Gavin Newsom, Governor of California | Official website
The state of California has announced the allocation of $75.5 million in voter-approved Proposition 1 funding to create 200 new permanent supportive homes in Oakland, Santa Clara, and Ventura. The funding, awarded through the Homekey+ program, aims to provide housing for individuals experiencing or at risk of homelessness who are also living with behavioral health challenges.
Proposition 1 was approved by voters in 2023 and is designed to transform California’s mental health systems with a $6.4 billion Behavioral Health Bond. This bond supports housing, services, and treatment for veterans and people experiencing homelessness.
To date, Homekey+ has distributed $178.4 million across ten projects that will result in 518 affordable homes with supportive services throughout the state. Of these units, 88 are reserved specifically for veterans facing homelessness with behavioral health needs.
Governor Gavin Newsom commented on the progress: “California is outperforming the nation in reversing the homelessness crisis by executing a strategic, all-in approach that will produce positive results now and in the future. Thanks to the voters, we now have greater resources to continue to meet the moment, connecting more people at risk of or experiencing homelessness with the housing, treatment, and supportive services they need.”
Specific awards include $40.5 million to Santa Clara County and Abode Housing Development for the Algarve Community Apartments Project—90 units of permanent supportive housing for those facing homelessness due to behavioral health issues; nearly $28 million to Ventura County partners Many Mansions and DignityMoves for an 88-unit project in Camarillo; and nearly $7.1 million to Oakland’s Danco Communities and Operation Dignity for The Maya project converting a hotel into 23 studio apartments.
Business, Consumer Services and Housing Agency Secretary Tomiquia Moss stated: “California’s Homekey+ continues to help people experiencing homelessness gain access to affordable and stable housing, while providing vital connections to critical supportive services that keep people housed... The projects awarded build on the Governor’s commitment to create housing for all Californians, especially our most vulnerable.”
Gustavo Velasquez, Director of California Department of Housing and Community Development added: “Through the Homekey+ program, we are able to connect our deserving veterans—and other Californians facing behavioral health challenges—to housing stability and the critical services needed to help them maintain that newfound stability... We are grateful for the opportunity California voters provided to build on the successes of Homekey statewide and help house Californians most in need.”
Recent data released by state officials shows reduced rates of homelessness across several communities in California. While national figures indicated an over 18% increase in homelessness during 2024, California limited its overall increase to just 3%, a rate lower than that seen in forty other states. The growth rate of unsheltered homelessness was held at only 0.45% compared with a national rise nearing seven percent. The state also recorded significant reductions among homeless veterans as well as youth populations.
Governor Newsom’s administration attributes these outcomes partly to policy changes such as expanded community treatment centers aimed at addressing longstanding shortfalls in behavioral health beds—a gap estimated at about 7,000 beds prior to recent investments—and reforms targeting conservatorship laws alongside creation of CARE courts offering court-ordered plans up to two years for those struggling with untreated mental illness or substance use disorders.
In addition, new laws have been enacted streamlining processes around building new housing units by removing systemic barriers like certain CEQA requirements; accountability measures have been implemented ensuring local governments participate actively; support has increased for clearing encampments following legal affirmation from the Supreme Court regarding local authority on this issue; and executive orders have directed coordinated efforts between state entities and municipalities.
Approximately $1.033 billion remains available through Proposition 1 bond funds via Homekey+ specifically earmarked for veteran-serving projects led by cities, counties or tribal authorities. An additional $1.11 billion is accessible combining Prop 1 resources with Homeless Housing Assistance & Prevention (HHAP) program funds targeting broader populations including youth or rural residents at risk.
Homekey+ applications continue under rolling review as part of ongoing efforts responding both regionally—based on proportions such as veteran population share—and demographically according priority status like extremely low-income households whose rent exceeds half their income.
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