City Council
Report
City Council Meeting: June 9, 2026
Agenda Item: 4.L
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To: Mayor and City Council
From: Oliver Chi, City Manager, Office of Economic Development Subject: Adoption of Resolution Authorizing Acceptance of Office of Grants and Local Services Grant Authorized by Proposition 4 (Climate Bond) for the City of Santa Monica Capital Improvement of Airport Lands and Execution of All Necessary Associated Documents
Recommended Action
Staff recommends that the City Council:
1. Adopt a finding of no possibility of significant effect pursuant to Section 15061(b)(3) and a finding of statutory exemption pursuant to Section 15262 of the California Environmental Quality Act (CEQA) Guidelines; and
2. Adopt a resolution authorizing the City Manager to accept a grant awarded in the amount of $10,000,000, without a required local match, from the Office of Grants and Local Services (OGALS) via California State Parks, Proposition 4 (Climate Bond) for the Airport Conversion Project.
3. Authorize the City Manager to negotiate and execute all necessary documents to accept the grant and all grant renewals.
4. Authorize budget amendment as outlined in the Financial Impacts & Budget Actions section of this report (requires 5 votes).
Summary
The Santa Monica Airport Conversion Project (SMACP) has secured significant financial resources with the award of $10 million in State grant funds, authorized by Proposition 4 (Climate Bond) and allocated through SB 105 (Chapter 104): Budget Act of 2025, Item 3790-102-6093, Schedule (1)(a). Administered by the California Department of Parks and Recreation through the Office of Grants and Local Services (OGALS), this potential award reflects growing State recognition of the SMACP’s potential to deliver meaningful, lasting benefits to Santa Monica and the broader region, advancing a generational opportunity to create a community-centered, sustainable, and accessible public open 2 of 5
space that responds to the park needs of an urban community. A portion of the grant funds shall be used to complete feasibility and environmental review in accordance with the California Environmental Quality Act (CEQA).
In order to receive these grant funds, the California Department of Parks and Recreation requires the City's governing body to formally adopt a resolution certifying the Council’s approval of the filing of a grant application prior to submission to the State.
Accordingly, Staff is presenting the required resolution (Attachment A) for City Council adoption.
Adoption of this resolution is a prerequisite to entering into a formal grant contract with the State of California and represents a required procedural step to move the project forward and access the grant funds.
Discussion
The SMACP represents one of the most significant civic opportunities in the City's history. The transformation of approximately 192 acres of current airport land into a metropolitan park will deliver a generational public asset to Santa Monica and the surrounding region, addressing longstanding park-access inequities for urban environments in Los Angeles County. As part of our current planning efforts to study the feasibility of the conversion, the SMACP is being assessed through the lens of the Framework Diagram, which envisions eight distinct Districts, including Immersive Nature, Active Sports, Arts and Culture, The Urban Edge, The Stroll, The Lawn, The Meadow, and The Heart.
The scale and ambition of this vision also carries with it a significant funding challenge.
Transforming 192 acres of active airport infrastructure into a community and climate serving public park will require sustained investment over multiple phases, and identifying early external funding sources to explore feasibility will be critical to building the financial foundation that will make the project viable. Unlike typical municipally funded capital projects, a park of this scope and significance will depend on a diverse and layered funding strategy that draws from State and Federal grants, philanthropic 3 of 5
partnerships, and other creative revenue sources developed in coordination with the City's long-term fiscal planning.
The $10 million Proposition 4 Climate Bond grant marks an important investment towards that broader effort. It positions the City well to pursue additional funding, and should serve as a catalyst, opening doors to additional funding opportunities including other state and federal programs aligned with the project's goals around climate resilience, equitable access, and sustainable park infrastructure.
Equally important, securing these funds creates a pathway towards achieving a substantive Phase 1 project which delivers real, visible, and lasting improvements to the site. While the full buildout of the park will unfold over many years, a well-designed Phase 1 has the power to establish the character and quality of the park, build community trust, and demonstrate what is possible as part of the overarching SMACP effort.
The potential receipt of this award also reflects the power of partnership in advancing a project of this magnitude. The City's sustained collaboration with State Senator Ben Allen and his office was instrumental in securing this funding, and moving ahead, staff will continue to coordinate closely with the Office of Grants and Local Services (OGALS), the Department of Parks and Recreation, and other key stakeholders to fulfill all grant requirements, execute the project scope, and position the City for continued funding success.
Next Steps
If Council adopts the resolution to move forward with the OGALS Grant process and if the California State Parks issues a notice to proceed allowing project activities to begin upon execution of the grant agreement. As these funds were authorized by Proposition 4 (Climate Bond) and allocated by SB 105 (Chapter 104): Budget Act of 2025, Item # 3790-102-6093, Schedule (1)(a) they can only be used for the restoration, rehabilitation, protection, and capital improvement of former airport lands to create parks and open space.
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Environmental Review
The acceptance of grant funds is exempt from the California Environmental Quality Act (CEQA) pursuant to Section 15061(b)(3) (Common Sense Exemption) of the CEQA Guidelines. The grant money is covered by the commonsense exemption which states that CEQA does not apply “where it can be seen with certainty that there is no possibility that the activity in question may have a significant effect on the environment.” A portion of the grant money will be spent to complete feasibility analysis and environmental review, which is exempt from CEQA pursuant to Section 15262 because the analysis and review will not have any legally binding effect to approve the design and/or construction of the park.
Financial Impacts and Budget Actions
Staff seeks authority to secure the Proposition 4 Grant from the State of California Department of Parks and Recreation for the Airport Conversion Project and to accept all grant renewals. Staff seeks approval from City Council to adopt a resolution to authorize the application for grant funds and to authorize the City Manager to negotiate and execute all documents necessary for the completion of the project grant scope.
Approval of the recommended action requires the following budget amendment.
FY 2025-26 Grant Budget Amendment
Establish Revenue Budget Appropriate Funds
Account Number Amount Account Number Amount
20200007.406260 $10,000,000 C2008280.689201 $10,000,000 Total $10,000,000 Total $10,000,000
If renewals are awarded, budget changes will be included in subsequent year budgets, contingent on Council budget approval.
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Prepared By: Amber Richane, Principal Design and Planning Manager Approved Forwarded to Council
Attachments:
A. 25-26 Prop 4 Specified Resolution