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California Community Reinvestment Grants Program

This program provides funding to local health departments and community-based nonprofits in California to support services that address the negative impacts of past drug policies on disproportionately affected communities.

$3,000,000
Forecasted
CA
Recurring
Grant Description

The California Community Reinvestment Grants Program is administered by the California Governor's Office of Business and Economic Development, commonly known as GO-Biz. The program was established through the Adult Use of Marijuana Act, Proposition 64, approved by California voters in 2016. Its mission is to advance health, wellness, and economic justice for populations and communities harmed by past federal and state drug policies, also referred to as the War on Drugs. The program focuses on California communities disproportionately affected by drug enforcement and related consequences and encourages approaches that are responsive to impacted communities, grounded in science and data, supportive of whole-person and trauma-informed care, and accountable to taxpayers and stakeholders. Current program priorities include organizations led by individuals directly impacted by the War on Drugs, organizations serving formerly incarcerated individuals, and organizations placing individuals in jobs. A total of $48,000,000 is available for the current grant solicitation. Fifty percent is reserved for small community-based nonprofit organizations with average annual total revenue of $5,000,000 or less over the last three tax years, while the remaining funding is available to other eligible community-based nonprofit organizations and Local Health Departments. Applicants may request between $600,000 and $3,000,000 for the entire three-year grant term, which is expected to run from June 2027 through May 2030. At least 75 percent of an award must be allocated to direct personnel wages and benefits for W-2 employees of the applicant providing the proposed services. These personnel expenses are reimbursed at 100 percent. Employee training, equipment and materials, other direct costs, and subcontracted costs are reimbursed at 50 percent. Subcontracted costs may not exceed the lesser of 20 percent of the award or $200,000, and subcontracted evaluation activities may not exceed $30,000. Indirect costs may not exceed 17 percent of the total award. Ineligible costs include lobbying, bonuses and commissions, supplanting other funding, purchases of land or buildings, and food or beverages. Eligible applicants are California Local Health Departments and qualified community-based nonprofit organizations. Community-based nonprofit organizations must have been duly organized, in existence, and in good standing for at least six months before issuance of the solicitation; have federal 501(c)(3) and California tax-exempt status; have Active status with the California Secretary of State when applicable; have Current or Exempt status with the California Attorney General's Registry of Charities and Fundraisers; possess applicable state or local licenses or certifications; and maintain a physical location in California that is open to the public. Existing CalCRG grantees may apply only when their current grant has been in effect for at least 12 months and at least 50 percent has been expended as evidenced by approved invoices by the Phase 1 deadline. Collaborative applications are not accepted. Proposed services must serve qualifying California geographies and address communities disproportionately impacted by the War on Drugs. Eligible services must fall within at least one of six categories: job placement, mental health treatment, substance use disorder treatment, system navigation services, legal services addressing barriers to reentry, or linkages to medical care. Geographic eligibility includes specified California counties with qualifying drug-related arrest rates and qualifying California census tracts based on unemployment and poverty, one-parent or nonfamily households, educational attainment, or 2018 Opportunity Zone designation. Applicants must also explain how the community they propose to serve was disproportionately impacted by past federal and state drug policies. The grant is primarily reimbursement based, although advance payments may be available to qualified community-based nonprofit organizations with modest reserves and potential cash-flow problems. Grantees must submit quarterly progress reports and a final report and participate in required site visits and meetings. Applications are submitted electronically through the GO-Biz CalCRG online application portal and are divided into two phases. Phase 1 requires creation of an application using the organization's legal name and organization type, applicant and address information, geographic eligibility information, at least two authorized contacts, a proposal summary, selected funding categories, the requested amount, projected numbers of individuals served, and responses addressing programmatic suitability. Community-based nonprofit organizations must provide applicable Form 990 information and upload required documentation including the Payee Data Record STD 204, the most recently filed IRS Form 990 or applicable Form 990-EZ, California Secretary of State status evidence, Franchise Tax Board status documentation, IRS status evidence, and California Attorney General Registry status evidence. Local Health Departments must provide the Government Agency Taxpayer ID Form. Only applicants passing Phase 1 are invited by email to Phase 2, and Phase 2 requirements and scoring criteria are provided with that invitation. Phase 1 begins with a pass-fail technical review covering technical, geographic, applicant, and funding-category eligibility. Applications passing that review are scored on a 10-point scale: up to 3 points for the proposal summary, 3 points for organizational competencies and experience, and 4 points for demonstrating community impacts of the War on Drugs. Applicants scoring 10 points are automatically invited to Phase 2. If their requests total less than 150 percent of available funding, lower-scoring applications are ranked and invited until that threshold is reached. Award decisions may also consider financial and legal history, prior CalCRG performance, organizational revenue, prior funding, and performance on previous financial or grant agreements. GO-Biz may reduce an otherwise fundable award based on these considerations, and ties may be resolved using program priorities. The solicitation was released July 27, 2026, and the online Phase 1 application portal opened August 3, 2026. Phase 1 applications must be submitted no later than 4:59 pm Pacific Time on August 24, 2026, with no deadline extensions for technical problems or other circumstances. Phase 2 is expected to be released December 2, 2026, subject to change, and invited applicants will receive their Phase 2 deadline by email. Evaluation and awards are expected from August 2026 through May 2027, with the three-year grant term expected from June 2027 through May 2030. Questions and technical assistance are available from the CalCRG team at CalCRG@gobiz.ca.gov or 916-322-2683. The program has been offered across successive fiscal years, supporting treatment of the opportunity as recurring, with the next cycle anticipated around August 2027.

