GOVERNOR'S VETO

GV Bill Id:AB 1845

Author:(Luz Rivas and Chiu)

As Enrolled Ver:September 4, 2020

2/3 vote

SUMMARY:

Establishes the Office to End Homelessness under the direction of the Secretary of Housing Insecurity and Homelessness.

The Senate Amendments:

1. Change the name of the "Housing Insecurity and Homelessness of the Office to End Homelessness" to the "Homelessness of the Office to End Homelessness."
2. Remove the requirement for agencies and departments to collectively track individuals exiting state-funded institutions, including foster care and, instead, only require they identify and assist such individuals, as provided.
3. Provides that the Bagley-Keene Open Meeting Act does not apply to a meeting of a working group, task force, or other structure within the membership if only a minority of members of the Homelessness Coordinating and Financing Council participate in that working group, task force, or other structure.
4. Make clarifying and technical changes.
5. Add chaptering language to reflect changes made by SB 815 (Committee on Budget and Fiscal Review) of the current legislative session.

Governor's Veto Message:

This bill would establish the Office to End Homelessness within the Office of the Governor and realign several of the state's ongoing efforts related to homelessness.

I sincerely appreciate the author's leadership on this issue and the intent of this bill, but I do not support this particular vision of organizational restructuring at this time.

Homelessness has been and remains one of my top priorities, commanding the dedicated attention of a Senior Counselor on Homelessness and Housing in the Governor's office and the dedication of senior members of my Administration including multiple Agency Secretaries. Since taking office in January 2019, we have invested over $2 billion in new, direct aid for homelessness. I am also proud of our work to implement Project Roomkey and Homekey, which help to protect homeless Californians from COVID-19 during this pandemic.

These initiatives and investments demonstrate our commitment to prioritizing this vulnerable population, no matter what other challenges we confront. And they serve as a proof point of the interagency coordination we have led to develop and implement them successfully.

Homelessness must not be considered in a vacuum.

Our Administration has taken a demonstrably integrated approach to preventing and ending homelessness by empowering leaders in the health care and housing space to work together on coordinated solutions.

Separating policy development on homelessness from that on health care or housing will lead to more fragmentation, not less. Looking at homeless spending through a separate lens, divorced from our health care and housing budgets, will lead to more duplication and inefficiency.

There are certainly ways in which we can improve upon state government's collective work in this area. However, I am not convinced that the approach outlined in this bill is the best path forward.

I am committed to partnering with the author and the Legislature next year to continue making progress on this critical issue.

COMMENTS:

California is facing a homelessness and affordable housing crisis. In 2019, on a single night in January, 151,278 people experienced homelessness in California. California has twenty-four percent of the people in the nation experiencing homelessness. Nearly half of all unsheltered people in the country were in California. The number of people experiencing homelessness increased by 17% from 2018 to 2019.

The homeless crisis is driven by the lack of affordable rental housing for lower income people. In the current market, 2.2 million extremely low-income and very low-income renter households are competing for 664,000 affordable rental units. Of the six million renter households in the state, 1.7 million are paying more than 50% of their income toward rent. The National Low Income Housing Coalition estimates that the state needs an additional 1.5 million housing units affordable to very-low income Californians.

Homeless Coordinating and Financing Council (HCFC): SB 1380 (Mitchell), Chapter 847, Statutes of 2016 created the HCFC to coordinate the state's response to homelessness. SB 1380 required all state agencies or departments that operate programs that provide housing or housing-related services to people experiencing homelessness or at risk of homelessness to adopt guidelines and regulations to include Housing First policies. Housing First is an evidence-based housing model that centers on providing people experiencing homelessness with housing as quickly as possible and then providing services as needed. 

The HCFC was given a list of "goals" to focus on but no clear authority to make changes to state policy or programs that address homelessness.

In 2018, the budget included $500 million for the Homeless Emergency Assistance Program (HEAP) to provide localities with flexible block grant funds to address their immediate homelessness challenges. The HCFC was tasked with distributing HEAP. Funding can be used for emergency housing vouchers, rapid re-housing, construction of emergency shelters, among other uses. In 2019, the HCFC was allocated $650 million for the Homelessness Housing, Assistance, and Prevention Program (HHAP) to distribute to local governments – CoCs, counties, and large cities to respond to homelessness. HHAP is similar to HEAP but provides more specificity on how local governments must spending funding and moves away from a priority for emergency shelters and toward permanent housing solutions.

State coordination across homelessness programs: In 2017, the California State Auditor reported the core reason our "homeless population exceeds that of other entities" is due to the fact that "other entities have a single entity charged specifically with addressing homelessness. Furthermore, other entities invest significantly in administering and funding homeless services."

The Legislative Analyst Office recently commented on the state's current approach to addressing homelessness by asserting: "[A] fragmented approach creates various challenges. Addressing a problem as complex and interconnected as homelessness requires the involvement of departments and agencies across the state and collaboration among all levels of government and other stakeholders. A fragmented response creates various challenges, including:

Difficulty tracking all homelessness‑related expenditures across the state;

Difficulty assessing how much the state is spending on a particular approach towards addressing homelessness, for example—prevention versus intervention efforts;

Difficulty determining how programs work collaboratively; and,

Difficulty assessing what programs are collectively accomplishing.

The Senate amendments do not make significant changes to the bill as passed by the Assembly.

According to the Author:

According to the author, "increasing housing costs and stagnating incomes have been the main drivers that cause individuals to fall into homelessness. To help alleviate those pressures, the Legislature and Governor has allocated significant resources in response to the growing crisis. While state funding plays a critical role in the fight against homelessness, funding alone will not solve systemic issues. Continued state investments, combined with significant structural changes to how California oversees, coordinates, and delivers its homelessness programs is essential to ensuring that state and local programs are being utilized.

Arguments in Support:

According to supporters, "AB 1845 (L. Rivas) will create an Office to End Homelessness within Governor's Office, led by a Secretary on Housing Insecurity and Homelessness. As a position directly reporting to the Governor, the Office will have the authority to coordinate the work of state departments, and the accountability over the state direction. The Office will oversee our HCFC and create a new "funders collaborative" that will recruit philanthropy to invest seed funding for promising practices. It will convene state staff to arrive at a core set of standards for housing and housing-based services that would follow evidence-based interventions. And it will institute best practices for preventing Californians from exiting state-funded institutional settings into homelessness."

Arguments in Opposition:

None on file.

FISCAL COMMENTS:

According to the Assembly Committee on Appropriations, this bill specifies using existing state civil service employees, including existing Council staff, and moves Council resources to the new Office to End Homelessness, Therefore, estimated costs for this bill will be offset by existing resources. Further, the Governor's 2020-21 workload budget includes additional funding for the Council. However, to the extent his bill assigns duties to the new office not currently performed by the Council, the office may require additional resources.

VOTES:

ASM HOUSING AND COMMUNITY DEVELOPMENT: 6-1-1

YES: Chiu, Diep, Gloria, Limón, Maienschein, Quirk-Silva

NO: Kiley

ABS, ABST OR NV: Gabriel

ASM APPROPRIATIONS: 15-3-0

YES: Gonzalez, Bauer-Kahan, Bloom, Bonta, Calderon, Carrillo, Chau, Diep, Eggman, Fong, Gabriel, Eduardo Garcia, Petrie-Norris, McCarty, Robert Rivas

NO: Bigelow, Megan Dahle, Voepel

ASSEMBLY FLOOR: 69-0-10

YES: Aguiar-Curry, Arambula, Bauer-Kahan, Berman, Bloom, Boerner Horvath, Bonta, Burke, Calderon, Carrillo, Cervantes, Chau, Chiu, Chu, Cooley, Cooper, Cunningham, Daly, Diep, Eggman, Flora, Fong, Friedman, Gabriel, Gallagher, Cristina Garcia, Eduardo Garcia, Gipson, Gloria, Gonzalez, Gray, Grayson, Holden, Irwin, Jones-Sawyer, Kalra, Kamlager, Lackey, Levine, Limón, Low, Maienschein, Mathis, Mayes, McCarty, Medina, Mullin, Muratsuchi, Nazarian, O'Donnell, Obernolte, Petrie-Norris, Quirk-Silva, Ramos, Reyes, Luz Rivas, Robert Rivas, Rodriguez, Blanca Rubio, Salas, Santiago, Smith, Mark Stone, Ting, Waldron, Weber, Wicks, Wood, Rendon

ABS, ABST OR NV: Bigelow, Brough, Chen, Choi, Megan Dahle, Frazier, Kiley, Patterson, Quirk, Voepel

SENATE FLOOR: 36-2-2

YES: Allen, Archuleta, Atkins, Bates, Beall, Bradford, Caballero, Chang, Dahle, Dodd, Durazo, Galgiani, Glazer, Lena Gonzalez, Grove, Hertzberg, Hill, Hueso, Hurtado, Jackson, Leyva, McGuire, Mitchell, Monning, Moorlach, Nielsen, Pan, Portantino, Roth, Rubio, Skinner, Stern, Umberg, Wieckowski, Wiener, Wilk

NO: Melendez, Morrell

ABS, ABST OR NV: Borgeas, Jones

ASSEMBLY FLOOR: 69-5-5

YES: Aguiar-Curry, Arambula, Bauer-Kahan, Berman, Bloom, Boerner Horvath, Bonta, Burke, Calderon, Carrillo, Cervantes, Chau, Chiu, Chu, Cooley, Cooper, Cunningham, Megan Dahle, Daly, Diep, Flora, Fong, Friedman, Gabriel, Gallagher, Cristina Garcia, Eduardo Garcia, Gipson, Gloria, Gonzalez, Gray, Grayson, Holden, Irwin, Jones-Sawyer, Kalra, Kamlager, Lackey, Levine, Limón, Low, Maienschein, Mayes, McCarty, Medina, Mullin, Muratsuchi, Nazarian, Obernolte, O'Donnell, Petrie-Norris, Quirk, Quirk-Silva, Ramos, Reyes, Luz Rivas, Robert Rivas, Rodriguez, Blanca Rubio, Salas, Santiago, Smith, Mark Stone, Ting, Waldron, Weber, Wicks, Wood, Rendon

NO: Bigelow, Brough, Choi, Kiley, Mathis

ABS, ABST OR NV: Chen, Eggman, Frazier, Patterson, Voepel

UPDATED:

VERSION: September 4, 2020

CONSULTANT: Lisa Engel / H. & C.D. / (916) 319-2085 FN: 0003727

CONCURRENCE IN SENATE AMENDMENTS

CSA1 Bill Id:AB 1845

Author:(Luz Rivas and Chiu)

As Amended Ver:August 27, 2020

Majority vote

SUMMARY:

Establishes the Office to End Homelessness under the direction of the Secretary of Housing Insecurity and Homelessness.

