Major North County Projects Left in Limbo After Federal Budget Cuts

A wide range of infrastructure and environmental projects across North San Diego County are now on hold after being excluded from the latest federal spending bill. The scrapping of Community Project Funding requests has left cities and agencies scrambling for alternatives to support critical local improvements.

In March, Congress passed a continuing resolution to avoid a government shutdown, but it came at the cost of removing all community funding requests from the 2026 budget. This includes 15 project proposals submitted by Rep. Mike Levin (D-Laguna Niguel), totaling $45.7 million — with nine located in North San Diego County and six in Orange County.

What’s Affected in North San Diego County?

Among the key North County projects that missed out on funding:

• $1.3M – Carlsbad Village Railroad Trenching
  To double-track and lower rail lines for improved safety and reduced congestion.
• $1.75M – Center of Excellence in Marine Aquaculture (Carlsbad)
  For upgrades to the Leon Raymond Hubbard Jr. Fish Hatchery.
• $1.45M – Riverpath Del Mar Phase 3
  To finish the city’s Scenic Loop Trail.
• $2.4M – Highway 101 Drainage (Encinitas)
  Aimed at alleviating flooding risks in Leucadia.
• $4M – Lomas Santa Fe Drive (Solana Beach)
  To improve multi-modal transportation access.
• $4.25M – Emerald Drive Complete Streets (Vista)
  Focused on pedestrian and cyclist safety, traffic calming, and infrastructure improvements.
• $4M – Pier View Way Bridge (Oceanside)
  For a structural rebuild to meet seismic safety standards.
• $2.15M – Shoreline Erosion Study (Oceanside)
  To assess and mitigate long-term beach erosion near Camp Pendleton.
• $3.25M – Buena Vista Lagoon Enhancement (Oceanside)
  For restoring coastal biodiversity and improving water quality.

Why the Cuts?

Rep. Levin expressed disappointment, citing a volatile and unpredictable political climate. Although Levin has secured over $1 billion in federal funding since taking office in 2019, none of the projects submitted this cycle received approval.

“None of them will be funded, at least not immediately,” said Levin. “We’re really in unprecedented times.”

He pledged to resubmit most proposals next year.

Political Pressures and Risk to Existing Funding

Beyond delayed projects, federal scrutiny is rising around previously approved initiatives. The Department of Transportation has launched a review of California’s high-speed rail, potentially putting $4 billion in federal funding at risk. Meanwhile, the Environmental Protection Agency is re-evaluating California’s clean transportation waivers.

Recently, the federal government also withheld pandemic-related K-12 relief funds, prompting a lawsuit by California Attorney General Rob Bonta against the U.S. Department of Education.

Looking Ahead: What’s at Stake

Senator Catherine Blakespear (D-Encinitas) emphasized the need for local leaders to reframe grant applications to highlight national priorities, such as military and commerce benefits, rather than climate change or equity — which are no longer top federal concerns.

Regional planning agency SANDAG is also on alert. With 30% of its budget reliant on federal dollars, project delays or cancellations remain a strong possibility unless funding agreements are finalized.

Source:

Original reporting by Leo Place, The Coast News. Access full article:
Federal funding scrapped for North County projects