fire and Emergency Response
• FEMA’s Assistance to Firefighters Grant (AFG) is anticipated to be released Winter 25/26. This program funds equipment, protective gear, emergency vehicles, training, and other necessary resources for protecting the public and emergency personnel. • The Staffing for Adequate Fire and Emergency Response (SAFER) Grant is anticipated to come out Winter 25/26. The SAFER Grant is designed to directly fund fire departments or volunteer firefighter organizations to help increase or maintain the number of trained firefighters.
• The Fire Prevention and Safety (FP&S) is anticipated to release solicitations Winter 25/26.
The goal of this program is to reduce injury and prevent death through fire prevention programs and firefighter health and safety research and development. • Future funding remains uncertain for FEMA’s Pre -Disaster Mitigation programs, which include the Hazard Mitigation Grant Program (HMGP) , Flood Mitigation Assistance (FMA) , and Building Resilient Infrastructure and Communities (BRIC) . These programs fund a wide variety of mitigation activities, including flood protection, hazardous fuels treatment, retrofitting structures, and supplying backup power via generators for critical facilities. Going forward, options to fund these types of projects may be limited t o the Congressional appropriations aka “earmarks” process.
• The Community Microgrid Enablement Program through PG&E is anticipated to announce a Third Round in 2026. This program provides funding to enable a community microgrid through studies and equipment for a safe transition.
1127 11TH STREET, SUITE 300, SACRAMENTO, CA 95814 • 916.974.9270 • PUBLICPOLICYGROUP.COM PAGE 26 Public Safety
• The California Office of Traffic Safety annual OTS Grant is due January 31, 2026. This program provides funding for a variety of priority program areas with local crash data that demonstrates a need for funding. These priority program areas include: Alcohol Impaired Driving, Distracted Driving, Drug-Impaired Driving, Emergency Medical Services, Motorcycle Safety, Occupant Protection, Pedestrian and Bicycle Safety, Police Traffic Services, Communications and Public Affairs, and Roadway Safety and Traffic Records. • The U.S. Department of Justice (USDOJ) is currently accepting applications for the Bulletproof Vest Partnership (BVP) , with a due date of 12/19/2025. BVP reimburses local government agencies for up to 50% of the cost of body armor vests purchased for law enforcement officers. These reimbursements are awarded on a competitive basis.
Libraries
• The current administration has taken action to terminate funding from the Library Services and Technology Act (LSTA), which is passed through to the California State Library from the federal Institute of Museum and Library Services. LSTA funds a variety of programmatic grant programs available to local libraries from the State Library. While there are active lawsuits challenging the administration’s actions, future funding availability remains uncertain.
———————————————— END OF REPORT
1127 11TH STREET, SUITE 300, SACRAMENTO, CA 95814 • 916.974.9270 • PUBLICPOLICYGROUP.COM PAGE 1 Date: January 9, 2026
To: Christian Clegg, City Manager
City of Bakersfield
From: Sharon Gonsalves
Managing Director
California Public Policy Group
Re: CPPG Summary of Housing Informational Hearing on January 7, 2026
On January 7, the Assembly Select Committee on Housing Construction Innovation held its first informational hearing. The Committee—chaired by Assemblymember Buffy Wicks (D -Oakland)—is a new committee formed to “determine how the State can play a role in reducing housing costs by facilitating innovation in housing construction.” The Committee’s purpose statement can be found here. Informational hearings are intended solely to gather information and do not involve any votes.
Their purpose is to allow the Legislature to explore a specific subject area to be better prepared when considering related legislation. While no formal actions are taken during oversight hearings, comments from committee members and testimony from witnesses can offer valuable insight into potential legislation the Legislature may pursue in the future.
The January 7 hearing focused on identifying construction methods that can reduce housing costs in California without increasing costs to taxpayers. The chair framed the discussion around scaling innovative approaches that can be deployed statewide to address the housing affordability crisis.
Committee members highlighted several promising models. Assemblymember Sharon Quirk -Silva (D-Fullerton) pointed to Sweden’s housing construction system and a very low -income modular project in El Monte using a durable foam “Yeti” design. Assemblymember Juan Carrillo (D-Palmdale) emphasized the importance of supporting small -scale manufactured -home developers, while Assemblymember John Harabedian (D-Pasadena) stressed the need for a stable and predictable market for innovative builders. Assemblymember Jeff Gonzalez (R-Indio) highlighted public health benefits associated with producing homes in climate -controlled factories, and Assemblymember Lori Wilson (D-Suisun City) focused on how the state can enable innovation while maintaining cost effectiveness.
Ben Metcalf of the University of California, Berkeley’s Terner Center identified California’s central challenge as exceptionally high and rapidly rising construction costs. He noted that multifamily development costs often exceed $500,000 per unit before land costs and have outpaced inflation for decades, acceler ating since 2019. Metcalf also cited a shrinking construction workforce and long-term productivity declines. Factory -based construction methods —including manufactured and modular housing—can reduce hard construction costs by roughly 10% –20%, but face barriers including earlier financing needs, codes and approvals designed for site -built housing, uncertain demand that conflicts with factory staffing models, and a fragmented industry with limited research and testing capacity.
Industry testimony reinforced both the promise and constraints of innovative construction. Caleb Roope of The Pacific Companies reported delivering more than 26,000 homes and 6,700 modular
1127 11TH STREET, SUITE 300, SACRAMENTO, CA 95814 • 916.974.9270 • PUBLICPOLICYGROUP.COM PAGE 2 units, achieving approximately 20% cost savings and 25% faster timelines. Other witnesses cited real-world cost reductions ranging from 10% to 35% using modular, manufactured, mass timber, and 3D-printed construction. Speakers warned that a declining construction workforce will continue to push costs upward. While factory-built housing offers meaningful efficiencies, roughly two-thirds of total housing development costs still occur on -site. Nearly all witnesses identified labor costs, financing, and local b uilding codes as major barrier s to scaling innovative construction methods statewide.
The overall tone of the Select Committee aligned with the Governor’s State of the State on January 8, during which the Governor stressed the need for rapid and affordable construction of housing across the state.
The agenda for the informational hearing can be found here.
1127 11TH STREET, SUITE 300, SACRAMENTO, CA 95814 • 916.974.9270 • PUBLICPOLICYGROUP.COM PAGE 1 Date: January 16, 2026
To: Christian Clegg, City Manager
City of Bakersfield
From: Sharon Gonsalves
Managing Director
California Public Policy Group
Re: CPPG Summary of Housing Informational Hearing on January 14, 2026
KEY TAKEAWAYS
• We anticipate proposals on the following topics will be introduced as a result of this hearing:
o Bills that establish consistent statewide codes and policies to remedy inconsistent local codes, policies, and processes.
o Bills focused on permitting for manufactured homes.
o Bills that further shorten and standardize local government process timelines. • It is worth noting that while much of the policy discussion focused on local government, no local government representatives participated in either informational hearing to speak to the factors driving the current challenges in the housing sector.
HEARING SUMMARY
On January 14, 2026, the Assembly Select Committee on Housing Construction Innovation—chaired by Assemblymember Buffy Wicks (D-Oakland)—held its second informational hearing on how California can accelerate housing delivery through construction innovation. While the first hearing focused on identifying promising methods and potential cost and schedule savings, the second centered on what it will take to scale factory -built and modular housing in real -world conditions— particularly the administrative, financing, and workforce systems that shape delivery. For cities and local governments, the most relevant takeaway was developer concern about inconsistent building codes and processes across jurisdictions; witnesses argued that predictable local review, clearer state–local coordination, and coordinated demand are essential to scaling factory-built housing.
The Department of Housing and Community Development (HCD) defined factory-built housing (FBH) as housing manufactured offsite to California standards, allowing onsite work to proceed in parallel with factory production and potentially reducing timelines an d material waste. HCD emphasized that design approval is handled by third -party agencies overseen by HCD, but local governments remain responsible for permitting and for elements outside the FBH scope, including site work, utilities, and inspections. The practical message for cities was that even with state-approved factory processes, local permitting clarity and inspection coordination can determine whether offsite construction delivers time savings.
The Strategic Growth Council (SGC) framed FBH as an underused tool and argued that scaling requires regional “ecosystems,” not one -off pilots. SGC noted that prior funding has gone unawarded due to limited applicants, and pointed to fragmented demand, inco nsistent local standards, and misaligned financing timelines as core barriers. SGC described grant programs intended to build local capacity and support cross-jurisdiction coordination. For cities, the takeaway
1127 11TH STREET, SUITE 300, SACRAMENTO, CA 95814 • 916.974.9270 • PUBLICPOLICYGROUP.COM PAGE 2 was that participation, and repeatable local processes are seen as prerequisites for accessing and effectively using state resources.
Lenders, manufacturers, and innovation funds emphasized that modular projects require large early deposits and rapid factory payments, which often do not align with conventional construction lending draws or public subsidy schedules that typically materialize at closing. Speakers noted that while factory -built projects can be attractive from an efficiency standpoint, lenders still perceive risks—especially where logistics failures or damage can create outsized losses. Across the discussion, standardization emerged as the most consistent de -risking strategy: consistent approval pathways, repeatable local processes, and standardized plans can reduce uncertainty for both lenders and builders. Some speakers highlighted emerging financial products designed to cover factory deposits and other pre-closing costs.
These financing concerns aligned with Terner Center findings that each additional public funding source can add months to project timelines and increase per -unit costs. For cities, the implication is that factory -built approaches only deliver value if time lines can be compressed; when local permitting uncertainty or financing delays create long pauses, the benefits of offsite production can evaporate.
The workforce discussion framed industrialized construction as both a productivity opportunity and a labor-standards issue. Witnesses highlighted potential improvements in safety and job stability, while labor leaders expressed openness to modular approach es if accompanied by strong “ high road” employment standards. Themes included locating factories in California, preventing wage theft, and ensuring wage and benefit protections as factory-built housing expands.
Terner Labs summarized policy priorities in four areas directly relevant to implementation: reducing variation in building code enforcement; providing targeted financing support (including tools like loan guarantees); using incentives to reward faster and less wasteful delivery while aggregating demand (e.g., coordinated procurement); and investing in research and training, including for code enforcers and standardized outcome data.
The Select Committee’s first hearing featured extensive testimony emphasizing rising construction costs—particularly the increasing expense of construction labor and declining workforce participation—as key drivers of California’s housing shortage. By cont rast, the second hearing largely shifted away from that narrative, with labor leaders contending that construction workers remain underpaid relative to other industries. Labor representatives did not identify a single definitive cause of the housing shorta ge, instead focusing primarily on ensuring that construction labor has a meaningful role in decision-making as FBH moves toward broader implementation.
Overall, the second hearing shifted the conversation from identifying innovation to addressing the systems needed to scale it . Cities and local governments were repeatedly positioned as essential actors because local predictability, coordination, and consistency ultimately determine whether factory-built housing leads to faster delivery on the ground.
The agenda for the hearing can be found here.
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1127 11TH STREET, SUITE 300, SACRAMENTO, CA 95814 • 916.974.9270 • PUBLICPOLICYGROUP.COM PAGE 1 Date: January 13, 2026
To: Christian Clegg, City Manager
City of Bakersfield
From: Sharon Gonsalves
Managing Director
California Public Policy Group
Re: CPPG Summary of Governor Newsom’s Fiscal Year 2026-27 Proposed Budget
OVERVIEW
Memo Outline
The following is a topline summary of Governor Gavin Newsom’s proposed fiscal year 2026-27 (FY 26-27) state budget, with a focus on key areas of interest to the City of Bakersfield . If there are additional areas or line items of interest, please do not hesitate to contact our team with questions or to request further information. Please note that discussion of budget areas directly impacting local agencies begins on page 2. Below this section, we provide an overview of the timeline and next steps for the 2026-27 budget.
Background
On January 9, the day after Governor Newsom’s State of the State address, Joe Stephenshaw, Director of the Department of Finance, held a press conference to outline the Governor’s proposed 2026-27 budget. He characterized it as a “workload” budget that maintains existing programs and advances prior investments while addressing a $2.9 billion deficit. He also noted that the proposal includes few new spending initiatives, with major policy and funding decisions deferred until the May Revision. This framing is also reflected in the Governor’s budget cover letter, which concludes: “This January budget is not the final word. It is a beginning—a statement of purpose. In the months ahead, we will work together to refine a final budget that looks beyond a single year, mindful of the obligations to the people we serve.”
There is also reason for optimism. State revenues, fueled by stock market gains, continue to rise, with the Governor’s budget projecting a $42.3 billion increase over a three -year period (FY 2024-25 through FY 2026 -27). This unexpected growth has allowed t he Governor to propose a budget that repays prior deferrals, maintains funding for education, childcare, universal transitional kindergarten, climate initiatives, safety-net programs, and other “transformative investments,” and restores reserves.
The Governor’s proposal, however, stands in sharp contrast to the sobering assessment presented by the Legislative Analyst’s Office (LAO) —the Legislature’s nonpartisan research and advisory division—in its November Fiscal Outlook. The LAO warned that stock market gains driven by “AI - fueled exuberance” were unsustainable, projected an $18 billion budget deficit in the current fiscal year, and forecast $35 billion in ongoing structural deficits in the out years—shortfalls that would be significantly exacerbated by an economic downturn.
1127 11TH STREET, SUITE 300, SACRAMENTO, CA 95814 • 916.974.9270 • PUBLICPOLICYGROUP.COM PAGE 2 In his presentation, Mr. Stephenshaw acknowledged the state’s historic revenue volatility, uncertainties stemming from federal policy changes, and rising costs across certain state programs.
He explained that expenditure growth is largely driven by constitutional requirements and baseline cost increases, and that although the Administration assumes only modest future revenue growth, the resulting projected shortfall is significantly smaller than the LAO’s initial estimate. He added that the Administration i ntends to “wait and monitor changes in revenue and spending over the next couple of months,” with the goal of presenting a balanced and sustainable fiscal plan at the May Revision that covers both the budget year and the subsequent year.
LAO Budget Commentary
The Legislative Analyst’s Office (LAO) released its initial response to the Governor’s budget on January 12. While the LAO acknowledged the revenue growth cited by the Governor, it continued to express concern that a budget overly dependent on stock market gains would place the state on a “precarious footing.” The LAO urged the Legislature to take ear ly action rather than waiting for the May Revision, recommending that lawmakers begin considering solutions to address projected multiyear deficits estimated at $20 billion to $35 billion annually. The LAO’s recommendations include basing the budget on its lower revenue forecast, identifying up to $10 billion annually in budget solutions, and further increasing state reserves.
January Proposal by the Numbers
Total budget: $348.9 billion
Total Deficit: $2.9 billion
• $248.3 billion General Fund
• $14.3 in the Budget Stabilization
Account/Rainy Day Fund
• $4.1 billion in the Public School
System Stabilization Account
• $4.5 billion in the Special Fund for
Economic Uncertainties
Additional resources, including a link to the full budget and related supporting documents, are provided at the end of this analysis.
BUDGET AREAS OF INTEREST TO LOCAL GOVERNMENT
CPPG has identified eight areas of interest in the budget proposal that are relevant to the City of Bakersfield. Proposals of interest to many local governments include:
• $2.1 billion in proposed Climate Bond allocations for a wide range of categories. • A proposal to extend California Competes tax credits for an additional five years. • A changed state housing policy focus which includes limiting corporate ownership of single- family homes, encouraging more efficient residential construction methods, and improving coordination among state housing finance programs.
As budget deliberations progress, we will continue to monitor new information and provide updates on both funding opportunities and restrictions.
Climate Bond Allocations: Most Opportunity for Local Agency Funding The Governor’s budget continues to invest in a clean and resilient future for the state, including providing additional funding from the state’s Cap-and-Invest program and Proposition 4 (2024). The
1127 11TH STREET, SUITE 300, SACRAMENTO, CA 95814 • 916.974.9270 • PUBLICPOLICYGROUP.COM PAGE 3 budget allocates $2.1 billion in the second year of a multi-year investment plan. Funding categories in the Climate Bond with additional funding include:
• Water Storage: The budget includes $792 million in the second year of the Climate Bond to continue investments that improve water storage, replenish groundwater, improve conditions in streams and rivers, and complete various water resilience and water -related infrastructure projects:
o Flood Control: $232 million for flood control projects to evaluate, repair, rehabilitate, reconstruct, expand, or replace levees, weirs, bypasses, and facilities of the State Plan of Flood Control, Projects in the Sacramento -San Joaquin Delta, and projects funded through the Flood Control Subventions Program.
o Drinking Water: $173 million for drinking water projects serving small or disadvantaged communities or tribes and that address failing water systems and water systems at risk of failing, as well as failing private wells. Funding also supports wastewater projects serving small or disadvantaged communities that address a violation or connect unsewered homes to a centralized wastewater system. o Regional Conveyance Projects and Repairs to Existing Facilities: $68.8 million to support repairs to existing or new water conveyance projects. • Wildfire and Forest Response: The budget proposes $314 million to continue investments in various wildfire and forest resilience projects and programs, including:
o Local Fire Prevention Grants: $58 million to fund wildfire prevention and hazardous fuels projects and activities in and near wildfire threatened communities, with a focus on increasing the protection of people, structures, and communities. o Fire Resilience: $19.6 million for technical and financial assistance to help homeowners in wildfire-vulnerable areas to implement defensible space mitigations, including the creation of an ember -resistant zone within five feet of a home or structure (Zone 0) to reduce the potential for structure ignition during a wildfire. o Wildfire Risk Reduction Related to Electricity Transmission: $15.2 million for grants, in coordination with the Office of Energy Infrastructure Safety, to support cooperation in advancing fuel reduction around wildfire -vulnerable communities to reduce wildfire ignitions.
• Extreme Heat Mitigation: $241 million to continue investments that support implementation of the state’s Extreme Heat Action Plan and build resilience to extreme heat across California, with a focus on those most vulnerable to its impacts, including:
o Transformative Climate Communities Program: $137.4 million to fund community - led development and infrastructure projects that achieve major environmental, health and economic benefits in California’s most disadvantaged communities. o Community Resilience Centers: $55.3 million to fund new construction and upgrades of neighborhood -level resilience centers to provide shelter and resources during climate and other emergencies. The program will also fund year -round services and ongoing programming that builds overall community resilience. o Urban Forestry Program: $22.8 million for CalFire’s Urban and Community Forestry Grant Program, which aims to increase the long-term benefits trees provide, improve the public’s understanding and appreciation of urban trees, and advance urban forest management and tree care.
• Biodiversity and Nature Based Solutions: $199 million to continue investments that help meet the state’s climate and biodiversity goals including funding to enhance and protect nature and the Salton Sea.
1127 11TH STREET, SUITE 300, SACRAMENTO, CA 95814 • 916.974.9270 • PUBLICPOLICYGROUP.COM PAGE 4 • Climate Smart Agriculture: $89 million to continue investments in various climate smart agriculture projects and programs.
• Outdoor Agriculture: $35 million to continue investments that expand and enhance parks and outdoor access.
Economic Development: Mixed Messages on the Economy
While high -income earners and the stock market may be keeping California’s state finances temporarily afloat, the Economic Outlook portion of the Governor’s budget reveals many troubling warning signs, including:
• In 2025, state projected monthly job growth declined from 6,100 to 1,700. • Most state job growth is in low wage positions.
• Higher wage jobs decreased by 10,500 per month between April and September. • Nearly no payroll job growth is forecast in the budget in 2026.
These trends do not bode well for the state’s broader economy. Population growth has essentially stalled, and demographic shifts further constrain growth prospects as the senior population rises while the share of school-age children declines. At the same time, immigrants—who are vital to the state’s workforce—are impacted by increased deportations and reduced international immigration, and the state faces a projected net domestic outflow of 70,000 residents per year.
Extension of California Competes Tax Credit : While the current CalCompetes program does not sunset until FY 2027-28, the Governor is proposing to extend this program at $180 million annually for an additional five years, through FY 2032-33.
Housing: Shift in Tone, But no New Funding on the Table The budget does not include any proposed new funding for affordable housing, nor does it mention a possible housing bond, but local governments will notice a major change in tone. Unlike past years where the Governor’s housing comments were primarily critical of local government, the focus is now refreshingly elsewhere. After years of hammering local planning and approvals, there appears to be a recognition that market factors dominate . The Economic Outlook section reads: “The residential construction sector in California continues to be hampered by higher labor and financing costs. Total permit growth fell 9.2 percent year -over-year to just under 100,000 total units in 2024 and continued to decline in 2025.”