The Senate Amendments:

1. Change the name of the "Housing Insecurity and Homelessness of the Office to End Homelessness" to the "Homelessness of the Office to End Homelessness."
2. Remove the requirement for agencies and departments to collectively track individuals exiting state-funded institutions, including foster care and, instead, only require they identify and assist such individuals, as provided.
3. Provides that the Bagley-Keene Open Meeting Act does not apply to a meeting of a working group, task force, or other structure within the membership if only a minority of members of the Homelessness Coordinating and Financing Council participate in that working group, task force, or other structure.
4. Make clarifying and technical changes.
5. Add chaptering language to reflect changes made by SB 815 (Budget and Fiscal Review Committee) of the current legislative session.

COMMENTS:

California is facing a homelessness and affordable housing crisis. In 2019, on a single night in January, 151,278 people experienced homelessness in California. California has twenty-four percent of the people in the nation experiencing homelessness. Nearly half of all unsheltered people in the country were in California. The number of people experiencing homelessness increased by 17% from 2018 to 2019.

The homeless crisis is driven by the lack of affordable rental housing for lower income people. In the current market, 2.2 million extremely low-income and very low-income renter households are competing for 664,000 affordable rental units. Of the six million renter households in the state, 1.7 million are paying more than 50% of their income toward rent. The National Low Income Housing Coalition estimates that the state needs an additional 1.5 million housing units affordable to very-low income Californians.

Homeless Coordinating and Financing Council (HCFC): SB 1380 (Mitchell), Chapter 847, Statutes of 2016 created the HCFC to coordinate the state's response to homelessness. SB 1380 required all state agencies or departments that operate programs that provide housing or housing-related services to people experiencing homelessness or at risk of homelessness to adopt guidelines and regulations to include Housing First policies. Housing First is an evidence-based housing model that centers on providing people experiencing homelessness with housing as quickly as possible and then providing services as needed. 

The HCFC was given a list of "goals" to focus on but no clear authority to make changes to state policy or programs that address homelessness.

In 2018, the budget included $500 million for the Homeless Emergency Assistance Program (HEAP) to provide localities with flexible block grant funds to address their immediate homelessness challenges. The HCFC was tasked with distributing HEAP. Funding can be used for emergency housing vouchers, rapid re-housing, construction of emergency shelters, among other uses. In 2019, the HCFC was allocated $650 million for the Homelessness Housing, Assistance, and Prevention Program (HHAP) to distribute to local governments – CoCs, counties, and large cities to respond to homelessness. HHAP is similar to HEAP but provides more specificity on how local governments must spending funding and moves away from a priority for emergency shelters and toward permanent housing solutions.

State coordination across homelessness programs: In 2017, the California State Auditor reported the core reason our "homeless population exceeds that of other entities" is due to the fact that "other entities have a single entity charged specifically with addressing homelessness. Furthermore, other entities invest significantly in administering and funding homeless services."

The Legislative Analyst Office recently commented on the state's current approach to addressing homelessness by asserting: "[A] fragmented approach creates various challenges. Addressing a problem as complex and interconnected as homelessness requires the involvement of departments and agencies across the state and collaboration among all levels of government and other stakeholders. A fragmented response creates various challenges, including:

1. Difficulty tracking all homelessness‑related expenditures across the state;
2. Difficulty assessing how much the state is spending on a particular approach towards addressing homelessness, for example—prevention versus intervention efforts;
3. Difficulty determining how programs work collaboratively; and,
4. Difficulty assessing what programs are collectively accomplishing.

The Senate amendments do not make significant changes to the bill as passed by the Assembly.

According to the Author:

According to the author, "increasing housing costs and stagnating incomes have been the main drivers that cause individuals to fall into homelessness. To help alleviate those pressures, the Legislature and Governor has allocated significant resources in response to the growing crisis. While state funding plays a critical role in the fight against homelessness, funding alone will not solve systemic issues. Continued state investments, combined with significant structural changes to how California oversees, coordinates, and delivers its homelessness programs is essential to ensuring that state and local programs are being utilized effectively."

Arguments in Support:

According to supporters, "AB 1845 (L. Rivas) will create an Office to End Homelessness within Governor's Office, led by a Secretary on Housing Insecurity and Homelessness. As a position directly reporting to the Governor, the Office will have the authority to coordinate the work of state departments, and the accountability over the state direction. The Office will oversee our HCFC and create a new "funders collaborative" that will recruit philanthropy to invest seed funding for promising practices. It will convene state staff to arrive at a core set of standards for housing and housing-based services that would follow evidence-based interventions. And it will institute best practices for preventing Californians from exiting state-funded institutional settings into homelessness."

Arguments in Opposition:

None on file.

FISCAL COMMENTS:

According to the Assembly Appropriations Committee, this bill specifies using existing state civil service employees, including existing Council staff, and moves Council resources to the new Office to End Homelessness, Therefore, estimated costs for this bill will be offset by existing resources. Further, the Governor's 2020-21 workload budget includes additional funding for the Council. However, to the extent his bill assigns duties to the new office not currently performed by the Council, the office may require additional resources.

VOTES:

ASM HOUSING AND COMMUNITY DEVELOPMENT: 6-1-1

YES: Chiu, Diep, Gloria, Limón, Maienschein, Quirk-Silva

NO: Kiley

ABS, ABST OR NV: Gabriel

ASM APPROPRIATIONS: 15-3-0

YES: Gonzalez, Bauer-Kahan, Bloom, Bonta, Calderon, Carrillo, Chau, Diep, Eggman, Fong, Gabriel, Eduardo Garcia, Petrie-Norris, McCarty, Robert Rivas

NO: Bigelow, Megan Dahle, Voepel

ASSEMBLY FLOOR: 69-0-10

YES: Aguiar-Curry, Arambula, Bauer-Kahan, Berman, Bloom, Boerner Horvath, Bonta, Burke, Calderon, Carrillo, Cervantes, Chau, Chiu, Chu, Cooley, Cooper, Cunningham, Daly, Diep, Eggman, Flora, Fong, Friedman, Gabriel, Gallagher, Cristina Garcia, Eduardo Garcia, Gipson, Gloria, Gonzalez, Gray, Grayson, Holden, Irwin, Jones-Sawyer, Kalra, Kamlager, Lackey, Levine, Limón, Low, Maienschein, Mathis, Mayes, McCarty, Medina, Mullin, Muratsuchi, Nazarian, O'Donnell, Obernolte, Petrie-Norris, Quirk-Silva, Ramos, Reyes, Luz Rivas, Robert Rivas, Rodriguez, Blanca Rubio, Salas, Santiago, Smith, Mark Stone, Ting, Waldron, Weber, Wicks, Wood, Rendon

ABS, ABST OR NV: Bigelow, Brough, Chen, Choi, Megan Dahle, Frazier, Kiley, Patterson, Quirk, Voepel

SENATE FLOOR: 36-2-2

YES: Allen, Archuleta, Atkins, Bates, Beall, Bradford, Caballero, Chang, Dahle, Dodd, Durazo, Galgiani, Glazer, Lena Gonzalez, Grove, Hertzberg, Hill, Hueso, Hurtado, Jackson, Leyva, McGuire, Mitchell, Monning, Moorlach, Nielsen, Pan, Portantino, Roth, Rubio, Skinner, Stern, Umberg, Wieckowski, Wiener, Wilk

NO: Melendez, Morrell

ABS, ABST OR NV: Borgeas, Jones

UPDATED:

VERSION: August 27, 2020

CONSULTANT: Lisa Engel / H. & C.D. / (916) 319-2085 FN: 0003600

 THIRD READING  

Bill No: AB 1845

Author: Luz Rivas (D) and Chiu (D), et al.

Amended: 8/27/20 in Senate

Vote: 21

SENATE HUMAN SERVICES COMMITTEE: 5-1, 8/10/20

AYES: Hurtado, Beall, Jackson, Pan, Wiener

NOES: Melendez

NO VOTE RECORDED: Jones

SENATE APPROPRIATIONS COMMITTEE: 5-2, 8/20/20

AYES: Portantino, Bradford, Hill, Leyva, Wieckowski

NOES: Bates, Jones

ASSEMBLY FLOOR: 69-0, 6/10/20 - See last page for vote

SUBJECT: Homelessness: Office to End Homelessness

SOURCE: Corporation for Supportive Housing

Housing California

DIGEST:

This bill creates the Governor’s Office to End Homelessness under the direction of the Secretary on Homelessness (Secretary), and moves the Homeless Coordinating and Financing Council (HCFC) from the Business Consumer Services and Housing Agency (BCSH) into the Governor’s Office to End Homelessness.

