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Bay Area Homelessness Programs Threatened by Funding Cuts as County Counts Diverge

Sacramento’s budget proposal with federal cutbacks will eliminate grants funding shelter beds and outreach in counties showing opposite homelessness trends

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Overview

  • The California Legislature’s $325 billion preliminary budget for 2025-26 eliminates the Homelessness Housing, Assistance and Prevention Program, risking $760 million in unallocated grants.
  • Santa Clara County’s Point-in-Time count tallied 10,711 unhoused residents this January, an 8.2% rise since 2023 despite $446 million directed toward homeless solutions in 2024-25.
  • Sonoma County recorded its lowest homeless count since 2007 at 1,952 individuals, a 23% decline after adding about 400 permanent supportive housing beds.
  • The number of homeless families in Sonoma County rose 37% to 78 and chronic homelessness climbed 20%, highlighting uneven progress even as overall counts fall.
  • San Jose faces the loss of roughly 550 temporary housing beds and $30 million in state funding for shelter operations without alternative revenue, as federal cuts to housing vouchers loom.