The Governor’s housing policy focus has now shifted to other areas: corporate ownership of single- family homes, modernizing residential construction methods, improving coordination among state affordable housing financing programs, helping preserve existing housing, and addressing financing gaps for victims of the LA fires:
Governor’s Housing Policy Proposals: During his State of the State address, the Governor mentioned three housing policy proposals:
• Limiting Corporate Ownership of Single-Family Homes: The Governor declared his intent to propose a law that limits future corporate purchases of single-family homes, a concept that was also recently proposed by President Trump. This proposal is not detailed in the budget document. Legislators have previously proposed bills to address this issue, but they stalled. “Over the next few weeks, we will work with the Legislature to combat this monopolistic
1127 11TH STREET, SUITE 300, SACRAMENTO, CA 95814 • 916.974.9270 • PUBLICPOLICYGROUP.COM PAGE 5 behavior, strengthen accountability, and level the playing field for working families. That means more oversight and enforcement and potentially changing the state tax code to make this work.”
• Using More Factory -Built Housing: The Governor stated his desire to work with the Legislature to “ reduce the cost of construction, utilizing new building methods and technology—worker-centered reforms that bring our brothers and sisters in labor along with us.” This proposal was mentioned by the Governor but not discussed in the budget. • Assisting LA Recovery: The Governor noted that one of the challenges faced by many victims of the LA fires was the need for financial assistance to cover the gap between insurance recovery and costs of new construction. The Administration is working on a proposal to address this in the May Revise.
Improving Coordination Among State Agencies: The budget document outlines additional measures to continue state efforts to integrate the state’s housing finance system to accelerate project delivery and reduce costs. Building upon last year’s reorganization to create the California Housing and Homelessness Agency (CHHA) and the Housing Development and Finance Committee (HDFC), two related proposals are highlighted:
• Shifted Authority: Modernize the Affordable Housing and Sustainable Communities Program, by distributing up to $560 million in annual Cap-and-Invest auction proceeds through the Housing Development and Finance Committee. The Strategic Growth Council will continue to administer up to $240 million dedicated to sustainable communities and agricultural land components, which will be updated to support more flexible, catalytic infrastructure investments aligned with regional priorities.
• Improved Coordination: Improve coordination of state housing resources, through proposed statutory changes, to produce a single, coordinated application and award process.
Changes will improve coordination with Low -Income Housing Tax Credits and require a dedicated share of private activity bonds to be directly allocated by HDFC for its funded projects to support timely deployment of housing funds.
Housing Preservation: To support ongoing efforts to keep Californians in their homes, the budget document states that the Administration will advance efforts to leverage preservation opportunities within the Low -Income Housing Tax Credit program, and support sponsors in access ing and redeploying resources within HCD’s existing portfolio to strengthen long -term sustainability and housing stability.
Homelessness: Same Message of “Accountability” for Local Agencies No new funds are proposed in the budget for local agencies to address the challenges of homelessness. The budget document, however, recounts a long listing of prior state investments to respond to homelessness and mental health during the Governor’s term including: Homekey, Roomkey, Care Court, Prop 1, of 2024, and encampment removal.
In his State of the State address, the Governor stated that unsheltered homelessness in California has declined by 9 percent because of the state’s efforts, with even larger reductions reported in certain cities. He contrasted this with an 18 percent increase in unsheltered homelessness nationwide. Hours after his speech, however, the accuracy of these figures was challenged in a Sacramento Bee editorial.
1127 11TH STREET, SUITE 300, SACRAMENTO, CA 95814 • 916.974.9270 • PUBLICPOLICYGROUP.COM PAGE 6 The Governor’s critique of local governments on homelessness nevertheless continued. He stated that beginning July 1, the state will redirect more than $1 billion in annual mental health funding toward housing and treatment for people living on the streets . The Governor declared this was :
“providing counties what they’ve been asking for: the predictable funding for housing and substance abuse treatment. No more excuses —it’s time to bring people off the streets, out of encampments, into housing, into treatment. Counties need to do their job!”
Homeless Housing, Assistance, and Prevention Program
The budget document states that state continues to deploy a sixth round of HHAP totaling $1 billion, and a seventh-round totaling $500 million, contingent on enhanced accountability and performance requirements.
Proposition 1
The budget reveals the state has allocated $636 million for 1,818 units through Proposition 1, with $1.6 billion expected to be made available over the coming year to support housing and services for people experiencing homelessness.
Natural Resources: Funding Increases and Opportunities
Natural Resources includes various policies and programs related to climate change, parks and recreation, disaster preparedness, and the natural environment. Following last year’s successful reauthorization of the state’s Cap-and-Invest program, the Governor’s budget proposes policy and budget adjustments including:
Affordable Housing and Sustainable Communities Program
The budget Proposal includes statutory adjustments to clarify and modernize the Affordable Housing and Sustainable Communities program by separating the affordable housing components from the sustainable communities program and agricultural land conservation components. The budget also includes funding adjustments including:
• Affordable Housing: Up to $560 million annually from Cap -and-Invest auction proceeds for affordable housing administered by the Housing Development and Finance Committee as part of the Administration’s modernization of the Affordable Housing and Sustainable Communities Program.
• Sustainable Communities and Agriculture Land Conversion: Up to $240 million annually from the Cap-and-Invest auction proceeds for the sustainable communities and agricultural land conservation components of the Affordable Housing and Sustainable Communities Program will be available to support more flexible, ca talytic infrastructure investments aligned with regional priorities.
• Cap-and-Invest Implementation (AB 1207/SB 840): A total of $5.7 million special funds and 17 positions to support workload at CARB and the California Public Utilities Commission to update and implement statutory changes related to compliance carbon offset protocols and the California Climate Credit.
Zero Emission Vehicle Incentives
The budget maintains California’s commitment to advancing clean transportation by targeted funding to incentivize ZEV adoption including $200 million one -time special funds and proposed statutory language to establish a new light-duty ZEV incentive program.
1127 11TH STREET, SUITE 300, SACRAMENTO, CA 95814 • 916.974.9270 • PUBLICPOLICYGROUP.COM PAGE 7 Advanced Clean Fleets
The budget also includes an additional $1.7 million ongoing Air Pollution Control Fund and 10 positions to implement the state and local government elements of the Advanced Clean Fleets regulation.
Delta Levees Program Mitigation: The Governor’s budget proposes $14 million one -time GF for the Delta Levees Program. Funding will support the mitigation required for implementing levee safety projects in the Delta.
California State Parks Library Pass Program: The budget proposes $6.8 million to support the State Parks Library Pass program. Library card holders can borrow a pass from their local library to access select state parks, beaches and monuments for free under this program.
Energy and Transportation: Meeting the State’s Climate Goals While Addressing Affordability The Governor’s budget continues to encourage a diverse portfolio of existing and emerging clean energy technologies and projects in the State while meeting the State’s climate goals and supporting customer bill affordability. The budget proposes several significant investments, including:
• Public Financing of Clean Energy Transmission Projects: $322 million (climate bond funding) to the California Infrastructure Economic Development Bank (IBank) to support the California Transmission Accelerator Revolving Fund established under SB 254 (Statutes of 2025). • Ongoing Petroleum Market Oversight and Analysis: $1.9 million to support the state’s transition away from petroleum-based fuels while protecting Californians from gasoline price spikes.
• Energy Modernization and Affordability: $5.7 million to support new workload related to utility wildfire mitigation plan review, oversight of transmission development and financing mechanisms.
• Supporting Affordability through Expanded Power Markets (AB 825): $1.9 million and 8 new positions to support oversight of voluntary participation in expanded regional power markets to ensure compliance with statutory requirements and ensure the markets lower energy costs for California customers, support grid reliability and resilience during extreme events. • Data Centers: $668,000 and 3 staff positions to assess and report on the ratepayer impacts of large new electricity loads, including data centers.
Transportation includes transportation infrastructure, transit, road safety projects, and clean energy technologies such as zero -emission vehicles. The 2026 -27 budget proposes the following adjustments to transportation funding:
California Highway Patrol
• $6.9 million is proposed as a one -time augmentation from the Motor Vehicle Account to continue providing protection and security at the State Capitol swing space building.
Department of Motor Vehicles
• $94.1 million Motor Vehicle Account to continue a multi -year technology modernization effort to ensure continuity of operations.
• $56 million from the Motor Vehicle Account to continue implementation of the S2S (State-to- State) Program in compliance with the federal REAL ID Act of 2005.
1127 11TH STREET, SUITE 300, SACRAMENTO, CA 95814 • 916.974.9270 • PUBLICPOLICYGROUP.COM PAGE 8 • $9.8 million from the Motor Vehicle Account to enter into a lease for the San Francisco Field Office while the current state-owned field office is closed and redeveloped for housing.
Motor Vehicle Account
• The 2025 budget Act authorized a total transfer of $166 million ($81 million from the GGRF and $85 million from the APCF) to offset CARB expenditures and support the MVA’s solvency.
The Governor’s budget projects the MVA will be solvent in 2025-26 and 2026-27 even without the transfer, and it proposes canceling this transfer in favor of affordable housing and Sustainable Communities Program investments.
High Speed Rail Authority
• The budget incorporates the new statutory allocations of Cap-and-Invest auction proceeds, with $1 billion annually allocated to the Authority through 2045.
Zero-Emissions Vehicles
• $200 million one-time special funds and statutory language is proposed to establish a new light-duty ZEV incentive program. This funding includes $166 million ($81 million GGRF and $85 million Air Pollution Control Fund) that was included in the 2025 budget as a transfer to the Motor Vehicle Account (MVA) to offset CARB expenditures and support the MVA's solvency.
CPPG Note: The Governor’s proposed budget maintains the transportation package authorized in the 2025 Budget Act, which provides annual funding for discretionary programs including the Active Transportation Program (ATP) and the Transit and Intercity Rail Capacity Program (TIRCP).
Public Safety: Preventing Violence and Drug Tracking
CalVIP
• The budget includes $56.4 million Gun Violence and Prevention and School Safety Fund in 2025-26 and $51.9 million in 2026-27 for CalVIP, which is supported by excise taxes applied to firearms and ammunition sales.
Drug Interdiction Continuation
• The budget includes $30 million General Fund ($15 million in 2026 -27 and $15 million in 2027-28) to further expand the Military Department’s existing drug interdiction efforts to “prevent drug trafficking by transnational criminal organizations throughout the state, with a particular focus on assisting federal, state, local, and tribal law enforcement agencies in combating fentanyl.”
Cannabis Enforcement
• $7.6 million in 2026 -27, and $6 million, ongoing to the Department of Cannabis Control (DCC) to support a dedicated sworn officer presence in Northern California to strengthen enforcement efforts against the illegal cannabis market, and to meet the DCC’s growing legal workload related to licensing, compliance, legislation, and public records.
1127 11TH STREET, SUITE 300, SACRAMENTO, CA 95814 • 916.974.9270 • PUBLICPOLICYGROUP.COM PAGE 9 Miscellaneous
Civil Rights Department
• The 2025 budget included $6 million one-time General Fund support to establish the Bureau for Descendants of American Slaves. The 26 -27 budget includes permanent position authority, $991,000 General Fund in 2028 -29, and $2 million in 2029 -30 and ongoing to maintain funding at existing operational levels.
• The budget includes $900,000 in 2026 -27, $1.8 million in 2027 -28 through 2029 -30, and $900,000 in 2030-31 for the Commission on the State of Hate.
TIMING AND NEXT STEPS
• January/February: Budget committees and subcommittees in each legislative chamber will begin meeting to review and debate specific items within their respective policy areas. Each house will then advance its own version of the state budget, paving the way for final negotiations with the Governor.
• Mid-May: In mid-May, the Governor will issue an updated fiscal forecast—known as the “May Revise”—which may include revisions to the figures cited above. • June 15: To meet the constitutional deadline, the Legislature must approve a balanced budget package—including the main budget bill—and send it to the Governor by June 15. • Budget Deal: Before Democrats held supermajorities in both houses, the Assembly and Senate typically convened a budget conference committee to reconcile differences between their spending plans. Today, it is more common for the Administration and legislative leadership to negotiate an agreement privately.
• June 30: The Governor has until June 30 to sign the balanced budget package and accompanying budget bills and may exercise line -item veto authority over specific appropriations. The new fiscal year begins on July 1. In practice, the Governor typically signs the main budget bill around June 27—the first of the budget acts signed each year—because most legislation must be signed or vetoed within 12 days of passage during the bulk of the legislative session, or it automatically becomes law.
• July/August: After the final budget is adopted, the Legislature and the Administration may pass several “budget trailer bills,” which amend the primary budget as part of continued negotiations.
Related Documents
• A copy of the Governor’s budget proposal here.
• A link to the Governor’s State of the State address here. • A link to Friday’s presentation of the budget by Joe Stephenshaw, Director of Finance: here. • A link to the November Fiscal Outlook by Legislative Analyst’s Office, which estimated an $18 billion deficit, and ongoing budget deficits of $35 billion: here. • A link to the LAO’s response to the Governor’s proposal: here. ###
Municipal Funding Outlook
January 2026
Prepared By:
Jake Whitaker
Director of Grant Services
[email protected]
Phone: (530) 681- 9731
&
The CPPG Grant Services Team
1127 11TH STREET, SUITE 300, SACRAMENTO, CA 95814 • 916.974.9270 • PUBLICPOLICYGROUP.COM PAGE 2
TABLE OF CONTENTS
Executive Summary ........................................................................................................ 3 Funding Opportunity Highlights: January 2026 ................................ ................................ . 4 Navigating Uncertainty: Federal Policy Impacts on Funding ................................ ............. 10 Upcoming Funding Opportunities................................................................................... 22 Surface Transportation Infrastructure ................................ ................................ ............ 22 Parks and Recreation ................................ ................................ ................................ ... 26 Affordable Housing Development and Preservation ................................ ........................ 28 Homelessness and Human Services ................................ ................................ ............. 32 Water and Wastewater ................................ ................................ ................................ . 33 Law Enforcement and Public Safety ................................ ................................ ............... 39 Community Violence Reduction ................................ ................................ .................... 45 Fire and Emergency Response ................................ ................................ ...................... 47 Hazard Mitigation ................................ ................................ ................................ ........ 48 Community Resilience ................................ ................................ ................................ . 50 Economic Development ................................ ................................ ............................... 53 Airport and Maritime Port Infrastructure ................................ ................................ ......... 55 Transit ................................ ................................ ................................ ........................ 56 Electric Vehicles ................................ ................................ ................................ .......... 57 Urban Greening and Conservation ................................ ................................ ................. 59 Brownfield Cleanup ................................ ................................ ................................ ..... 60 Recycling ................................ ................................ ................................ .................... 62 Information Technology and Broadband................................ ................................ ......... 63 Volunteer and Fellowship Programs ................................ ................................ .............. 65 Libraries ................................ ................................ ................................ ..................... 65 Bay Area Regional Grants ................................ ................................ ............................. 69 Southern California (SCAG) Regional Grants ................................ ................................ .. 69
1127 11TH STREET, SUITE 300, SACRAMENTO, CA 95814 • 916.974.9270 • PUBLICPOLICYGROUP.COM PAGE 3
EXECUTIVE SUMMARY
With uncertainty surrounding federal assistance programs, combined with the state’s budget challenges over the past two years, the importance of understanding a chaotic grant funding landscape has never been greater . This report includes a complete list of all municipal grant funding opportunities being tracked by CPPG and an overview of the status of major state and federal grant funding sources.
• California FY 26-27 Budget: In January 2026, Governor Newsom released his proposed FY 26–27 budget totaling $348.9 billion, which the Administration has characterized as a “workload” budget focused on maintaining existing programs while addressing a projected $2.9 billion deficit. The proposal includes few new spending initiatives, with major fiscal and policy decisions deferred to the May Revision. While state revenues have exceeded earlier projections, driven largely by continued stock market gains, the Legislative Analyst’s Office has cautioned that this growth is volatile and has warned of persistent multi-year structural deficits estimated at $20 to $35 billion annually. The budget reflects heightened uncertainty stemming from federal policy shifts, rising baseline program costs, and constitutional spending obligations, all of which are expected to constrain discretionary funding for local governments in the near term despite targeted investments in priority areas such as climate resilience, infrastructure, and economic recovery.
• Proposition 4: The state has begun planning and early implementation steps for Proposition 4’s “Climate Bond” programs following adoption of the FY 25-26 Budget. $3.3 billion of the total $10 billion has been appropriated. Listening sessions continue, with initial solicitations for select programs expected to begin rolling out later this calendar year and into 2026. Another $2.1 billion is proposed to be allocated in Governor Newsom’s January budget proposal.
• Federal FY 26 Budget: On July 4, 2025, Congress passed the One Big Beautiful Bill Act (OBBBA), permanently extending key 2017 tax cuts and mandating deep spending cuts across safety-net programs and non-defense discretionary spending caps for FY26 and beyond. The FY 26 budget process is now shifting toward appropriations bills under these new caps, with considerable risk to future grant program funding levels. • Infrastructure Investment and Jobs Act (IIJA): Absent congressional action to rescind programmed funding, discretionary grant programs funded through the IIJA, also known as the Bipartisan Infrastructure Law, will continue to announce and obligate appropriated funds as required under the Impoundment Control Act of 1974 through Federal FY 26. Programs funded through the IIJA are at varying stages. CPPG has included information on the remaining IIJA funding in the list of upcoming funding opportunities below. While IIJA funding has maintained consistent bipartisan support in the Senate, Congress could still rescind unobligated funds as part of a future budget, reconciliation, or recissions package.
1127 11TH STREET, SUITE 300, SACRAMENTO, CA 95814 • 916.974.9270 • PUBLICPOLICYGROUP.COM PAGE 4 Funding Opportunity Highlights: January 2026
Please note: CPPG’s team is actively monitoring for updates regarding the availability of future federal grant programs. The current statuses of impacted federal grant programs are documented in the “Upcoming Funding Opportunities” section.
Transportation
• (NEW!) The California Air Resource Board has announced funding for the Community Planning and Capacity Building Grant. This grant funds planning activities that support community-led strategies that advance clean, shared, and active transportation solutions. Applications are due 2/10/2026.
• The U.S. Department of Transportation (USDOT) has released release the solicitation for the Better Utilizing Investments to Leverage Development (BUILD) program. Funding can be used for surface transportation infrastructure projects with significant local or regional impact. Applications are due 2/24/2026.
• Cycle 8 of the California Transportation Commission (CTC)’s Active Transportation Program is anticipated to be released in March 2026. The goals of the program are to increase biking and walking trips, increase the safety and mobility of non-motorized users, advance efforts of regional agencies, and enhance public health. • The CTC has announced the Local Partnership Program for another round of funding.
This program provides funding to projects where voters have approved fees or taxes dedicated solely to transportation improvements or that have imposed fees. Eligible activities include projects that address aging infrastructure, road conditions, active transportation, transit, and rail. The State has appropriated $202 million for this program. Applications are anticipated to be released around summer of next year. • The USDOT is currently reviewing the Bridge Investment Program (BIP), which has one remaining fiscal year of funding appropriated by the IIJA. BIP focuses on projects that address existing bridges that are either in poor condition or at-risk of falling into poor condition. The timeline for the re-release of the BIP solicitation is currently unclear. • The Federal Railroad Administration (FRA) is anticipated to hold competitions for the Consolidated Rail Infrastructure and Safety Improvements (CRISI) program and Railroad Crossing Elimination (RCE) program in 2026. These two programs are popular opportunities for jurisdictions pursuing grade separation projects. Timelines for these competitions are unclear. Currently, funding for FY 25 and FY 26 appropriated by the IIJA have not been obligated for projects.
1127 11TH STREET, SUITE 300, SACRAMENTO, CA 95814 • 916.974.9270 • PUBLICPOLICYGROUP.COM PAGE 5 Parks and Recreation
• The State has appropriated $188.5 million through the Climate Bond (Prop 4) for the Statewide Park Development and Community Revitalization Program. The program’s intent is to create new parks and new recreation opportunities in critically underserved communities across California. Draft guidelines will be released soon for public comment. The upcoming Round 5 competition, which will be held in Summer/Fall 2026, will be the only Climate Bond-funded round of grants.
• The Art in California Parks Grant Program is anticipated to be released in Spring 2026 for Round 3. The goal of the program is to revitalize local parks with diverse experiences that foster creativity, community connection and transform them into hubs of art, culture, and nature.
• The federally funded Land and Water Conservation Fund (LWCF) is anticipated to have an upcoming cycle in 2026. The LWCF provides matching grants to local governments for outdoor recreation projects. Grant competitions are typically held annually. • The California State Parks Office of Grants and Local Services (OGALS) had a public comment period for the Recreational Trails Program (RTP) Non-Motorized this summer and are working on revisions of the guidelines. The next application cycle is anticipated to be released in 2026 or 2027.