Senate Floor Amendments of 8/27/20 add chaptering language to reflect changes made by SB 815 (Committee on Budget and Fiscal Review) to the Welfare and Institutions Code Section 8256, which is also amended by this bill.

Senate Floor Amendments of 8/25/20 remove the requirement for agencies and departments to collectively track individuals exiting state-funded institutions, including foster care and, instead, only require they identify and assist such individuals, as provided.

ANALYSIS:

Existing law:

1. Establishes the United States Interagency Council on Homelessness to coordinate a federal response to homelessness and create a national partnership at every level of government and with the private sector to end homelessness. (42 USC 11311)
2. Defines, in federal statute, the word “homeless” for the purpose of housing assistance, to mean an individual or family who lacks a fixed, regular, and adequate nighttime residence, as provided. (42 CFR 91.5)
3. Establishes the BCSH, to include various Departments, as provided. (GOV 12804)
4. Establishes the HCFC to oversee and coordinate the implementation of Housing First guidelines and regulations in California, and to identify resources and services that can be accessed to prevent and end homelessness in California. (WIC 8255 et. seq)
5. Requires the Governor to appoint up to 19 members of the HCFC, as provided. (WIC 8257(c)(1))
6. Requires the Senate Committee on Rules and the Speaker of the Assembly to each appointment one member of the HCFC from two different stakeholder organizations. (WIC 8257(c)(2))
7. Requires the BCSH to provide staff for the HCFC. (WIC 8257(h))
8. Sets specified goals for the HCFC, including: identifying mainstream resources, benefits, and services that can be accessed to prevent and end homelessness in California; to create partnerships among various entities including state agencies, departments, local governments, and nonprofit entities to end homelessness; to identify and seek funding opportunities for state entities that have programs to end homelessness and to facilitate and coordinate those state entities’ efforts to obtain that funding; among others. (WIC 8257(b))

This bill:

1. Establishes the Office to End Homelessness (Office) in the state government within the Governor’s Office and places it under the direct control of a Secretary who reports to the Governor.
2. Requires the Governor appoint the Secretary and requires the Secretary perform all duties, exercise all powers, assume and discharge all responsibilities, and carry out and effect all purposes vested by law in the Office, including contracting for professional or consultant services in connection with the work of the Office.
3. States the Office’s primary purposes are coordination of the state’s homeless programs, services, data and policies, across levels of government and other service providers, as specified.
4. Requires state agencies and departments with representatives on the HCFC, or workgroups established by the HCFC, to report to and coordinate with the Secretary and the Office.
5. Requires the Office serve the Governor as the lead entity for ending homelessness in California and, as such, requires the Office to, among others: fulfill the duties and responsibilities of the HCFC; make recommendations to the Governor and the Legislature; establish a process to identify individuals exiting state-funded institutions and procedures or programs to prevent discharges into homelessness; and collaborate to develop a universal application for developers, service providers, and other entities to apply to agencies and departments represented on the HCFC for funding for homelessness services and housing.
6. Provides that the Office may convene a funder’s workgroup to accomplish activities of the Office, as provided. Also requires the Office to coordinate with staff in the Governor’s office to solicit monetary or in-kind donations as appropriate.
7. Requires the Office coordinate relevant state agencies and departments to reduce the risk of long-term homelessness by developing specific protocols and procedures to help the following populations access housing designed to meet their needs, as provided.
8. Requires the creation of a statewide data system that collects local data through Homeless Management Information Systems and further requires all Continuums of Care operating in California to provide collected data elements, as specified.
9. Makes a variety of changes to moves the HCFC from the BCSH to under the supervision of the Secretary of the Office, including moving existing HCFC staff from the BCSH to the office and eliminating the current position of Deputy Secretary on Homelessness within the BCSH.
10. Requires a state agency or department, to provide, upon request, any relevant information regarding their programs to the HCFC.
11. Adds the goal of developing and implementing a statewide strategic plan on homeless that establishes measurable objectives and strategies to enhance state-level accountability practices to the HCFC’s existing goals.
12. Modifies the membership of the HCFC and creates an advisory committee for the HCFC, as provide. As well as, requires the HCFC regularly seek guidance from and meet with that advisory committee, and moves the following members of the HCFC to that advisory committee.
13. Clarifies that the council is subject to the Bagley-Keene Open Meeting Act and all meetings of the council are subject to the Bagley-Keene Open Meeting Act, except for a meeting of a working group, task force, or other structure within the membership of the HCFC if only a minority of members of the council participate.
14. Provides for the transfer of the HCFC’s staff, executive direct, rights, property, and available funds from the BCSH to the Office.

Background

Homelessness in California. The U.S. Department of Housing and Urban Development’s (HUD) 2019 Annual Point in Time Count Homelessness Report (Report) found that 151,278 individuals were experiencing homelessness on a single night in California. The Report showed that, despite a nationwide decrease in homelessness, California’s numbers increased by 16.4 percent (21,306 individuals) over the prior year.

The health, personal, and economic challenges that chronically homeless individuals and families face and the lack of effective, coordinated services to address these problems often lead to a cycle of housing instability and health deterioration. Persistent homelessness impedes access to needed health and employment services.

Homeless Coordinating and Financing Council. SB 1380 (Mitchell, Chapter 847, Statutes of 2016) created the HCFC to coordinate the state’s response to homelessness. The HCFC was created to identify mainstream resources, benefits, and services that can be accessed to prevent and end homelessness in California. Additionally, the HCFC was intended to create partnerships among state agencies and departments, local government agencies, participants in HUD’s CoC program, federal agencies, the U.S. Interagency Council on Homelessness, nonprofit agencies working to end homelessness, homeless services providers, and the private sector for purpose of arriving at specific strategies to end homelessness. As created by SB 1380, the HCFC was housed within the Department of Housing and Community Development (HCD), which was further responsible for providing staff for the HCFC.

SB 850 (Senate Committee on Budget and Fiscal Review, Chapter 48, Statutes of 2018) moved the HCFC from HCD to the Business, Consumer Services and Housing Agency. SB 850 also authorized the creation of an Executive Director to oversee the HCFC, as well as the allocation of several staff members. SB 850 (Senate Committee on Budget and Fiscal Review, Chapter 48, Statutes of 2018) also allocated $500 million in Homeless Emergency Aid Program (HEAP) block grant funds, which was created to provide one time funding to enable local governments to respond to homelessness. SB 850 made the HCFC responsible for the administration of HEAP funding. In 2019, AB 101 (Committee on Budget, Chapter 159, Statutes of 2019) created the Homeless Housing, Assistance, and Prevention (HHAP) Program. Requiring the HCFC to distribute $650 million in one-time block grants to assist local governments in addressing homelessness.

Coordination of State Homelessness Programs. In California, there are at least 30 different programs relating to homelessness administered by 13 different state agencies and departments. A 2017 Audit of Homelessness in California by the California State Auditor reported that “one factor that contributes to other entities having a lower proportions of unsheltered homeless individuals is the existence of a specific organization dedicated to addressing homelessness.” The audit went on to look at the HCFC and the challenges it faced in addressing homelessness due to lack of permanent staffing and adequate funding. Although some of these challenges were addressed through SB 850 (Senate Committee on Budget and Fiscal Review, Chapter 48, Statutes of 2018), there is still a sense that the HCFC struggles to coordinate the state’s response to homelessness across agencies and departments.

In response to the Governor’s 2020-2021 Budget proposals addressing homelessness, the Legislative Analyst’s Office (LAO) wrote the following regarding California’s current approach to homelessness, “addressing a problem as complex and interconnected as homelessness requires the involvement of departments and agencies across the state and collaboration among all levels of government and other stakeholders. A fragmented response creates various challenges.” The LAO went on to recommend that the legislature develop a homelessness plan that does the following: identifies goals; identifies solutions that align with goals; sets clear state and local responsibilities; identifies state governance structure; establishes funding strategy; and develops rigorous oversight mechanism.

Related/Prior Legislation

AB 101 (Committee on Budget, Chapter 159, Statutes of 2019) included, among other changes, the creation of the HHAP Program to distribute $650 million in funds to assist local governments in addressing homelessness.

SB 850 (Senate Committee on Budget and Fiscal Review, Chapter 48, Statutes of 2018) provided for over $600 million in funding to various projects aimed at reducing homelessness. As well as moved the HCFC from HCD to the Business, Consumer Services, and Housing Agency. SB 850 also authorized the creation of an Executive Director and allocated several staff members to the HCFC.

SB 1380 (Mitchell, Chapter 847, Statues of 2016) established the HCFC to oversee implementation of the Housing First regulations and, among other things, identify resources, benefits, and services that can be accessed to prevent and end homelessness in California.

FISCAL EFFECT: Appropriation: No Fiscal Com.: Yes Local: No

According to the Senate Appropriations Committee:

• Department of Social Services. $393,000 in Fiscal Year (FY) 2020-21, and $356,000 in FY 2021-22, and ongoing annually thereafter, for 2.5 PYs to participate in the working group, track and identify individuals or households at risk of homelessness, and to support Homeless Data Integration System requests. In addition, potential, cost-pressures on locals related to the foster youth tracking component, a definition that depends on processes developed by the Office to End Homelessness and other state agencies. Until those are defined (which may not happen as this requirement is contingent on available funds), any future local assistance fiscal impact is unknown.
• Homeless Coordinating and Financing Council. Staff estimates thousands (General Fund) to account for the salary and benefit difference between the proposed new Secretary and the existing staff member they would replace, if enacted. Estimated costs for this bill are offset by existing resources. The Budget Act of 2020 included 10.0 PYs at HCFC.

