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The Governor’s $14 billion homelessness plan will create 55,000 new housing units and treatment slots in the coming years

SACRAMENTO – Governor Gavin Newsom today announced $68.6 million in awards for six new Homekey projects throughout California. When fully operational, the projects will provide 231 housing units for people experiencing, or at risk of experiencing, homelessness.

Since the announcement of Governor Newsom’s $2.75 billion extension of Homekey last year, the state has approved 61 projects that will create more than 3,400 housing units for unhoused Californians, for a total allocation of more than $968 million.

Homekey funding announced this week will provide support to communities throughout California – from our foothill and coastal areas, through the state’s central valley and southern cities, these awards will make a huge difference in the lives of Californians in need of a hand up,” said Governor Newsom. “Nearly every week we are awarding tens of millions in funding to communities eager to partner with the state to put an end to the homelessness crisis.”

The Governor’s multibillion-dollar homeless housing investments will provide more than 55,000 new housing units and treatment slots in the coming years. Building on last year’s historic $12 billion investment to help get the most vulnerable people off the streets, the California Blueprint proposes an additional $2 billion investment in behavioral health housing and encampment rehousing strategies, creating a total $14 billion package to confront the homelessness crisis.

“With another $68 million in funding announced today, we are nearing the $1 billion mark! This is incredible progress in a very short time, and with funded Homekey projects in every region of California,” said Business, Consumer Services and Housing Agency Secretary Lourdes Castro Ramírez. “The state is continuing to work with care, speed and in partnership with local communities to mitigate homelessness and produce more dignified housing to meet this crucial need across our state.”

“The type of coordination and commitment that we see with Homekey – federal, state and local partners all working together – is exactly what we need all across the board to end our homelessness crisis,” said Department of Housing and Community Development Director Gustavo Velasquez. “I commend all our great partners for their efforts in getting these seven projects started so we may soon be helping unhoused Californians get a roof over their heads.”

Today’s awards include the following projects:

  • Placer County Health & Human Services will receive $23.5 million to acquire and rehabilitate an 82-unit hotel to provide permanent supportive housing for people experiencing homelessness, chronic homelessness and homeless youth or youth at risk of homelessness. AMIH and Placer County Health and Human Services, Adult System of Care Division, will provide supportive services on-site and collaborate with community partners to connect residents to off-site services. The site is within a half mile of public transit, a grocery store, health facility, and youth-specific services.

  • The County of Santa Clara’s Office of Supportive Housing will receive $16.7 million to acquire and convert a 67-unit hotel into 48 permanent housing units for people experiencing homelessness and chronic homelessness, and homeless youth or youth at risk of homelessness. Crestview is nearly occupancy ready and will provide much needed housing and supportive services in the County of Santa Clara in a short period of time. The second phase of this project will be the development of 120 permanent affordable housing units that will help meet the region’s immediate housing needs.

  • The County of Orange will receive $10.7 million for the acquisition and adaptive re-use of a 79-room hotel that will place 40 rooms straight into permanent housing to serve homeless veterans and at-risk homeless individuals. The 40 Homekey units are set aside for individuals at 30 percent or below of the Area Median Income (AMI). The site has walkable access to transportation, a grocery store, and a pharmacy.

  • The Housing Authority of the City of Los Angeles (HACLA) will receive $9.5 million for the 10150 Hillhaven project, which is a 34-unit, new construction multifamily property providing permanent supportive housing targeted for people who are experiencing homelessness or at-risk of experiencing homelessness. On-site support services will include case management, service coordination, education and employment services, and transportation. Off-site amenities, located within a half mile of the project include a transit stop, full-service grocery store, health facility, and a pharmacy.

  • The County of Santa Cruz will receive $6.4 million to purchase a motel that will be converted into 20 permanent supportive housing units that will serve the chronically homeless and veterans at risk of homelessness. The 20 units are for individuals at 30 percent of AMI. Off-site amenities, located within two miles of the project, include a bus line, full-scale grocery store, and a library.

  • The City of Modesto will receive $1.7 million for the acquisition of a newly constructed, seven-unit apartment building. Shortly after acquisition, the project will quickly provide homeless and chronically homeless households with permanent supportive housing. Residents will be offered comprehensive services that include case management, physical and behavioral health services, employment readiness, and educational support. The project site is located within one-half mile of a public transit stop, grocery store, library, and a pharmacy.

Additional Homekey awards will be announced in the coming weeks. Completed applications will be accepted on a rolling basis until funds are exhausted or May 2, 2022, whichever comes first. For more information, please visit the Homekey webpage. The Department of Housing and Community Development has also created the Homekey Awards Dashboard where Californians can track Homekey project awards by dollar totals, project type, progress and region. The dashboard is updated in real time as additional projects are approved.

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