DATE: October 21, 2026
TO: Honorable Mayor and City Councilmembers
FROM: Police Department
TITLE: ACCEPTANCE AND APPROPRIATION OF GRANT FUNDS FROM THE BOARD OF STATE AND COMMUNITY CORRECTIONS GRANT PROGRAM
RECOMMENDATION
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Staff recommends that the City Council adopt a resolution to accept $4,458,762 in grant funds from the Board of State and Community Corrections (BSCC) awarded to the City; appropriate the funds to the Grant Fund for the Police Department; approve the grant budget; and authorize the City Manager, or designee, to execute the grant agreement, any amendments thereto, and all other documents necessary to implement the award.
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BACKGROUND AND ANALYSIS
Proposition 64 (the Control, Regulate and Tax Adult Use of Marijuana Act) was passed in 2016, legalizing adult-use cannabis in California. Under Revenue and Taxation Code Section 34019, a dedicated tax revenue stream was created directing funds to BSCC to support local programs addressing public health and safety impacts of legalization.
In August 2026, the Oceanside Police Department (OPD) received notice that the department’s proposal was selected for funding in the amount of $4,458,762. The five-year grant period of performance is July 1, 2026, through June 30, 2031, with a final six-month period specifically for the completion of the Final Local Evaluation Report and program-specific compliance audit, concluding on December 31, 2031. Since the performance period commenced prior to Council acceptance, staff has confirmed with BSCC that eligible costs incurred on or after July 1, 2026, are reimbursable under the grant agreement and that written confirmation will be retained in the grant file.
The awarded project addresses critical community needs related to youth cannabis misuse, juvenile justice involvement, and limited access to prevention and behavioral health services through an integrated, multi-tiered approach. This project is a collaborative initiative led by OPD in partnership with TrueCare, a nonprofit Federally Qualified Health Center (FQHC), that primarily operates in north San Diego County. The proposed project focuses on providing evidence-based programming in Oceanside elementary and high schools, enhancing programming already in place at three middle schools, enhancing a juvenile diversion program for increased impact and effectiveness, and strengthening the partnership between OPD and the two school districts that educate over 23,000 Oceanside students annually. School-based programs will provide substance use education and prevention, social-emotional skill development, and early intervention. All youth participants will receive linkage to culturally responsive, trauma-informed behavioral health services.
The project will expand and enhance OPD’s Juvenile Diversion Program through trauma-informed case management, mentoring, and restorative practices. Enhancements include the addition of new provisional positions, as further described below, to strengthen school engagement, improve accountability, and increase diversion completion rates. Juvenile Diversion Panels will be utilized to provide multidisciplinary guidance for youth with higher needs.
The project also emphasizes family engagement through educational workshops designed to increase awareness of cannabis-related risks, strengthen protective factors, and connect families to supportive services. An additional Licensed Behavioral Health Consultant, within the scope of TrueCare’s responsibility, will expand capacity to deliver workshops, support program implementation, identify youth in need of higher levels of care, and increase access to behavioral health services in Oceanside.
During the grant application process, OPD originally anticipated funding three new provisional positions. However, from application to awarding of this grant, OPD has identified a need to reallocate funds to better serve the interest of City and the goals of the grant. Following Council approval, and receipt of a grant resolution, OPD will request a budget modification from BSCC. There are no positions requested in this staff report for that reason. The details of the originally approved plans as well as the anticipated modification details are discussed below.
Initial plans for the awarded funds were originally to be utilized for the following:
• Community Services Officer (CSO) - This funding would cover the salary and benefits for one CSO for the duration of the grant’s performance period.
• Crime Prevention Specialist (CPS) - This funding will cover the salary and benefits for one CPS for the duration of the grant’s performance period. The CPS will serve as a youth-focused public safety liaison dedicated to strengthening relationships between the Oceanside Police Department (OPD), local families, and community organizations. This role will emphasize educational support, mentorship, and proactive engagement to foster trust, promote safety, and create positive pathways for youth within the community.
• Police Officer - This position is internally referred to as a School Resource Officer (SRO) - The Vista Unified School District (VUSD) operates eight campuses within the City of Oceanside: one high school, two middle schools, and five elementary schools. Under the existing/separate agreement, (1) SRO is assigned to cover all eight campuses. The addition of a second SRO through this grant will enhance the program’s effectiveness. The SRO will be pivotal in relationship-building and collaboration between OPD and local youth. They will be essential in creating and maintaining a safe, supportive environment that encourages learning, growth, and mutual respect among students. The cost-sharing arrangement will be memorialized in a separate agreement with VUSD, which will be brought to the City Council for approval.
• Expansion of Juvenile Diversion Program - This allocation will fund youth-selected extracurricular activities. This initiative aims to provide meaningful opportunities that may have previously been inaccessible due to financial barriers, fostering positive development and community connection. Each youth participating in the Diversion Program will have the opportunity to select a local extracurricular activity of their choice to experience for a maximum five-month period. These activities may include sports, arts, music, or other community-based programs that align with the youth’s interests and goals. This investment will help remove financial barriers, promote positive youth engagement, and support the long-term success of participants in the Juvenile Diversion Program.
