State and Local Cybersecurity Grant Program Reauthorization Act

Bill Summary: State and Local Cybersecurity Grant Program Reauthorization Act (S. 3251)

Overview

The State and Local Cybersecurity Grant Program Reauthorization Act is a targeted piece of legislation designed to extend and fund the existing federal grant framework that helps state, local, tribal, and territorial governments enhance their cybersecurity posture. By amending the Homeland Security Act of 2002, this bill ensures that critical infrastructure and government entities continue to receive federal financial support to defend against evolving cyber threats.

Purpose and Intent

The primary intent of this bill is to prevent a lapse in funding for the State and Local Cybersecurity Grant Program. The program is designed to help lower levels of government implement cybersecurity best practices, upgrade outdated technology, and develop comprehensive incident response plans.

Key Provisions

1. Extension of Program Timeline

The bill extends the termination date of the grant program. Previously set to expire on September 30, 2025, the new expiration date is moved to September 30, 2026, providing an additional year of operational continuity.

2. Funding Authorization

The Act authorizes a specific appropriation of $300,000,000 for fiscal year 2026. This ensures that the Department of Homeland Security has the legislative authority to allocate funds to eligible grant recipients for that year.

3. Adjustment of Federal Cost-Sharing

The bill modifies the "Federal share" (the percentage of project costs covered by the federal government), adjusting the cost-sharing requirements for fiscal year 2026:
* Standard Grant Rate: The federal share is set at 60% for fiscal year 2026.
* Alternative Rate: In specific circumstances (as defined by the underlying Homeland Security Act), the federal share increases to 70% for fiscal year 2026.

Who is Affected?

• State, Local, Tribal, and Territorial Governments: These entities will continue to have access to federal grants to fund cybersecurity upgrades and staffing.
• Department of Homeland Security (DHS): DHS will maintain its role in administering these grants and overseeing the distribution of the $300 million.
• Critical Infrastructure Providers: Indirectly, the security of local utilities, emergency services, and public health systems is bolstered when the local governments overseeing them are better defended.

Procedural Status

The bill was introduced in the Senate on November 20, 2025, and has been referred to the Committee on Homeland Security and Governmental Affairs.