Funding Details

Award Range

$600,000 - $3,000,000

Total Program Funding

$48,000,000

Number of Awards

Not specified

Matching Requirement

Yes - 50% of eligible non-personnel direct and subcontracted expenditure costs

Additional Details

Awards range from $600,000 to $3,000,000 for the entire three-year grant term. At least 75 percent of grant funds must support direct W-2 personnel wages and benefits reimbursed at 100 percent. Employee training, equipment and materials, other direct costs, and subcontracted costs are reimbursed at 50 percent. Subcontracted costs may not exceed the lesser of 20 percent of the total award or $200,000, and subcontracted evaluation activities may not exceed $30,000. Indirect costs may not exceed 17 percent of the total award.

Eligibility

Eligible Applicants

Nonprofits
City or township governments
County governments

Additional Requirements

Eligible applicants are California Local Health Departments and qualified community-based nonprofit organizations. CBOs must have been duly organized, in existence, and in good standing for at least six months before solicitation issuance; maintain IRS 501(c)(3) and California tax-exempt status; have Active California Secretary of State status when applicable; have Current or Exempt California Attorney General Registry status; maintain required state or local licenses or certifications; and have a physical California location open to the public. Existing CalCRG grantees may apply only when their existing grant has been in effect for at least 12 months and at least 50 percent has been expended as evidenced by approved invoices by the Phase 1 deadline. Applicants must maintain eligibility throughout the application process and grant term. Proposed services must serve eligible California geographies and communities disproportionately impacted by past federal and state drug policies. Collaborative applications are not accepted.

Geographic Eligibility

All

Expert Tips

Address the published scoring criteria directly and provide detailed, specific answers. Clearly explain proposed services, use of grant funds, and projected individuals served. Demonstrate strong competencies and experience serving the priority population. Clearly document how both the proposed geography and individuals served have been disproportionately impacted by the War on Drugs. Ensure every eligibility status and required document is complete by the Phase 1 deadline. Submit before the deadline because technical difficulties do not qualify applicants for extensions.

Key Dates

Application Opens

Not specified

Application Closes

Not specified

Contact Information

Grantor

California Governor's Office of BU.S.iness and Economic Development

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Categories
Community Development
Health
Employment Labor and Training
Workforce Development
Law Justice and Legal Services

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