• TrueCare Subcontract - OPD will enter into a professional services agreement with TrueCare for the five-year duration of the grant. TrueCare will provide youth development, prevention, and intervention services. TrueCare will also serve as the evaluation partner, providing its program evaluation expertise, and will document the project implementation and fidelity, as well as determine if desired outcomes were achieved. Multiple outcome methods will be used and results shared in a timely fashion to inform program implementation and management. The professional services agreement with TrueCare will be presented to Council for approval as a separate item. The agreement will be awarded on a noncompetitive basis because BSCC awarded a proposal that names TrueCare as the subcontractor and evaluation partner; the subaward is therefore grant-mandated and supports a sole-source justification under Administrative Directive AD-21. The TrueCare subcontract represents approximately 54 percent of the award, and TrueCare services and payments cannot begin until the City Council approves that agreement. Upon agreement finalization, staff will promptly present it to Council for approval to avoid delays in program delivery.
• Grant-mandated Travel - Estimated travel expenses for four grant team members to attend a mandatory grant conference.
• Indirect Costs - An indirect cost rate of 15% is included to recover essential administrative and operational expenses that are necessary for the effective implementation and management of the program but cannot be directly assigned to a specific project activity. Indirect costs encompass expenditures such as procurement services, information technology support, office administration, and facility maintenance. These functions are critical to ensuring compliance with grant requirements, fiscal accountability, and efficient program operations. The indirect cost rate is applied only to allowable direct costs, excluding the TrueCare subcontract, in accordance with applicable grant and funding guidelines. The 15% rate is the indirect cost rate approved by BSCC in the grant budget. It includes the City’s 7% general administrative overhead recovery under Administrative Directive AD-40, with the balance reflecting additional indirect costs allowable under the OMB Uniform Guidance, as AD-40 permits.
Once Council has accepted and appropriated the grant funds, OPD intends to submit a budget modification request to BSCC. This modification will hold the total funds consistent with the amount specified in this staff report. The request will involve reallocating funds within the original budget while ensuring that the awarded funds are utilized in alignment with the goals of the initial plan, with the following adjustments:
• Elimination of Community Services Officer (CSO) - These funds would be reallocated to ensure complete funding of the SRO position. Due to the lengthy SRO training process, OPD does not anticipate filling the SRO position until the end of fiscal year 2026-27 or beginning of fiscal year 2027-28. This delay will ensure that the reallocated funds will cover the totality of the position. The applicable responsibilities initially included under the CSO position will be commuted to the other BSCC-funded positions.
• School Resource Officer (SRO) - The Vista Unified School District operates eight campuses within the City of Oceanside: one high school, two middle schools, and five elementary schools. Under the existing/separate agreement, (1) SRO is assigned to cover all eight campuses. The addition of a second SRO through this grant will enhance the program’s effectiveness. By funding this position in its entirety through the BSCC Prop 64 grant, there will be a guaranteed SRO serving VUSD for the duration of the grant performance period. The SRO will be pivotal in relationship-building and collaboration between OPD and local youth. They will be essential in creating and maintaining a safe, supportive environment that encourages learning, growth, and mutual respect among students.
The aforementioned contingency plan is solely dependent on the successful submission, and approval, of a BSCC grant modification request. Funding allocations may be adjusted only with BSCC’s prior written approval and within the total appropriation approved by the City Council. New positions associated with this grant will be requested for approval in a separate staff report following the grant modification.
Should the BSCC deny the grant modification request, OPD will determine the best course of action for executing the grant as originally awarded.
FISCAL IMPACT
Acceptance and appropriation of the grant funds of $4,458,762 will allow OPD to execute the activities and goals stated in the awarded grant proposal.
The grant is administered on a reimbursement basis; the City will advance eligible costs from the Grant Fund and BSCC will reimburse the City for all allowable expenses. There are no matching fund requirements from the City.
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|
Appropriation |
Account Number |
|
Revenues: |
|
|
|
BSCC Grant Funds |
$ 4,458,762 |
BSCC Prop 64 - 7/26-12/31 836207826272.4376 |
|
Total Revenue |
$ 4,458,762 |
|
|
|
|
Expenses: |
|
|
|
Personnel Costs |
$ 1,086,103 |
BSCC Prop 64 - 7/26-12/31 836207826272.5105 |
|
Benefit Costs |
650,895 |
836207826272.5207 |
|
True Care Subcontract |
2,403,300 |
836207826272.5305 |
|
Travel |
5,360 |
836207826272.5345 |
|
Supplies |
45,000 |
836207826272.5355 |
|
Indirect Costs |
268,104 |
836207826272.5405 |
|
Total Expenses |
$ 4,458,762 |
|
COMMISSION OR COMMITTEE REPORT
The Police and Fire Commission will be informed of this item during its regular scheduled meeting on December 8, 2026.
CITY ATTORNEY’S ANALYSIS
The City Attorney has reviewed the grant agreement and the proposed resolution and approved them as to form. The TrueCare professional services agreement and the VUSD cost-sharing agreement will each require separate review and approval as to form when they are presented to the City Council.
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Prepared by: Whitney Fernandez, Management Analyst
Reviewed by: Taurino Valdovinos, Chief of Police
Submitted by: Jonathan Borrego, City Manager
ATTACHMENTS:
1. 2026 Prop 64 Grant Agreement - City of Oceanside
2. 2026 Prop 64 Resolution