California leaders are facing criticism for proposing cuts to key homelessness funding sources amidst a significant budget deficit. The Homeless Housing, Assistance and Prevention program, which has helped over 57,000 people find housing, is at risk of being completely defunded in the upcoming 2025-26 budget. Both local mayors and advocacy groups express frustration that the state is moving away from addressing the public's top priority of ending unsheltered homelessness, potentially undoing years of progress. With a $12 billion deficit looming, the future of these critical funds remains uncertain.
"It's extremely frustrating," said San Jose Mayor Matt Mahan, whose city had been receiving about $30 million a year from that pot of homelessness funding - enough to pay for about 1,000 interim housing placements.
The Homeless Housing, Assistance and Prevention program has doled out funds for cities and counties to spend on everything from temporary shelter to services to permanent housing since its creation six years ago.
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