To: Board of Supervisors
From: John Kopchik, Director, Conservation and Development
Report Title: Participation in Grant application to the Bay Area Air District from their Local Community Benefits Fund for Benicia and Surrounding Communities
☒Recommendation of the County Administrator ☐ Recommendation of Board Committee
RECOMMENDATIONS:
APPROVE and AUTHORIZE the Conservation and Development Director, or designee, to participate as a co-applicant in applying for and accepting, if awarded, a grant of up to $1.2 million from the Bay Area Air District Reinvesting Penalties for Air Improvement and Resilience grant program to develop with The Watershed Project, the lead applicant, an environmental stewardship academy benefiting designated eligible communities from Rodeo to Pittsburg.
FISCAL IMPACT:
100% Grant funds. The Opportunity grant has a maximum award of $5,000,000. The Watershed Project will apply for up to $1.2 million. These funds will be allocated between the lead applicant, The Watershed Project, and the County as described in detail below. The allocation to the County would be $315,000 and includes administrative costs. No County matching funds are required.
BACKGROUND:
The Bay Area Air District (Air District) adopted the Community Benefits Penalty Funds Policy to directly support communities disproportionately impacted by air pollution. Penalty funds and other funds from enforcement actions are administered through the Bay REPAIR (Reinvesting Penalties for Air Improvement and Resilience) program and are allocated to the Local Community Benefits Fund or the Regional Community Benefits Fund. The Local Community Benefits Fund reinvests back in the specific community affected by the air quality violations that led to the penalty. The Local Community Benefits Fund may also invest mitigation funds that are more limited in their scope. The Local Community Benefits Fund Program Goals are to:
• Reduce air pollution or mitigate its impacts, improve public health outcomes, and build economic resilience for a just transition away from the harmful effects of a fossil fuel-based economy.
• Advance integrated projects to holistically meet community needs.
• Strengthen community-led and collaborative solutions.
The Air District, in conjunction with the California Air Resources Board, fined Valero Refining Company for air quality violations in October 2024. The Local Community Benefits Fund for Benicia and surrounding communities has $60,011,061 in available funding. The Air District may revise this funding estimate to account for any accrued interest.
The Air District identified the City of Benicia, where the Valero refinery is located, as an eligible community. To identify additional eligible communities, the Air District conducted an analysis and developed an eligibility map that was informed by estimates of long-term air pollution exposure and community vulnerability. Projects located in Benicia and the following surrounding communities are eligible for funding.
• Vallejo
• Rodeo
• Crockett
• Port Costa
• Martinez (areas north of Highway 4)
• Mountain View
• Vine Hill
• Pacheco
• Concord (areas north of Highway 4, and south of Highway 4 between I-680 and Highway 242)
• Clyde
• Bay Point
• Pittsburg
Awards from the Local Community Benefits Fund are divided into three grant types.
1. Seed Grants. Seed grants fund smaller projects led by non-profit organizations. These grants are open only to 501(c)(3) organizations, range in size from $100,000 - $200,000, and are for terms up to two years.
2. Opportunity Grants. Opportunity grants fund multi-stakeholder collaboration over one or more projects. The Lead Applicant must partner with at least one Co-Applicant. Grants range in size from $500,000 - $5 million and are for terms up to three years. At least 25% of grant funds must be directed to co-applicants.
3. Catalyst Grants. Catalyst grants fund multi-stakeholder collaboration over multiple projects. Grant size ranges between $10 million - $40 million and are for terms up to five years. Benicia is the only community eligible to apply for a Catalyst grant.
$1.2 Million Opportunity Grant Proposal
The Watershed Project is the Lead Applicant for a grant proposal to the REPAIR program for an opportunity grant to fund a three-year pilot of an Environmental Stewardship Academy that will implement goals in the County’s Climate Action and Adaptation Plan (CAAP). The program would be offered annually for three cohorts of residents in the Rodeo - Pittsburg corridor, hosting about 25 people/cohort. The Watershed Project would administer the grant and will provide content, facilitate the overall academy, and lead project-based learning opportunities, particularly around green infrastructure/gardens/trees. The County would coordinate with them on content, ensuring the information is consistent with the CAAP and is accurate. The County would provide speakers, drawing on the expertise of our elected officials, staff and other partners, and would also provide project-based learning opportunities focused on all-electric home retrofits.
This grant application, if successful, will enable the County and The Watershed Project to build on the success and momentum of learning academies the County is sponsoring currently for the Resilient Shoreline Plan and the Tree Plan. Over 100 people applied for the Resilient Shoreline Plan Learning Academy, and over 80 people applied for the Tree Plan Learning Academy. Both were offered for the first time this year. There was not capacity to accommodate all interested applicants. If this three-year pilot is successful, staff will seek funding to establish an ongoing countywide Environmental Stewardship Academy.
The Environmental Stewardship Academy will be closely aligned with the CAAP and will support implementation of key strategies related to air quality, natural infrastructure, and emissions reduction. The project will translate CAAP priorities into on-the-ground action and serve as a community-based mechanism for advancing CAAP implementation at the neighborhood level.
As a co-applicant to this grant, the County must receive at least 25% of the grant funds, which in this case is about $315,000 (opportunity grants must have a lead applicant and at least one co-applicant). The total grant ask is about $1.2 million.
CONSEQUENCE OF NEGATIVE ACTION:
If the Board of Supervisors does not support this grant application, the County would miss an opportunity to leverage Air District REPAIR funds to pilot an environmental stewardship academy for County residents along the Northern Waterfront from Rodeo to Pittsburg.