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A – Draft Cupertino City Council Grant Policy Update (clean)

Cupertino City Council
May 19, 2026

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A – Draft Cupertino City Council Grant Policy Update (clean)
Meeting
May 19, 2026
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Cupertino City Council
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Text extracted from the city's file for reading and search. Open the original on legistar.granicus.com. That file is the official record.

RESOLUTION NO. 26-xxxx

A RESOLUTION OF THE CUPERTINO CITY COUNCIL AMENDING THE

CUPERTINO CITY COUNCIL GRANT POLICY

WHEREAS, the Cupertino City Council has identified a need to amend the policy governing the application of, acceptance of, and reporting of grants; and

WHEREAS, a Cupertino City Council Grant Policy was adopted on July 6, 2023; and

WHEREAS, on May 19, 2026, the City Council considered proposed amendments to the Policy at a duly noticed regular meeting of the City Council.

NOW, THEREFORE, BE IT RESOLVED that:

The City Council hereby adopts the amended Cupertino City Council Grant Policy attached hereto as Exhibit A. The Policy shall be effective on May 19, 2026.

PASSED AND ADOPTED at a regular meeting of the City Council of the City of Cupertino this 19th day of May, 2026, by the following vote:

Members of the City Council

AYES:

NOES:

ABSENT:

ABSTAIN:

SIGNED:

________
Kitty Moore, Mayor
City of Cupertino

________________________

Date
ATTEST:

________
Lauren Sapudar, City Clerk

________________________

Date

3 Exhibit A

COUNCIL GRANT
POLICY
Citywide Policy Manual
Policy #TBD

Attachments:

N/A
Effective Date:

May 19, 2026 per Resolution #26-TBD
Responsible Department:

Administrative Services
Related Policies & Notes:

N/A
City Council or Administrative Policy:

City Council

Purpose
To establish City Council and City Manager authority for the application, acceptance, and reporting of grants.

A grant is an external funding source that is awarded for a specific purpose, is valid within a defined timeframe, and typically imposes contractual obligations on the City. The method of grant disbursement is determined by the granting agency and the use of the funds may be subject to audit by the granting agency.

Scope
This policy applies to city staff employees pursing grant opportunities.

Policy
This policy, including any amendments, shall be approved by City Council resolution and applies to all grants for which the City may apply.

It is the objective of the City to affirmatively seek grant funding opportunities that add to the City's financial resources to help maintain, and provide and enhance quality services and capital improvements for Cupertino residents and businesses.

City Manager Authorization
All grant application submittals must be approved by the City Manager or designee.

Based on the following circumstances, City Council delegates to the City Manager, or a designee, the ability to approve submittal of a grant application if all of the following criteria are met:
• The Council has a policy, goal, or plan in place supporting the program or project the funds would be used for
• the grant or application does not require any staff time which will not be funded by the grant or program applied for.The staff time commitment for completing the application and facilitating the

4 on-going reporting and compliance if awarded is reasonable and justified given the proposed benefits to the City should the grant be awarded.
• tThe grant or application does not require any additional City funds not already budgeted.

City Council approval must be obtained via a resolution to approve application for grant funds to apply for a grant that does not meet the conditions set forth above or if the granting agency requires governing body approval prior to applying for grant funds.

When considering the submittal of a grant application, the City Manager will consider the Grant Application Parameters referenced at the end ofin this policy.

In addition, City Manager is authorized to accept or reject all grant awards that do not fall under City Council Aauthorization described in the following sectionoutlined in this policy..

City Council Authorization
Council approval via resolution is required approval for acceptance of grant awards is required when any of the following apply:
• Funding for the project is not already not approved in the amended operating or capital budget(s). • Funds will be used to purchase or lease real property. • The City acts as a fiscal agent for another agency.
• Appropriation of additional funds to serve as matching funds is required, beyond approved budgets. • The granting agency requires governing body approval.

City Council Reporting Guidelines
The Director of Administrative Services or designee will report to Council as follows:
• As part of the Quarterly Financial Reports, staff will include the following for all active grants and grants closed-out during the fiscal yearthe quarter:
o Purpose of the grant
o Granting agency
o Grant amount awarded
o Grant amount spent
o Grant amount remaining

Grant Application/Approval Parameters

1. The funding amount for pursuing grant funds from both Federal/State government agencies and private agencies should generally be the following based on funding source:
• Federal $500,000
• State $100,000
• Private and Other Local Agencies $5,000

2. Grant funding below these levels can be considered when there are minimal administrative tasks (i.e., financial/project reporting, maintaining receipts, vouchers etc.) imposed on the City by the granting agencyor .there is significant value to the City and residents.

3. Programs and projects proposed for grant funding should be those that are consistent with the City's 5 Mission Statement and Strategic Goals as identified as part of in the City Work Program, Capital Improvement Program, General Plan, or adopted Master Plans or similar planning documents.

4. Gr ant consideration should prioritize projects that are one-time in nature or that can be sustained without reliance on additional General Fund support not already approved in the budget . Staff should confirm that acceptance of the grant does not create unfunded mandates or obligate the City to ongoing service levels beyond available resources. Require an internal sustainability plan to outline alternative funding sources after the grant term and an exit strategy to conclude a program that cannot be sustained long - term.

5. Grant City(?) programsPrograms and projects awarded funding must comply with rules established by the granting agency. If the requirements by the granting agency conflict with City policies, the granting agency requirements prevail. No grant may be accepted if grant program requirements conflict with State or Federal law or with any City ordinance.

6. The submission of a grant application, unless required by the granting agency and with approvals detailed in this policy, does not commit the City to appropriating matching funds or funds for ongoing costs not covered by the grant.

7. Projects involving technology must align with the City’s enterprise systems, cybersecurity standards, and data governance policies.

Definitions

Grant - an external funding source that is awarded for a specific purpose, is valid within a defined timeframe, and typically imposes contractual obligations on the City. The method of grant disbursement is determined by the granting agency and the use of the funds is generally subject to audit by the granting agency.

Granting Agency – a public, private or otherwise governed entity that provides financial assistance in the form of competitive grants, formula grants, or funding allocations.

Matching Funds – funds set aside to be paid in defined proportion to granted funds; calculated either as real dollar amounts or as estimates from in-kind support.

Revisions: 7/6/23
23-02 City Council Grant Policy - 07.06.2023 (1).pdf

City Manager’s Signature: ________________________________ Date:______________________________

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