SUPPORT: (Verified 8/26/20)

Corporation for Supportive Housing (co-source)

Housing California (co-source)

American Family Housing
Brilliant Corners
California Apartment Association
California Catholic Conference
California Coalition for Rural Housing
California Partnership to End Domestic Violence
City of Oakland

City of Sacramento
City of Santa Monica
City of Stockton
Clifford Beers Housing, Inc.
Community Economics, Inc.
Compass Family Services
County of Humboldt
County of Los Angeles Board of Supervisors
Destination: Home
Disability Rights California
Downtown Women's Center
EAH Housing
East Bay Housing Organizations
Fresno City Council District One
Homeaid America
Homefirst Services of Santa Clara County
Hope 4 Restoration
Housing on Merit
John Burton Advocates for Youth
Kings/Tulare Homeless Alliance
LA Family Housing
Legal Services for Prisoner With Children
Los Angeles County Office of Education
Los Angeles Homeless Services Authority
Los Angeles Veterans Collaborative
Many Mansions
Mayor Eric Garcetti, City of Los Angeles
National Association of Social Workers, California Chapter
Non-profit Housing Association of Northern California
Orange County United Way
Path
Resident United Network
San Diego Board of Supervisor, Nathan Fletcher
San Diego Housing Federation
San Gabriel Valley Consortium on Homelessness
Self-Help Enterprises
Shelter Partnership
St. Joseph Center
The People Concern
United Way of Greater Los Angeles
United Ways of California
Valley Industry & Commerce Association
Villines Group, LLC

50 individuals

OPPOSITION: (Verified 8/26/20)

None received

ASSEMBLY FLOOR: 69-0, 6/10/20

AYES: Aguiar-Curry, Arambula, Bauer-Kahan, Berman, Bloom, Boerner Horvath, Bonta, Burke, Calderon, Carrillo, Cervantes, Chau, Chiu, Chu, Cooley, Cooper, Cunningham, Daly, Diep, Eggman, Flora, Fong, Friedman, Gabriel, Gallagher, Cristina Garcia, Eduardo Garcia, Gipson, Gloria, Gonzalez, Gray, Grayson, Holden, Irwin, Jones-Sawyer, Kalra, Kamlager, Lackey, Levine, Limón, Low, Maienschein, Mathis, Mayes, McCarty, Medina, Mullin, Muratsuchi, Nazarian, Obernolte, O'Donnell, Petrie-Norris, Quirk-Silva, Ramos, Reyes, Luz Rivas, Robert Rivas, Rodriguez, Blanca Rubio, Salas, Santiago, Smith, Mark Stone, Ting, Waldron, Weber, Wicks, Wood, Rendon

NO VOTE RECORDED: Bigelow, Brough, Chen, Choi, Megan Dahle, Frazier, Kiley, Patterson, Quirk, Voepel

Prepared by: Marisa Shea / HUMAN S. /

8/28/20 13:18:47

**** END ****

 THIRD READING  

Bill No: AB 1845

Author: Luz Rivas (D) and Chiu (D), et al.

Amended: 8/25/20 in Senate

Vote: 21

SENATE HUMAN SERVICES COMMITTEE: 5-1, 8/10/20

AYES: Hurtado, Beall, Jackson, Pan, Wiener

NOES: Melendez

NO VOTE RECORDED: Jones

SENATE APPROPRIATIONS COMMITTEE: 5-2, 8/20/20

AYES: Portantino, Bradford, Hill, Leyva, Wieckowski

NOES: Bates, Jones

ASSEMBLY FLOOR: 69-0, 6/10/20 - See last page for vote

SUBJECT: Homelessness: Office to End Homelessness

SOURCE: Corporation for Supportive Housing

Housing California

DIGEST:

This bill creates the Governor’s Office to End Homelessness under the direction of the Secretary on Homelessness (Secretary), and moves the Homeless Coordinating and Financing Council (HCFC) from the Business Consumer Services and Housing Agency (BCSH) into the Governor’s Office to End Homelessness.

Senate Floor Amendments of 8/25/20 remove the requirement for agencies and departments to collectively track individuals exiting state-funded institutions, including foster care and, instead, only require they identify and assist such individuals, as provided.

ANALYSIS:

Existing law:

1. Establishes the United States Interagency Council on Homelessness to coordinate a federal response to homelessness and create a national partnership at every level of government and with the private sector to end homelessness. (42 USC 11311)
2. Defines, in federal statute, the word “homeless” for the purpose of housing assistance, to mean an individual or family who lacks a fixed, regular, and adequate nighttime residence, as provided. (42 CFR 91.5)
3. Establishes the BCSH, to include various Departments, as provided. (GOV 12804)
4. Establishes the HCFC to oversee and coordinate the implementation of Housing First guidelines and regulations in California, and to identify resources and services that can be accessed to prevent and end homelessness in California. (WIC 8255 et. seq)
5. Requires the Governor to appoint up to 19 members of the HCFC, as provided. (WIC 8257(c)(1))
6. Requires the Senate Committee on Rules and the Speaker of the Assembly to each appointment one member of the HCFC from two different stakeholder organizations. (WIC 8257(c)(2))
7. Requires the BCSH to provide staff for the HCFC. (WIC 8257(h))
8. Sets specified goals for the HCFC, including: identifying mainstream resources, benefits, and services that can be accessed to prevent and end homelessness in California; to create partnerships among various entities including state agencies, departments, local governments, and nonprofit entities to end homelessness; to identify and seek funding opportunities for state entities that have programs to end homelessness and to facilitate and coordinate those state entities’ efforts to obtain that funding; among others. (WIC 8257(b))

This bill:

1. Establishes the Office to End Homelessness (Office) in the state government within the Governor’s Office and places it under the direct control of a Secretary who reports to the Governor.
2. Requires the Governor appoint the Secretary and requires the Secretary perform all duties, exercise all powers, assume and discharge all responsibilities, and carry out and effect all purposes vested by law in the Office, including contracting for professional or consultant services in connection with the work of the Office.
3. States the Office’s primary purposes are coordination of the state’s homeless programs, services, data and policies, across levels of government and other service providers, as specified.
4. Requires state agencies and departments with representatives on the HCFC, or workgroups established by the HCFC, to report to and coordinate with the Secretary and the Office.
5. Requires the Office serve the Governor as the lead entity for ending homelessness in California and, as such, requires the Office to, among others: fulfill the duties and responsibilities of the HCFC; make recommendations to the Governor and the Legislature; establish a process to identify individuals exiting state-funded institutions and procedures or programs to prevent discharges into homelessness; and collaborate to develop a universal application for developers, service providers, and other entities to apply to agencies and departments represented on the HCFC for funding for homelessness services and housing.
6. Provides that the Office may convene a funder’s workgroup to accomplish activities of the Office, as provided. Also requires the Office to coordinate with staff in the Governor’s office to solicit monetary or in-kind donations as appropriate.
7. Requires the Office coordinate relevant state agencies and departments to reduce the risk of long-term homelessness by developing specific protocols and procedures to help the following populations access housing designed to meet their needs, as provided.
8. Requires the creation of a statewide data system that collects local data through Homeless Management Information Systems and further requires all Continuums of Care operating in California to provide collected data elements, as specified.
9. Makes a variety of changes to moves the HCFC from the BCSH to under the supervision of the Secretary of the Office, including moving existing HCFC staff from the BCSH to the office and eliminating the current position of Deputy Secretary on Homelessness within the BCSH.
10. Requires a state agency or department, to provide, upon request, any relevant information regarding their programs to the HCFC.
11. Adds the goal of developing and implementing a statewide strategic plan on homeless that establishes measurable objectives and strategies to enhance state-level accountability practices to the HCFC’s existing goals.
12. Modifies the membership of the HCFC and creates an advisory committee for the HCFC, as provide. As well as, requires the HCFC regularly seek guidance from and meet with that advisory committee, and moves the following members of the HCFC to that advisory committee.
13. Clarifies that the council is subject to the Bagley-Keene Open Meeting Act and all meetings of the council are subject to the Bagley-Keene Open Meeting Act, except for a meeting of a working group, task force, or other structure within the membership of the HCFC if only a minority of members of the council participate.
14. Provides for the transfer of the HCFC’s staff, executive direct, rights, property, and available funds from the BCSH to the Office.

Background

Homelessness in California. The U.S. Department of Housing and Urban Development’s (HUD) 2019 Annual Point in Time Count Homelessness Report (Report) found that 151,278 individuals were experiencing homelessness on a single night in California. The Report showed that, despite a nationwide decrease in homelessness, California’s numbers increased by 16.4 percent (21,306 individuals) over the prior year.

The health, personal, and economic challenges that chronically homeless individuals and families face and the lack of effective, coordinated services to address these problems often lead to a cycle of housing instability and health deterioration. Persistent homelessness impedes access to needed health and employment services.

Homeless Coordinating and Financing Council. SB 1380 (Mitchell, Chapter 847, Statutes of 2016) created the HCFC to coordinate the state’s response to homelessness. The HCFC was created to identify mainstream resources, benefits, and services that can be accessed to prevent and end homelessness in California. Additionally, the HCFC was intended to create partnerships among state agencies and departments, local government agencies, participants in HUD’s CoC program, federal agencies, the U.S. Interagency Council on Homelessness, nonprofit agencies working to end homelessness, homeless services providers, and the private sector for purpose of arriving at specific strategies to end homelessness. As created by SB 1380, the HCFC was housed within the Department of Housing and Community Development (HCD), which was further responsible for providing staff for the HCFC.

