Chico State Received $8 Million Teacher Training Grant
The federal funding will support a new residency program to address the rural teacher shortage in Northern California.
Updated on Oct. 12, 2026 in Financial Aid

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Chico State has secured a federal grant totaling nearly $8 million to launch the Rural Opportunities for Outstanding Teaching & Schools program. The initiative aims to train 60 new elementary educators over the next five years to help fill critical staffing gaps in the region.
Why it matters
This program provides a direct pathway for aspiring teachers to earn credentials while receiving financial support. It specifically targets the need for 170 new elementary teachers in the North State by 2026-27.
The grant provides each participant with a $42,000 stipend to cover living expenses during the five-year project. Residents will complete a Master of Arts in Teaching and a multiple subject teaching credential.
The players
Chico State
This is a public university located in Chico, California, that serves as the central hub for the new teacher residency program.
U.S. Department of Education
This federal agency is responsible for providing the nearly $8 million grant used to fund the training initiative.
Thermalito Union Elementary School District
This is a public school district in Northern California that will serve as a placement site for teacher residents.
Palermo Union Elementary School District
This is a local school district participating in the program to help alleviate regional teaching shortages.
The details
Participants engage in a yearlong residency featuring graduate coursework and clinical practice in districts like Thermalito Union and Palermo Union. Classes are held at night, allowing residents to maintain their clinical roles in schools during the day.
Timeline
170 elementary teachers will be needed in the North State for the 2026-27 school year.
The first group of students will begin classes in the summer of 2027.
The first group is scheduled to begin working in partner school districts in the fall of 2027.
Culture Shift
This program aligns with a broader push in Northern California to develop localized talent pipelines for rural schools. It marks a shift away from reliance on external hiring by investing in regional residency models to solve localized workforce shortages.
Aspiring educators in the Chico area can now apply for a $42,000 stipend to support their graduate studies and credentialing process. This program lowers the barrier to entry for local students to join the teaching profession while meeting a critical regional workforce demand.
The takeaway
This grant offers a significant financial cushion for students pursuing a career in teaching during a period of high regional demand. Prospective applicants should prepare for upcoming recruitment cycles to take advantage of the residency and stipend opportunities.
What happens next
Recruitment for the program will begin soon, with applications for the first cohort due in the spring.
Further reading
Learn more about local education funding opportunities on the Financial Aid section page.
Source note: This article includes information reported by Action News Now.
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