• OGALS held a public comment period for the Habitat Conservation Fund this past spring to revise program guidelines for an upcoming funding competition, which is anticipated to be held in 2026 or 2027. This program funds projects for nature interpretation programs to bring urban residents into park and wildlife areas, protection of various plant and animal species, and acquisition and development of wildlife corridors and trails.
• Another round of the Youth Community Access grant is anticipated in Spring 2026. This program funds projects that advance California’s Outdoor for All initiative to expand parks and outdoor spaces in communities that need them most. • CNRA is in the process of developing a new Proposition 4-funded grant program for recreational trails projects. Clients are encouraged to respond to the California Trails Survey, which is being used to inform development of priorities for the new program.
The survey will remain open through 2/28/2026.
Water Quality and Conservation
• (UPCOMING!) DWR has filed a Proposed Emergency Rulemaking Action to expedite the rollout of Proposition 4 Sustainable Groundwater Management Program (SGMP). Draft guidelines are anticipated to be released for public review after the emergency action is approved. Multiple rounds of funding are anticipated.
1127 11TH STREET, SUITE 300, SACRAMENTO, CA 95814 • 916.974.9270 • PUBLICPOLICYGROUP.COM PAGE 6 • The Bureau of Reclamation has stated that several WaterSMART funding opportunities were planned to be launched in Fall 2025 prior to the government shutdown: Small- Scale Water Efficiency Program, Water and Energy Efficiency Grants, and Drought Resiliency Projects. NOFO release is current anticipated for winter 2025/2026. • The State Water Resources Control Board accepts applications for the Clean Water State Revolving Fund and Drinking Water State Revolving Fund on a rolling basis. The annual Intended Use Plan drafts are published in November/December of each year.
The RLF programs are funded through a combination of annual state and federal investments. Available funding is expected to tighten in the coming years with the expiration of IIJA supplemental federal funding.
• The State Water Resources Control Board is currently accepting applications for the Water Recycling Planning Grant. Applications are accepted on an ongoing basis until 6/30/2027. Projects can include recycled water treatment, recycled water storage, distribution, and pumping, and groundwater recharge.
Economic Development
• The Economic Development Administration has announced the Disaster Supplemental Grant Program for areas that received major disaster declarations because of hurricanes, wildfires, severe storms and flooding, tornadoes, or other natural disasters in 2023-2024. The program provides funding to support economic recovery in these affected areas. Applications are accepted on a rolling basis for Readiness and Implementation projects until funds are exhausted. For the Industry Transformation Path, applications are due 3/3/2026.
Housing Construction
• The California Department of Housing and Community Development (CalHCD) has appropriated $120 million for FY 25-26 for the Multifamily Housing Program. The program funds projects for new construction or rehabilitation of existing housing development, as well as the conversion of nonresidential structures into residential structures. Funding is anticipated to be released in 2026. • The Strategic Growth Council’s Affordable Housing Sustainable Communities receives a continuous annual appropriation from Cap-and-Invest Greenhouse Gas Reduction Fund. This program provides funds for projects that achieve GHG reductions and benefit communities through accessibility of affordable housing, employment centers, and key destinations via low-carbon transportation. Guidelines are anticipated to be released early 2026.
1127 11TH STREET, SUITE 300, SACRAMENTO, CA 95814 • 916.974.9270 • PUBLICPOLICYGROUP.COM PAGE 7 • The legislature appropriated an additional $100 million for the Encampment Resolution Funding (ERF) program for FY 25-26. However, this funding will be used for “look back” awards for unfunded projects from the ERF Round 3 competition. CPPG does not anticipate a Round 4 ERF competition in 2026.
Sustainability and Climate Action
• (NEW!) Cal Recycle has announced funding for their program, Legacy Disposal Site Abatement Partial Grant Program. Funding can be used to assist public entities accelerate the pace of cleanup and restore sites. Applications are due 2/11/2026. • (NEW!) The Clean Truck and Bus Voucher Incentive Program (HVIP) has reopened and is accepting applications on a first-come, first-served basis. Funds can be used to purchase zero-emission heavy-duty incentives trucks and buses for California fleets. • (NEW!) The MSRC has announced the release of the Electric Vehicle Charging Infrastructure Resiliency Program. Funding can be used to design, construct, and/or retrofit electric vehicle charging facilities to incorporate resiliency features capable of maintain essential functions during electrical service disruptions. Applications are due 6/2/2026.
• (UPCOMING!) The Climate Bond appropriated $46 million for the Urban Greening Program in FY 25-26. This program funds projects that result in the conversion of existing built environments into green space and green infrastructure. CNRA has released a Proposed Emergency Rulemaking Action to expedite the grant program.
Draft guidelines are anticipated to be released for public review after the emergency action is approved.
• The Fast Charge California Program is open and accepting applications. The program provides incentives to purchase and install direct current (DC) fast chargers.
Applications are due 1/29/2026.
• The EPA’s Brownfield Assessment, Cleanup, and Multipurpose Grants have released the next round of funding. Funding for these programs can be used to prioritize sites and conduct community activities and planning or for implementation of cleanup activities. Applications for all three programs are due 1/28/2026. • The Strategic Growth Council has released the draft guidelines for Round 6 of the Transformative Climate Communities Program. This program provides funds for community-led development and infrastructure projects that achieve major environmental, health, and economic benefits. The State has appropriated $100 million from the Climate Bond for this program.
• The Strategic Growth Council has released the draft guidelines for Round 2 of the Community Resilience Center Program. This program provides funds for development
1127 11TH STREET, SUITE 300, SACRAMENTO, CA 95814 • 916.974.9270 • PUBLICPOLICYGROUP.COM PAGE 8 and implementation of community resilience centers that mitigate the public health impacts of extreme heat and other emergency situations. The State has appropriated $55 million from the Climate Bond for this program.
• The Extreme Heat and Community Resilience Program has announced a second round of funding. The Climate Bond appropriated $22 million for FY 25-26. Funding will be used for planning projects that combine community services and physical improvements to protect communities from extreme heat. The RFP and Pre-Application Interest Form are anticipated to be released early 2026. • The Coastal Conservancy has received Climate Bond funding appropriations of $62 million in FY 25-26 for coastal resilience projects and $32.5 million in FY 25-26 for sea level rise adaptation projects. Proposals are being accepted through the Coastal Conservancy Grants rolling application process.
Fire and Emergency Response
• FEMA’s Assistance to Firefighters Grant (AFG) is anticipated to be released upon appropriation of funds in the FY 25 federal budget Homeland Security appropriations bill. This program funds equipment, protective gear, emergency vehicles, training, and other necessary resources for protecting the public and emergency personnel. • The Staffing for Adequate Fire and Emergency Response (SAFER) Grant is anticipated to be released upon appropriation of funds in the FY 25 federal budget Homeland Security appropriations bill. The SAFER Grant is designed to directly fund fire departments or volunteer firefighter organizations to help increase or maintain the number of trained firefighters.
• The Fire Prevention and Safety (FP&S) is anticipated to be released upon appropriation of funds in the FY 25 federal budget Homeland Security appropriations bill. The goal of this program is to reduce injury and prevent death through fire prevention programs and firefighter health and safety research and development. • Future funding remains uncertain for FEMA’s Pre-Disaster Mitigation programs, which include the Hazard Mitigation Grant Program (HMGP), Flood Mitigation Assistance (FMA), and Building Resilient Infrastructure and Communities (BRIC). These programs fund a wide variety of mitigation activities, including flood protection, hazardous fuels treatment, retrofitting structures, and supplying backup power via generators for critical facilities. Going forward, options to fund these types of projects may be limited to the Congressional appropriations aka “earmarks” process. • The Community Microgrid Enablement Program through PG&E is anticipated to announce a Third Round in 2026. This program provides funding to enable a community microgrid through studies and equipment for a safe transition.
1127 11TH STREET, SUITE 300, SACRAMENTO, CA 95814 • 916.974.9270 • PUBLICPOLICYGROUP.COM PAGE 9
Public Safety
• (NEW!) The California Office of Traffic Safety annual OTS Grant is due 1/31/2026. This program provides funding for a variety of priority program areas with local crash data that demonstrates a need for funding. These priority program areas include: Alcohol Impaired Driving, Distracted Driving, Drug-Impaired Driving, Emergency Medical Services, Motorcycle Safety, Occupant Protection, Pedestrian and Bicycle Safety, Police Traffic Services, Communications and Public Affairs, and Roadway Safety and Traffic Records.
Libraries
• The current administration has taken action to terminate funding from the Library Services and Technology Act (LSTA), which is passed through to the California State Library from the federal Institute of Museum and Library Services. LSTA funds a variety of programmatic grant programs available to local libraries from the State Library.
While there are active lawsuits challenging the administration’s actions, future funding availability remains uncertain.
Cybersecurity
• The State and Local Cybersecurity Grant Program from CalOES has been released for another round of funding. Funding can be used to assist local governments address cybersecurity and threats to information systems. Applications are due 3/13/2026.
1127 11TH STREET, SUITE 300, SACRAMENTO, CA 95814 • 916.974.9270 • PUBLICPOLICYGROUP.COM PAGE 10 Navigating Uncertainty: Federal Policy Impacts on Funding Information current as of 11/25/2025.
The first year of the second Trump administration has been marked by sweeping administrative actions led by the Office of Management and Budget (OMB) and the newly established Department of Government Efficiency (DOGE), aimed at freezing federal assistance programs, canceling grant agreements, and rolling back funding commitments across numerous agencies.
Executive Orders: On President Trump’s first day in office, he took action to rescind Executive Orders signed under the previous administration that had a tremendous impact on integrating DEI principles and climate action into the array of discretionary federal assistance programs (aka competitive grants). President Trump followed this initial action with an array of Executive Orders outlining his administration’s policy priorities. Since then, a steady stream of Executive Orders have been issued to reshape the executive branch’s policy directives across a wide range of issues. Relevant Executive Orders that impact federal grant funding include:
• Executive Order 14148, Initial Rescissions of Harmful Executive Orders and Actions • Executive Order 14151, Ending Radical and Wasteful Government DEl Programs and Preferencing
• Executive Order 14154, Unleashing American Energy
• Executive Order 14168, Defending Women from Gender Ideology Extremism and Restoring Biological Truth to the Federal Government
• Executive Order 14174, Ending Illegal Discrimination and Restoring Merit-Based Opportunity
• Executive Order 14238, Continuing the Reduction of the Federal Bureaucracy • Executive Order 14287, Protecting American Communities from Criminal Aliens • Executive Order 14315, Ending Market Distorting Subsidies for Unreliable, Foreign Controlled Energy Sources
• Executive Order 14332, Improving Oversight of Federal Grantmaking
Funding for Sanctuary Jurisdictions: On February 5
th, Attorney General Pam Bondi issued a
memorandum to all Department of Justice staff titled “Sanctuary City Directives.” The memo seeks to end the provision of Department of Justice grant funding to state and local jurisdictions that “unlawfully interfere with Federal Law Enforcement Operations” until a review is completed and to “terminate any agreements that are in violation of the law or are a source of waste, fraud or abuse and initiate clawback or recoupment procedures, where appropriate.” Similar action was taken during the first Trump administration, but there is clear precedent from the Ninth Circuit Court of Appeals ruling during the first administration that the DOJ lacks the statutory authority to impose restrictions on funding allocated by Congress. More information about the legal precedent surrounding this issue is available here in a memo prepared by CPPG. The City
Attorney of San Francisco is leading a multi-jurisdictional lawsuit . However, the scope of
1127 11TH STREET, SUITE 300, SACRAMENTO, CA 95814 • 916.974.9270 • PUBLICPOLICYGROUP.COM PAGE 11 injunctions protecting sanctuary jurisdictions will narrow on July 27th as a result of the SCOTUS ruling in Trump v. CASA. Concurrently, the House of Representatives is considering legislation explicitly granting that statutory authority to the administration via H.R.32 titled the “No Bailouts for Sanctuary Cities Act.”
USDOT Funding Priorities: On February 10th, Transportation Secretary Sean Duffy issued a memorandum to “reset” the Department’s priorities for discretionary spending programs – which offers us some insight into the administration’s technical efforts to redistribute federal assistance funds. The memo directs staff to prioritize projects and goals that:
1. Utilize user-pay models;
2. Direct funding to local opportunity zones where permitted;
3. To the extent practicable, relevant, appropriate, and consistent with law, mitigate the unique impacts of DOT programs, policies, and activities on families and family-specific difficulties, such as the accessibility of transportation to families with young children, and give preference to communities with marriage and birth rates higher than the national average (including in administering the Federal Transit Administration's Capital Investment Grant program); s
4. Prohibit recipients of DOT support or assistance from imposing vaccine and mask mandates; and
5. Require local compliance or cooperation with Federal immigration enforcement and with other goals and objectives specified by the President of the United States or the Secretary.
USDOT Directive to Review Pending Awards: On March 11th, the USDOT Office of the Assistant Secretary for Transportation Policy (OST -P) issued a directive to all USDOT department heads and administrators "providing guidance on competitive award selections made after January 20, 2021, that do NOT have fully obligated grant agreements or cooperative agreements in place." The directive specifically calls for a project-by-project review of grant awards announced from FY 2022 to FY 2025 that do not have fully obl igated grant agreements to ensure alignment with the current administration's priorities and Executive Orders. The directive outlines a three-step process. The project -by-project will flag project scope elements or activities for potential removal, including:
• Project activities such as equity analysis, green infrastructure, bicycle infrastructure, EV and/or EV charging infrastructure.
• Project purpose or primary project benefits include equity and/or climate such as -projects that purposefully improve the condition for EJ communities or actively reduce GHG emissions.
More information on the USDOT’s planned grant award review process for is available in this memo prepared by CPPG.
1127 11TH STREET, SUITE 300, SACRAMENTO, CA 95814 • 916.974.9270 • PUBLICPOLICYGROUP.COM PAGE 12 Termination of IRA Greenhouse Gas Reduction Fund Awards: On March 11 th, EPA Administrator Lee Zeldin announced the termination of $20 billion in grant award agreements under the IRA’s Greenhouse Gas Reduction Fund (GGRF) to capitalize green financing programs throughout the United States. The press release states that “EPA will work to re-obligate lawfully appropriated funds in the GGRF with enhanced controls to ensure adequate governance, transparency, and accountability, consistent with statutory requirem ents.” There are multiple lawsuits filed to challenge the administration’s action, and the EPA’s efforts have been partially stayed pending appeals.
EPA Updates General Grant Terms and Conditions: On March 25 th, the EPA updated the
general grant terms and conditions for projects awarded through that agency. Of note, the new terms include language that allows for termination of a grant award “if an award no longer effectuates the program goals or agency prioritie s.” While these terms are not retroactively applied, they would be incorporated into any amendment of an existing EPA grant award—which would then give the agency the ability to terminate any previously awarded project that they deem conflicts with the EPA’s priorities under the new administration. This action represents a new tactic in the administration’s ongoing efforts to claw back IRA funding.
Administration Moves to Terminate IMLS Grants: On April 3 rd, the California State Library
issued a press release stating that they had received notice that the administration moved to terminate grant funding made available through the Library Services and Technology Act (LSTA).
Every year, the State Library issued a call for proposals for local libraries to receive LSTA funding.
Virtually all competitive grants programs available through the State Library will be impacted, including Ebooks for All, Community Impact Grants, Teens Succeed, Play for All, and Sustainable California Libraries. Applications for LSTA funding for FY 26 were due earlier this year in March 2025. Attorney General Rob Bonta has filed a lawsuit challenging the Trump
administration’s action, joined by 20 other states. A preliminary injunction granted on May 1 st remains in force, and an appeal is pending in the First Circuit. The California State Library is still reviewing applications for FY 26 funding in the event that the lawsuit is successful or that funding is otherwise restored.
FEMA Terminates BRIC Grant Program: On April 4
th, FEMA announced the administration’s
intention to cancel the Building Resilience Infrastructure and Communities (BRIC) program.
BRIC provides funding for pre -disaster mitigation projects that demonstrate quantifiable cost savings using FEMA’s Benefit-Cost Ratio (BCR) models. The administration has stated that they will cease issuing new grant award agreements, end the review of projects submitted to BRIC for funding, and will take steps to cancel any existing award agreements for projects that have not already started cons truction. The administration stated that the $882 million in remaining unobligated BIL funding “will be returned to the U.S. Treasury or reapportioned by Congress in the next fiscal year.” The announcement of the BRIC program’s termination occurred the same day that Judge John McConnell Jr.
ordered enforcement of the injunction against the
1127 11TH STREET, SUITE 300, SACRAMENTO, CA 95814 • 916.974.9270 • PUBLICPOLICYGROUP.COM PAGE 13 administration’s federal funding freeze. This ruling followed a motion filed by plaintiffs in response to other attempts by the administration to terminate FEMA programs , and the administration’s actions to terminate BRIC may similarly be found to violate the injunction. The timing reflects an escalation in the administration’s efforts to circumvent court rulings that block the termination of congressionally authorized and appropriated grant programs. A lawsuit filed by the coalition of 20 “blue state” Attorney Generals was filed July 16th, 2025.
Judge Issues Preliminary Injunction Against E.O. 14154: On April 15 th, Judge Mary McElroy for
the District Court of Rhode Island issued a ruling enjoining further implementation of the “funding freeze” outlined in Executive Order 14154 (“Unleashing American Energy”). E.O. 14154, issued on day one of the new administration, directed all federal agencies to “immediately pause the disbursement of funds appropriated through the Inflation Reduction Act of 2022 (IRA) or the Infrastructure Investment and Jobs Act (IIJA). ” The ruling was consistent with rulings in other cases regarding the OMB Memo that sought to implement a funding freeze across all discretionary funding programs administered by the federal government. This initial freeze was specifically targeted for IIJA and IRA funding.
Administration Eliminates AmeriCorps: On April 16
th, news broke that the administration
executed a mass firing of AmeriCorps volunteers nationwide. AmeriCorps volunteers are assigned to governmental and community -based organizations to conduct a wide variety of service projects, including disaster response , public health initiatives, environmental stewardship, housing construction, support for veterans, job training programs, tutoring, etc.
Rep. Don Bacon (R-NE) has introduced the bipartisan Protect National Service Act to block the administration from cutting the AmeriCorps volunteers. However, the bill is currently unlikely to receive a floor vote and, in the event of passage, would face the prospect of a presidential veto.
Future opportunities to seek vol unteers and funding through the AmeriCorps service program are not anticipated that time.
New USDOJ Funding Requirements & Priorities: New language inserted into DOJ COPS Office FY25 NOFOs includes conditions that prioritize jurisdictions cooperating with federal immigration enforcement, prohibit funding to state/local LEAs that fail to protect “public monuments,” ban support for schools mandating COVID-19 vaccinations, and restrict funding for any activities that promote “gender ideology” or incorporate DEI frameworks. These requirements are expected to be challenged in court and have prompted California’s Attorney General to advise caution in pursuing federal public safety grants at this time.
White House Budget Proposes New Wildfire Agency: The Trump administration’s FY 26 budget proposal includes language
establishing a new standalone federal Wildfire Management and Response Agency. This new agency would consolidate wildfire functions from the U.S.
Forest Service, Bureau of Land Management, and FEMA into a central authority —with a stated goal to “streamline and depoliticize wildfire response.”
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EPA Thriving Communities Grants Targeted for Termination: The EPA has begun terminating grant award agreements made under the Thriving Communities Grants program, which includes the Community Change Grant – a landmark investment in community -driven environmental justice initiatives serving disadvantaged communities. The EPA’s actions were ruled unlawful on July 18, 2025, and the EPA is appealing that ruling.
Digital Equity Act Funding Targeted for Termination: Funding for the Digital Equity Act programs under the NTIA is now in limbo
, with the administration announcing an intent to claw
back unobligated funds and terminate remaining competitions. California’s Digital Equity Plan implementation has been halted pending legal review. California was slated to distribute $70 million in funding for subgrants to local agencies and organizations to advance digital equity work in alignment with the Digital Equity Plan. A lawsuit has been filed by the coalition of 20 “blue state” Attorney Generals.
USDOJ Grants Targeted for Termination: The Office of Management and Budget (OMB) has flagged over two dozen
DOJ-administered programs for likely termination under Executive Order 14151, Ending Radical and Wasteful Government DEl Programs and Preferencing . Potentially impacted programs include longstanding reentry, behavioral health, community violence reduction, and youth justice programs.
USDOT Review of Green Infrastructure & Bicycle -Focused Projects: Internal USDOT guidance released in March
confirms that discretionary grant awards incorporating green infrastructure or bicycle -focused elements are subject to “additional scrutiny.” Projects with primary benefits framed around climate mitigation or environmental justice are being deprioritized unless repackaged to reflect alternative metrics like congestion relief or goods movement efficiency.
