Creates the Public Empowerment and Community Act and provides that the Act may be referred to as the PEACE Act. Requires the Department of Human Services to establish and administer the PEACE Grant Pilot Program, subject to appropriation. Requires the Department to award annual grants to eligible grantees to create and strengthen community-based alternatives to law enforcement to lessen the reliance on law enforcement agencies as first responders to crisis situations unrelated to fire department or emergency medical service response. Provides that each grantee shall receive a minimum award of $250,000 per year and that the community-based alternatives may include, but are not limited to, mobile crisis response teams or community paramedicine programs. Requires the Department to prioritize grantees that propose interventions that serve historically marginalized populations and that serve communities with a demonstrated need for community-based alternatives to law enforcement. Contains provisions on grantee requirements and reports; a stakeholder workgroup; a public report by the Department; the Public Empowerment and Community Engagement Program Fund; and other matters. Provides that the Act is repealed on December 31, 2028. Amends the State Finance Act to include the Public Empowerment and Community Engagement Program Fund as a special fund. Effective immediately.