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Monterey pauses community event grants for next year as council seeks new funding policy

Monterey City Council · March 3, 2026
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Summary

Facing a multiyear budget shortfall and staff shortages, Monterey city council voted to pause its special‑event grant program for the 2026‑27 budget year and delay the application process while staff develops a fiscally sustainable approval and funding policy.

Monterey — The City Council voted March 3 to pause the Special Event Support Program for the upcoming budget year, a move intended to ease a projected gap in the city’s general fund and free staff capacity amid a vacancy in the position that runs the program. Council members said the pause gives staff time to develop a policy that could set clearer priorities and reduce ongoing staffing and financial burdens.

Parks and Recreation management analyst Shannon Leon told the council the program requires more than 100 hours of staff time to administer and that the city lacks the person currently assigned to that role. The program typically distributes about $50,000 in small grants to community organizations; staff offered an eight‑week alternative to disbursement but recommended a one‑year pause as part of broader budget reductions.

Event organizers and business groups urged the council to keep funding, saying annual festivals such as WellFest and Whalefest drive hotel nights and visitor spending. Antonette Sailor, representing an event organizer, told the council her group’s calculations estimate as much as a 536 percent return on a small grant when out‑of‑town visitor spending is counted.

Council members debated whether to pause the program for one year or two, and whether to allow staff to streamline the application process instead of halting awards. After discussion, the council voted to suspend the program for the 2026‑27 fiscal year, not to initiate the 2027‑28 budget allocation, and to re‑examine the program when the 2026‑27 budget proposal returns to council. Staff will bring back options for a redesigned program and the timing for resuming grants.

The vote does not cancel already‑approved awards that are in process this fiscal year for events occurring through June 30; it pauses the next cycle of funding and the solicitation process intended for the next fiscal year.