Grant Award Agreements Terms: As the Trump administration resumes issuing some grant award agreements for pending projects that awarded under the Biden administration but did not have award agreements executed prior to the transition, one key thing to look out for are the Special Award Conditions (SACs) included in the agreement language. USDOT has issued award agreements that include new provisions related to compliance with federal immigration enforcement efforts and the elimination of diversity, equity, and inclusion (DEI) initiatives. On June 19
th, District Court Judge John McConnell Jr. entered a preliminary injunction prohibiting the USDOT from imposing conditions related to federal immigration enforcement activities as a condition of receiving federal transportation funding.
Legal Challenges on Sanctuary Jurisdiction Funding Eligibility: In late April, District Court Judge William Orrick issued a preliminary injunction in City and County of San Francisco vs.
Donald Trump (2025) , blocking the administration’s efforts to withhold federal funding from
1127 11TH STREET, SUITE 300, SACRAMENTO, CA 95814 • 916.974.9270 • PUBLICPOLICYGROUP.COM PAGE 15 sanctuary jurisdictions. Four days later, the Trump administration responded by issuing Executive Order 14287, Protecting American Communities from Criminal Aliens. Then, on May 9th, Judge Orrick issued a subsequent ruling that the Executive Order cannot be used to circumvent the injunction. As of mid -June, an appeal has not been filed by the Trump administration in this case and the injunction remains in force while the case is heard.
DHS Issues, then Rescinds, List of Sanctuary Jurisdictions: On May 29th, the Department of Homeland Security issued a list of counties and municipalities that were deemed to be “sanctuary jurisdictions” covering 37 states. However, facing pushback from Sheriff’s Offices nationwide, DHS took the list down
on June 2nd – four days after its publication. The publication of this list was mandated by Executive Order 14287. A full list of California jurisdictions that were named by DHS is available online
here.
Administration Plans Phase Out of FEMA: On June 11
th, President Donald Trump stated that
he plans to phase out the Federal Emergency Management Administration (FEMA) after this year’s hurricane season. Along with the planned dismantling of FEMA, the Trump Administration has signaled its intent to distribute reduce federal funding going forward for post -disaster recovery. A memo issued by Secretary Kristi Noem states that any grant or contract over $100,000 must now be directly approved by the Secretary, according to CNN .
SCOTUS Ruling Reshapes Judicial Landscape: On June 27, 2025, the Supreme Court issued a landmark 6-3 ruling in Trump v. CASA , significantly limiting the power of federal district courts to issue nationwide injunctions. Going forward, injunctions must apply only to the named plaintiffs in a case, rather than blocking federal policy nationwide. The ruling has immediate and profound procedural implications: existing injunctions shielding sanctuary jurisdictions and grant recipients from punitive federal actions will likely narrow in scope, now necessitating the filing of class action lawsuits. The SCOTUS ruling included a 30-day administrative stay to allow litigants in pending cases to reorient cases to the new standards for nationwide injunction.
Existing nationwide injunctions will be narrowed effective July 27 th.
SCOTUS Green Lights Mass Federal Workforce Firings: The Supreme Court’s issued its ruling in the American Federation of Government Employees (AFGE) vs. Trump case on July 1, 2025, upholding the administration’s claim of broad presidential authority to dismiss federal workers “at will.” This ruling is expected to drive a wave of layoffs across agencies administering key grant programs, including the EPA, FEMA, and the Department of Education . As early as this month, federal departments have begun staffing re ductions in program officer and grants management roles. Municipalities and states should anticipate disruptions, including delays in reimbursement processing, grant administration, and continuity of program officer contacts.
President Trump Signs the One Big Beautiful Bill Act (OBBBA): On July 4, 2025, President Trump signed the One Big Beautiful Bill Act (OBBBA) into law after narrow, party -line votes in
1127 11TH STREET, SUITE 300, SACRAMENTO, CA 95814 • 916.974.9270 • PUBLICPOLICYGROUP.COM PAGE 16 both chambers of Congress. The legislation makes permanent key tax cuts from the 2017 Tax Cuts and Jobs Act, adds new tax benefits, and directs new spending on border security and agriculture. To offset these new costs, a requirement of the Senate’s budget reconciliation process, OBBBA imposes deep cuts to Medicaid, SNAP, and other safety -net programs while significantly reducing non -defense discretionary spending caps for FY26 and beyond. The resulting fiscal blueprint sets up a challenging environment for federal grant funding: reduced overall appropriations levels and intensified competition for limited resources.
President Trump Issues Executive Order 14315: On July 7, 2025, President Trump issued a new Executive Order to accelerate the phase‑out of IRA clean energy tax credits for wind and solar by directing the Treasury Secretary to issue tighter guidance within 45 days. It builds upon the OBBBA’s proposed phase-outs, imposing stricter “beginning of construction” definitions, limits on safe ‑harbor use, and expanded “Foreign Entity of Concern ” restrictions. The EO also instructs the Department of the Interior to el iminate any preferential policies for renewables compared to dispatchable energy sources like fossil and nuclear power
Federal Court Certifies Nationwide Class Blocking Birthright Citizenship Order: On July 10, 2025, U.S. District Judge Joseph Laplante issued a preliminary injunction blocking Executive Order 14160—the order ending birthright citizenship that was at the core of the Trump v. CASA case. Adapting to the new legal landscape, litigants in the new case, Barbara v. Trump, were able to certify a nationwide class of current and future children impacted by the order. This marks the first successful nationwide class certification in the wake of the Trump v. CASA ruling.
USDOT Announces FY25 BUILD Awards: On July 15, 2025, the U.S. Department of Transportation announced
the FY25 BUILD (Better Utilizing Investments to Leverage Development) Round 2 awards, marking a return to pre-Biden administration funding priorities with an emphasis on freight, rural infrastructure, and state -of-good-repair projects. California received one award: $22.48 million to the Placer County Transportation Planning Agency to widen southbound SR -65, a project focused on impr oving vehicle throughput and emergency response times. Nationally, BUILD grants favored projects improving highways and bridges over bicycle, pedestrian, or climate -focused infrastructure. Notably, relatively few awards went to jurisdictions designated as Areas of Persistent Poverty or Historically Disadvantaged Communities, marking a shift from prior funding rounds. This pattern reflects the administration’s evolving priorities on infrastructure funding consisten t with its February 10, 2025 memorandum resetting USDOT priorities around user -pay models, family -supportive infrastructure, and immigration compliance
USDOT Official Terminates CA High-Speed Rail Federal Funding: On July 16, 2025, the U.S.
Department of Transportation formally terminated two federal grant agreements with the California High-Speed Rail Authority (CHSRA), rescinding nearly $4 billion in unobligated funding previously awarded for the Central Valley se gment. The termination follows the department’s
1127 11TH STREET, SUITE 300, SACRAMENTO, CA 95814 • 916.974.9270 • PUBLICPOLICYGROUP.COM PAGE 17 June 4th compliance report which cited persistent non -compliance, missed procurement deadlines, escalating costs, and an inability to meet the 2033 delivery timeline for the Early Operating Segment. Furthermore, Transportation Secretary Duffy has promised to continue vetting USDOT grant award agreements that have a nexus to the HSR project as potential targets for termination. In response to USDOT’s decision, the Office of Governor Gavin Newsom issued a press release indicating that CHSRA will sue the administration based on their claims that the these terminations were improperly handled and politically-motivated.
Congress Advances Funding “Recission Package” Clawbacks: On July 17, 2025, the House approved an expedited $9.4 billion rescissions package, eliminating funding for the Corporation for Public Broadcasting and clawing back most unobligated USAID funding. The bill now heads to President Trump’s desk for signature. Russell Vought, Director of the Office of Management and Budget, has already signaled plans for a second, larger rescissions package, which may begin targeting unobligated funds from the Bipartisan Infrastructure Law (IIJA) and Inflation Reduction Act (IRA). Meanwhile, the Supreme Court’s decision in Trump v. CASA limits the protective reach of district court injunctions, meaning most existing funding injunctions will narrow after July 27 unless converted into class actions. Taken in tandem, these developments portend a significantly more constrained federal funding landscape.
President Trump Issues Executive Order on Federal Grant Oversight: On August 7, 2025, President Trump signed Executive Order 14332
, Improving Oversight of Federal Grantmaking .
The order imposes new requirements that discretionary grants must advance presidential policy priorities in addition to statutory objectives, establishes political appointee review of funding announcements and awards, and directs agencies to add “termina tion for convenience” clauses to both new and, where legally permissible, existing agreements. Agencies must also require written justification for drawdowns and prioritize applicants with lower indirect cost rates. These provisions mark a fundamental shif t in the grantmaking process, creating heightened administrative burdens for recipients and greater risk of mid-stream termination for awarded projects. CPPG’s memo breaking down E.O. 14332 is available here.
Appeals Court Restricts Standing in Federal Funding Disputes: On August 13, 2025, the D.C.
Circuit Court of Appeals issued a ruling
that sharply narrows who can challenge federal funding
decisions in court. In the decision, the court held that disputes over executive compliance with appropriations statutes must be directed to the Government Accountability Office (GAO), not the judiciary. This precedent effectively bars states, municipalities, nonprofits, and other grantees from bringing lawsuits against federal agencies for rescinding or withholding appropriated funds. The ruling significantly limits legal recourse for grant recipients, consolidating enforcement authority with GAO, which lacks the power to issue binding remedies. Taken together with the Supreme Court’s recent rulings on injunctions and grant terminations, the decision further constrains options for challenging abrupt or politically motivated funding actions by the administration.
1127 11TH STREET, SUITE 300, SACRAMENTO, CA 95814 • 916.974.9270 • PUBLICPOLICYGROUP.COM PAGE 18
SCOTUS Ruling Narrows Relief for Terminated Grants: On August 21, 2025, the Supreme Court issued a 5–4 ruling in National Institutes of Health v. American Public Health Association, granting a temporary stay that allows the administration to continue withholding approximately $783 million in canceled NIH grants. The decision overturned a lower court injunction that had required NIH to continue funding DEI, gender identity, and COVID-19 research projects, finding that the district court likely lacked jurisdiction to compel ongoing payments and that improperly disbursed funds could not easily be recovered. While the Court did leave in place the lower court’s vacatur of NIH’s internal guidance documents, effectively limiting the agency’s ability to rely on those criteria in future termination decisions, the ruling signals a higher bar for plaintiffs seeking injunctive relief in cases challenging federal funding cancellations. Going forward, state and local governments, universities, and nonprofits may find that remedies for abrupt grant terminations are largely limited to monetary damages rather than reinstatement of funds, potentially further constraining the ability of plaintiffs to preserve funding streams in the face of broad executive action.
Federal Judge Issues Restraining Order Blocking HUD Funding Freeze: On August 26, 2025, a federal district judge in California issued a temporary restraining order halting the
administration’s suspension of U.S. HUD funding tied to the Consolidated Annual Action Plan (CAAP). The lawsuit was filed by the City of Fresno, represented by the Renne Public Law Group, arguing that HUD’s freeze on Community Development Block Grant (CDBG) and HOME Investment Partnerships Program funds violated the Impoundment Control Act and the Administrative Procedure Act. The dispute arose after HUD, on August 18, gave Fresno only three days to purge its CAAP of any reference to specific words—including equity, environmental justice, and transgender—and to provide written assurances that federal funds would not be used to promote “gender ideology.” The TRO restores immediate access to millions of dollars in housing, infrastructure, and community development resources that had been withheld pending HUD’s review of local compliance with new executive orders. However, the TRO is only the first step—it will be subject to appeal, and this case will very likely be litigated further.
Presidential Memorandum on Grant Fund Misuse: On August 28, 2025, President Trump issued a memorandum directing the Attorney General to investigate misuse of federal grant funds for lobbying purposes. The memorandum instructs the Department of Justice to strengthen enforcement against grantees found to have diverted federal resources for political advocacy, further expanding oversight and compliance risks for states, local governments, and nonprofits. While framed as a measure to prevent lobbying with federal dollars, the breadth of the directive raises concerns that organizations engaged in environmental justice, civil rights, or other issue advocacy that the administration deems “political” could be targeted.
Administration Deploys “Pocket Rescission”: On August 29, 2025, the White House invoked a rarely used impoundment maneuver known as a “ pocket rescission ” to block nearly $4.9
1127 11TH STREET, SUITE 300, SACRAMENTO, CA 95814 • 916.974.9270 • PUBLICPOLICYGROUP.COM PAGE 19 billion in previously appropriated foreign aid. By submitting the rescission request too late for congressional action before the end of the fiscal year, the administration effectively canceled funds intended for peacekeeping operations, global health, and development assistance.
Lawmakers from both parties have criticized the move as an abuse of executive authority and a violation of the Impoundment Control Act. Unless this action is overturned through the courts, future federal aid and grant appropriations may face similar risks of executive clawback without congressional approval.
Corporation for Public Broadcasting Moves Toward Shutdown: Following July’s rescissions package eliminating CPB funding, the Corporation for Public Broadcasting announced in August
that it will cease operations in January 2026. As part of the wind-down, CPB has terminated the $21.6 million Next Generation Warning System (NGWS) grant program, which had awarded 44 projects aimed at upgrading emergency alert and broadcast infrastructure. Without Congressional intervention or a FEMA takeover, significant gaps in public alertin g capacity, particularly in rural and disaster-prone areas, are anticipated.
USDOT Cancels Grants for Projects “Hostile to Motor Vehicles”: Over this past month, the U.S. Department of Transportation has moved to terminate discretionary RAISE grants (now
rebranded as the BUILD grant) , citing project elements that reduced vehicle throughput or prioritized bicycle, pedestrian, or transit infrastructure. In San Diego County, funding was terminated for a $1.2 million grant. USDOT wrote that the project “appears to reduce lane capacity and [includes] a road diet that is hostile to motor vehicles.” Similar actions targeted projects in Boston, New Mexico, Illinois, and Connecticut, with a combined value of approximately $ 37 million. The cancellations underscore the administration’s shift toward prioritizing projects that expand roadway capacity and away from multimodal safety initiatives.
D.C. Circuit Allows Climate Funding Freeze to Stand Pending Litigation: On September 12 th,
the U.S. Court of Appeals for the D.C. Circuit declined to lift the administration’s freeze on billions in Inflation Reduction Act climate and clean energy funds. This most recent ruling in the ongoing Climate United Fund v. Citibank and EPA case leaves in place the administration’s suspension of awards for community resilience, renewable energy, and environmental justice programs while litigation proceeds.
Federal Oversight of Key Bridge Contracting Practices: On September 19 th, Transportation
Secretary Sean Duffy issued a warning letter to Maryland Governor Wes Moore, cautioning that race- or gender-based contracting practices in the Francis Scott Key Bridge rebuild could place federal funding at risk. These practices were established in the Congressionally enacted Disadvantaged Business Enterprise (DBE) program in 1983. The move highlights the administration’s heightened scrutiny of what they have deemed to be “ DEI-oriented” procurement practices and signals broader implications for state and local governments undertaking large federally supported projects.
1127 11TH STREET, SUITE 300, SACRAMENTO, CA 95814 • 916.974.9270 • PUBLICPOLICYGROUP.COM PAGE 20
Transit Safety Compliance Tied to Funding: On September 19 th, the USDOT notified the Massachusetts Bay Transportation Authority (MBTA) and Chicago Transit Authority (CTA) that portions of their federal transit funding may be withheld unless further measures are taken to improve worker and rider safety. The action follows similar warnings to New York’s Metropolitan Transportation Authority earlier this year, indicating that the threat of funding termination will be used to enforce safety compliance across major transit systems.
USDOT Launches $5 Billion National Railroad Partnership Program: On September 22 nd, Transportation Secretary Sean Duffy announced a new Notice of Funding Opportunity (NOFO) under the National Railroad Partnership Program, allocating more than $5 billion for passenger rail safety and reliability projects. The program repurposes $2.4 billion de -obligated from the California High-Speed Rail project, with emphasis on grade crossing safety and family-focused station improvements. Applications are due January 7, 2026.
USDOJ Grant Programs Resuming with New Conditions: The Department of Justice began reopening grant opportunities in September that had been paused earlier this year. However, new Notices of Funding Opportunity include conditions prioritizing jurisdictions cooperating with federal immigration enforcement, while prohibiting activities incorporating DEI frameworks or “gender ideology.” Applicants should carefully review eligibility and compliance requirements, as these provisions may create litigation risks or conflict with state law.
Trump Administration Terminates CDFI Staff: On October 13, 2025, the U.S. Department of the Treasury confirmed that all staff positions
within the Community Development Financial
Institutions (CDFI) Fund have been terminated, not furloughed, as part of mass layoffs executed during the ongoing federal government shutdown. The CDFI Fund, established by Congress in 1994, provides financing and technical assistance to local lenders, such as credit unions, loan funds, and nonprofit financial institutions , that expand access to capital in low -income and underserved communities. The termination effectively suspends federal oversight and disbursement capacity for billions of dollars in pending and approved awards supporting affordable housing, small business l ending, community facilities, and disaster recovery projects. The move marks a sharp break from three decades of bipartisan precedent and leaves community lenders, municipal partners, and economic development agencies without their primary federal funding conduit . The legality of the administration’s authority to permanently terminate staff as the result of a government shutdown is being legally challenged.
Terminations Planned for Major DOE Grants: On October 7, 2025, the U.S. Department of Energy released an internal list
indicating plans to terminate or suspend approximately $24 billion in competitive awards made under the Infrastructure Investment and Jobs Act (IIJA) and Inflation Reduction Act (IRA), including all seven Regional Clean Hydrogen Hubs and multiple clean manufacturing facilities. DOE cited “program realignment and compliance review” as the
1127 11TH STREET, SUITE 300, SACRAMENTO, CA 95814 • 916.974.9270 • PUBLICPOLICYGROUP.COM PAGE 21 basis for the action. The announcement marks the largest federal withdrawal of discretionary grant funding since early 2025 and follows the administration’s continued efforts to rescind unobligated IRA and IIJA funds. Municipalities engaged in local partne rships with hydrogen, clean energy, or advanced manufacturing initiatives should monitor for potential project cancellations or de -obligations affecting site development, workforce coordination, and regional economic planning.
1127 11TH STREET, SUITE 300, SACRAMENTO, CA 95814 • 916.974.9270 • PUBLICPOLICYGROUP.COM PAGE 22
UPCOMING FUNDING OPPORTUNITIES
Surface Transportation Infrastructure
Grant Name Agency Amount Match Deadline Notes
Community
Planning and
Capacity Building
Grant
CARB Up to
$500,000
No match
required. 2/10/2026
Funding to strengthen
outreach, build
partnerships, and
assess local
transportation and
mobility needs.
Source: State
Better Utilizing
Investment to
Leverage
Development
(BUILD) – Planning
U.S. DOT
(FHWA)
No maximum
or minimum
amount.
20% of the
total project
cost.
Match may be
reduced for
projects in
areas of
persistent
poverty.
2/24/2026
Funding for planning
and design work for
surface transportation
projects that have
regional or national
significance.
Source: Federal (IIJA)
Better Utilizing
Investment to
Leverage
Development
(BUILD) –
Implementation
U.S. DOT
(FHWA)
Maximum of
$25,000,000.
Minimum of
$5,000,000
(urban).
Minimum of
$1,000,000
(rural).
20% of the
total project
cost.
Match may be
reduced for
projects in
rural areas.
2/24/2026
Funding for surface
transportation
infrastructure projects
that have regional or
national significance.
FY 26 funding for
BUILD (formerly RAISE)
will be the final BIL-
funded competition.
Source: Federal (IIJA)
Bridge Investment
Program – Project
Grants
U.S. DOT
(FHWA)
No maximum
amount.
Minimum of
$2,500,000.
20% of the
total project
cost.
TBD 2026
Funding for capital
projects that replace,
rehabilitate, preserve
or protect one or more
bridges in the National
Bridge Inventory.
NOFO has been pulled
for USDOT review.
1127 11TH STREET, SUITE 300, SACRAMENTO, CA 95814 • 916.974.9270 • PUBLICPOLICYGROUP.COM PAGE 23 Source: Federal (IIJA)
Bridge Investment
Program – Planning
Projects
U.S. DOT
(FHWA)
No maximum
or minimum
amount.
20% of the
total project
cost.
TBD 2026
Funding for planning
and design for projects
that address
deficiencies for at-risk
bridges identified in the
National Bridge
Inventory. NOFO has
been pulled for USDOT
review.
