Administration details Prop 4 spending plan for climate‑smart agriculture programs

Assembly Budget Subcommittee No. 4 heard the administration's plan for implementing the Climate Smart Agriculture chapter of Proposition 4, with the California Department of Food and Agriculture (CDFA) proposing $131,800,000 in fiscal year 2025'6 for eight programs and identifying additional funding requests for 2026'7.

CDFA Deputy Secretary Arma Cozina told the subcommittee that the department proposes three funding timelines: immediate implementation for existing programs, accelerated implementation for new programs where capacity exists, and later development for programs that need more stakeholder engagement. "The budget includes $131,800,000.0 in fiscal year 25 26 for the 8 programs identified in the for further investment in the climate smart agriculture section of prop 4. This leaves 83,200,000.0 remaining to be requested for appropriation in 2627," Cozina said.

Why it matters: The plan would restore and expand grants and technical assistance that support water efficiency, soil health, urban agriculture and invasive species response, and stand up two new programs including a tribal food sovereignty program and a regional farm equipment‑sharing program. Several existing CDFA programs are heavily oversubscribed, and the administration said using existing program structures will speed distribution.

Most important details

- CDFA said four existing programs could begin immediate implementation in FY 2025'6: State Water Efficiency and Enhancement Program (SWEEP) (proposed $37,600,000), Healthy Soils ($35,900,000), Urban Agriculture ($18,800,000), and an invasive species program ($19,900,000). Cozina said SWEEP and Healthy Soils have been historically oversubscribed; CDFA noted SWEEP had been allocated $208,000,000 since 2013 and Healthy Soils $206,000,000 since 2016.

- Two new grant programs would be accelerated: a year‑round certified farmers market grant program and a certified mobile farmers market grant program. CDFA described an anticipated split of roughly $9,300,000 in FY 2025'6 and $9,200,000 in FY 2026'7 for each of those two program lines to reach their full authorization.

- Two additional new programs would initially receive $200,000 each in FY 2025'6 for program design and outreach: a Tribal Food Sovereignty Program and a Regional Farm Equipment Sharing Program. CDFA said each would request roughly $14,700,000 in FY 2026'7 for grants once design and stakeholder input are complete.

- The Department of Finance and CDFA flagged several pending allocations administered by other departments, including an item for CalVans (vanpool vehicles for low‑income agricultural workers), the Department of Community Services and Development's Low Income Weatherization Program, and $15,000,000 proposed to Department of Education for postsecondary research farms (the administration said CDE does not normally administer postsecondary grants and implementation remains under discussion).

Reaction and oversight

Frank Jimenez of the Legislative Analyst's Office (LAO) said the LAO finds the spending plan "reasonable for this chapter of Proposition 4," and noted that using established programs can speed fund distribution. LAO and subcommittee members recommended the Legislature consider statutory guidance for new programs to align implementation with legislative priorities.

Assembly members asked CDFA clarifying questions about whether the department would re‑award previously unfinanced applications or open new solicitations (Cozina said new solicitations are planned) and how the department will target vulnerable or disadvantaged communities (Cozina said grants will be developed "in accordance with the language that's in the bond" and by using technical assistance providers to help applicants from prioritized communities).

Public comment and other context

Department of Finance staff described prior pilots and cautioned that some previously funded pilots (for example, a CalVans vehicle pilot funded by CARB) were later determined not to be operational due to vehicle performance. Committee members and stakeholders pressed the administration to coordinate Prop 4 funds with existing Greenhouse Gas Reduction Fund and Proposition 98 programs where appropriate.

Where this goes next

CDFA and Finance said they will provide follow up details on pending allocations and program design. Several Assembly members recommended drafting trailer bill language or other statutory guidance for specific programs where the Legislature previously acted (for example, the regional equipment‑sharing framework referenced in AB 2313), to ensure legislative intent is reflected.