REPORT/RECOMMENDATION TO THE BOARD OF SUPERVISORS
OF SAN BERNARDINO COUNTY
AND RECORD OF ACTION
February 24, 2026
FROM
JASON ANDERSON, District Attorney
SUBJECT
Title
Grant Award Agreement with the Insurance Commissioner of the State of California for the Organized Automobile Fraud Activity Interdiction Program
End
RECOMMENDATION(S)
Recommendation
1. Approve Grant Award Agreement with the Insurance Commissioner of the State of California to accept $497,031, for the prosecution and elimination of organized automobile insurance fraud activity in San Bernardino County, for the period of July 1, 2025 through June 30, 2026.
2. Authorize the Chief Deputy District Attorney to electronically sign and submit the Grant Award Agreement and non-substantive amendments in relation to the acceptance of the Grant Award Agreement, subject to review by the County Counsel.
3. Adopt Resolution, as required by the California Department of Insurance, authorizing the Chief Deputy District Attorney to electronically sign and submit all documents and non-substantive amendments in relation to the acceptance of this Grant Award Agreement, subject to review by County Counsel.
4. Direct the Chief Deputy District Attorney to transmit the Grant Award Agreement and any non-substantive amendments, to the Clerk of the Board of Supervisors within 30 days of execution.
(Presenter: Michael Fermin, Chief Assistant District Attorney, 382-3662)
Body
COUNTY AND CHIEF EXECUTIVE OFFICER GOALS & OBJECTIVES
Operate in a Fiscally-Responsible and Business-Like Manner.
Provide for the Safety, Health and Social Service Needs of County Residents.
FINANCIAL IMPACT
Approval of this item will not result in the need for additional Discretionary General Funding (Net County Cost). This grant will allocate $497,031 from the Insurance Commissioner of the State of California to support the following existing positions within the County’s Organized Automobile Fraud Activity Interdiction Program (Program): one Deputy District Attorney IV and one District Attorney Senior Investigator. The funding source for this grant comes from annual assessments levied against insurers, amounting to $0.560 per insured vehicle. No matching funds are required.
BACKGROUND INFORMATION
Under the direction of the Insurance Commissioner of the State of California and pursuant to California Insurance Code Section 1874.8, the California Department of Insurance (CDI) administers the Program. In accordance with the direction provided in Insurance Code Section 1874.8(b)(3), the Department is a member of the Urban Grant Task Force, created in 2000, consisting of investigators from the Department, Riverside County District Attorney, Department of Insurance and California Highway Patrol. This successful collaboration has resulted in the investigation and prosecution of several large-scale fraud schemes in the County.
Since approval by the Board of Supervisors (Board) on December 19, 2000 (Item No. 64), CDI has distributed grant funds to district attorneys statewide for the purpose of investigating and prosecuting organized automobile fraud throughout the Inland Empire. CDI relies heavily on local law enforcement agencies to investigate and prosecute insurance fraud. The CDI, responsible for overseeing and setting insurance rates, is dedicated to investigating and prosecuting fraud to prevent unfair cost increases for those insured. CDI refers cases directly to the Department for investigation and prosecution in addition to cases that are received directly from local police departments. The acceptance of this grant aligns with the goal of providing for the safety of County residents by assisting the Department in funding the prosecution and elimination of these crimes.
On June 25, 2024 (Item No. 61), the Board authorized the Department to submit a grant application to the California Insurance Commissioner requesting funding for the Program for a three-year period effective July 1, 2024 through June 30, 2027. This is a three-year grant cycle, but the Department receives the official award notice on an annual basis, which is taken to the Board for approval.
On January 7, 2026, the Department received notification from the California Insurance Commissioner of the County’s grant award in the amount of $497,031 for the period of July 1, 2025 through June 30, 2026.
On January 20, 2026, the Department received notification that the Grant Award Agreement would come from their online Grants Management System and would require electronic signature via DocuSign on January 21, 2026, which would be due on February 20, 2026. The date to return the electronically signed Grant Award Agreement has been extended to February 27, 2026 to ensure adequate time to obtain Board approval.
This item is being presented at this time, as it is the first available date following required operational, fiscal and legal review. Approval of the grant award by the Board at this time will have no impact on the Department’s grant-related services and activities.
The CDI requires the Resolution from the Board authorizing the Chief Deputy District Attorney to electronically sign and submit the agreement.
PROCUREMENT
N/A
REVIEW BY OTHERS
This item has been reviewed by County Counsel (Daniella Hernandez, Deputy County Counsel, 387-3121) on January 28, 2026; and County Finance and Administration (Elias Duenas, Administrative Analyst, 387-4052) on February 3, 2026.