Source: Federal (IIJA)
Infrastructure for
Rebuilding America
(INFRA)
U.S. DOT
(FHWA)
Maximum of
$25,000,000.
Minimum of
$5,000,000.
20% of the
total project
cost must be
paid for with
non-federal
funds. INFRA
can fund a
maximum of
60% of the
total project
cost.
TBD 2026
Funding for multimodal
freight and highway
projects of regional or
national significance to
improve the movement
of freight and people.
BIL funding has been
exhausted, but this is a
long-standing federal
assistance program.
Source: Federal
Consolidated Rail
Infrastructure and
Safety
Improvements
(CRISI)
U.S. DOT
(FRA)
No maximum
or minimum
amount, but a
minimum of
$1,000,000 is
encouraged.
20% of the
total project
cost.
TBD 2026
Funding for projects
that improve the
safety, efficiency, and
reliability of passenger
and freight rail. FY 25
and FY 26 funding from
the BIL has not yet
been obligated.
Source: Federal (IIJA)
Railroad Crossing
Elimination (RCE)
Program – Planning
U.S. DOT
(FRA)
No maximum
or minimum
amount.
20% of the
total project
cost.
TBD 2026
Funding for planning
and design work for
grade separation
capital projects.
Source: Federal (IIJA)
Railroad Crossing
Elimination (RCE)
Program –
Implementation
U.S. DOT
(FRA)
No maximum
amount.
20% of the
total project
cost.
TBD 2026
Funding for grade
separation capital
projects. FY 25 and FY
26 funding from BIL for
1127 11TH STREET, SUITE 300, SACRAMENTO, CA 95814 • 916.974.9270 • PUBLICPOLICYGROUP.COM PAGE 24 Minimum of
$1,000,000.
RCE has not been
obligated yet.
Source: Federal (IIJA)
Local
Transportation
Climate Adaptation
Program (LTCAP)
FUTURE FUNDING
UNCERTAIN
CTC Maximum of
$50,000,000.
20% of the
total project
cost.
TBD 2026
Funding for projects
that improve the
resilience of at-risk
transportation
infrastructure by
mitigating hazard risk,
expanding/creating
new evacuation routes,
and protecting at-risk
coastal infrastructure.
Source: Federal (IIJA)
Active
Transportation
Program (ATP) –
Cycle 8
CTC
No maximum
amount.
Minimum of
$100,000.
Projects with
leveraged
funds are
encouraged.
TBD 2026
Funding for bicycle and
pedestrian safety
enhancements. A
potential Cycle 8 will
be discussed in
community workshops
in the coming months.
Source: State
Local Partnership
Program CTC Up to
$25,000,000 1:1 match. TBD 2026
Funding for
improvements to the
state highway system,
transit system, bike or
pedestrian safety, road
maintenance, as well
as acquisition of zero-
emission buses.
Source: State
Bridge Investment
Program – Large
Bridge Project
Grants
U.S. DOT
(FHWA)
No maximum
amount.
Minimum of
$50,000,000.
50% of the
total project
cost.
TBD 2026
Funding for large-scale
capital bridge
infrastructure projects.
FY 26 funding is still
available from the BIL.
Source: Federal (IIJA)
1127 11TH STREET, SUITE 300, SACRAMENTO, CA 95814 • 916.974.9270 • PUBLICPOLICYGROUP.COM PAGE 25 Highway Safety
Improvement
Program (HSIP) –
Cycle 13
Caltrans
Maximum of
$10,000,000.
Minimum of
$100,000.
10% of the
total project
cost.
TBD 2026
Funding for roadway
safety enhancement
capital projects. An
adopted Local
Roadway Safety Plan
(LRSP) is required to
apply.
Source: Federal
Sustainable
Transportation
Planning Grant
(STPG)
Caltrans
Sustainable
Communities:
Minimum is
$100,000 and
maximum is
$700,000.
Strategic
Partnerships:
Minimum is
$100,000 and
maximum is
$500,000.
11.47% for
Sustainable
Communities.
20% for
Strategic
Partnerships.
TBD 26/27
There are two
categories of funding
available: Sustainable
Communities
(Competitive/Formula)
for local or regional
transportation and
land use plans and
Strategic Partnerships
(Competitive/Transit)
for planning projects
that partner with
Caltrans for the State
Highway System.
Source: State
Surface
Transportation
Block Grant (STBG)
Program
Regional
MPO’s &
TPO’s
Funding
availability
and award
amounts may
vary by region.
20% of the
total project
cost.
Varies by
Region
Funding for a broad
range of surface
transportation
projects, including
roadways, bridges,
pedestrian and bicycle
infrastructure, and
transit capital projects.
Source: Federal
Congestion
Mitigation and Air
Quality (CMAQ)
Program
Regional
MPO’s &
TPO’s
Funding
availability
and award
amounts may
vary by region.
20% of the
total project
cost.
Varies by
Region
Funding for
transportation projects
that reduce traffic
congestion and
improve air quality,
particularly in
nonattainment and
maintenance areas for
ozone, carbon
1127 11TH STREET, SUITE 300, SACRAMENTO, CA 95814 • 916.974.9270 • PUBLICPOLICYGROUP.COM PAGE 26 monoxide, and
particulate matter.
Source: Federal
Transportation
Development Act
(TDA) Article III
Program – Local
Transportation Fund
Regional
MPO’s &
RTPO’s
Funding
availability
and award
amounts may
vary by region.
Varies by
Region
Varies by
Region
Funding for pedestrian
and bicycle planning
and infrastructure
projects.
Source: State
Safe Streets and
Roads for All (SS4A)
– Planning and
Demonstration
U.S. DOT
(FHWA)
Maximum of
$5,000,000.
Minimum of
$100,000.
20% of the
total project
cost.
TBD 2026
Planning funds are
available through SS4A
to develop a
Comprehensive Safety
Action Plan/Local
Roadway Safety Plan or
demonstration
projects.
Source: Federal (IIJA)
Safe Streets and
Roads for All (SS4A)
– Implementation
U.S. DOT
(FHWA)
Maximum of
$25,000,000.
20% of the
total project
cost.
TBD 2026
Funding to implement
capital projects
identified in
Comprehensive Safety
Action Plans/LRSPs. FY
25 funding is available
for 2025. FY 26 funding
will be the final BIL-
funded round.
Source: Federal (IIJA)
Parks and Recreation
Grant Name Agency Amount Match Deadline Notes
Statewide Park
Development and
Community
Revitalization
Program (SPP)
OGALS Maximum of
$8,500,000.
No match
required. TBD 2026
Funding for the creation
of new parks or the
expansion/renovation
of existing parks.
Deadline anticipated in
2026 per OGALS. $190
million in Prop 4 funding
1127 11TH STREET, SUITE 300, SACRAMENTO, CA 95814 • 916.974.9270 • PUBLICPOLICYGROUP.COM PAGE 27
FUNDING
ALLOCATED IN FY 25-
26 STATE BUDGET
appropriated for FY 25-
26 grant cycle.
Source: State (Prop 4)
Youth Community
Access Grant CNRA
Minimum
award is
$25,000.
Maximum
award is
$500,000.
Where
possible,
cost of
project
elements
should not be
split with
other
funding.
TBD
Spring
2026
Projects must serve
youth and directly
support access to
either natural or
cultural resources AND
meet the criteria for
both low-income and
disadvantaged
communities.
Source: State (Prop 64)
Art in Parks Parks
California
Planning &
Dev.:
~$50,000
Project:
~$100,000
No match
required.
Bonus points
are provided
for voluntary
matches of
up to 40%.
TBD
Spring
2026 for
Round 3
Funding to establish art
installations and
programming in State
and local parks.
Source: State
Route to Parks Parks
California
Estimated
$25,000 -
$30,000
No match
required. TBD 2026
Funding for projects
that provide
transportation to/from
parks.
Source: State
Land and Water
Conservation Fund
(LWCF)
OGALS /
NPS
Maximum of
$6,000,000.
At least 50%
of the total
project cost.
TBD 2026
Funding for the
acquisition,
development, or
expansion of outdoor
recreational amenities.
Source: Federal
Outdoor Recreation
Legacy Partnership
(ORLP)
OGALS /
NPS
Maximum of
$15,000,000.
At least 50%
of the total
project cost.
TBD 2026
Funding for the
acquisition or
development of new
parks or substantial
renovations to existing
parks. Minimum
population of 25,000 is
required.
1127 11TH STREET, SUITE 300, SACRAMENTO, CA 95814 • 916.974.9270 • PUBLICPOLICYGROUP.COM PAGE 28 Source: Federal
Readiness and
Environmental
Protection
Integration Program
(REPI)
OGALS /
NPS TBD No match
required. TBD 2026
Funding for projects
near military bases to
acquire, or acquire and
develop, lands for
public outdoor
recreation.
Source: Federal
Recreational Trails
Program (RTP) – Non-
Motorized
OGALS /
FHWA
No maximum
or minimum
amount.
12% of total
project cost. TBD 2026
Funding to create new
non-motorized
recreational trails and
trails-related facilities.
Projects that address
gaps in existing trail
networks are
prioritized.
Source: Federal
Recreational Trails
Program (RTP) –
Motorized
OHMVR /
FHWA
No maximum
or minimum
amount.
12% of total
project costs TBD 2026
Funding to create new
motorized recreational
trails and trails-related
facilities. Projects that
address gaps in existing
trail networks are
prioritized.
Source: Federal
Habitat Conservation
Fund (HCF) OGALS
No maximum
or minimum
amount.
100% TBD 2026
Funding to preserve
natural wildlife spaces
and create recreational
trail amenities.
Source: State
For LWCF and ORLP, please note: Projects funded through these two programs will be placed under federal protection to preserve the public’s outdoor recreational use of the site in perpetuity.
Affordable Housing Development and Preservation
Grant Name Agency Amount Match Deadline Notes
1127 11TH STREET, SUITE 300, SACRAMENTO, CA 95814 • 916.974.9270 • PUBLICPOLICYGROUP.COM PAGE 29 Multifamily Housing
Program (MHP) Cal HCD $250,000 per
assisted unit.
Leveraged
funding is
required.
TBD 2026
Funding for multifamily
housing construction
projects. There is some
funding set-aside
specifically for transit-
oriented development
(TOD) projects. Future
funding availability
subject to state
appropriations.
Source: State
Infill Infrastructure
Grant (IIG) Cal HCD
Minimum of
$1,000,000 in
urban areas
and $500,000
in rural areas.
Maximum of
$10,000,000.
No match
required, but
the proposal
must support
a qualifying
infill project.
TBD 2026
Funding to support
offsite improvements
necessary to support
infill housing
development projects.
Future funding
availability subject to
state appropriations.
Source: State
Joe Serna Sr.
Farmworker Housing
Grant Program
(FHGP)
Cal HCD $300,000 per
assisted unit.
Leveraged
funding is
required.
TBD 2026
Funding to provide
loans for multifamily
housing, new
construction, or
rehabilitation to serve
agricultural workers.
Future funding
availability subject to
state appropriations.
Source: State
Veterans Housing
and Homelessness
Prevention Program
(VHHP)
Cal HCD $300,000 per
assisted unit.
Leveraged
funding is
required.
TBD 2026
Funding to provide
loans for acquisition,
construction,
rehabilitation, and
preservation of
affordable multifamily
housing for veterans.
Future funding
availability subject to
state appropriations.
1127 11TH STREET, SUITE 300, SACRAMENTO, CA 95814 • 916.974.9270 • PUBLICPOLICYGROUP.COM PAGE 30 Source: State
Local Housing Trust
Fund (LHTF) Cal HCD
Minimum for
an existing
LHTF is
$1,000,000.
Minimum for
a new LHTF is
$500,000.
Maximum is
$5,000,000.
1:1 cash
match
required.
TBD 2026
Funds dedicated to the
creation, rehabilitation,
or preservation of
affordable housing,
transitional housing and
emergency shelters.
Applicants are required
to be in substantial
compliance with state
Housing Element Law
prior to the award date.
Source: Federal & State
National Housing
Trust Fund (NHTF)
Cal HCD /
U.S. HUD
Up to
$20,000,000
No match
required, but
projects that
propose a
voluntary
match will be
more
competitive.
TBD 2026
May apply for a
Residual Receipts loan
or a Forgivable loan to
support affordable
housing construction
projects. Applicants are
required to be in
substantial compliance
with state Housing
Element Law prior to
the award date.
Source: Federal
Prohousing Incentive
Program (PIP) Cal HCD
Maximum is
$2,000,000.
Total amount
is calculated
by adding
Applicant’s
jurisdiction
size amount
and bonus
award
amount.
25% of the
award
amount.
TBD 2026
Funding for Prohousing
Jurisdictions to support
housing projects.
Agencies that have not
previously received
funding are prioritized.
Source: State
Portfolio
Reinvestment
Program
Cal HCD $250,000 per
assisted unit.
Leveraged
funding is
required.
TBD 2026
Forgivable loan
program for projects to
preserve and
rehabilitate affordable
1127 11TH STREET, SUITE 300, SACRAMENTO, CA 95814 • 916.974.9270 • PUBLICPOLICYGROUP.COM PAGE 31 housing with expiring
affordability covenants.
Source: State
Choice
Neighborhoods –
Planning Grant
U.S. HUD Maximum of
$500,000.
5% of the
total project
cost.
Future
Funding
TBD
Funding to develop a
“Transformation Plan”
for the revitalization of
public and/or HUD-
assisted housing units
and the surrounding
neighborhood.
Source: Federal
Choice
Neighborhoods –
Implementation
Grant
U.S. HUD Maximum of
$50,000,000.
5% of the
total project
cost.
Future
Funding
TBD
Funding for projects
that improve quality of
life in economically
distressed
neighborhoods.
Source: Federal
Preservation and
Reinvestment
Initiative for
Community
Enhancement
(PRICE)
U.S. HUD
Minimum of
$5,000,000.
Maximum of
$75,000,000.
Projects with
leveraged
funding are
prioritized.
Future
Funding
TBD
Funding for the
preservation and
revitalization of
manufactured housing
and manufactured
housing communities.
Source: Federal
Pathways to
Removing Obstacles
to Housing
(PRO Housing)
FUTURE FUNDING
UNCERTAIN
U.S. HUD
Maximum of
$10,000,000.
Minimum of
$1,000,000.
No match
required.
Future
Funding
TBD
Funding to support
reduction of barriers to
affordable housing
construction that
affirmatively furthers
fair housing. Funding for
FY 25 approved in CR.
Source: Federal
HOME Investment
Partnership Program Cal HCD
Up to
$4,500,000
for
multifamily
rental
projects.
Match
requirements
are waived.
TBD 2026
Funding for housing
projects and housing
program activities in
“non-entitlement
jurisdictions” (areas
that do not receive
1127 11TH STREET, SUITE 300, SACRAMENTO, CA 95814 • 916.974.9270 • PUBLICPOLICYGROUP.COM PAGE 32 Up to
$75,000 for
operating
costs.
HOME funding directly
from HUD).
Source: Federal
Affordable Housing
Sustainable
Communities (AHSC)
SGC
Minimum is
$10,000,000
and
maximum is
$50,000,000.
Projects with
leveraged
funding are
prioritized.
TBD 2026
Includes three project
area types: Transit-
Oriented Development
(TOD), Integrated
Connectivity Project
(ICP), and Rural
Innovation Project
Areas (RIPA).
Source: State (GGRF)
Homekey+ Cal HCD
$200,000 per
door for each
unit for PSH
projects.
Leveraged
funding is
required.
TBD
Funding to sustain and
expand Permanent
Supportive Housing for
veterans, young people,
and other individuals
with mental health
and/or substance use
disorder challenges.
Source: State
Homelessness and Human Services
Grant Name Agency Amount Match Deadline Notes
Encampment
Resolution Fund
(ERF) – Round 4
FY 25-26 FUNDING
UNCERTAIN
Cal HCD
No maximum
or minimum
amount.
Leveraged
funding is
required.
There is no
set minimum
amount.
Future
Funding TBD
Funding for site-
specific projects that
transition homeless
people from
encampments into
safe and stable
housing. FY 25-26
funding contingent
upon budget
negotiations.
Source: State
Smart Reentry:
Housing
U.S. DOJ
(BJA)
Maximum of
$1,000,000
50% of the
total project
cost.
TBD 2026
Funding for projects to
improve reentry
outcomes by
1127 11TH STREET, SUITE 300, SACRAMENTO, CA 95814 • 916.974.9270 • PUBLICPOLICYGROUP.COM PAGE 33 Demonstration
Program
expanding or
increasing access to
housing.
Source: Federal
Youth
Homelessness
System
Improvement (YHSI)
Grants
U.S. HUD
Planning and
Partnerships:
Up to
$400,000.
Data,
Coordinated
Enry, and
Racial and
Gender
Equity: Up to
$200,000.
Match is not
required, but
suggested.
TBD 2026
Funding for projects
that create and build
capacity for Youth
Action Boards; collect
and use data on at-
risk youth and youth
experiencing
homelessness;
improve coordination
and administration of
homeless assistance
projects; etc.
Source: Federal
Street Outreach
Program U.S. HUD
Minimum is
$90,000 and
maximum is
$150,000.
There is no
match
requirement.
TBD 2026
Funding to provide
street-based services
to run away,
homeless, and street
youth.
Source: Federal
Proposition 47
Grant Program BSCC
Small scope
project: Up to
$2M
Large scope
project:
Between $2M
and $8M
Leveraged
funding is
prioritized.
TBD 2026
Funding to implement
new services or
programs and/or
expand existing
services or programs
for mental health,
substance abuse
disorders, or diversion
programs for
individuals in the
criminal justice
system.
Source: State
Water and Wastewater
1127 11TH STREET, SUITE 300, SACRAMENTO, CA 95814 • 916.974.9270 • PUBLICPOLICYGROUP.COM PAGE 34 Grant Name Agency Amount Match Deadline Notes
Clean Water State
Revolving Fund
(CWSRF)
SWRCB
Maximum
amount
based on
ability to
repay loan
over term
period. Per-
project cap of
$50,000,000.
Loans must
be repaid over
a 30-year
period with
interest.
Principal
forgiveness is
available for
DACs.
Ongoing
Funding for planning,
design, and capital
construction for critical
water infrastructure
projects that provide
reliable access to clean
water for Californians.
Source: Federal & State
Drinking Water State
Revolving Fund
(DWSRF)
SWRCB
Maximum
amount
based on
ability to
repay loan
over term
period. Per-
project cap of
$50,000,000.
Loans must
be repaid over
a 30-year
period with
interest.
Principal
forgiveness is
available for
DACs.
Ongoing
Funding for planning,
design, and capital
construction for critical
water infrastructure
projects that provide
reliable access to safe
drinking water.
Source: Federal & State
Sewer Overflow and
Stormwater Reuse
Municipal Grants
SWRCB
Maximum
amount
based on
ability to
repay loan
over term
period.
Projects are
eligible for
$5,000,000 or
up to 50% of
the total
project cost
(whichever is
less) in
principal
forgiveness.
Ongoing
through
Federal
FY 26
Funding for stormwater
infrastructure projects.
Applications for these
funds are handled
through the CWSRF
application process.
Source: Federal (IIJA)
Small Community
Wastewater (SCWW)
– Planning
SWRCB No maximum
amount.
No match
required. Ongoing
Funding for planning
and design work to
advance wastewater
infrastructure projects
in small, disadvantaged
communities (SDACs).
SCWW is a component
of the CWSRF.
Source: State
Small Community
Wastewater (SCWW)
– Construction
SWRCB
Maximum of
$15,000,000.
Maximum of
$30,000,000
50% of the
total project
cost for
construction.
Ongoing
Funding for wastewater
infrastructure
improvements in small
and disadvantaged
communities. Projects
1127 11TH STREET, SUITE 300, SACRAMENTO, CA 95814 • 916.974.9270 • PUBLICPOLICYGROUP.COM PAGE 35 (septic-to-
sewer).
No match
required for
Small DACs.
that address violations
of waste discharge
requirements of NPDES
permits will be
prioritized by the state.
SCWW is a component
of the CWSRF.
Source: State
Safe and Affordable
Funding for Equity
and Resilience
(SAFER)
SWRCB
No maximum
or minimum
amount.
No match
required. Ongoing
Funding for projects to
help failing and at-risk
water systems address
critical water
infrastructure needs.
Disadvantaged
communities and small
water systems are
prioritized.
Source: State
Water Recycling
Funding Program
(WRFP) – Planning
SWRCB
No maximum
or minimum
amount.
50% of the
total project
cost. SWCRB
may fund up
to 100% of the
total project
cost for
DACs.