SB 850 (Senate Committee on Budget and Fiscal Review, Chapter 48, Statutes of 2018) moved the HCFC from HCD to the Business, Consumer Services and Housing Agency. SB 850 also authorized the creation of an Executive Director to oversee the HCFC, as well as the allocation of several staff members. SB 850 (Senate Committee on Budget and Fiscal Review, Chapter 48, Statutes of 2018) also allocated $500 million in Homeless Emergency Aid Program (HEAP) block grant funds, which was created to provide one time funding to enable local governments to respond to homelessness. SB 850 made the HCFC responsible for the administration of HEAP funding. In 2019, AB 101 (Committee on Budget, Chapter 159, Statutes of 2019) created the Homeless Housing, Assistance, and Prevention (HHAP) Program. Requiring the HCFC to distribute $650 million in one-time block grants to assist local governments in addressing homelessness.

Coordination of State Homelessness Programs. In California, there are at least 30 different programs relating to homelessness administered by 13 different state agencies and departments. A 2017 Audit of Homelessness in California by the California State Auditor reported that “one factor that contributes to other entities having a lower proportions of unsheltered homeless individuals is the existence of a specific organization dedicated to addressing homelessness.” The audit went on to look at the HCFC and the challenges it faced in addressing homelessness due to lack of permanent staffing and adequate funding. Although some of these challenges were addressed through SB 850 (Senate Committee on Budget and Fiscal Review, Chapter 48, Statutes of 2018), there is still a sense that the HCFC struggles to coordinate the state’s response to homelessness across agencies and departments.

In response to the Governor’s 2020-2021 Budget proposals addressing homelessness, the Legislative Analyst’s Office (LAO) wrote the following regarding California’s current approach to homelessness, “addressing a problem as complex and interconnected as homelessness requires the involvement of departments and agencies across the state and collaboration among all levels of government and other stakeholders. A fragmented response creates various challenges.” The LAO went on to recommend that the legislature develop a homelessness plan that does the following: identifies goals; identifies solutions that align with goals; sets clear state and local responsibilities; identifies state governance structure; establishes funding strategy; and develops rigorous oversight mechanism.

Related/Prior Legislation

AB 101 (Committee on Budget, Chapter 159, Statutes of 2019) included, among other changes, the creation of the HHAP Program to distribute $650 million in funds to assist local governments in addressing homelessness.

SB 850 (Senate Committee on Budget and Fiscal Review, Chapter 48, Statutes of 2018) provided for over $600 million in funding to various projects aimed at reducing homelessness. As well as moved the HCFC from HCD to the Business, Consumer Services, and Housing Agency. SB 850 also authorized the creation of an Executive Director and allocated several staff members to the HCFC.

SB 1380 (Mitchell, Chapter 847, Statues of 2016) established the HCFC to oversee implementation of the Housing First regulations and, among other things, identify resources, benefits, and services that can be accessed to prevent and end homelessness in California.

FISCAL EFFECT: Appropriation: No Fiscal Com.: Yes Local: No

According to the Senate Appropriations Committee:

• Department of Social Services. $393,000 in Fiscal Year (FY) 2020-21, and $356,000 in FY 2021-22, and ongoing annually thereafter, for 2.5 PYs to participate in the working group, track and identify individuals or households at risk of homelessness, and to support Homeless Data Integration System requests. In addition, potential, cost-pressures on locals related to the foster youth tracking component, a definition that depends on processes developed by the Office to End Homelessness and other state agencies. Until those are defined (which may not happen as this requirement is contingent on available funds), any future local assistance fiscal impact is unknown.
• Homeless Coordinating and Financing Council. Staff estimates thousands (General Fund) to account for the salary and benefit difference between the proposed new Secretary and the existing staff member they would replace, if enacted. Estimated costs for this bill are offset by existing resources. The Budget Act of 2020 included 10.0 PYs at HCFC.

SUPPORT: (Verified 8/26/20)

Corporation for Supportive Housing (co-source)

Housing California (co-source)

American Family Housing
Brilliant Corners
California Apartment Association
California Catholic Conference
California Coalition for Rural Housing
California Partnership to End Domestic Violence
City of Oakland

City of Sacramento
City of Santa Monica
City of Stockton
Clifford Beers Housing, Inc.
Community Economics, Inc.
Compass Family Services
County of Humboldt
County of Los Angeles Board of Supervisors
Destination: Home
Disability Rights California
Downtown Women's Center
EAH Housing
East Bay Housing Organizations
Fresno City Council District One
Homeaid America
Homefirst Services of Santa Clara County
Hope 4 Restoration
Housing on Merit
John Burton Advocates for Youth
Kings/Tulare Homeless Alliance
LA Family Housing
Legal Services for Prisoner With Children
Los Angeles County Office of Education
Los Angeles Homeless Services Authority
Los Angeles Veterans Collaborative
Many Mansions
Mayor Eric Garcetti, City of Los Angeles
National Association of Social Workers, California Chapter
Non-profit Housing Association of Northern California
Orange County United Way
Path
Resident United Network
San Diego Board of Supervisor, Nathan Fletcher
San Diego Housing Federation
San Gabriel Valley Consortium on Homelessness
Self-Help Enterprises
Shelter Partnership
St. Joseph Center
The People Concern
United Way of Greater Los Angeles
United Ways of California
Valley Industry & Commerce Association
Villines Group, LLC

50 individuals

OPPOSITION: (Verified 8/26/20)

None received

ASSEMBLY FLOOR: 69-0, 6/10/20

AYES: Aguiar-Curry, Arambula, Bauer-Kahan, Berman, Bloom, Boerner Horvath, Bonta, Burke, Calderon, Carrillo, Cervantes, Chau, Chiu, Chu, Cooley, Cooper, Cunningham, Daly, Diep, Eggman, Flora, Fong, Friedman, Gabriel, Gallagher, Cristina Garcia, Eduardo Garcia, Gipson, Gloria, Gonzalez, Gray, Grayson, Holden, Irwin, Jones-Sawyer, Kalra, Kamlager, Lackey, Levine, Limón, Low, Maienschein, Mathis, Mayes, McCarty, Medina, Mullin, Muratsuchi, Nazarian, Obernolte, O'Donnell, Petrie-Norris, Quirk-Silva, Ramos, Reyes, Luz Rivas, Robert Rivas, Rodriguez, Blanca Rubio, Salas, Santiago, Smith, Mark Stone, Ting, Waldron, Weber, Wicks, Wood, Rendon

NO VOTE RECORDED: Bigelow, Brough, Chen, Choi, Megan Dahle, Frazier, Kiley, Patterson, Quirk, Voepel

Prepared by: Marisa Shea / HUMAN S. /

8/26/20 15:00:58

**** END ****

 THIRD READING  

Bill No: AB 1845

Author: Luz Rivas (D) and Chiu (D), et al.

Amended: 8/20/20 in Senate

Vote: 21

SENATE HUMAN SERVICES COMMITTEE: 5-1, 8/10/20

AYES: Hurtado, Beall, Jackson, Pan, Wiener

NOES: Melendez

NO VOTE RECORDED: Jones

SENATE APPROPRIATIONS COMMITTEE: 5-2, 8/20/20

AYES: Portantino, Bradford, Hill, Leyva, Wieckowski

NOES: Bates, Jones

ASSEMBLY FLOOR: 69-0, 6/10/20 - See last page for vote

SUBJECT: Homelessness: Office to End Homelessness

SOURCE: Corporation for Supportive Housing

Housing California

DIGEST:

This bill creates the Governor’s Office to End Homelessness under the direction of the Secretary on Homelessness (Secretary), and moves the Homeless Coordinating and Financing Council (HCFC) from the Business Consumer Services and Housing Agency (BCSH) into the Governor’s Office to End Homelessness.

ANALYSIS:

Existing law:

1. Establishes the United States Interagency Council on Homelessness to coordinate a federal response to homelessness and create a national partnership at every level of government and with the private sector to end homelessness. (42 USC 11311)
2. Defines, in federal statute, the word “homeless” for the purpose of housing assistance, to mean an individual or family who lacks a fixed, regular, and adequate nighttime residence, as provided. (42 CFR 91.5)
3. Establishes the BCSH, to include various Departments, as provided. (GOV 12804)
4. Establishes the HCFC to oversee and coordinate the implementation of Housing First guidelines and regulations in California, and to identify resources and services that can be accessed to prevent and end homelessness in California. (WIC 8255 et. seq)
5. Requires the Governor to appoint up to 19 members of the HCFC, as provided. (WIC 8257(c)(1))
6. Requires the Senate Committee on Rules and the Speaker of the Assembly to each appointment one member of the HCFC from two different stakeholder organizations. (WIC 8257(c)(2))
7. Requires the BCSH to provide staff for the HCFC. (WIC 8257(h))
8. Sets specified goals for the HCFC, including: identifying mainstream resources, benefits, and services that can be accessed to prevent and end homelessness in California; to create partnerships among various entities including state agencies, departments, local governments, and nonprofit entities to end homelessness; to identify and seek funding opportunities for state entities that have programs to end homelessness and to facilitate and coordinate those state entities’ efforts to obtain that funding; among others. (WIC 8257(b))

This bill:

