Funding for Homelessness Put on Hold

In a surprise announcement last Thursday, Governor Newsom alerted local officials that he will hold a convening with local leaders in mid-November to improve the collective approaches to addressing homelessness, and that he is holding back on releasing the third round of funding under the Homeless Housing, Assistance, and Prevention (HHAP) grant program until this convening. The Governor expressed dissatisfaction with the Homeless Action Plans submitted to date by local jurisdictions and effectively rejected them all. In a press release announcing the move, the Governor highlighted that the plans project only a 2% reduction in homelessness throughout the State over a four-year period.

For the first time, local governments must submit a plan in order to be eligible for HHAP funding. The plans are intended to identify the programs, policies, and funding that will be used to reduce the number of unsheltered people and to increase permanent housing options. In addition, the plans must provide detailed outcomes and strategies with clear metrics that can measure success.

The third round of HHAP funding would have provided a total of $1 billion to all 58 counties, every Continuum of Care, and the 13 largest cities. HHAP funds activities such as rapid rehousing, operating subsidies in supportive housing units, street outreach, services coordination, interim and permanent housing. The mid-November convening with local leaders will focus on a collective review of the approach to homelessness statewide, discussing the barriers localities are facing, strategies, and best practices that are being employed to respond to the crisis.