This page last reviewed November 16, 2016

Funding Guidelines for Administering Agencies

State law requires ARB to develop guidance for all State agencies that receive appropriations from the Greenhouse Gas Reduction Fund, including guidance on reporting, quantification methods, and maximizing benefits to disadvantaged communities. To comply with this law, ARB developed Funding Guidelines to help these agencies use their appropriations in a way that reduces greenhouse gases, furthers the purposes of AB 32, maximizes benefits to disadvantaged communities, and meets the other statutory requirements.

On September 4, 2015, ARB released the proposed "Cap-and-Trade Auction Proceeds: Funding Guidelines for Agencies that Administer California Climate Investments." ARB staff presented these Funding Guidelines at a public Board hearing on September 24, 2015. The final version of the document reflects the Board's minor revisions from the hearing.

Draft Funding Guidelines Supplement For Public Comment

The Draft Funding Guidelines Supplement for FY 2016-17 Funds (Supplement) is to be used in conjunction with the Funding Guidelines and provides interim direction for administering agencies implementing the September 2016 funding appropriations established in the Budget Act of 2016.

The purpose of this Supplement is to provide:

  1. Disadvantaged community investment targets for all programs based on the FY 2016-17 budget appropriations and the existing SB 535 requirements.
  2. For new programs created under 2016 legislation, criteria for how to determine whether proposed projects provide benefits to disadvantaged communities, in accordance with the existing requirements of SB 535. New programs are still under development.
  3. For new programs created under 2016 legislation, guidance on reporting requirements.

Public Comment

  • Written comments are due by December 6th, 2016 and may be submitted electronically here.
  • Submitted comments can be viewed in the comment log here.

Note on AB 1550 Implementation: This Supplement is focused on the current SB 535 definition of disadvantaged communities and minimum investment targets; it does not include any direction on investment targets or criteria to meet the new AB 1550 (Gomez, Chapter 369, Statutes of 2016) provisions. ARB staff will be updating the Funding Guidelines in 2017 to provide guidance to all GGRF administering agencies on the implementation of AB 1550, as well as other updates to continue and expand existing GGRF accountability and transparency provisions. The broader Funding Guidelines update in 2017 will include public workshops and multiple opportunities for public input on how best to establish a consistent set of requirements and recommendations for implementing AB 1550 across all GGRF programs.

Board Hearing and Workshop Archives


The California Climate Investments logo and name serve to bring under a single brand the many investments whose funding comes from the Greenhouse Gas Reduction Fund. The logo represents a consolidated and coordinated initiative by the State to address climate change by reducing greenhouse gases while also creating new jobs and supporting more sustainable communities. Guidelines for the usage of the CCI logo can be found here.

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For questions, please contact:
Monique Davis at 916-322-7304 or via e-mail