Governor Newsom Expands Affordable Housing and Supportive Services for Rural Californians with $118.9 Million in New Federal Funding

Governor Gavin Newsom and the California Department of Housing and Community Development (HCD) today announced nearly $118.9 million in awards from three federally funded programs to address homelessness by funding development of 487 affordable rental homes, supporting emergency shelters and homeless outreach, and providing rapid rehousing and supportive services needed to help low-income Californians attain and maintain housing stability.

“Our nation’s housing crisis doesn’t end at city limits, and we must ensure housing and services are available to all members of our communities. We are grateful for this additional federal funding to ensure that our rural and tribal communities receive the housing support they need and deserve,” said Governor Newsom. 

In 2021, the U.S. Congress appropriated $5 billion from the American Rescue Plan Act to reduce homelessness nationwide. Of that amount, $512 million was awarded directly to California communities by the U.S. Department of Housing and Urban Development (HUD). Another $155 million went to HCD to implement HOME Investments Partnerships American Rescue Plan (HOME-ARP) programs in California for those non-entitlement jurisdictions—specifically rural communities and unincorporated areas—that did not receive funding directly from HUD.

HCD’s HOME-ARP Rental Housing (RH) program announced ten awards totaling $89 million, including two awards to Tribal Entities. The Yurok Indian Housing Authority and Big Valley Band of Pomo Indians received a combined $18.7 million to fund 31 HOME-ARP assisted units. 

“Housing affordability and homelessness affect all areas, not just our large, metro areas,” said Tomiquia Moss, Business, Consumer Services and Housing Secretary. “The State works diligently to provide and channel funding to all counties, to provide local providers the support needed to ensure programs in their communities deliver real results. This funding does just that and I pledge our continued support for local governments in their work to lessen and eliminate homelessness and create more affordable housing.” 

“By providing much-needed resources to rural and tribal communities, these awards help address our homelessness crisis and meet the critical needs of these residents,” said HCD Director Gustavo Velasquez. “Federal support ensures the state continues its stride toward providing housing stability and affordability for all.” 

The HOME-ARP RH awards announced today will fund much-needed affordable rental housing in the counties of Del Norte, El Dorado, Kings, Lake, Madera, Mendocino, Merced, Monterey, and Placer. The ten projects awarded will include a total of 487 affordable rental homes, including 184 HOME-ARP funded units for low-income households and other qualifying populations. This includes people experiencing or at risk of homelessness, those fleeing violence or human trafficking, and others at greatest risk of housing instability. 

HCD also announced six awards totaling $26.4 million from its HOME-ARP Housing Plus Support Program (HPSP), which takes a person-centered, harm-reduction approach to reducing homelessness and increasing housing stability. HOME-ARP HPSP will support households who are currently experiencing homelessness, as well as those who will benefit from services designed to prevent homelessness.

Nonprofit supportive service providers and Tribal Entities with experience in providing case management and housing navigation services were eligible for HOME-ARP HPSP. Awards were made to the top-scoring applicant from each of five regions, as well as the top-scoring Tribal applicant, as follows:

• Region 1: Northern California—True North Housing Alliance, Inc.; $6,534,000 (Primarily serving Butte County)
• Region 2: Bay Area—SHELTER, Inc.; $3,267,000 (Primarily serving Solano County)
• Region 3: Central California—Kings Community Action Organization; $6,831,000 (Primarily serving Kings County)
• Region 4: Greater Los Angeles—N.O.A.H.’s Foundation; $3.267,000 (Primarily serving Los Angeles County)
• Region 5: Southern California—His Daughter’s House; $3.267,000 (Primarily serving Riverside County)
• Tribal Target: Yurok Indian Housing Authority; $2,970,000 (Primarily serving Humboldt County)

Bolstering these efforts to address California’s decades-long crisis of homelessness, HCD was also pleased to announce 19 awards totaling $3.4 million through the Emergency Solutions Grants (ESG) program’s competitive Balance of State awards. These federal funds may be used to engage Californians experiencing homelessness, support emergency shelters and the services they provide, and rapidly rehouse Californians experiencing homelessness.