Ongoing
Funding for studies that
assess the feasibility of
using recycled water to
offset or augment the
use of fresh/potable
water from state or
local supplies. WRFP is
a component of the
CWSRF.
Source: State (Prop 13
& Prop 4)
Water Recycling
Funding Program
(WRFP) –
Construction
SWRCB Maximum of
$3,000,000.
65% of the
total project
cost. SWCRB
may fund up
to 100% of the
total project
cost for
DACs.
Ongoing
Funding for capital
projects that use
recycled water to offset
or augment the use of
fresh/potable water
from state or local
supplies.
Source: State (Prop 13
& Prop 4)
1127 11TH STREET, SUITE 300, SACRAMENTO, CA 95814 • 916.974.9270 • PUBLICPOLICYGROUP.COM PAGE 36 Lead Service Line
Replacement
Program (LSLR)
SWRCB
Maximum
amount
based on
ability to
repay loan
over term
period.
Loans must
be repaid over
a 30-year
period with
interest.
Principal
forgiveness is
available for
DACs.
10/4/2028
Funding for projects
that identify and
replace lead pipes and
fixtures. LSLRP is a
component of DWSRF.
Source: Federal (IIJA)
Emerging
Contaminants in
Small or
Disadvantaged
Communities
(ED-SDC) Grant
SWRCB No maximum
amount.
No match
required. Ongoing
Funding for projects
that address exposure
to emerging
contaminants and
PFAS in disadvantaged
communities. ED-SDC
is a component of the
DWSRF.
Source: Federal (IIJA)
Groundwater Grant
Program SWRCB No maximum
amount.
No match
required. Ongoing
Funding for projects
that protect and
improve groundwater
quality, including
remediation and
contamination
prevention efforts.
Currently, there is only
funding available for
SDACs through the
DWSRF (this program
was previously funded
through Proposition 1).
Source: Federal & State
Water Storage
Investment Program CWC No maximum
amount.
50% of total
project costs TBD 2026
Funding for water
storage projects. $75
million allocated in
Proposition 4.
Source: State (Prop 4)
Integrated Regional
Water Management
(IRWM)
DWR No maximum
amount.
50% of total
project costs TBD
Funding for the
implementation of
projects identified in an
adopted regional IRWM
1127 11TH STREET, SUITE 300, SACRAMENTO, CA 95814 • 916.974.9270 • PUBLICPOLICYGROUP.COM PAGE 37 Implementation
Grant Program
Plan. $100 million
allocated in Proposition
4. Source: State (Prop 4)
Sustainable
Groundwater
Management Grant
Program
FUNDING
ALLOCATED IN
FY 25-26 BUDGET
DWR TBD TBD TBD 2026
Funding for
Groundwater
Sustainability Agencies
(GSAs) and other
responsible entities
under SGMA to
promote healthy and
sustainable
groundwater basins.
Source: State (Prop 4)
Urban and
Agricultural Water
Conservation Grants
NEW PROGRAM!
DWR TBD TBD TBD
Funding for projects
that produce
quantifiable water
savings. $75 million
allocated in Proposition
4. Source: State (Prop 4)
Drought Response
Program U.S. BOR
Maximum of
$500,000
(two-year
projects).
Maximum of
$2,000,000
(three-year
projects).
50% of the
total project
cost. Over-
matching is
encouraged.
TBD 2026
Funding for projects
that build long-term
resilience to drought
and reduce the need for
emergency response
actions. Solicitation for
FY 26 funding from the
BIL is under
development.
Source: Federal (IIJA)
Water and Energy
Efficiency Grant
(WEEG)
U.S. BOR
Maximum of
$500,000
(two-year
projects).
Maximum of
$2,000,000
(three-year
projects).
50% of the
total project
cost. Over-
matching is
encouraged.
TBD 2026
Funding for projects
that result in
quantifiable water
savings by enhancing
system efficiency. FY
25 and FY 26 funding
from the BIL will be
available.
1127 11TH STREET, SUITE 300, SACRAMENTO, CA 95814 • 916.974.9270 • PUBLICPOLICYGROUP.COM PAGE 38 Source: Federal (IIJA)
Small-Scale Water
Efficiency Projects
(SWEP)
U.S. BOR Maximum of
$100,000.
50% of the
total project
cost.
TBD 2026
Funding for projects,
with a cost of $225,000
or less, that produce
quantifiable water
savings. FY 24, FY 25,
and FY 26 funding from
the BIL will be
available.
Source: Federal (IIJA)
Small Storage
Program U.S. BOR Maximum of
$30,000,000.
25% of the
total project
cost.
4/17/2026
Funding for capital
projects that recycle
and reuse potable
water. FY25 and FY 26
funding from the BIL
will be available.
Feasibility study
required. Studies must
be submitted by
2/13/2026.
Source: Federal (IIJA)
WaterSMART
Planning and Design
Grants
PROGRAM IS
PAUSED
U.S. BOR Maximum of
$400,000.
Varies based
on project
type, either:
0%, 25%, or
50%.
TBD 2026
Funding for
collaborative planning
and design projects to
support water
management
improvements. FY 24,
FY 25, and FY 26
funding from the BIL
will be available.
Source: Federal (IIJA)
Water Recycling and
Desalination
Planning
PROGRAM IS
PAUSED
U.S. BOR
Maximum of
$1,000,000
(Funding
Group I).
50% of the
total project
cost.
75% of the
total project
cost for
projects over
$500,000,000.
TBD 2026
Funding for planning
and design work for
projects that recycle
and reuse potable
water. FY 23, FY 24, FY
25, and FY 26 funding
from the BIL will be
available.
Source: Federal (IIJA)
1127 11TH STREET, SUITE 300, SACRAMENTO, CA 95814 • 916.974.9270 • PUBLICPOLICYGROUP.COM PAGE 39 Water Reclamation
and Reuse Program
(WRRP) – Title XVI
PROGRAM IS
PAUSED
U.S. BOR
Maximum of
$5,000,000.
Minimum of
$100,000.
75% of the
total project
cost.
TBD 2026
Funding for capital
projects that recycle
and reuse potable
water. FY25 and FY 26
funding from the BIL
will be available.
Feasibility study
required.
Source: Federal (IIJA)
Large-Scale Water
Recycling Projects
PROGRAM IS
PAUSED
U.S. BOR No maximum
amount.
75% of the
total project
cost.
TBD 2026
Funding for large-scale
recycled water projects
with a total cost of
$500,000,000 or more.
FY 23, FY 24, FY 25 and
FY 26 funding from the
BIL will be available.
Feasibility study
required.
Source: Federal (IIJA)
Midsize and Large
Drinking Water
System
Infrastructure
Resilience and
Sustainability
EPA
Expected
range
between
$1,187,500 -
$2,375,000
10% TBD
Funding can be used for
planning, design,
construction,
implementation,
operation, or
maintenance of a
program/project that
increases resilience of
public water systems to
natural hazards.
Source: Federal
Please Note: All U.S. Bureau of Reclamation Notices of Funding Opportunity (NOFOs) have been rescinded for administrative review.
Law Enforcement and Public Safety
Grant Name Agency Amount Match Deadline Notes
Office of Traffic
Safety (OTS) Grants OTS
No maximum
or minimum
amount.
No match
requirement. 1/31/2026
Funding for
initiatives to prevent
serious injury and
death resulting from
1127 11TH STREET, SUITE 300, SACRAMENTO, CA 95814 • 916.974.9270 • PUBLICPOLICYGROUP.COM PAGE 40 motor vehicle
crashes, such as
impaired driving,
distracted driving,
motorcycle safety,
pedestrian and
bicycle safety, and
more.
Source: Federal
Body-Worn Camera
Policy and
Implementation
Program to Support
Law Enforcement
Agencies
U.S. DOJ
(BJA)
Categories 1
and 2: Up to
$2,000,000
Category 3: Up
to $1,000,000
Categories 1
and 2: Federal
funding cannot
exceed $2,000
per BWC.
Category 3: No
match
required.
TBD 2026
Funding to establish
or expand body-worn
camera programs.
Three funding
categories: Site-
Based awards to
Publicly Funded Law
Enforcement, Site-
Based Awards to
Publicly Funding
Correctional
Agencies, and Digital
Evidence
Management
Demonstration.
Source: Federal
Strategies to Support
Children Exposed to
Violence
U.S. DOJ
(OJJDP)
Up to
$830,000
No match
required. TBD 2026
Funding for support
services for children
exposed to violence
in their homes,
schools, and
communities.
Source: Federal
Mentoring for Youth
Affected by Opioid
and Other Substance
Use
U.S. DOJ
(OJJDP)
Category 1: Up
to $650,000
Category 2: Up
to $1,980,000
No match
required. TBD 2026
Funding to enhance
and expand
mentoring services
for children and
youth affected by
substance use. Two
categories of
funding: Local
Project Sites and
1127 11TH STREET, SUITE 300, SACRAMENTO, CA 95814 • 916.974.9270 • PUBLICPOLICYGROUP.COM PAGE 41 Statewide and
Regional.
Source: Federal
Community and
Schools Youth Drug
Prevention Program
U.S. DOJ
(OJJDP)
Up to
$750,000
No match
required. TB 2026
Funding to support
the delivery of
substance use
prevention programs
to youth in schools
and extracurricular
settings.
Source: Federal
Organizational
Wellness Program POST Non-
monetary.
No match
required. Ongoing
Program provides
resources and
services for officer
wellness units.
Source: State
Alcohol Policing
Partnership ABC Maximum of
$100,000.
No match
required. TBD 2026
Funding for police
departments to
expand efforts in
addressing alcohol-
related problems
through a
comprehensive ABC
program.
Source: State
Organized Retail
Theft Prevention
Program
BSCC
Medium
Scope: Up to
$6,125,000
Large Scope:
Up to
$15,650,000
No match
required.
TBD
Pending
Future
Funding
Availability
Funding to address
Organized Retail
Theft, Motor Vehicle
or Motor Vehicle
Accessory Theft,
and/or Cargo Theft.
Source: State
Virtual Reality De-
escalation Site-
Based Initiative
PROGRAM IS
PAUSED
U.S. DOJ
(BJA)
Maximum of
$800,000.
No match
required. TBD 2026
Funding to assist law
enforcement
agencies in adopting
virtual reality (VR)
technology for
training purposes.
1127 11TH STREET, SUITE 300, SACRAMENTO, CA 95814 • 916.974.9270 • PUBLICPOLICYGROUP.COM PAGE 42 Source: Federal
Justice and Mental
Health Collaboration
Program (JMHCP)
PROGRAM IS
PAUSED
U.S. DOJ
(BJA)
Maximum of
$550,000.
20% of the
cost for Years
1 and 2.
40% of the
cost for Year 3.
TBD 2026
Funding for
programs that
support
collaboration to
improve public
safety responses
and outcomes for
people with mental
health and/or
substance use
disorders.
Source: Federal
Connect and
Protect: Law
Enforcement
Behavioral Health
Response Program
PROGRAM IS
PAUSED
U.S. DOJ
(BJA)
Maximum of
$550,000.
20% of the
cost for Years
1 and 2.
40% of the
cost for Year 3.
TBD 2026
Funding for
programs and
initiatives that
support cross-
system collaborative
responses to
behavioral health
calls for service.
Source: Federal
Field Initiated:
Encouraging
Innovation
PROGRAM IS
PAUSED
U.S. DOJ
(BJA)
Maximum of
$1,000,000.
No match
required. TBD 2026
Funding for projects
that develop and
implement new
innovative strategies
to address emerging
or persistent
challenges faced by
criminal justice
systems.
Source: Federal
Crime Gun
Intelligence Center
Integration Initiative
PROGRAM IS
PAUSED
U.S. DOJ
(BJA)
Maximum of
$700,000
(new CIGCs).
Maximum of
$300,000
(expansion of
existing CGIC).
No match
required. TBD 2026
Funding to create or
expand Crime Gun
Intelligence Centers
(CGICs) that
facilitate interagency
collaboration
focused on the
timely collection,
management, and
1127 11TH STREET, SUITE 300, SACRAMENTO, CA 95814 • 916.974.9270 • PUBLICPOLICYGROUP.COM PAGE 43 analysis of crime gun
evidence.
Source: Federal
Improving Substance
Use Disorder
Treatment and
Recovery Outcomes
for Adults in Reentry
PROGRAM IS
PAUSED
U.S. DOJ
(BJA)
Maximum of
$833,000.
No match
required. TBD 2026
Funding for projects
that enhance the
capacity of
corrections systems
and community-
based providers to
address substance
use disorders during
incarceration and
reentry.
Source: Federal
Improving Adult and
Youth Crisis
Stabilization and
Community Reentry
Program
PROGRAM IS
PAUSED
U.S. DOJ
(BJA)
Maximum of
$825,000.
No match
required. TBD 2026
Funding for projects
that provide
screening and
supportive services
pre-release, during,
and after reentry to
address those at
greater risk of crisis
during the transition
out of incarceration.
Source: Federal
Patrick Leahy
Bulletproof Vest
Partnership
U.S. DOJ
(BJA)
A single
applicant’s
request
cannot exceed
5% of the total
funds
appropriated
in a given year.
50% of the
total cost of
the vests.
TBD 2026
Funding for police
departments to
cover up to 50% of
the cost of body
armor vests
purchased for law
enforcement
officers. Financial
hardship waivers can
be requested, but
the per unit cost of
each vest cannot
exceed $1,200 if
requesting a waiver.
Source: Federal
1127 11TH STREET, SUITE 300, SACRAMENTO, CA 95814 • 916.974.9270 • PUBLICPOLICYGROUP.COM PAGE 44 Edward Byrne Justice
Assistance Grant
(JAG) – Local
Allocations
U.S. DOJ
(BJA)
Formula
funding.
No match
required. TBD 2026
Funding for law
enforcement
agencies for efforts
that prevent or
reduce crime and
violence and to
improve the fair
administration of the
justice system.
Source: Federal
Tobacco Grant
Program CA DOJ
No maximum
or minimum
amount.
No match
required. TBD 2026
Funding for
enforcement and
educational projects
that reduce the
illegal sale of
tobacco products to
minors.
Source: State
COPS Hiring
Program (CHP)
U.S. DOJ
(COPS
Office)
$125,000 cap
per position.
At least 25% of
the total cost,
but additional
costs beyond
the per
position cap
must be
covered by the
applicant.
TBD 2026
Funding to hire new
police officers.
Recipients are
required to pay a
progressively larger
share of the cost of
the positions over
the three-year award
period. Positions
must be maintained
for at least 12
months after federal
funding ends.
Source: Federal
Law Enforcement
Mental Health and
Wellness Act
(LEMHWA) Program
U.S. DOJ
(COPS
Office)
Maximum of
$200,000.
No match
required. TBD 2026
Funding for projects
that increase the
number of law
enforcement
agencies using peer
support, training,
family resources,
suicide prevention,
and other promising
1127 11TH STREET, SUITE 300, SACRAMENTO, CA 95814 • 916.974.9270 • PUBLICPOLICYGROUP.COM PAGE 45 practices for
wellness programs.
Source: Federal
Community Policing
Development (CPD)
Microgrants Program
U.S. DOJ
(COPS
Office)
Maximum of
$175,000.
No match
required. TBD 2026
Funding for projects
that develop the
capacity of law
enforcement to
implement
community policing
strategies.
Source: Federal
Collaborative
Reform Initiative
(CRI)
U.S. DOJ
(COPS
Officer)
Maximum of
$1,000,000.
No match
required. TBD 2026
CRI consists of three
programs:
Collaborative
Reform Initiative
Technical
Assistance Center,
Critical Response,
and Organizational
Assessment.
Source: Federal
Alcohol Beverage
Control OTS Up to $30,000 No match
required. TBD 2026
Funding to utilize
and implement the
Minor Decoy
Program, Shoulder
Tap Program,
IMPACT Program,
and/or Holiday
Enforcement.
Source: Federal
Community Violence Reduction
Grant Name Agency Amount Match Deadline Notes
Community
Violence
Intervention and
Prevention
Initiative (CVIPI)
U.S. DOJ
(BJA)
Maximum of
$2,000,000.
No match
required. TBD 2026
Funding to
implement
programs that
prevent and reduce
violent crime in
1127 11TH STREET, SUITE 300, SACRAMENTO, CA 95814 • 916.974.9270 • PUBLICPOLICYGROUP.COM PAGE 46 communities
disproportionately
impacted by
violence.
Source: Federal
STOP School
Violence Program
U.S. DOJ
(BJA)
Maximum of
$1,000,000.
No match
required. TBD 2026
Funding for
programs that
increase school
safety by deploying
solutions that
improve school
climate, behavioral
threat
assessments,
and/or intervention
teams reduce the
risk of violence.
Source: Federal
Byrne State Crisis
Intervention
Program (SCIP)
BSCC
Maximum of
$1,000,000
(large scope).
Maximum of
$500,000
(small scope).
No match
required. TBD 2026
Funding to
implement state
gun crisis
intervention court
proceedings and
related programs or
initiatives.
Source: Federal
School Violence
Prevention Program
(SVPP)
U.S. DOJ
(COPS
Office)
Maximum of
$500,000.
Maximum of
$100,000 for
microgrants.
25% of the
total project
cost. Will be
waived for
microgrants.
TBD 2026
Funding to improve
security at schools
and on school
grounds through
evidence-based
safety programs.
Source: Federal
California Violence
Intervention
Program (CalVIP)
BSCC
Up to $1,500,000
for cities
disproportionately
impacted by
violence.
No match
required. TBD
Funding for
initiatives that
enhance public
health and safety
through support for
community-based
gun violence
1127 11TH STREET, SUITE 300, SACRAMENTO, CA 95814 • 916.974.9270 • PUBLICPOLICYGROUP.COM PAGE 47 Up to $600,000 for
cities with
populations of
40,000 or less.
reduction efforts.
Eligibility is based
on gun violence
trends at the
community level.
Source: State
Fire and Emergency Response
Grant Name Agency Amount Match Deadline Notes
Firefighters
Charitable
Foundation
FFCF No guidance
given.
No match
required. Ongoing
The FFCF gives
grants to assist local
fire/disaster victims,
fire prevention
education, volunteer
fire department
equipment
purchase, and
community safety
programs.
Source: Private
Assistance to
Firefighters Grant
(AFG) – FY 25
FEMA
Maximum of
$3,550,000
(more than
1,000,000
people).
Maximum of
$3,000,000
(500,001 –
1,000,000
people).
Maximum of
$2,000,000
(100,001 –
500,000
people).
Maximum of
$1,000,000
15% of the
total project
cost (more
than 1,000,000
people).
10% of the
total project
cost (20,001 to
1,000,000
people).
5% of the total
project cost
(20,000 people
or fewer).
TBD
Winter
2026
Funding for Fire
Departments for
equipment and
vehicle acquisition.
Applicants can
submit one request
per category per
year. It is
recommended that
departments review
Appendix B and
select requests that
qualify as “high”
priorities for FEMA.
The AFG program is
oversubscribed, and
anything less than
“high” priority is
unlikely to be
funded.
1127 11TH STREET, SUITE 300, SACRAMENTO, CA 95814 • 916.974.9270 • PUBLICPOLICYGROUP.COM PAGE 48 (100,000 or
fewer people).
Source: Federal
Staffing for Adequate
Fire and Emergency
Response (SAFER) –
FY 25
FEMA
No minimum
or maximum
amount.
Hiring Activity:
25% for the
first and
second year,
then 65% for
the third year.
R&R Activity:
No match
required.
TBD 2026
Funding to support
the cost of hiring new
firefighters and EMS
personnel.
Source: Federal
Leary Firefighters
Foundation:
Jeremiah Lucey
Grant Program
LFF
Typically a
maximum of
$25,000.
No match
required. TBD 2026
The Leary Firefighters
Foundation makes
grants to paid and
volunteer fire
departments for
equipment, training,
and technology
adoption.
Source: Private
Hazard Mitigation
Grant Name Agency Amount Match Deadline Notes
Community Wildfire
Defense Grant
(CWDG)
U.S. Forest
Service
CWP Plans:
Maximum of
$250,000
CWPP
Projects:
Maximum of
$10,000,000
10% of the
total cost for
CWP Plans.
20% of the
total project
cost for
CWPP
Projects.
Match
waivers
available for
low-income
areas.
Future
Funding
TBD for
FY26
Funding can be used
to either create or
update a Community
Wildfire Protection
Plan (CWPP) or to
implement a project
within a CWPP.
Source: Federal
1127 11TH STREET, SUITE 300, SACRAMENTO, CA 95814 • 916.974.9270 • PUBLICPOLICYGROUP.COM PAGE 49 SB 1 Sea Level Rise
Adaptation –
Implementation
(Track 2)
OPC TBD TBD TBD 2026
Funding to implement
projects identified in
SLR Adaptation Plans.
