Committee discusses GGRF adjustments and funding for transit and tier‑3 programs

ABSB 193 makes technical changes to the Greenhouse Gas Reduction Fund (GGRF) and the Cal SHAPE program. Department of Finance explained that beginning in 2027–28 GGRF interest will flow through the tier structure rather than be available for discretionary purposes, and Cal SHAPE awardees will receive three additional years to spend already awarded funds for HVAC or plumbing projects.

Multiple public commenters — including transit, environmental and local government organizations — applauded targeted GGRF investments for transit (including a $230 million allocation for SB 125) and other programs but urged a long-term fix for GGRF volatility and tier‑3 program funding. "We greatly appreciate the $230,000,000 provided for the SB 125 program," the California Transit Association representative said during public comment.

Speakers warned that while the package backfills some tier‑3 programs, it does not restore full long-term funding; groups asked the Legislature to develop a durable revenue solution to avoid future program instability.