"California officials estimate the policy shift could mean a loss of $250 million to $300 million in grant money this year for local homeless housing sites and rental assistance programs statewide. Trump's plans will only exacerbate the problems created by his administration's failures, putting formerly homeless people who have found stable housing back out on the streets, the office of Gov. Gavin Newsom, a critic of the president, said in a statement."
"The long-anticipated updates were made official on Thursday, when the U.S. Department of Housing and Urban Development posted notice for $3.9 billion in Continuum of Care funding, the primary source of federal homelessness dollars. According to the new funding guidelines, local governments will only be allowed to use 30% of those dollars on permanent housing or rental aid, freeing up more money for transitional housing and sober-living programs."
The Trump administration is redirecting Continuum of Care homelessness funding toward shorter-term housing, outreach, and programs with work, treatment, and encampment-closure conditions. HUD posted notice for $3.9 billion in funding and limited local use to 30% for permanent housing or rental aid, shifting funds to transitional and sober-living programs. California currently uses 87% of those funds for long-term housing; officials estimate a $250–$300 million loss for local housing sites and rental assistance this year. State leaders and nonprofits warn that funding gaps could force shelter closures and end rental aid, risking formerly housed individuals returning to homelessness.
Read at www.mercurynews.com
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