Source: State
Building Resilient
Infrastructure and
Communities (BRIC)
PROGRAM
TARGETED FOR
TERMINATION
CalOES /
FEMA
No maximum
amount.
25% of the
total project
cost.
TBD 2026
Annual federal
funding for pre-
disaster mitigation.
Source: Federal
Flood Mitigation
Assistance (FMA)
FUTURE FUNDING
UNCERTAIN
CalOES /
FEMA
No maximum
amount.
25% of the
total project
cost.
TBD 2026
Annual federal
funding for flood
mitigation projects.
Source: Federal
Hazard Mitigation
Grant Program
(HMGP)
CalOES /
FEMA
No maximum
amount.
25% of the
total project
cost.
TBD 2026
Federal funding for
pre-disaster
mitigation tied to
Presidential Disaster
Declarations. Some
competitions are
restricted to certain
regions of the state.
Source: Federal
State Fire Capacity
Grant
CA Fire Safe
Council
Maximum of
$225,000. 1:1.5 TBD 2026
Funding for projects
and programs to
harden communities
against wildfire risk.
Source: State
Fuels Management
and Community Fire
Assistance Grant
U.S. Bureau
of Land
Management
Minimum of
$10,000.
Maximum of
$100,000.
No match
required. TBD 2026
Funding to develop
local capacities
through assessment
and planning,
mitigation efforts, and
implementation of
fuels management
treatments.
Source: Federal
1127 11TH STREET, SUITE 300, SACRAMENTO, CA 95814 • 916.974.9270 • PUBLICPOLICYGROUP.COM PAGE 50 Wildfire Prevention
Grants (WPG) CAL FIRE
Suggested
maximum of
$950,000 or
less
No match
required. TBD
Funding for hazardous
fuels treatment,
wildfire prevention
planning, and wildfire
prevention education
in areas at-risk of
wildfire.
Source: State (Prop 4)
For FEMA Hazard Mitigation Assistance (HMA) programs (HMGP, BRIC, and FMA), please note:
Projects should either be identified in a Local Hazard Mitigation Plan (LHMP) or address vulnerabilities identified in an LHMP. Projects can be phased for planning work up to 60% design. Capital projects must have a positive Benefit-Cost Analysis ratio. You must submit an NOI to CalOES to apply for federal funding through these programs.
Community Resilience
Grant Name Agency Amount Match Deadline Notes
Microgrid Incentive
Program
SoCal
Edison
Up to
$14,000,000
per community
project.
Up to
$3,000,000 for
Special
Facilities.
No match
required. TBD 2026
Future funding may be
available if the money
is not exhausted in the
2025 competitive
cycle.
Environmental
Justice Thriving
Communities
Subgrant Program
PROGRAM
TARGETED FOR
TERMINATION
U.S. EPA
Maximum of
$150,000
(Assessment
projects).
Maximum of
$250,000
(Planning
projects).
Maximum of
$350,000
(Develop
projects).
20% of the
total project
cost.
TBD
Funding for
assessment, planning,
and project
development grants
that support
environmental justice
initiatives benefiting
disadvantaged
communities
disproportionately
burdened by pollution.
Currently terminated.
Source: Federal (IRA)
1127 11TH STREET, SUITE 300, SACRAMENTO, CA 95814 • 916.974.9270 • PUBLICPOLICYGROUP.COM PAGE 51 Transformative
Climate
Communities (TCC)
– Planning
SGC Up to $300,000
No match or
leveraged
funding
required.
TBD Fall
2026
Funding to conduct
community-level
engagement,
planning, and capacity
building to deploy
collective impact
investment strategies
in disadvantaged
communities.
Source: State (Prop 4)
Transformative
Climate
Communities (TCC)
– Project
Development
SGC Up to
$5,000,000
No match or
leveraged
funding
required.
TBD Fall
2026
Funding for pre-
development and
basic infrastructure
activities that advance
climate and
community resilience
goals by preparing
projects for future
funding opportunities.
Source: State (Prop 4)
Transformative
Climate
Communities (TCC)
– Implementation
SGC Up to
$29,500,000
Leveraged
funding
must be at
least 50% of
the total
grant award
amount.
TBD Fall
2026
Funding for
neighborhood-level
initiatives that include
multiple, coordinated
investments that
reduce greenhouse
gas emissions and
enhance community
resilience.
Source: State (Prop 4)
Community
Resilience Centers
(CRC) – Planning
SGC
Maximum of
$500,000.
Minimum of
$100,000.
No match
required.
TBD Fall
2026
Funding for planning
and community
engagement activities
to prepare for future
Community Resilience
Center initiatives.
Source: State (Prop 4)
Community
Resilience Centers SGC
Maximum of
$5,000,000.
No match
required.
TBD Fall
2026
Funding for pre-
development and
basic infrastructure
1127 11TH STREET, SUITE 300, SACRAMENTO, CA 95814 • 916.974.9270 • PUBLICPOLICYGROUP.COM PAGE 52 (CRC) – Project
Development
Minimum of
$500,000.
activities that advance
community-serving
facilities’ capability to
serve as future
Community Resilience
Centers.
Source: State (Prop 4)
Community
Resilience Centers
(CRC) –
Implementation
SGC
Maximum of
$10,000,000.
Minimum of
$1,000,000.
No match
required.
TBD Fall
2026
Funding for capital
projects that either
retrofit existing
facilities or construct
new facilities that
serve the function of
being Community
Resilience Centers.
Source: State (Prop 4)
Extreme Heat and
Community
Resilience Program
– Planning (Small)
OPR
Maximum of
$250,000.
Minimum of
$100,000.
No match
required. TBD 2026
Funding for planning
to develop future
projects that address
extreme heat and
community resilience.
$23.1 million
appropriated from
Prop 4 for FY 25-26
(all categories).
Source: State (Prop 4)
Extreme Heat and
Community
Resilience Program
– Planning (Large)
OPR
Maximum of
$750,000.
Minimum of
$300,000.
No match
required. TBD 2026
Funding for planning
to develop future
projects that address
extreme heat and
community resilience.
$23.1 million
appropriated from
Prop 4 for FY 25-26
(all categories).
Source: State (Prop 4)
Extreme Heat and
Community
Resilience Program
OPR
Maximum of
$450,000.
No match
required. TBD 2026
Funding for new or
existing projects that
implement awareness
building programs,
1127 11TH STREET, SUITE 300, SACRAMENTO, CA 95814 • 916.974.9270 • PUBLICPOLICYGROUP.COM PAGE 53 – Implementation
(Small)
Minimum of
$100,000.
provide resources,
and build
infrastructure to
address extreme heat
and community
resilience. $23.1
million appropriated
from Prop 4 for FY 25-
26 (all categories).
Source: State (Prop 4)
Extreme Heat and
Community
Resilience Program
– Implementation
(Large)
OPR
Maximum of
$4,000,000.
Minimum of
$500,000.
No match
required. TBD 2026
Funding for new or
existing projects that
implement awareness
building programs,
provide resources,
and build
infrastructure to
address extreme heat
and community
resilience. $23.1
million appropriated
from Prop 4 for FY 25-
26 (all categories).
Source: State (Prop 4)
Microgrid Incentive
Program PG&E
Up to
$14,000,000
per project.
Up to
$1,000,000 for
interconnection
studies and
equipment.
No match
required TBD 2026
Future funding may be
available if the money
is not exhausted in the
2025 competitive
cycle.
Economic Development
Grant Name Agency Amount Match Deadline Notes
EDA Disaster
Supplemental
Funding –
2023/2024
U.S. EDA
Readiness
Path: Expected
range of
Generally
20%
Ongoing for
Readiness and
Implementation
paths.
Funding for three
categories:
Readiness Path for
standalone non-
1127 11TH STREET, SUITE 300, SACRAMENTO, CA 95814 • 916.974.9270 • PUBLICPOLICYGROUP.COM PAGE 54 $250,000-
$500,000.
Implementation
Path: Expected
range of
$100,000-
$20,000,000
Industry
Transformation
Path: Expected
range of
$20,000,000-
$50,000,000
3/3/2026 for
Industry
Transformation
Path
construction
projects designed to
increase a
community’s
readiness for
implementation
projects,
Implementation Path
for standalone
construction or non-
construction
projects designed to
address economic
challenges from
natural disasters,
and Industry
Transformation Path
for coalition-led
construction or non-
construction
implementation
projects.
Public Works and
Economic
Adjustment
Assistance
(PWEAA)
U.S. EDA
Anticipated
range of
investments
from $600,000
to $5,000,000.
Varies
based on
socio-
economic
factors of
the
project’s
impact
area.
FY 26 & Future
Funding
Availability TBD
Funding for public
works projects and
economic
assistance programs
that create new jobs
by supporting
multiple private
employers as
beneficiaries.
Source: Federal
Planning and
Local Technical
Assistance
Program
U.S. EDA
Anticipated
amount for
Local TA
investments is
$100,000.
Varies
based on
socio-
economic
factors of
the
project’s
impact
area.
Ongoing
Funding to create
economic
development plans
and studies
designed to build
capacity and foster
economic prosperity
and resiliency.
Source: Federal
1127 11TH STREET, SUITE 300, SACRAMENTO, CA 95814 • 916.974.9270 • PUBLICPOLICYGROUP.COM PAGE 55 Airport and Maritime Port Infrastructure
Grant Name Agency Amount Match Deadline Notes
Port Infrastructure
Development
Program
U.S. DOT
(MA)
Small
projects at
small ports:
Up to
$112.5M.
Per State: Up
to $112.5M.
Planning
projects: No
more than
10% of
funding
reserved for
Small
projects.
20% of the
total project
cost.
TBD 2026
Funding for the purpose
of improving the safety,
efficiency, or reliability
of movement of goods
through ports and
intermodal connections
to ports. Upcoming FY
26 funding cycle will be
the last BIL-funded
grant cycle.
Source: Federal (IIJA)
Airport Improvement
Program (AIP)
U.S. DOT
(FAA)
Airports
entitled to a
certain
amount of
AIP funding
each year
based on
passenger
volume.
Large to
medium
airports: 20-
25%.
Small
airports: 5-
10%.
TBD 2026
Funding for the planning
and development of
public-use airports that
are included in the
National Plan of
Integrated Airport
Systems (NPIAS).
Source: Federal (IIJA)
Airport Improvement
Program (AIP) – State
Matching Grants
Caltrans
Matching
Rate is 5% of
the federal
grant.
No match
required. TBD 2026
Project must be
included in the most
recently adopted
Capital Improvement
Plan (CIP).
Source: State
Reduction of Truck
Emissions at Port
Facilities
U.S. DOT
(FHWA)
Estimated
total program
funding:
$160,000,000
20% of the
total project
cost.
TBD 2026
Funding for projects
that test, evaluate, and
deploy projects that
reduce port-related
emissions from idling
trucks.
1127 11TH STREET, SUITE 300, SACRAMENTO, CA 95814 • 916.974.9270 • PUBLICPOLICYGROUP.COM PAGE 56 Source: Federal (IIJA)
Transit
Grant Name Agency Amount Match Deadline Notes
Federal-State
Partnership for
Intercity Passenger
Rail Program
U.S. DOT No minimum
or maximum. 20% 1/27/2026
Funding can be used to
enhance safety on
passenger rail routes,
reduce backlog,
improve performance,
or expand or establish
new service.
Source: Federal
Capital Improvement
Grant Program
U.S. DOT
(FTA)
Between
$100,000,000
and
$300,000,000.
Not specified
but
considered in
selection.
TBD 2026
There are three
programs included in
this Grant Program:
New Starts, Small
Starts, and Core
Capacity.
Source: Federal (IIJA)
All Stations
Accessibility
Program
U.S. DOT
(FTA)
Total funding
available:
$300M.
20% TBD 2026
Funding to repair,
improve, modify,
retrofit, etc.
infrastructure of
stations or facilities to
make all public areas of
the station accessible
to people with
disabilities.
Source: Federal (IIJA)
Transit and Intercity
Rail Capital
Partnership (TIRCP)
CTC No maximum
amount.
Projects with
leveraged
funding will
be more
competitive.
TBD 2026
Funding for
transformative capital
improvements that will
modernize intercity,
commuter, and urban
rail systems and bus
and ferry transit
systems.
Source: Federal & State
1127 11TH STREET, SUITE 300, SACRAMENTO, CA 95814 • 916.974.9270 • PUBLICPOLICYGROUP.COM PAGE 57 Buses and Bus
Facilities
Competitive Grants
U.S. DOT
(FTA)
No minimum
or maximum
amount.
Total funding
available:
$398 million.
20% TBD 2026
Funds to replace,
rehabilitate, or
purchase buses and
related equipment and
to construct bus-
related facilities.
Source: Federal (IIJA)
Low or No Emissions
(Bus) Grants
U.S. DOT
(FTA)
No minimum
or maximum
amount.
Total funding
available:
$1.1 billion.
20% TBD 2026
Funding for the
purchase or lease of
zero-emission and low-
emission transit buses,
as well as acquisition,
construction, and
leasing of required
supporting facilities.
Source: Federal (IIJA)
Electric Vehicles
Grant Name Agency Amount Match Deadline Notes
Electric Vehicle
Charging
Infrastructure
Resiliency Program
MSRC
Total
available
funding:
$30,000,000
50% 6/2/2026
Funding to design,
construct and/or
retrofit EV charging
facilities to
incorporate resiliency
features.
Source: State
Communities in
Charge CEC
Base
Incentive:
Flat rebate of
$8,500 per
connector
Additional
costs
beyond the
incentive
amount, if
applicable.
TBD
Funding to transform
EV accessibility,
rapidly catalyze new
markets, and swiftly
deploy Level 2 EV
charging stations.
Source: State
Fast Charge
California Project CaleVIP
Up to
$100,00 per
charging port
for 275kW+
and $55,000
No match
required. 1/29/2026
Funding for the
installation and
management of DC
Fast Chargers.
1127 11TH STREET, SUITE 300, SACRAMENTO, CA 95814 • 916.974.9270 • PUBLICPOLICYGROUP.COM PAGE 58 for 150kW-
274.99kW
Source: State
Clean Truck and
Bus Voucher
Incentive Project
(HVIP)
CARB
Varies based
on vehicle
type.
Additional
costs
beyond the
incentive
amount, if
applicable.
Ongoing
Funding to purchase
zero-emission heavy-
duty incentives trucks
and buses for
California fleets.
Source: State
Charging
Infrastructure for
Government Fleets
CEC
Up to
$6,000,000
or 70% of
total project
costs
(whichever is
less).
30% of the
total project
cost.
TBD 2026
Funding can be used
to deploy electric
vehicle charging
infrastructure to
support light-duty
government fleets.
Source: State
Volkswagen
Environmental
Mitigation Trust
CARB
Varies based
on vehicle
type.
Additional
costs
beyond the
incentive
amount, if
applicable.
Ongoing
Funding for zero-
emission transit
buses, school buses,
shuttle buses, Class 8
Freight and Port
Drayage Trucks,
freight/marine
projects, and light-
duty ZEV
infrastructure.
Source: State
Carl Moyer
Memorial Air
Quality Standards
Attainment Program
Local ARBs Varies.
Typically
15% of the
total cost.
Varies based
on region.
Funding for zero-
emission on-road
heavy-duty vehicles,
off-road
compression-ignition
equipment, off-road
large spark-ignition
equipment, off-road
equipment
replacement, light-
duty vehicles, and
ZEV infrastructure.
Source: Federal
1127 11TH STREET, SUITE 300, SACRAMENTO, CA 95814 • 916.974.9270 • PUBLICPOLICYGROUP.COM PAGE 59 FAST 2.0 - Fast and
Available Charging
for All
CEC
Projects may
average no
more than
$100,000 in
CEC funds
per charging
port
installed.
50% of the
total project
cost.
TBD
Funding for the
installation of DC Fast
Chargers (DCFC) that
supply a minimum of
180 kWh per vehicle.
Charging stations
must be publicly
accessible at least 18
hours per day.
Source: State
Rural Electric
Vehicle Charging
2.0 (REV 2.0)
CEC Maximum of
$4,000,000.
20% of the
total project
cost.
TBD
Funding for the
installation of light-
duty electric vehicle
(EV) charging
infrastructure in rural
communities.
Charging stations
must be accessible at
least 18 hours per
day.
Source: State
Urban Greening and Conservation
Grant Name Agency Amount Match Deadline Notes
Environmental
Enhancement and
Mitigation Program
(EEMP)
CNRA
Individual
Projects:
Maximum of
$750,000
Acquisition
Projects:
Maximum of
$1,500,000
Projects with
leveraged
funding are
prioritized.
TBD 2026
Funding for urban
forestry and resource
lands conservation
projects that offset
vehicular emissions
from transportation
infrastructure projects.
Source: State
Urban and
Community Forestry
(State Competition)
CAL FIRE
Maximum of
$1,500,000.
Minimum of
$150,000.
Typically 25%
of the total
project cost.
TBD 2026
Funding for urban forest
management planning
and tree planting.
Source: Federal & State
Urban and
Community Forestry
U.S.
Forest
Service
Maximum of
$50,00,000.
No match
required. TBD 2026
Funding for urban forest
management planning
and tree planting.
1127 11TH STREET, SUITE 300, SACRAMENTO, CA 95814 • 916.974.9270 • PUBLICPOLICYGROUP.COM PAGE 60 (Federal
Competition)
Minimum of
$100,000.
Source: Federal (IRA)
Urban Greening
Program
FY 25-26 FUNDING
ALLOCATED
CNRA
No maximum
or minimum
amount.
No match
required. TBD 2026
Funding for multi-
benefit green
infrastructure projects
that produce
quantifiable GHG
emissions reductions.
$46.8 million
appropriated from Prop
4 for FY 25-26.
Source: State (Prop 4)
Coastal Conservancy
Grants Program CCC
There is no
maximum or
minimum.
No match
required. Ongoing
Funding for projects
that restore and protect
the California coast,
increase public access
to it, and increase
coastal communities’
resilience to climate
change. $63 million
appropriated from Prop
4 for FY 25-26.
Source: State
Brownfield Cleanup
Grant Name Agency Amount Match Deadline Notes
Brownfield
Assessment Grants U.S. EPA
Community-wide
Assessment
Grant: Up to
$500,000.
Assessment
Coalition Grant:
Up to
$1,500,000.
No match
required. 1/28/2026
Funding for planning
activities, developing
site-specific cleanup
plans, and conducting
community
engagement related to
brownfield sites.
Source: Federal
Brownfield Cleanup
Grants U.S. EPA
Up to $500,000
to cleanup 1 site
or to allocate
among multiple
sites
No match
required 1/28/2026
Funding for projects
that address hazardous
substances and/or
petroleum
contamination at one
1127 11TH STREET, SUITE 300, SACRAMENTO, CA 95814 • 916.974.9270 • PUBLICPOLICYGROUP.COM PAGE 61
Between
$500,001 and
$4,000,000 to
cleanup 1 site or
allocate among
multiple sites
or more brownfield
sites.
Source: Federal
Brownfield
Multipurpose Grant U.S. EPA Up to $1,000,000 No match
required 1/28/2026
Funding to carry out a
range of assessment of
cleanup activities,
including planning and
additional community
engagement activities.
Source: Federal
Brownfield Revolving
Loan Fund Grants
(BRLF) – Federal
U.S. EPA Up to $1,000,000 No match
required. TBD 2025
Funding to provide
loans and subgrants to
entities to carry out
cleanup activities at
brownfield sites.
Source: Federal
Brownfields
Revolving Loan Fund
(BRLF) – State
DTSC
Maximum of
$350,000 for
grants.
Additional funds
may be available
through low-
interest loans.
No match
required. Ongoing
Provides funds to
applicants who are not
potentially liable under
CERCLA section 107 to
assess/cleanup
brownfields that they
own.
Source: Federal
Equitable
Community
Revitalization Grant
(ECRG)
DTSC
Maximum of
$7,000,000.
Minimum of
$80,000.
No match
required. TBD 2026
Funding for the
investigation and
cleanup of brownfields
in disadvantaged
communities to protect
public health and
provide opportunities
for community
revitalization.
Source: State
1127 11TH STREET, SUITE 300, SACRAMENTO, CA 95814 • 916.974.9270 • PUBLICPOLICYGROUP.COM PAGE 62 Recycling
Grant Name Agency Amount Match Deadline Notes
Tire-Derived
Aggregate Grant
Program (TDA)
Cal
Recycle
Maximum of
$375,000.
No match
required. TBD 2027
Funding for public
works projects that use
recycled California-
generated waste tires.