1. Establishes the Office to End Homelessness (Office) in the state government within the Governor’s Office and places it under the direct control of a Secretary who reports to the Governor.
2. Requires the Governor appoint the Secretary and requires the Secretary perform all duties, exercise all powers, assume and discharge all responsibilities, and carry out and effect all purposes vested by law in the Office, including contracting for professional or consultant services in connection with the work of the Office.
3. States the Office’s primary purposes are coordination of the state’s homeless programs, services, data and policies, across levels of government and other service providers, as specified.
4. Requires state agencies and departments with representatives on the HCFC, or workgroups established by the HCFC, to report to and coordinate with the Secretary and the Office.
5. Requires the Office serve the Governor as the lead entity for ending homelessness in California and, as such, requires the Office to, among others: fulfill the duties and responsibilities of the HCFC; make recommendations to the Governor and the Legislature; establish a process to identify individuals exiting state-funded institutions and procedures or programs to prevent discharges into homelessness; and collaborate to develop a universal application for developers, service providers, and other entities to apply to agencies and departments represented on the HCFC for funding for homelessness services and housing.
6. Provides that the Office may convene a funder’s workgroup to accomplish activities of the Office, as provided. Also requires the Office to coordinate with staff in the Governor’s office to solicit monetary or in-kind donations as appropriate.
7. Requires the Office coordinate relevant state agencies and departments to reduce the risk of long-term homelessness by developing specific protocols and procedures to help the following populations access housing designed to meet their needs, as provided.
8. Requires the creation of a statewide data system that collects local data through Homeless Management Information Systems and further requires all Continuums of Care operating in California to provide collected data elements, as specified.
9. Makes a variety of changes to moves the HCFC from the BCSH to under the supervision of the Secretary of the Office, including moving existing HCFC staff from the BCSH to the office and eliminating the current position of Deputy Secretary on Homelessness within the BCSH.
10. Requires a state agency or department, to provide, upon request, any relevant information regarding their programs to the HCFC.
11. Adds the goal of developing and implementing a statewide strategic plan on homeless that establishes measurable objectives and strategies to enhance state-level accountability practices to the HCFC’s existing goals.
12. Modifies the membership of the HCFC and creates an advisory committee for the HCFC, as provide. As well as, requires the HCFC regularly seek guidance from and meet with that advisory committee, and moves the following members of the HCFC to that advisory committee.
13. Clarifies that the council is subject to the Bagley-Keene Open Meeting Act and all meetings of the council are subject to the Bagley-Keene Open Meeting Act, except for a meeting of a working group, task force, or other structure within the membership of the HCFC if only a minority of members of the council participate.
14. Provides for the transfer of the HCFC’s staff, executive direct, rights, property, and available funds from the BCSH to the Office to End Homelessness.

Background

Homelessness in California. The U.S. Department of Housing and Urban Development’s (HUD) 2019 Annual Point in Time Count Homelessness Report (Report) found that 151,278 individuals were experiencing homelessness on a single night in California. The Report showed that, despite a nationwide decrease in homelessness, California’s numbers increased by 16.4 percent (21,306 individuals) over the prior year.

The health, personal, and economic challenges that chronically homeless individuals and families face and the lack of effective, coordinated services to address these problems often lead to a cycle of housing instability and health deterioration. Persistent homelessness impedes access to needed health and employment services.

Homeless Coordinating and Financing Council (HCFC). SB 1380 (Mitchell, Chapter 847, Statutes of 2016) created the HCFC to coordinate the state’s response to homelessness. The HCFC was created to identify mainstream resources, benefits, and services that can be accessed to prevent and end homelessness in California. Additionally, the HCFC was intended to create partnerships among state agencies and departments, local government agencies, participants in HUD’s CoC program, federal agencies, the U.S. Interagency Council on Homelessness, nonprofit agencies working to end homelessness, homeless services providers, and the private sector for purpose of arriving at specific strategies to end homelessness. As created by SB 1380, the HCFC was housed within the Department of Housing and Community Development (HCD), which was further responsible for providing staff for the HCFC.

SB 850 (Senate Committee on Budget and Fiscal Review, Chapter 48, Statutes of 2018) moved the HCFC from HCD to the Business, Consumer Services and Housing Agency. SB 850 also authorized the creation of an Executive Director to oversee the HCFC, as well as the allocation of several staff members. SB 850 (Senate Committee on Budget and Fiscal Review, Chapter 48, Statutes of 2018) also allocated $500 million in Homeless Emergency Aid Program (HEAP) block grant funds, which was created to provide one time funding to enable local governments to respond to homelessness. SB 850 made the HCFC responsible for the administration of HEAP funding. In 2019, AB 101 (Committee on Budget, Chapter 159, Statutes of 2019) created the Homeless Housing, Assistance, and Prevention (HHAP) Program. Requiring the HCFC to distribute $650 million in one-time block grants to assist local governments in addressing homelessness.

Coordination of State Homelessness Programs. In California, there are at least 30 different programs relating to homelessness administered by 13 different state agencies and departments. A 2017 Audit of Homelessness in California by the California State Auditor reported that “one factor that contributes to other entities having a lower proportions of unsheltered homeless individuals is the existence of a specific organization dedicated to addressing homelessness.” The audit went on to look at the HCFC and the challenges it faced in addressing homelessness due to lack of permanent staffing and adequate funding. Although some of these challenges were addressed through SB 850 (Senate Committee on Budget and Fiscal Review, Chapter 48, Statutes of 2018), there is still a sense that the HCFC struggles to coordinate the state’s response to homelessness across agencies and departments.

In response to the Governor’s 2020-2021 Budget proposals addressing homelessness, the Legislative Analyst’s Office (LAO) wrote the following regarding California’s current approach to homelessness, “addressing a problem as complex and interconnected as homelessness requires the involvement of departments and agencies across the state and collaboration among all levels of government and other stakeholders. A fragmented response creates various challenges.” The LAO went on to recommend that the legislature develop a homelessness plan that does the following: identifies goals; identifies solutions that align with goals; sets clear state and local responsibilities; identifies state governance structure; establishes funding strategy; and develops rigorous oversight mechanism.

Related/Prior Legislation

AB 101 (Committee on Budget, Chapter 159, Statutes of 2019) included, among other changes, the creation of the HHAP Program to distribute $650 million in funds to assist local governments in addressing homelessness.

SB 850 (Senate Committee on Budget and Fiscal Review, Chapter 48, Statutes of 2018) provided for over $600 million in funding to various projects aimed at reducing homelessness. As well as moved the HCFC from HCD to the Business, Consumer Services, and Housing Agency. SB 850 also authorized the creation of an Executive Director and allocated several staff members to the HCFC.

SB 1380 (Mitchell, Chapter 847, Statues of 2016) established the HCFC to oversee implementation of the Housing First regulations and, among other things, identify resources, benefits, and services that can be accessed to prevent and end homelessness in California.

FISCAL EFFECT: Appropriation: No Fiscal Com.: Yes Local: No

According to the Senate Appropriations Committee:

• Department of Social Services. $393,000 in Fiscal Year (FY) 2020-21, and $356,000 in FY 2021-22, and ongoing annually thereafter, for 2.5 PYs to participate in the working group, track and identify individuals or households at risk of homelessness, and to support Homeless Data Integration System requests. In addition, potential, cost-pressures on locals related to the foster youth tracking component, a definition that depends on processes developed by the Office to End Homelessness and other state agencies. Until those are defined (which may not happen as this requirement is contingent on available funds), any future local assistance fiscal impact is unknown.
• Homeless Coordinating and Financing Council. Staff estimates thousands (General Fund) to account for the salary and benefit difference between the proposed new Secretary and the existing staff member they would replace, if enacted. Estimated costs for this bill are offset by existing resources. The Budget Act of 2020 included 10.0 PYs at HCFC.

SUPPORT: (Verified 8/20/20)

Corporation for Supportive Housing (co-source)

Housing California (co-source)

American Family Housing
Brilliant Corners
California Apartment Association
California Catholic Conference
California Coalition for Rural Housing
California Partnership to End Domestic Violence
City of Oakland

City of Sacramento
City of Santa Monica
City of Stockton
Clifford Beers Housing, Inc.
Community Economics, Inc.
Compass Family Services
County of Humboldt
County of Los Angeles Board of Supervisors
Destination: Home
Disability Rights California
Downtown Women's Center
EAH Housing
East Bay Housing Organizations
Fresno City Council District One
Homeaid America
Homefirst Services of Santa Clara County
Hope 4 Restoration
Housing on Merit
John Burton Advocates for Youth
Kings/Tulare Homeless Alliance
LA Family Housing
Legal Services for Prisoner With Children
Los Angeles County Office of Education
Los Angeles Homeless Services Authority
Los Angeles Veterans Collaborative
Many Mansions
Mayor Eric Garcetti, City of Los Angeles
National Association of Social Workers, California Chapter
Non-profit Housing Association of Northern California
Orange County United Way
Path
Resident United Network
San Diego Board of Supervisor, Nathan Fletcher
San Diego Housing Federation
San Gabriel Valley Consortium on Homelessness
Self-Help Enterprises
Shelter Partnership
St. Joseph Center
The People Concern
United Way of Greater Los Angeles
United Ways of California
Valley Industry & Commerce Association
Villines Group, LLC

50 individuals

OPPOSITION: (Verified 8/20/20)

None received

ASSEMBLY FLOOR: 69-0, 6/10/20

AYES: Aguiar-Curry, Arambula, Bauer-Kahan, Berman, Bloom, Boerner Horvath, Bonta, Burke, Calderon, Carrillo, Cervantes, Chau, Chiu, Chu, Cooley, Cooper, Cunningham, Daly, Diep, Eggman, Flora, Fong, Friedman, Gabriel, Gallagher, Cristina Garcia, Eduardo Garcia, Gipson, Gloria, Gonzalez, Gray, Grayson, Holden, Irwin, Jones-Sawyer, Kalra, Kamlager, Lackey, Levine, Limón, Low, Maienschein, Mathis, Mayes, McCarty, Medina, Mullin, Muratsuchi, Nazarian, Obernolte, O'Donnell, Petrie-Norris, Quirk-Silva, Ramos, Reyes, Luz Rivas, Robert Rivas, Rodriguez, Blanca Rubio, Salas, Santiago, Smith, Mark Stone, Ting, Waldron, Weber, Wicks, Wood, Rendon

NO VOTE RECORDED: Bigelow, Brough, Chen, Choi, Megan Dahle, Frazier, Kiley, Patterson, Quirk, Voepel

Prepared by: Marisa Shea / HUMAN S. /

8/24/20 14:14:49

**** END ****

SENATE COMMITTEE ON APPROPRIATIONS

Senator Anthony Portantino, Chair

2019 - 2020 Regular Session

AB 1845 (Luz Rivas) - Homelessness: Office to End Homelessness

Bill Summary:

Assembly Bill 1845 would create the Office to End Homelessness and move the Homeless Coordinating and Financing Council (HCFC) from the Business, Consumer Services, and Housing Agency into the Office. In addition, the bill modifies the HCFC membership by requiring the director or secretary of state departments and offices participate in the HCFC rather than their representative; adds the director of the Department of Public Health to HCFC; and, provides for the Director of the Office of Emergency Services to appoint a representative, and the Superintendent of Public Instruction to appoint a representative rather than the Governor. The bill would also eliminate the current position of Dep. Secretary on Homelessness in BCSH once the Governor appoints a Secretary on Homelessness.

