REPORT TO COUNCIL
SUBJECT
Title
Adopt a Resolution Accepting the California Highway Patrol Cannabis Tax Fund Grant Program Grant and Authorizing the City Manager to Execute Grant-Related Documents, and Approve the Related Budget Amendment
Report
BACKGROUND
With the passage of Proposition 64, the Control, Regulate, and Tax Adult Use of Marijuana Act (AUMA), California voters mandated the State set aside funding for the California Highway Patrol (CHP) to award grants to local governments and qualified nonprofit organizations, as described in Revenue and Taxation Code Section 34019(f)(3)(B).
The Cannabis Tax Fund Grant Program (CTFGP) marks an important step toward reducing impaired driving crashes, increasing public awareness surrounding the dangers of impaired driving, and making California’s roadways a safer place to travel.
The CHP administers the provisions of the CTFGP in a manner that fosters and protects the health, safety, welfare and economic well-being of the people of the State.
DISCUSSION
In February 2026, the Police Department applied for the Fiscal Year 2026/27 Cannabis Tax Fund Grant Program. On July 3, 2026, the Police Department was awarded $216,972.19 to support grant objectives.
The CTFGP performance period is July 1, 2026, through June 30, 2027, and is intended to address the following substance-related goals:
• Increase driving under the influence (DUI)/driving under the influence of drugs (DUID) enforcement efforts (ex: DUI Saturation Patrols, DUI Checkpoints)
• Drug Evaluation and Classification (DEC) Program courses (ex: SFST Training, ARIDE Training, DRE Training), and other trainings to help increase the knowledge of law enforcement personnel in detecting and removing impaired drivers from the roadway
• General prevention education and community outreach designed to educate the public about the dangers of impaired driving (ex: presentations to high school and/or college students, with a direct focus on Drive High = DUI, or another campaign message against impaired driving)
Through the grant cycle, the following objectives have been established by the Police Department to support the identified goals:
• Conduct DUI Saturation Patrols (10)
• Set-up highly visible DUI Checkpoints (2)
• Procure a vehicle capable of towing the DUI checkpoint trailer (1)
• Host a Teen Impaired Driving Education Event (1)
• Train Staff (Advanced Roadside Impaired Driving Enforcement, Drugged Driving, DUI Investigation, Standard Field Sobriety Testing)
Together, these coordinated activities will strengthen DUI enforcement capacity, improve operational readiness, enhance public awareness, and support reductions in impaired driving within the City of Santa Clara.
This Report to Council intends to adopt a formal Resolution outlining the terms and conditions of the CTFGP grant, accept the CTFGP grant, authorize the City Manager to execute grant-related documents and approve related budget amendments.
ENVIRONMENTAL REVIEW
The action being considered does not constitute a “project” within the meaning of the California Environmental Quality Act (“CEQA”) pursuant to CEQA Guidelines section 15378(b)(5) in that it is a governmental organizational or administrative activity that will not result in direct or indirect changes in the environment.
FISCAL IMPACT
CTFGP grant funding in the amount of $216,972.19 will fund overtime shifts for Police Department personnel to address new/additional education and enforcement initiatives to mitigate the crime and public nuisance challenges associated with driving under of the influence/driving under the influence of drugs and will supply the Department with equipment to aid in achieving grant goals. The table below details the recommended budget action to accept these funds.
Budget Amendment
FY 2026/27
|
|
Current |
Increase/ (Decrease) |
Revised |
|
Police Operating Grant Trust Fund |
|
Revenue |
|
|
|
|
Grant Funding |
$0 |
$216,973 |
$216,973 |
|
|
|
|
|
|
Expenditure |
|
|
|
|
Cannabis Tax Fund Grant Program 2026/27 |
$0 |
$216,973 |
$216,973 |
COORDINATION
This report has been coordinated with the Finance Department, Police Department and City Attorney’s Office.
PUBLIC CONTACT
Public contact was made by posting the Council agenda on the City’s official-notice bulletin board outside City Hall Council Chambers. A complete agenda packet is available on the City’s website and in the City Clerk’s Office at least 72 hours prior to a Regular Meeting and 24 hours prior to a Special Meeting. A hard copy of any agenda report may be requested by contacting the City Clerk’s Office at (408) 615-2220, email clerk@santaclaraca.gov or at the public information desk at any City of Santa Clara public library.
RECOMMENDATION
Recommendation
1. Adopt the Resolution accepting the California Highway Patrol Cannabis Tax Fund Grant Program grant to be utilized to fund a variety of identified objectives to curb substance-related challenges in our community, and authorizing the City Manager to execute all grant-related documents in final forms approved by the City Attorney’s Office; and
2. Approve the FY 2026/27 budget amendment in the Police Operating Grant Trust Fund to recognize grant funding in the amount of $216,973 and establish a Cannabis Tax Fund Grant Program 2026/27 appropriation in the amount of $216,973 (five affirmative Council votes required to appropriate additional revenue).
Staff
Prepared by: Casey Rettig, Management Analyst
Reviewed by: Cory Morgan, Chief of Police
Approved by: Jovan D. Grogan, City Manager
ATTACHMENTS
1. Resolution
2. FY26-27 CTFGP Grant Agreement
3. Quick-Reference Guide 07.01.26