Golden State Today

Governor Gavin Newsom has announced new funding and tools to expedite the development of supportive housing in California. Local communities now have access to approximately $2.145 billion from Proposition 1, approved by voters in March 2024, to develop permanent supportive housing for veterans and others in need.

The initiative includes streamlined permitting processes aimed at accelerating the construction of housing projects. Governor Newsom emphasized the urgency of the situation, stating, "The state has fulfilled its promise to help provide California communities with the tools and funding to build new housing with urgency and with an eye to our state’s veterans."

The Homekey+ Notice of Funding Availability (NOFA) will accept applications starting January 2025. This funding is available to cities, counties, local public entities, and both federally and non-federally recognized Indian tribes within California. A separate $121 million Tribal Homekey+ NOFA was also released.

Proposition 1 is a significant step towards reducing homelessness and includes a $6.4 billion Behavioral Health Bond for treatment settings and housing services. Tomiquia Moss, Business, Consumer Services and Housing Secretary, stated that these funds would provide essential resources for local governments and tribes.

Homekey+ builds on previous efforts by supporting the acquisition and rehabilitation of existing buildings into permanent supportive housing (PSH). It also offers gap financing for shovel-ready projects with prior awards from HCD or other sources.

HCD Director Gustavo Velasquez highlighted the opportunity provided by voters: "The voters of California have given us a historic opportunity to extend housing and wide-ranging supports to those most critically in need."

California continues addressing its long-standing homelessness crisis. Recent data indicates about 181,000 Californians experienced homelessness in 2023. The lack of affordable homes remains a key issue driving this challenge.

For more information on these initiatives, visit HCD’s Homekey+ website.