*********** ANALYSIS ADDENDUM – SUSPENSE FILE ***********

The following information is revised to reflect amendments

adopted by the committee on August 20, 2020

Fiscal Impact:

• Department of Social Services. $393,000 in FY 2020-21, and $356,000 in FY 2021-22, and ongoing annually thereafter, for 2.5 PYs to participate in the working group, track and identify individuals or households at risk of homelessness, and to support Homeless Data Integration System requests. In addition, potential, cost-pressures on locals related to the for the foster youth tracking component, a definition that depends on processes developed by the Office to End Homelessness and other state agencies. Until those are defined (which may not happen as this requirement is contingent on available funds), any future local assistance fiscal impact is unknown.  
• Homeless Coordinating and Financing Council. Staff estimates thousands (General Fund) to account for the salary and benefit difference between the proposed new Secretary and the existing staff member they would replace, if enacted. Estimated costs for this bill are offset by existing resources. The Budget Act of 2020 included 10.0 PYs at HCFC.

Author Amendments:

The author’s amendments would require, upon creation of the Homeless Data Integration System, all Continuums of Care, as federally defined, to provide collected data elements, including health information, in a manner consistent with federal law, to the Homeless Managed Information System.

-- END --

SENATE COMMITTEE ON APPROPRIATIONS

Senator Anthony Portantino, Chair

2019 - 2020 Regular Session

AB 1845 (Luz Rivas and Chiu) - Homelessness: Office to End Homelessness.

Bill Summary:

Assembly Bill 1845 would create the Office to End Homelessness and move the Homeless Coordinating and Financing Council (HCFC) from the Business, Consumer Services, and Housing Agency into the newly establish Governor’s Office of End Homelessness. In addition, the bill modifies the HCFC membership by requiring the director or secretary of state departments and offices participate in the HCFC rather than their representative (Transportation, HCD, CDSS, CHFA, DHCS, Vets, CDCR, and CDTFA); adds the director of the Department of Public Health to HCFC; and provides for the Director of the Office of Emergency Services to appoint a representative; and the Superintendent of Public Instruction to appoint a representative rather than the Governor. The bill would also eliminate the current position of Dep. Secretary on Homelessness in BCSH once the Governor appoints a Secretary on Homelessness.

Fiscal Impact:

• Department of Social Services. Staff estimates unknown, significant cost pressures (less than $200,000 General Fund/federal fund) as the bill’s seeks to “track individuals leaving foster care.” The bill does not specify a segment of the foster population, nor the duration of longitudinal tracking. Under the state’s child welfare system, children can either reunify with their parents or leave foster care to permanent plans of legal guardianship, emancipation, or adoption. To the extent that parameters are clarified to this point, costs would be further refined. This estimate assumes staff resources would pull manual data from the CARES automation system. However, if the existing system does not include specified information intended by the bill, staff notes the costs could be higher to include automation.
• Homeless Coordinating and Financing Council. According to the HCFC, thousands (General Fund) to account for the salary and benefit difference between the proposed new Secretary and the existing staff member they would replace, if enacted. Estimated costs for this bill are offset by existing resources. The Budget Act of 2020 included 10.0 PYs at HCFC.

Background:

SB 1380 (Mitchell, Chapter 847, Statutes of 2016) created the HCFC to coordinate the state’s response to homelessness, identify mainstream resources to prevent and end homelessness in California, and create partnerships among state, local and federal partners, and nonprofit agencies. Under SB 1380, the HCFC was housed within the Department of Housing and Community Development (HCD). SB 850 (Senate Committee on Budget and Fiscal Review, Chapter 48, Statues of 2018) moved the HCFC from HCD to the Business, Consumer Services and Housing Agency. SB 850 also authorized the creation of an Executive Director to oversee the HCFC, as well as the allocation of several staff members.

Proposed Law:

AB 1845 would create the Office of End Homelessness and move the Homeless Coordinating and Financing Council (HCFC) from BCSH into the newly establish Governor’s Office of End Homelessness. In addition, the bill would do the following:

• Modifies the HCFC membership by requiring the director or secretary of state departments and offices participate in the HCFC rather than their representative (Transportation, HCD, CDSS, CHFA, DHCS, Vets, CDCR, and CDTFA);
• Adds the director of the Department of Public Health to HCFC; and,
• Provides for the Director of the Office of Emergency Services to appoint a representative; and the Superintendent of Public Instruction to appoint a representative rather than the Governor.
• Eliminates the current position of Dep. Secretary on Homelessness in BCSH once the Governor appoints a Secretary on Homelessness.
• Requires the Office be comprised of those employees serving in state civil service transferred, and must oversee and carry out the council’s activities and existing mandates.
• Eliminates the current Deputy Secretary on Homelessness within the Business, Consumer Services, and Housing Agency once the Governor appoints a Secretary on Homelessness.
• Includes language to assist in the transfer in the establishment of the Office, including the rights and property the Homeless Coordinating and Financing Council, all unexpended balances of appropriations and other funds available, and be subject to all the debts and liabilities of the BCSG with respect to overseeing and supporting the HCFC.

Staff Comments:

The Budget Act of 2020 includes $1.5 million General Fund for the Homeless Coordinating and Financing Council, under the BCSH, which would, similar to this bill, build capacity to coordinate statewide policy implementation and regional coordination of homeless efforts.

-- END --

SENATE COMMITTEE ON HUMAN SERVICES

Senator Hurtado, Chair

2019 - 2020 Regular

Subject: Homelessness: Office to End Homelessness

SUMMARY

This bill creates the Governor’s Office to End Homelessness under the direction of the Secretary on Homelessness, and moves the Homeless Coordinating and Financing Council (HCFC) from the Business Consumer Services and Housing Agency (BCSH) into the Governor’s Office to End Homelessness.

ABSTRACT

Existing Law:

1. Establishes the United States Interagency Council on Homelessness to coordinate a federal response to homelessness and create a national partnership at every level of government and with the private sector to end homelessness. (42 USC 11311)
2. Defines, in federal statute, the word “homeless” for the purpose of housing assistance, to mean an individual or family who lacks a fixed, regular, and adequate nighttime residence, such as:
   1. A primary nighttime residence that is a public or private place not designed for or ordinarily used as a regular sleeping accommodation for human beings, including a car, park, abandoned building, bus or train station, airport, or camping ground;
   2. A supervised publicly or privately operated shelter designated to provide temporary living arrangements (including congregate shelters, transitional housing, and hotels and motels paid for by charitable organizations or by federal, state, or local government programs for low-income individuals); or
   3. Exiting an institution where he or she resided for 90 days or less and who resided in an emergency shelter or place not meant for human habitation immediately before entering that institution (42 CFR 91.5)
3. Defines “Housing First” to mean the evidence-based model that uses housing as a tool, rather than a reward, for recovery and that centers on providing or connecting homeless people to permanent housing as quickly as possible. Housing First providers offer services as needed and requested on a voluntary basis and that do not make housing contingent on participation in services. It includes time-limited rental or services assistance, so long as the housing and service provider assists the recipient in accessing permanent housing and in securing longer-term rental assistance, income assistance, or employment. (WIC 8255(d))
4. Establishes the BCSH, to include the Department of Consumer Affairs, the Department of Real Estate, the Department of Housing and Community Development, the Department of Fair Employment and Housing, the Department of Business Oversight, the Department of Alcoholic Beverage Control, the Alcoholic Beverage Control Appeals Board, the California Horse Racing Board, and the Alfred E. Alquist Seismic Safety Commission. (GOV 12804)
5. Establishes the HCFC to oversee and coordinate the implementation of Housing First guidelines and regulations in California, and to identify resources and services that can be accessed to prevent and end homelessness in California. (WIC 8255 et. seq)
6. Requires the Governor to appoint up to 19 members of the HCFC as follows:
   1. The Secretary of BCSH, or the secretary’s designee, who shall serve as chair of the council.
   2. A representative from each of the following: the Department of Transportation; the Department of Housing and Community Development; the State Department of Social Services; the California Housing and Finance Agency; the State Department of Health Care Services; the Department of Veteran Affairs; the Department of Corrections and Rehabilitation; the California Tax Credit Allocation Committee in the Treasurer’s office; the Victim Services Program within the Division of Grants Management within the Office of Emergency Services; the State Department of Education;
   3. A representative of the state public higher education system who shall be from one of the following: the University of California; the California State University; or the California State University;
   4. A formerly homeless person who lives in California;
   5. A formerly homeless youth who lives in California;
   6. Two representatives of local agencies or organizations that participate in the United States Department of Housing and Urban Development’s Continuum of Care (CoC) Program; and
   7. State advocates or other members of the public or state agencies, at the Governor’s discretion. (WIC 8257(c)(1))
7. Requires the Senate Committee on Rules and the Speaker of the Assembly to each appointment one member of the HCFC from two different stakeholder organizations. (WIC 8257(c)(2))
8. Requires the BCSH to provide staff for the HCFC. (WIC 8257(h))
9. Sets the following goals for the Council:
   1. To identify mainstream resources, benefits, and services that can be accessed to prevent and end homelessness in California;
   2. To create partnerships among state and federal agencies and departments, local government agencies, and nonprofit entities working to end homelessness, homeless services providers, and the private sector, for the purpose of arriving at specific strategies to end homelessness;
   3. To promote systems integration to increase efficiency and effectiveness while focusing on designing systems to address the needs of people experiencing homelessness, including unaccompanied youth under 25 years of age;
   4. To coordinate existing funding and applications for competitive funding, without restructuring or changing any existing allocations or allocation formulas;
   5. To make policy and procedural recommendations to legislators and other governmental entities;
   6. To identify and seek funding opportunities for state entities that have programs to end homelessness and to facilitate and coordinate those state entities’ efforts to obtain that funding;
   7. To broker agreements between state agencies and departments and between state agencies and departments and local jurisdictions to align and coordinate resources, reduce administrative burdens of accessing existing resources, and foster common applications for services, operating, and capital funding;
   8. To serve as a statewide facilitator, coordinator, and policy development resource on ending homelessness in California;
   9. To report to the Governor, federal Cabinet members, and the Legislature on homelessness and work to reduce homelessness; and
   10. To ensure accountability and results in meeting the strategies and goals of the HCFC. (WIC 8257(b))
10. Requires agencies and departments administering state programs created on or after July 1, 2017 to collaborate with HCFC to adopt guidelines and regulations to incorporate core components of Housing First. Further requires all agencies and departments administering programs in existence prior to July 1, 2017 to collaborate with HCFC to revise or adopt guidelines and regulations that incorporate the core components of Housing First, if the existing guidelines and regulations do not already incorporate the core components of Housing First, by July 1, 2019. (WIC 8256(a),(b))
11. Establishes the Homeless Emergency Aid Program (HEAP) for the purpose of providing localities with one-time flexible block grant funds to address their immediate homeless challenges. (HSC 50211)
12. Establishes the Homeless Housing, Assistance, and Prevention (HHAP) program for the purpose of providing jurisdictions with one-time grant funds to support regional coordination and expand or develop local capacity to address immediate homelessness challenges informed by a best-practices framework focused on moving individuals experiencing homelessness and families into permanent housing and supporting the efforts of those individuals and families to maintain their permanent housing. (HSC 50217(a))
13. Requires HHAP program funding recipients to expend funds on evidence-based solutions that address and prevent homelessness among eligible populations, including outreach and coordination, which may include access to job programs, to assist vulnerable populations in accessing permanent housing and to promote housing stability in supportive housing. (HSC 50219(c)(4))

