Assembly Member Sanchez proposes redirecting a quarter of California's Greenhouse Gas Reduction Fund from high-speed rail development to local infrastructure projects starting in 2026. The measure would end the High-Speed Rail Authority's continuous allocation of 25% of the fund's annual proceeds on June 30, 2026.

Beginning with the 2026-27 fiscal year, that portion would transfer to California's General Fund to supplement local government infrastructure funding, subject to legislative appropriation. The change maintains the percentage allocation but shifts resources from state-level rail development to municipal projects.

The measure preserves other existing distributions from the Greenhouse Gas Reduction Fund, including 35% for transit and housing programs, up to $130 million annually for safe drinking water initiatives through 2030, and $200 million yearly for forest health and fire prevention activities through 2029. These continuing appropriations support various environmental and community development priorities established under California's climate action framework.