FRESNO, Calif. (FOX26) — While homelessness continues to rise across much of the country, California is reporting a rare shift in the opposite direction.
On Friday, Governor Gavin Newsom announced hundreds of millions of dollars in new funding aimed at helping cities move people off the streets, at a time when federal support for homelessness programs faces uncertainty.
The Golden State is seeing its first reduction in homelessness in more than 15 years, a 9% drop statewide.
According to the state auditor, 10 years ago, California ranked 49th out of 50 states in housing units, contributing to the rise in homelessness.
“I’m tremendously proud of the progress we’re making. Before I got here between 2015 and 2019, we saw an almost 52% increase in unsheltered homelessness. We’ve made real progress in the last few years,” said Governor Gavin Newsom.
State leaders say that progress is tied to long-term investments in housing, mental health care, and accountability for local governments.
The work doesn’t stop there.
On Friday, Newsom announced more than $419 million in new funding for three major cities in the state through the state’s Homeless Housing Assistance and Prevention program.
“I thought that was important last year because it marked a moment of progress. And we said more is coming. And this year, we’re seeing that progress continue,” said Newsom.
The funding will help local governments maintain emergency shelters, expand interim housing, and support permanent housing.
State officials say the announcement comes as the Trump administration moves to reduce funding for public programs tied to homelessness.
“We can also mark the challenges that we face and this nation faced during COVID, during those peak moments. In 2021, 22, where we saw a lot of challenges, particularly as it relates to what was happening on the streets and sidewalks all across the United States, including here in California,” said Newsom.
So far, California has invested nearly $5 billion through HHAP since the program began.
The funding also builds on Proposition 1, which expands behavioral health services.
One example of that is the new “Village SF Wellness Center” in San Francisco.
Where it was awarded 31.4 million from Prop 1.
It will house 60 residential substance use disorder beds, 107 mental health outpatient slots, and 100 wellness slots.
More than a million Californians live with serious mental illness, and state leaders say expanding treatment options is critical to preventing people from ending up on the streets.
The state says another $500 million in homelessness funding is planned for next year.
Newsom says the goal is not just to manage homelessness, but to reduce it with housing, mental health care, and local government working together.