Federal budget decisions may seem like distant political news, but this year’s funding cuts and freezes are starting to have real, tangible impacts right here in San Diego. From major infrastructure projects to life-saving medical research to local nonprofits that serve our most vulnerable residents, the loss of key federal funding could delay progress and disrupt vital community services.
Here’s a look at where these cuts are hitting San Diego the hardest — and why it matters for our region.
North County Projects Lose Millions in Federal Support
Earlier this spring, Congress passed a temporary budget measure to avoid a government shutdown. But as part of that deal, all Community Project Funding requests for the 2026 fiscal year were eliminated.
That means nearly $24.5 million in requested funding for important infrastructure improvements in North San Diego County was cut from the federal budget.
Some of the affected projects include:
- Carlsbad Village railroad trenching, aimed at improving safety and traffic flow
- Marine aquaculture upgrades in Carlsbad
- Completing the Riverpath Trail in Del Mar
- Flood control improvements in Encinitas’ Leucadia neighborhood
- Multimodal transportation improvements on Lomas Santa Fe Drive in Solana Beach
- The Emerald Drive Complete Streets project in Vista to improve pedestrian and cyclist safety
- Pier View Way Bridge reconstruction in Oceanside to meet earthquake standards
- A shoreline study to combat beach erosion in Oceanside
- Restoration of Buena Vista Lagoon in Oceanside to improve biodiversity and water quality
Many of these projects focus on improving public safety, protecting the environment, and enhancing quality of life across North County. With the loss of federal funding, their progress is now uncertain.
Local Nonprofits Facing Budget Shortfalls
The ripple effects of federal cuts extend beyond infrastructure. Local nonprofits that rely on federal grants to serve vulnerable populations are also being hit.
The Innocence Center, a nonprofit legal organization that works to free people who were wrongfully convicted, recently learned it will lose the final portion of a $600,000 Department of Justice grant—approximately 30 percent of its operating budget. The grant typically helps cover salaries and legal experts needed to handle complex litigation.
Meanwhile, Rady Children’s Hospital also lost a $3.6 million grant that supported its Regional Children’s Advocacy Center. The program provided training and resources for professionals working in child abuse prevention and response. The loss of this funding will significantly impact the services the center can provide.
San Diego’s Life Sciences Sector at Risk
San Diego has built a global reputation as a hub for biomedical research and innovation. The region is the third-largest recipient of funding from the National Institutes of Health (NIH) in the entire country.
But that leadership is now in jeopardy.
The Trump administration has proposed a 40 percent cut to NIH funding, which would gut cancer research, disrupt clinical trials, and potentially drive talented young scientists out of the country or out of the field altogether. The NIH already canceled approximately $1.8 billion in grants this year, including many that support life-saving research here in San Diego.
Local leaders warn that the cuts could cost San Diego more than $500 million in lost economic activity and threaten over 3,000 jobs in the life sciences sector. Academic institutions such as UC San Diego, the Salk Institute, and Sanford Burnham Prebys are deeply concerned about the long-term consequences if these cuts proceed.
Without NIH support, promising discoveries and treatments could be stalled or abandoned altogether — impacting not only the local economy, but the health of people across San Diego and beyond.
Why This Matters
These federal funding cuts may not make headlines every day, but they have very real consequences for our region. Projects that aim to make our streets safer, protect our coastlines, and improve public health are now at risk. Nonprofits serving children and families may be forced to reduce services. And the future of San Diego’s life sciences ecosystem — a major driver of both jobs and innovation — is increasingly uncertain.
Leaders at every level are working to reverse or mitigate the cuts. Rep. Mike Levin has committed to resubmitting North County funding requests next year. Local scientists and university officials are lobbying Congress to protect NIH funding. Nonprofits like The Innocence Center are seeking emergency support from private donors.
But the road ahead is far from certain.
What’s Next for San Diego
Whether you’re concerned about protecting our beaches from erosion, supporting child safety programs, advancing cancer research, or ensuring that San Diego remains a leader in innovation, this is an issue worth watching closely.
Our community has worked hard to build a strong, forward-thinking region — and maintaining that progress requires sustained investment and advocacy.
Now more than ever, staying engaged and supporting local efforts to secure critical funding will be key to protecting the quality of life we all value in San Diego.
