What’s in the Governor’s 2022-23 May Revision Budget Regarding Homelessness?

  • The Administration’s commitment to extend the Homeless Housing, Assistance and Prevention Program at current levels ($1 billion) for additional years beyond FY 2022-23.
  • An additional $150 million for Homekey in the current year for a total of $2.9 billion in Homekey funding over two years.
  • $500 million over two years to house unsheltered individuals on state-owned land through grants to local governments for interim housing and site preparation.
  • $10.6 million General Fund annually for three years to continue to provide emergency transitional housing services to individuals who would otherwise be at risk of being unhoused at the time of their release.
  • $3 million one-time General Fund to provide transitional housing to youth discharged from CDCR’s Division of Juvenile Justice by the Board of Juvenile Hearings in 2022-23.
  • Nearly $65 million to administer Community Assistance, Recovery and Empowerment (CARE) Court to help deliver community-based behavioral health services and supports to Californians living with untreated schizophrenia spectrum or other psychotic disorders.

Programs and activities in the May Revision Budget regarding homelessness include: 1) Homeless Housing, Assistance and Prevention (HHAP) Program; 2) Interim to Permanent Housing Placements; 3) Transitional Housing for Formerly Incarcerated Individuals; and 4) Community Assistance, Recovery and Empowerment (CARE) Court.

Note: Text in italics under numbers 1 – 3 below are direct quotes from the Housing and Homelessness Budget Summary chapter and text in italics under number 4 is a direct quote from Health and Human Services Budget Summary chapter.

  1. Homeless Housing, Assistance and Prevention (HHAP) Program
  • Extending HHAP at Current Levels

As part of the 2021 Budget Act, $1 billion is currently available for HHAP in 2022-23. The Administration is committed to extending HHAP at current levels for additional years beyond 2022-23, pending further discussion with the Legislature to meaningfully increase outcomes and accountability on local HHAP spending to focus on highest priority needs, such as encampment resolution, Homekey operating sustainability, and CARE Court housing supports.

  • Local Homelessness Plans a Condition of Receiving Funding

As a condition of receiving funding through the Homeless Housing, Assistance and Prevention (HHAP) Program, local governments are required, by June 30, 2022, to submit local homelessness action plans to Cal-ICH. These local homelessness plans will provide the baseline information to measure the progress of local jurisdictions as they outline the steps that will be taken to achieve outcomes. In addition, the state will employ local homelessness action plans submitted by overlapping cities, counties, and Continuums of Care as a tool to create stronger regional coordination, aligned goals, and joint opportunities for impact and accountability.

  1. Interim to Permanent Housing Placements
  • Additional $150 Million for Homekey

The May Revision proposes an additional $150 million in the current year, for a total of $2.9 billion in Homekey funding over two years.

  • House Unsheltered Individuals on State-owned Land

The May Revision also includes $500 million over two years to house unsheltered individuals on state-owned land through grants to local governments for interim housing and site preparation. Interim housing placements will provide bridge housing for unsheltered individuals who can be transitioned into long-term housing placements that will be created over the next few years through the Behavioral Health Continuum Infrastructure Program, the Community Care Expansion Program, and additional rounds of the Homekey Program.

  1. Transitional Housing for Formerly Incarcerated Individuals
  • Continue Returning Home Well Program

The California Department of Corrections and Community Rehabilitation (CDCR) established the Returning Home Well Program during the pandemic to provide emergency transitional housing services to individuals who would otherwise be at risk of being unhoused at the time of their release. The Governor’s Budget included $10.6 million General Fund annually for three years to continue Returning Home Well while providing the opportunity to assess the ongoing needs of the released population. 

  • Youth Discharged from CDCR’s Division of Juvenile Justice 

The May Revision builds on this investment by adding $3 million one-time General Fund to provide transitional housing to youth discharged from CDCR’s Division of Juvenile Justice by the Board of Juvenile Hearings in 2022-23. Transitional housing will be available to youth who are at risk of homelessness upon their release to support them in successfully reentering their communities. For more information, see the Criminal Justice Chapter.

  1. Community Assistance, Recovery and Empowerment (CARE) Court
  • Investments to Administer CARE Court

CARE Court is a new court process to deliver community-based behavioral health services and supports to Californians living with untreated schizophrenia spectrum or other psychotic disorders. CARE Court is intended to serve as an upstream intervention for the most severely impaired Californians to prevent avoidable psychiatric hospitalizations, incarceration, and Lanterman-Petris-Short Mental Health Conservatorship. 

The May Revision includes the following investments to administer CARE Court: 

  • Supporter Program—$10 million General Fund ongoing to the Department of Aging for the CARE Court Supporter Program to help the participant understand, consider, and communicate decisions by providing the tools to make self-directed choices to the greatest extent possible.
  • Training and Technical Assistance—$15.2 million General Fund in 2022-23, $1.1 million General Fund annually between 2023-24 and 2026-27, and $1.3 million General Fund annually ongoing for the Department of Health Care Services to provide training and technical assistance to counties, data collection, and evaluation.
  • Judicial Branch—$39.5 million General Fund in 2022-23 and $37.7 million ongoing for the Judicial Branch to conduct CARE Court hearings and provide resources for self-help centers. 

The Administration continues to work with counties to estimate costs associated with this new court process.

What’s Next 

The May Revision Budget is forwarded to the Legislature. Each house of the Legislature then finalizes its version of the budget. A legislative conference committee may meet to resolve differences. Legislative leaders and the governor meet to address outstanding issues.

The Legislature has until midnight on June 15 to get a balanced budget bill to the Governor. The Governor will then have twelve working days to sign the budget bill, which becomes law upon his signature.

2 Comments

  1. Janice Souza Miller on May 17, 2022 at 11:52 am

    While the need for housing is critical, Food Banks across the State has also seen a staggering increase in those experiencing food insecurity. Over the past several years, the Stockton Emergency Food Bank has worked diligently and creatively to address the growing demand for nutritious food and basic essentials within the community during the pandemic. Last year, the Emergency Food Bank served 235,376 families (close to 950,000 individuals), which was a 32% increase over 2020 and 2020 saw a 43% increase over 2019 (pre-pandemic). Additionally, we have expanded our DoorDash delivery program from 35 clients referred in partnership with 211 Family Resource & Referral Services to a weekly total of 550 clients being served.

    This has created a tremendous stress on the capacity of the Stockton Food Bank and, although the pandemic appears to be subsiding, we are now seeing an increase in the working poor and middle income residents seeking assistance as a result of the highest inflation surge seen in over forty years. According to a recent study by the Northwestern University’s Institute for Policy Research, 20% of Californians are living with hunger and food insecurity today. That’s a staggering 8 million people across the state…and we don’t see the need for food and nutrition assistance decreasing anytime soon, especially in disadvantaged communities such as Stockton.

    We ask that you include funding for capacity building within local Food Banks such as Stockton/San Joaquin County
    so that we can continue to provide critical food and services to our residents. Thank you for your consideration.

  2. Steve Peterson on May 19, 2022 at 9:27 am

    I was there was more in here for Mental health and substance abuse for the homeless who we are trying to house. the labor intensive work is in case management and providing those needed wrap around services. the majority of our unsheltered neighbors suffer from poor mental health or substance abuse issues or both at the same time. It is not enough to just get them into housing. we need those crucial connecting services.

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