Health and Safety Code § 39719.4

Beginning with the 2026–27 fiscal year, moneys in the funds shall be allocated in the following priority:

(a)(1) Amounts described in Sections 4210 to 4214, inclusive, of the Public Resources Code to replace the revenues generated by the State Responsibility Area fire prevention fee authorized by Section 4212 of the Public Resources Code.

(2)Amounts appropriated by subparagraph (A) of paragraph (3) of subdivision (g) of Section 6377.1 of the Revenue and Taxation Code.

(3)The sum of three million dollars ($3,000,000) for the establishment of the Legislative Counsel Climate Bureau.

(b)After the amounts specified in subdivision (a) are fully allocated, as determined by the Department of Finance, the remaining moneys in the fund shall be allocated as follows:

(1)Notwithstanding Section 13340 of the Government Code and subject to Section 39719.3, the sum of one billion dollars ($1,000,000,000) is continuously appropriate without regard to fiscal year to the High-Speed Rail Authority for the following components of the initial operating segment and Phase I Blended System as described in the 2012 business plan adopted pursuant to Section 185033 of the Public Utilities Code:

(A)Acquisition and construction costs of the project.

(B)Environmental review and design costs of the project.

(C)Other capital costs of the project.

(D)Repayment of any loans made to the authority to fund the project.

(2)(A) The sum of one billion dollars ($1,000,000,000) is reserved for appropriation by the Legislature in the annual Budget Act or other statute.

(B)It is the intent of the Legislature that the amount reserved pursuant to subparagraph (A) is allocated in the following amounts for the 2026—27 fiscal year:

(i)The sum of one hundred twenty-five million dollars ($125,000,000) for transit passes.

(ii) The sum of twenty-five million dollars ($25,000,000) for seed funding for a University of California Climate Research Center.

(iii) The sum of fifteen million dollars ($15,000,000) for rebuilding Topanga Park.

(iv) The sum of eighty-five million dollars ($85,000,000) for an entity chosen by the Legislature to support climate-focused technological innovation, related research, and the deployment of climate solutions identified in the scoping plan prepared pursuant to Section 38561.

(c)(1) After the amounts specified in subdivisions (a) and (b) are fully allocated, as determined by the Department of Finance, the remaining moneys in the fund, notwithstanding Section 13340 of the Government Code, are continuously appropriated, without regard to fiscal year, as follows:

(A) The sum of eight hundred million dollars ($800,000,000) to the Strategic Growth Council

for the Affordable Housing and Sustainable Communities Program created by Part 1 (commencing with Section 75200) of Division 44 of the Public Resources Code. Of the amount appropriated in this subparagraph, no less than 10 percent of the annual proceeds of the fund shall be expended for affordable housing, consistent with the provisions of that program.

(B) The sum of four hundred million dollars ($400,000,000) to the Transportation Agency for the Transit and Intercity Rail Capital Program created by Part 2 (commencing with Section 75220) of Division 44 of the Public Resources Code.

(C) The sum of two hundred fifty million dollars ($250,000,000) to the State Air Resources Board for community air protection programs and allocated for financial incentives to reduce mobile and stationary sources of criteria air pollutants or toxic air contaminants consistent with community emissions

reduction programs developed pursuant to Section 44391.2 and for support for local air districts’ implementation of Chapter 136 of the Statutes of 2017.

(D) The sum of two hundred million dollars ($200,000,000) to the Transportation Agency for the Low Carbon Transit Operations Program created by Part 3 (commencing with Section 75230) of Division 44 of the Public Resources Code. Moneys shall be allocated by the Controller, according to requirements of the program, and pursuant to the distribution formula in subdivision (b) or (c) of Section 99312 of, and Sections 99313 and 99314 of, the Public Utilities Code.

(E) The sum of two hundred million dollars ($200,000,000) to the Department of Forestry and Fire Protection and allocated as follows:

(i)Eighty-two and one-half percent for healthy forest and fire prevention

programs and projects that improve forest health and reduce emissions of greenhouse gases caused by uncontrolled wildfires.

(ii) Seventeen and one-half percent for the completion of prescribed fire and other fuel reduction projects through proven forestry practices consistent with the recommendations of the California Forest Carbon Plan, including the operation of year-round prescribed fire crews and implementation of a research and monitoring program for climate adaptation.

(F) The sum of one hundred thirty million dollars ($130,000,000) is transferred to the Safe and Affordable Drinking Water Fund established pursuant to Section 116766 for the purposes of Chapter 4.6 (commencing with Section 116765) of Part 12 of Division 104.

(2)(A) Moneys appropriate pursuant to paragraph (1) shall be used

for the purpose of facilitating the achievement of reductions of greenhouse gas emissions in this state in accordance with the requirements of Section 39712 or to improve climate change adaptation and resiliency of disadvantaged communities or low-income households or communities, consistent with Division 25.5 (commencing with Section 38500).

(B)For purposes of the moneys appropriated pursuant to paragraph (1), a state agency may comply with the requirements of paragraphs (2) and (3) of subdivision (a) of Section 16428.9 of the Government Code by describing how each proposed expenditure will improve climate change adaptation and resiliency of disadvantaged communities or low-income households or communities.

(3)If, for any fiscal year the Department of Finance determines that, after fully allocating the amounts pursuant to subdivisions (a) and (b), there are insufficient annual

proceeds to fully provide for the appropriations specified in paragraph (1) in addition to any state operations costs appropriated in the annual Budget Act, the amounts specified in paragraph (1) shall be proportionally reduced as determined by the Department of Finance.

(d)Any amounts in the fund not needed to fully fund the amounts pursuant to subdivisions (a), (b), and (c) in a fiscal year are available to be appropriated by the Legislature in the annual Budget Act or other statute.