Source: State
Legacy Disposal Site
Abatement Partial
Grant Program
Cal
Recycle
Up to
$750,000 50% 2/11/2026
Funding to assist public
entities accelerate the
pace of cleanup and
restore sites.
Source: State
Illegal Disposal Site
Abatement Grant
Program
Cal
Recycle
Up to
$500,000
No match
required. TBD 2026
Funding for solid waste
cleanup project sites
where cleanup is
needed to protect
public health and
safety or the
environment.
Source: State
Beverage Container
Quality
Infrastructure Grant
Program
Cal
Recycle
Maximum of
$10,000,000.
Minimum of
$1,000,000.
No match
required. TBD 2026
Funding for projects
that enhance capacity
to sort and recover
CRV-eligible beverage
containers by
upgrading equipment
and technology.
Source: State
Beverage Container
Recycling Grant
Program
Cal
Recycle
Maximum of
$275,000.
Minimum of
$75,000.
No match
required.
TBD
Pending
Future
Funding
Funding for equipment
and programs that
support increased
recycling of CRV-
eligible beverage
containers.
Source: State
1127 11TH STREET, SUITE 300, SACRAMENTO, CA 95814 • 916.974.9270 • PUBLICPOLICYGROUP.COM PAGE 63 Local Government
Waste Tire Amnesty
Grant Program
Cal
Recycle
Maximum of
$40,000
(individual
applicant).
Maximum of
$90,000
(regional
applicant).
No match
required.
TBD
Summer
2026
Funding to provide free
and convenient waste
tire collection events
for the public.
Source: State
Local Government
Waste Tire Cleanup
Grant Program
Cal
Recycle
Maximum of
$100,000
(individual
applicant).
Maximum of
$250,000
(regional
applicant).
No match
required.
TBD Spring
2026
Funding for collecting,
removing, transporting,
recycling, and
disposing of California
waste tires from tire
piles and illegal
dumping areas.
Source: State
Rubberized
Pavement Grant
Program
Cal
Recycle
Maximum of
$250,000
(individual
applicant).
Maximum of
$350,000
(regional
applicant).
No match
required.
Tentative
release
Summer
2025.
Funding for public
works projects that use
rubberized asphalt
concrete hot-mix or
rubberized chip seal.
Source: State
Information Technology and Broadband
Grant Name Agency Amount Match Deadline Notes
State and Local
Cybersecurity Grant
Program (SLCGP)
CalOES /
FEMA
Maximum of
$250,000.
No match
required. 3/13/2026
Funding to assist local
governments address
cybersecurity and
threats to information
systems. FY 24 funding
currently available. FY
25 & 26 funding from
the IIJA will become
available in future
competitions.
Source: Federal (IIJA)
1127 11TH STREET, SUITE 300, SACRAMENTO, CA 95814 • 916.974.9270 • PUBLICPOLICYGROUP.COM PAGE 64 Broadband Adoption
Account CPUC
No maximum
or minimum
amount.
15% of the
total project
cost.
TBD 2027
Funding for projects
that increase publicly
available or after-
school broadband
access and digital
inclusion, such as
digital literacy and
public education.
Source: State
Broadband
Infrastructure Grant
Account
CPUC Maximum of
$5,000,000.
Varies based
on project
criteria.
4/1/2026
Funding for projects
that deploy last-mile
broadband
infrastructure. Projects
may include middle-
mile infrastructure but
not as a standalone
without last-mile
infrastructure.
Source: State
Public Housing
Broadband Account CPUC
No maximum
or minimum
amount.
No match
required. Ongoing
Funding for projects
that build broadband
networks offering free
broadband service for
residents in publicly
supported housing,
farmworker housing,
and other housing
developments or
mobile home parks with
low-income residents.
Source: State
California Digital
Equity Program
(CalDEP)
PROGRAM
TARGETED FOR
TERMINATION
CDT
Track 1:
Allocations
differ based
on county.
Track 2:
Anticipated
minimum
award is
$400,000 and
No match
required. TBD
Two categories of
funding: Track 1 for
regional/local digital
equity ecosystems and
implementation and
Track 2 for targeted
statewide digital equity
ecosystems.
Source: Federal
1127 11TH STREET, SUITE 300, SACRAMENTO, CA 95814 • 916.974.9270 • PUBLICPOLICYGROUP.COM PAGE 65 anticipated
maximum is
$1,000,000.
Volunteer and Fellowship Programs
Grant Name Agency Amount Match Deadline Notes
2025-2026 Youth
Service Corps
CA
Volunteers
Maximum of
$1,500,000.
No match
required. TBD 2026
Funding for programs
that increase youth
employment, develop
youth interest in and
experience towards a
career, and strengthen
municipal capacity to
address key areas of
climate, food
insecurity, education,
and public service.
Future funding
availability pending
California FY25-26 state
budget adoption.
Source: State
Libraries
Grant Name Agency Amount Match Deadline Notes
Lunch at the Library
Summer 2026
CA State
Library
No minimum
or maximum.
No match
required. TBD
Funding to provide
USDA summer meals
for children and youth.
Source:
California
Collaborative
Connectivity
CA State
Library
Up to
$10,000 for
staff
technical
training.
Up to
$100,000 for
special
Technology
Grants:
match
required for
the two
higher Local
Income Per
Capita levels
TBD
Funding to provide
critical infrastructure
support to public
libraries.
Source: State
1127 11TH STREET, SUITE 300, SACRAMENTO, CA 95814 • 916.974.9270 • PUBLICPOLICYGROUP.COM PAGE 66 construction
projects.
Construction
/Connectivit
y Grants: No
match
required.
Building Forward CSL Maximum of
$8,000,000
50% of the
total project
cost.
TBD
Funding to address
critical maintenance
needs, improve energy
efficiency and
sustainability, extend
digital access, and
expand physical
access to library
facilities. Future
funding subject to
appropriations by state
legislature.
Source: State
Ebooks for All
PROGRAM
TARGETED FOR
TERMINATION
CSL
Awards
range
between
$5,000 -
$75,000.
25% of the
total cost.
Future
Funding
TBD
Provides funding to
libraries across
California, granting
access to the Palace
Project – a service
which allows users to
access the shared
statewide collection.
Future funding
availability pending
California FY25-26
state budget adoption.
Source: Federal
Community Impact
Grants
PROGRAM
TARGETED FOR
TERMINATION
CSL
Local
projects:
Minimum is
$10,000 and
maximum is
$100,000.
Collaborativ
e projects:
Minimum is
$50,000 and
Match not
required.
Future
Funding
TBD
Funding for projects
that respond
effectively to local
needs and align
services with local
community aspiration
and support
experimentation and
research and
development in
California’s libraries.
1127 11TH STREET, SUITE 300, SACRAMENTO, CA 95814 • 916.974.9270 • PUBLICPOLICYGROUP.COM PAGE 67 maximum is
$250,000.
Future funding
availability pending
California FY25-26
state budget adoption.
Source: Federal
Teens Succeed
PROGRAM
TARGETED FOR
TERMINATION
CSL
Minimum
amount is
$50,000.
Maximum
amount is
$75,000.
Match not
required.
Future
Funding
TBD
Funding for projects
that address the
challenges teens face
in the aftereffects of
the pandemic and to
help prepare youth for
success in life. Future
funding availability
pending California
FY25-26 state budget
adoption.
Source: Federal
Play for All
PROGRAM
TARGETED FOR
TERMINATION
CSL
Minimum
amount is
$10,000.
Maximum
amount is
$75,000.
Match not
required.
Future
Funding
TBD
Funding for California
libraries to design and
create welcoming
family play spaces and
offer meaningful
programming around
play for young children
ages zero to eight.
Future funding
availability pending
California FY25-26
state budget adoption.
Source: State
Sustainable
California Libraries
PROGRAM
TARGETED FOR
TERMINATION
CSL
Minimum
amount is
$10,000.
Maximum
amount is
$75,000.
Match not
required.
Future
Funding
TBD
Funding for climate
and sustainability
related community-
driven programming
for adults and
intergenerational
groups. Future funding
availability pending
California FY25-26
state budget adoption.
1127 11TH STREET, SUITE 300, SACRAMENTO, CA 95814 • 916.974.9270 • PUBLICPOLICYGROUP.COM PAGE 68 Source: State
1127 11TH STREET, SUITE 300, SACRAMENTO, CA 95814 • 916.974.9270 • PUBLICPOLICYGROUP.COM PAGE 69 Bay Area Regional Grants
Grant Name Agency Amount Match Deadline Notes
One Bay Area Grants
(OBAG) – Round 4 MTC TBD
11.47% of
total project
costs.
TBD Early
2026
MTC distributes federal
transportation funding
to projects and
programs that improve
safety, spur economic
development, and help
the Bay Area meet
climate change and air
quality improvement
goals.
Source: Federal, State,
& Regional
Priority
Conservation Area
Grants
MTC
Minimum
award is
$200,000.
Maximum
award is
$1,000,000.
Match not
required. TBD
Funding can be used
for planning and
design,
implementation, and
acquisitions to support
PCA’s. Letter of Intent
submissions are
closed for this round,
full applications are
due in March.
Charge! BAAQMD
Based on
Charging Port
Output and
Facility Type.
Ranges
between
$2,000-
$45,000 per
charging
port.
20% TBD 2026
Funding to offset a
portion of the cost to
purchase and install
new publicly
accessible chargers for
light-duty electric
vehicles.
Source: Federal &
State
Southern California (SCAG) Regional Grants
Grant Name Agency Amount Match Deadline Notes
Surface
Transportation Block SCAG Varies based
on county.
Subject to
project type, TBD 2027 STBG is a funding
source for projects that
1127 11TH STREET, SUITE 300, SACRAMENTO, CA 95814 • 916.974.9270 • PUBLICPOLICYGROUP.COM PAGE 70 Grant & Congestion
Mitigation and Air
Quality
Improvement
Programs
Combined
Solicitation
but most
require
11.47%
match
preserve and improve
the conditions and
performance of
highways, bridges, and
public roads;
pedestrian and bicycle
infrastructure; and
transit capital projects.
CMAQ Improvement
Program is a funding
source for projects and
programs that reduce
traffic and improve air
quality.
Southern California
Carl Moyer Memorial
Air Quality
Standards
Attainment Program
South
Coast
AQMD
Based on
cost-
effectiveness
and emission
benefits of
the project.
15% TBD
Funding to obtain
“surplus” emission
reductions from heavy-
duty vehicles and other
equipment as cost-
effectively as possible.
South Coast AQMD will
be prioritizing fire
recovery equipment.
Source: State
ADMINISTRATIVE REPORT
MEETING DATE: January 23, 2026 AGENDA CATEGORY: Staff Report TO: Laws and Legislation Committee
FROM: Juan M. Heredia, Assistant to the City Manager
DATE: January 16, 2026
SUBJECT: Quarterly Update on Federal Legislative Advocacy – January 2026
[Document Description]
RECOMMENDATION:
Staff recommends Committee receive and file.
BACKGROUND:
Summit Strategies (Summit) provides the City of Bakersfield with legislative advocacy services at the federal level. Every quarter, Summit provides an update to the Laws & Legislation Committee on legislative advocacy in Washington, DC.
This quarterly update will recap the major federal actions of the 2025 calendar year and discuss some major items to watch in 2026.
FISCAL IMPACT:
There is no fiscal impact to the general fund.
COUNCIL GOAL:
Innovative and Efficient City Government
ATTACHMENTS:
1. Local Government Report – December 2025
440 FIRST STREET, NW, SUITE 440; WASHINGTON, DC 20001 ◊ SUMMITSTRATEGIES.US
Summit Strategies December Local Government Update
ROAD to Housing Act Stalled
The Senate missed a chance to advance the bipartisan ROAD to Housing Act, which is designed to address housing affordability by increasing housing in opportunity zones, lifting the Rental Assistance Demonstration (RAD) program cap, creating a housing supply practice framework, and boosting the production of multifamily and rental housing. Champions had hoped that the measure would catch a ride on the National Defense Authorization Act (NDAA), one of the few “must-pass” bills left for the year.
The $901 billion NDAA bill would set curbs on American investments in sensitive Chinese industries and back the Pentagon’s push to buy commercial technology. Additionally, it would authorize a 3.8% troop pay raise and withhold a portion of Defense Secretary Pete Hegseth’s travel budget until he provides lawmakers with all unedited videos of U.S. military strikes against alleged drug boats in the Caribbean. The legislation would repeal the 1991 and 2002 authorizations for the use of military force in Iraq, and authorize $400 million for Ukraine security assistance.
HUD Paused Policy Changes to Homelessness Program Ahead of Court Hearing
On November 13th, HUD announced policy changes that would redirect the majority of the Continuum of Care Program (CoC) funding from permanent housing to transitional housing and supportive services. The CoC program provides funding to local governments and nonprofits that work to alleviate housing insecurity. The significant cut to funding would place about 170,000 people at risk of experiencing homelessness. In response, two lawsuits developed, one from 21 attorneys general and governors and a second from 11 local governments and nonprofit organizations.
Ninety minutes prior to their court hearing, HUD withdrew their CoC notice. U.S. District Judge Mary S. McElroy was unaware of this development, stating HUD’s actions were unacceptable.
McElroy instructed HUD to resubmit new arguments addressing the last-minute change. HUD stated they will also release an updated Notice of Funding. We expect a NOFO to be released in the coming days.
Open Grant Opportunities
Choice Neighborhoods Implementation Grants for Fiscal Year 2025: Choice Neighborhoods Implementation Grants support the implementation of a comprehensive plan that focuses on the revitalization of a severely distressed public housing and/or HUD-assisted housing project, while also improving the surrounding neighborhood and providing supportive services to improve quality of life outcomes for residents of the target housing project.
SUMMITSTRATEGIES.US
• Agency: Department of Housing and Urban Development
• Funding Range: Floor-Ceiling: $1; $1,000,000
• Estimated Total Program Funding: $75,000,000
• Application Deadline: March 9, 2025
Guidelines for Brownfield Assessment Grants (Community-wide Assessment Grants): The Office of Brownfields and Land Revitalization is soliciting applications for Community-Wide Assessment grants. It is anticipated that up to 70 awards will be made under this announcement.
The amount of funding is expected to be $35,000,000. Assessment grants provide funding for developing inventories of brownfield sites, prioritizing sites, conducting community involvement activities, conducting planning, conducting site assessments, developing site-specific cleanup plans, and developing reuse plans related to brownfield sites. • Agency: Environmental Protection Agency
• Funding Range: Floor-Ceiling: $1; $500,000
• Estimated Total Program Fundings: $35,000,000
• Application Deadline: January 28, 2026
FY26 Guidelines for Brownfield Cleanup Grants: The Office of Brownfields and Land Revitalization is announcing the availability of $107 million dollars for approximately 36 cleanup grants. Cleanup Grants provide funding to carry out cleanup activities at brownfield sites owned by the applicant. The goal of the grant program is to clean up contaminated properties with the aim of facilitating their sustainable reuse.
• Agency: Environmental Protection Agency
• Funding Range: Floor-Ceiling: $1; $4,000,000
• Estimated Total Program Fundings: $107,000,000
• Application Deadline: January 28, 2026
Guidelines for Brownfield Multipurpose (MP) Grants: The Office of Brownfields and Land Revitalization is announcing the availability of $20 million dollars to award approximately 20 cooperative agreements for the Multipurpose Grant Program. Multipurpose Grants provide funding to carry out a range of eligible assessment and cleanup activities, including planning and additional community engagement activities. An applicant may request funding up to $1,000,000 to address hazardous substances and/or petroleum contamination at one or more brownfield sites.
Activities carried out at each approved, eligible site may exceed $200,000. EPA will determine eligibility for site-specific assessment and cleanup activities after the award of the grant throughout the project period. A Multipurpose Grant recipient may only expend grant funds for the remediation of a brownfield site it owns and may not issue a subaward to another site owner to conduct the remediation.
• Agency: Environmental Protection Agency
• Funding Range: Floor-Ceiling: $1; $1,000,000
• Estimated Total Program Fundings: $20,000,000
• Application Deadline: January 28, 2026
SUMMITSTRATEGIES.US
Infrastructure Investment and Jobs Act (IIJA) Airport Terminal Program (ATP) Grants:
The Department of Transportation (DOT), Federal Aviation Administration (FAA) announces the opportunity to apply for approximately $1 billion in FY 2026 competitive funds for the Airport Terminal Program (ATP), made available under the Infrastructure Investment and Jobs Act of 2021 (IIJA), Pub. L. 117-58. The purpose of the ATP is to make annual grants available to eligible airports for airport terminal and airport-owned Airport Traffic Control Tower development projects that address the aging infrastructure of our nation’s airports. • Agency: DOT Federal Aviation Administration
• Funding Range: Floor-Ceiling: $25,000; $
• Estimated Total Program Fundings: $970,000,000
• Application Deadline: January 15, 2026
National Infrastructure Investments: The goal of the program is to fund projects that will have a significant local or regional impact and improve transportation infrastructure. BUILD grants will be awarded on a competitive basis, per statute, for planning or constructing surface transportation infrastructure projects that will improve safety; environmental sustainability; quality of life; mobility and community connectivity; economic competitiveness and opportunity including tourism; state of good repair; partnership and collaboration; and innovation. • Agency: Office of the Under Secretary for Policy
• Funding Range: Floor-Ceiling: $1; $25,000,000
• Estimated Total Program Fundings: $1,500,000,000
• Application Deadline: February 24, 2026
Federal-State Partnership for Intercity Passenger Rail Grant Program: The FSP Program provides a Federal funding opportunity to improve American passenger rail assets by funding projects that enhance safety, such as grade crossing projects on a passenger rail route; reduce the State of Good Repair backlog; improve performance; or expand or establish new intercity passenger rail service, including privately operated intercity passenger rail service if an eligible applicant is involved.
• Agency: DOT – Federal Railroad Administration
• Funding Range: Floor-Ceiling: $0; $5,070,784,989
• Estimated Total Program Fundings: $ 5,070,784,989
• Application Deadline: January 7, 2026
Legislative Tracking
• H.R. 4776: SPEED Act
o Date Introduced: July 25, 2025
o Sponsor: Bruce Westerman (R-AR-4)
o Status: Passed the House
o Summary: This bill limits the scope of the National Environmental Policy Act of 1969 (NEPA) and modifies the environmental review of major federal actions under
SUMMITSTRATEGIES.US
NEPA to generally limit the number of federal actions that trigger NEPA review and to expedite the review process.
o Legislative Update: On December 18th, the House passed the SPEED Act 221-196.
• H.R. 6608: Safeguarding Homeland Immigration Enforcement from Local Detention (SHIELD) Act
o Date Introduced: December 11, 2025
o Sponsor: Rep. Jodey C. Arrington (R-TX-19)
o Status: Introduced
o Summary: This bill would prohibit Federal funds from being made available to any State or local government that arrests or prosecutes Federal law enforcement officers for performing duties related to the enforcement of Federal immigration law.
• H.R. 5782: Western Wildfire Support Act of 2025
o Date Introduced: October 17, 2025
o Sponsor: Joe Neguse (D-CO-2)
o Status: Introduced
o Summary: This bill would accelerate and improve forest management practices, streamline environmental reviews, and strengthen partnerships between federal agencies, states, tribes, and private stakeholders to combat wildfires and restore forest ecosystems.
• H.R. 1374: Securing the Cities Improvement Act
o Date Introduced: October 17, 2025
o Sponsor: Joe Neguse (D-CO-2)
o Status: Introduced
o Summary: This bill would accelerate and improve forest management practices, streamline environmental reviews, and strengthen partnerships between federal agencies, states, tribes, and private stakeholders to combat wildfires and restore forest ecosystems.
Agency Activities
Transportation Secretary Sean P. Duffy Launches First-Ever National Advanced Air Mobility Strategy to Unlock the Future of Flight
The Secretary of Transportation, Sean P. Duffy unveiled the nation’s first Advanced Air Mobility (AAM) National Strategy setting an ambitious roadmap to accelerate American aviation innovation. The Strategy and accompanying action plan outline 40 recommendations to safely and efficiently support AAM operations.
SUMMITSTRATEGIES.US
News Roundup
• State DOTs Supporting Local Infrastructure Projects AASHTO • Trump signs executive order seeking to block states from regulating AI companies NBC • Air traffic controllers calling out sick during shutdown may have acted illegally, FAA chief says Government Executive
• Rising tensions and finger-pointing at DHS amid pressure to ramp up deportations NBC • EPA moves to fast-track data centers, some cities are moving to slow them down Smart Cities Dive
• DOJ rolls back anti-discrimination rules Politico