By Vanguard Staff
SACRAMENTO, Calif. — City leaders, county officials, housing providers and homelessness advocates are urging state leaders to reconsider proposed cuts in the governor’s budget, warning that the reductions could undermine years of progress in addressing homelessness across California.
At issue is the proposed reduction to the state’s Homeless Housing, Assistance and Prevention grant program, known as HHAP, which would be cut to $500 million, half of its historic funding level. The proposal follows through on reductions outlined in last year’s budget agreement and would significantly scale back one of the state’s primary funding sources for local homelessness response efforts.
In a joint letter to the governor and legislative leadership, the League of California Cities, the California State Association of Counties, the California Big City Mayors Coalition and the Bring California Home Coalition called for restoring HHAP funding to $1 billion and committing to ongoing annual investments that reflect the scale of the homelessness crisis.
According to the coalition, reductions to HHAP would likely lead to decreased shelter capacity, the elimination of rental assistance programs and delays or cancellations in the development of supportive housing. While the governor’s proposal includes additional reporting and accountability requirements, the groups cautioned that new administrative burdens should not slow implementation or stall progress.
“The state has a moral responsibility to ensure Californians have a roof over their heads and are connected to the services they deserve,” said League of California Cities President and El Cerrito Mayor Gabe Quinto. “Cities fully expect to be held accountable for the public money we spend to get Californians off the streets and housed, but the state must be a strong funding partner to stem the tide on homelessness.”
Local governments and housing and homeless service providers across the state have used HHAP funds alongside local dollars and report measurable reductions in homelessness as a result of those investments.
“Local governments can’t solve homelessness alone,” said California State Association of Counties President and Santa Clara County Supervisor Susan Ellenberg. “We need the state to partner with us. Unless the state fully funds this successful program, we all risk eroding much of the progress that has been made in counties across the state.”
State officials and advocates point to data showing that HHAP investments have contributed to a 9 percent reduction in unsheltered homelessness statewide, bolstering arguments that the program is producing results.
“HHAP funding has been critical in the state’s recent success reducing homelessness,” said California Big City Mayors Coalition Chair and Riverside Mayor Patricia Lock Dawson. “However, the proposed $500M reduction of Round 7 of HHAP in the Governor’s January budget threatens that success, resulting in the loss of rental assistance, homes, and services for housing families, veterans, and individuals with mental illness. To sustain the progress that has been made, we request that the Governor and Legislature restore HHAP to $1 billion and commit to sustained annual investments to address California’s ongoing homelessness crisis.”
Since 2023, HHAP funding has helped place more than 90,000 people into permanent housing. Advocates warn that at the same time, federal funding cuts and policy changes are placing more than 41,000 people at heightened risk of returning to homelessness.
“We need California to lead now more than ever before, when the federal government is trying to pull the rug out from the thousands of Californians who have made it off the streets,” said Alex Visotzky, senior California policy fellow at the National Alliance to End Homelessness and policy co-chair of the Bring California Home Coalition. “State investment in homeless programs has yielded progress and gotten more people housed, but California must stay the course or lose that progress.”
Advocates argue that stable, long-term state funding is essential to sustaining momentum, strengthening regional coordination and accelerating the pace at which people experiencing homelessness can access permanent housing and supportive services.
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