Air District Board approves new grant program to reinvest penalty funds in impacted communities

The Local Community Benefits Fund is supported by the Air District’s Community Benefits Penalty Funds Policy, which directs a portion of monetary penalties from air quality violations back into the communities impacted by those violations.

Grants will be offered in three categories:

• Seed Grants ($100,000 to $200,000): support smaller-scale, community-led projects
• Opportunity Grants ($500,000 to $5 million): support collaborative projects led by multi-stakeholder partnerships
• Catalyst Grants ($10 million to $40 million): support large, multi-project collaborations designed to address multiple community needs

Projects must advance at least one of the program’s two core strategies: reducing air pollution and improving health outcomes or building economic resilience.

Eligible lead applicants include nonprofit organizations, local government agencies, cities, counties, schools, unions and California Native American Tribes.

The anticipated timeline for Round 1 includes:

• Jan. 29, 2026: Grant applications open
• Feb. 18 – 19, 2026: Grant information sessions
• May 1, 2026 (5 PM.): Benicia Catalyst Grant application deadline
• May 29, 2026 (5 PM): Grant application deadline (excluding Benicia Catalyst Grant)
• Summer – Fall 2026: Board consideration of funding recommendations
• Late 2026 – 2027: Grant agreements finalized and projects begin

Application materials and detailed program information are available on the Air District’s website at: www.baaqmd.gov/community-investments. For questions about the program or application process, applicants may contact the Air District’s Community Investments Office at communityinvestments@baaqmd.gov.

View press release.