Phase I- New Funding Availability for All Nonprofits
As the workplan is developed, the City is implementing a near-term solution to address nonprofit requests for funding in the Fiscal Year (FY) 2026 City Budget that fall outside of currently established funding programs such as Human Services Resource Allocation Process (HSRAP), Community Development Block Grant (CDBG), or Emerging Needs Programs. The new process establishes a new funding structure and decision-making process for the term of July 1, 2025-June 30, 2026.
The funding goal is up to $246,000 for one-time nonprofit funding requests in FY 2026, however final amount is subject to change based on the final FY 2026 Budget appropriations. There is no guarantee that the total $246,000 will be funded. Additionally, there is no guarantee that every applicant will receive funding, nor is there a guarantee that the amount an organization has requested will be the amount granted.
Do I need to submit an application?
Any nonprofit request for funding through the City’s FY 2026 Budget process that is currently outside of an existing funding program, must submit an application for funding consideration.
Examples of existing nonprofit funding programs include Human Services Resource Allocation Program (HSRAP), Community Development Block Grant (CDBG), Emerging Needs Grants, etc. or any other multi-year agreement with the City entered into through a service or lease agreement.
Who qualifies under this new funding opportunity?
All 501 (c)(3) registered nonprofits operating in Palo Alto or providing services in Palo Alto are qualified for funding.
Can my organization apply if we currently receive funding from the City of Palo Alto through a grant or service/lease contract?
All 501 (c)(3) nonprofit organizations may apply, regardless of current City grant funding status or service/lease contract.
When are applications due?
Application period is April 1, 2025 through May 9, 2025, 3:00PM to NPW1@cityofpaloalto.org. No late applications will be accepted. Failure to submit a complete application may disqualify the organization for funding consideration. Applicants should receive an automatic reply acknowledging receipt of application.
How will my application be evaluated?
The following rubric will be used as a guide to review applications; however, the Policy & Services Committee will be making recommendations for City Council approval.
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Criterion
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Description
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Weight
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1. Community Reach
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Measures the number of Palo Alto residents served and the significance of the services.
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30%
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2. Equity Impact
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Assesses whether the organization serves underserved or underrepresented groups.
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30%
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3. Alignment with Goals
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Evaluates alignment with the City Council’s Priorities
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20%
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4. Program Sustainability
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Assesses the nonprofit’s capacity to deliver and sustain its programs effectively.
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20%
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What is the application timeline?
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Action
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Date
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Notice of Funding Availability to nonprofits
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April 1
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Nonprofit applications due
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May 9
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Policy & Services Committee reviews and recommends applications
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June 10
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City Council FY 2026 Budget Adoption includes funding appropriation and nonprofit application awards
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June 16
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Nonprofits are notified of funding decisions
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June 18-27
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How do I apply?
Fill out an Application and Attachments(DOCX, 69KB)
and email to NPW1@cityofpaloalto.org by May 9, 2025, 3PM.
Attachment 1: Program Goals
Attachment 2: Proposed Budget
Attachment 3: IRS Determination Letter (501 (c)(3) status)
Attachment 4: 2024 or most recent IRS Form 990*
*Requests < $5,000 do not need to submit an IRS Form 990
Applicants should receive an automatic reply acknowledging receipt of application.
If you do not receive confirmation of receipt:
1. Check you junk/spam folder or firewall for blocked emails
2. Contact Lupita Alamos, Lupita.alamos@cityofpaloalto.org, (650) 239-2403.