CA Measure 68: Parks, Water, and Climate Resilience Bond

California Proposition 68, formally the California Drought, Water, Parks, Climate, Coastal Protection, and Outdoor Access for All Act of 2018, authorized the state to sell $4.1 billion in general obligation bonds for parks, water infrastructure, natural resource conservation, and climate resilience projects. Voters approved it on June 5, 2018, with 57.6 percent voting yes.¹ The measure is sometimes called Measure 68 or Prop 68, and its money is split across three broad categories: parks and recreation, natural resource conservation and climate adaptation, and water supply and quality.

How the Bond Works and What It Costs

Proposition 68 is a general obligation bond. The state borrows by selling bonds to investors and repays that debt over time from the General Fund, which is fed primarily by income and sales taxes. The statute’s base authorization is $4 billion, and additional bonds push the total authorization to $4.1 billion.²

The Legislative Analyst’s Office put the total cost to taxpayers at roughly $7.8 billion once interest is included: $4 billion in principal plus about $3.8 billion in interest over the life of the bonds.³

Parks and Recreation

Roughly $1.3 billion goes to parks and recreation, the largest single category in the bond.⁴ The centerpiece is $725 million earmarked for creating and expanding neighborhood parks in park-poor communities through competitive grants administered by California State Parks.⁵ Those grants flow through the Statewide Park Development and Community Revitalization program, which targets neighborhoods without safe, walkable access to green space.

The remaining park money covers local and regional outdoor spaces, improvements to the state park system, and per capita grants distributed to cities and counties by population. Dense urban areas with little existing parkland receive priority throughout.

Natural Resources and Climate Resilience

About $1.5 billion supports natural resource conservation and climate resilience, from wildlife habitat to coastal adaptation.⁴

Conservancies and Wildlife

Within that total, $767 million goes to state conservancies and the Wildlife Conservation Board.⁵ The Wildlife Conservation Board received $275 million on its own, funding land acquisition, habitat restoration, public access, and programs covering wetlands, oak woodlands, riparian areas, wildlife corridors, and fish passage.⁶

Climate and Coastal Protection

Another $443 million is set aside specifically for climate preparedness, habitat resiliency, and innovation.⁵ Part of that funding runs through the Ocean Protection Council, which uses it for scientific research, ecosystem restoration, shoreline resilience planning, and Pacific Flyway migratory bird habitat protection.⁷

Water Infrastructure and Supply

Approximately $1.27 billion funds water-related work across flood protection, groundwater, safe drinking water, and recycling.⁴ The main pieces:

Flood protection and repair receives $550 million, the largest water allocation, covering Central Valley levees, stormwater and mudslide protections, and multi-benefit urban flood projects.⁸
Groundwater sustainability receives $370 million: $290 million for groundwater recharge using surface water, stormwater, and recycled water, plus $80 million for treatment and remediation of contaminated groundwater used as drinking water.⁸
Safe drinking water receives $250 million, focused on small and rural communities without adequate treatment infrastructure.⁸
Water recycling and drought resilience investments are folded into the regional sustainability allocation.

The groundwater programs are unusual because they can cover ongoing operation and maintenance of existing treatment facilities, not just new construction.

Priority for Disadvantaged Communities

Proposition 68 writes equity requirements directly into its funding structure. The statute defines a disadvantaged community as one with a median household income below 80 percent of the statewide average, and a severely disadvantaged community as one below 60 percent.⁹

For most funding chapters, at least 20 percent of available funds must go to projects serving severely disadvantaged communities. Two chapters, covering rivers and streams protection and climate preparedness, have a lower floor of 15 percent. These are statutory minimums, not targets.

What Grant Recipients Have to Do

Most Proposition 68 money reaches local agencies, tribes, and nonprofits through competitive grants run by state agencies such as the Department of Water Resources, the Wildlife Conservation Board, and California State Parks. Several obligations apply broadly.

Administrative Cost Cap

Grantees generally cannot spend more than 15 percent of their total grant on administrative and indirect costs.⁷ At least 85 cents of every grant dollar has to go toward actual project work. Limited exceptions exist for University of California and California State University grantees.

Long-Term Maintenance

Bond money comes with a long tail. Grantees must maintain and operate completed projects for periods that scale with the grant size:

Grants up to $100,000: up to 10 years of maintenance.
Grants up to $1 million: at least 20 years.
Grants over $1 million: at least 25 years.

Many agreements in practice require 20 to 30 years, with the exact term written into each contract.⁷ Land acquisitions carry a stricter obligation: the grantee must hold the property in perpetuity for the purpose the grant funded and cannot sell or repurpose it without written state permission. A document is recorded against the property establishing the state’s interest no matter who later holds title.

Matching Funds

Matching funds are not required as a blanket rule, but most solicitations give strong preference to applicants who bring their own money. Projects that leverage local, federal, or private funding score higher, and proposals must show both project readiness and a credible long-term maintenance plan.

Where the Money Stands Now

As of August 2025, most Proposition 68 money has been committed. Of roughly $4 billion in net allocations, about $3.93 billion has been appropriated or committed to approved projects, leaving around $68.5 million in remaining balance.¹⁰ Several administering agencies have closed their Proposition 68 solicitations entirely. The State Water Resources Control Board, for instance, has no plans for further groundwater grant solicitations under the bond.¹¹

A few programs still have active or recently completed cycles, including coastal conservation funding through the Ocean Protection Council.¹² For most purposes, though, the window for new applications is largely closed, while funded projects continue operating for years or decades under their maintenance obligations. Specific funded projects and their status can be tracked through the California Grants Portal and the Natural Resources Agency’s bond accountability reporting.

1
California State Parks. Parks and Water Bond Act of 2018 (Proposition 68)
2
California Natural Resources Agency Bond Accountability. Proposition 68 – CNRA Bond Accountability
3
Legislative Analyst’s Office. Proposition 68 Ballot Analysis
4
Legislative Analyst’s Office. Overview of Proposition 68
5
California State Parks. Proposition 68 Allocation Balance Report
6
Wildlife Conservation Board. Prop 68 Funding Opportunities
7
Ocean Protection Council. Proposition 68 Grant Guidelines
8
State of California Secretary of State. Text of Proposed Laws – Proposition 68
9
California Legislative Information. California Code PRC Division 46 Chapter 1 Section 80002
10
California Natural Resources Agency. Proposition 68 Allocation Balance Report
11
California State Water Resources Control Board. Prop 68 Groundwater Treatment and Remediation Grant Program
12
California Ocean Protection Council. OPC Proposition 68 Grant Program