This Bill:

1. Establishes the Office to End Homelessness (Office) in the state government within the Governor’s office and places it under the direct control of a secretary who reports to the Governor.
2. Requires the Governor appoint the Secretary on Homelessness (Secretary) and requires the Secretary perform all duties, exercise all powers, assume and discharge all responsibilities, and carry out and effect all purposes vested by law in the Office, including contracting for professional or consultant services in connection with the work of the office.
3. States the Office’s primary purposes are to do all of the following:
   1. Coordinate homelessness programs, services, data, and policies between federal, state, and local agencies;
   2. Coordinate the timing of release of funds and applications for funding for housing and housing-based services impacting Californians experiencing homelessness;
   3. Collaborate with local homeless CoC and jurisdictions receiving state funding;
   4. Coordinate with philanthropic organizations with the goal of seeding innovations in moving people experiencing homelessness into permanent housing; and
   5. Adopt a model of housing and services the state funds across agencies to serve Californians experiencing homelessness.
4. Requires state agencies and departments with representatives on the HCFC, or workgroups established by the HCFC, to report to and coordinate with the Secretary and the Office.
5. Requires the Office serve the Governor as the lead entity for ending homelessness in California, and as such requires the Office to:
   1. Fulfill the duties and responsibilities of the HCFC;
   2. Recommend to the Governor and the Legislature new state policies, programs, and actions, or amendments to existing programs;
   3. Convene staff from those state agencies and departments represented on the HCFC that provide services to individuals and families experiencing homelessness for the purposes of both following evidenced-based models for housing and service programs and aligning requests for proposals, notices of funding availability, grant agreements, or contracts that the state agencies and departments use in administering programs offering housing or housing-based services;
   4. Establish a process, if adequate funding exists, for agencies and departments to collectively identify, assist, and track individuals exiting state-funded institutions, including but not limited to, people leaving prisons, state-funded hospitals or nursing homes, and foster care who are at risk of homelessness, along with procedures or programs for state agencies and departments to implement to prevent discharges into homelessness;
   5. Collaborate with existing state agency staff to develop a universal application for developers, service providers, and other entities to apply to agencies and departments represented on the HCFC;
   6. Examine and promote racially and gender equitable policies for departments and agencies that provide housing and services to individuals experiencing homelessness.
6. Provides that the Office may convene a funder’s workgroup to accomplish activities of the Office, as provided, and that the workgroup may also include philanthropic organizations focused on ending homelessness, reducing health disparities, ending domestic violence, or ensuring Californians do not exit incarceration to prison.
7. Requires the Office, as appropriate, coordinate with staff in the Governor’s office to solicit monetary donations or in-kind donations from businesses, nonprofit organizations, or individuals for the purpose of encouraging innovation in ending homelessness and augmenting funding for evidence-based housing and services.
8. Requires the Office coordinate relevant state agencies and departments to reduce the risk of long-term homelessness by developing specific protocol and procedures to help the following populations access housing designed to meet their needs, as provided: domestic violence survivors experiencing homelessness; individuals reentering communities from jails and prisons; older adults in need of services that assist with independent living; and high-cost and high-acuity health care users.
9. Requires the employees currently staffing the HCFC within the BCSH to be transferred to this Office to oversee and carry out the Council’s activities and existing mandates and further requires the current position of Deputy Secretary on Homelessness within the BCSH be eliminated once the Governor appoints a Secretary on Homelessness.
10. Requires an agency or department, including but not limited to those who are members of the HCFC, that administers one or more state programs to provide, upon request, any relevant information regarding those state programs to the HCFC.
11. Moves the HCFC from the BCSH to under the supervision of the Secretary of the Office and requires for the Office to provide staff for the HCFC and direct the executive director of the HCFC.
12. Names the statewide data system or warehouse currently under creation by the HCFC the Homeless Data Integration System.
13. Prohibits any health information, as defined, or personal identifying information provided to, or maintained within, the Homeless Data Integration System from being subject to public inspection or disclosure under the California Public Records Act, as provided.
14. Adds the goal of developing and implementing a statewide strategic plan on homeless that establishes measurable objectives and strategies to enhance state-level accountability practices to the HCFC’s existing goals.
15. Modifies the membership of the HCFC in the following ways: requires the director or secretary of represented state departments and offices participate in the HCFC rather than their representative; adds the director of the Department of Public Health; and provides for the Director of the Office of Emergency Services to appoint a representative of the Victim Services Program and the Superintendent of Public Instruction to appoint a representative from the State Department of Education rather than the Governor.
16. Creates an advisory committee for the HCFC, requires the HCFC regularly seek guidance from and meet with that advisory committee, and moves the following members of the HCFC to that advisory committee: a formerly homeless person who lives in California; a formerly homeless youth who lives in California; two representatives of local agencies or organizations that participate in the United States Department of Housing and Urban Development’s CoC program; state advocates or other members of the public or state agencies, at the Governor’s discretion; and one member to the council from two different stakeholder organizations, one appointed by the Senate Committee on Rules and the other appointed by the Speaker of the Assembly.
17. Clarifies that the council is subject to the Bagley-Keene Open Meeting Act and all meetings of the council are subject to the Bagley-Keene Open Meeting Act, except for a meeting of a working group, task force, or other structure within the membership of the HCFC if only a minority of members of the council participate.
18. Provides for the transfer of the HCFC’s staff, executive direct, rights, property, and available funds from the BCSH to the Office to End Homelessness.

FISCAL IMPACT

According to the Assembly Committee on Appropriations on June 2, 2020, this bill specifies using existing state civil service employees, including existing Council staff, and moves Council resources to the new Office to End Homelessness, Therefore, estimated costs for this bill will be offset by existing resources. Further, the Governor's 2020-21 workload budget includes additional funding for the Council. However, to the extent his bill assigns duties to the new office not currently performed by the Council, the office may require additional resources.

BACKGROUND AND DISCUSSION

Purpose of the Bill:

Homelessness in California

The U.S. Department of Housing and Urban Development’s (HUD) 2019 Annual Point in Time Count Homelessness Report (Report) found that 151,278 individuals were experiencing homelessness on a single night in California. The Report showed that, despite a nationwide decrease in homelessness, California’s numbers increased by 16.4 percent (21,306 individuals) over the prior year. Additionally, the Report found that:

• California has more than half of all unsheltered homeless people in the country, 53 percent or 108,432 individuals.
• Homelessness among California families with children increased by 7 percent or 1,537 more individuals;
• California has the largest number of unaccompanied youth experiencing homelessness, 11,993 individuals, accounting for just over one-third of all unaccompanied youth, with the majority, or 9,465 individuals, found to be unsheltered; and
• Just under 30 percent of all veterans experiencing homelessness reside in California, 10,980 individuals, more than half of whom are unsheltered, or 7,719 unsheltered individuals.

The health, personal, and economic challenges that chronically homeless individuals and families face and the lack of effective, coordinated services to address these problems often lead to a cycle of housing instability and health deterioration. Persistent homelessness impedes access to needed health and employment services. Consequently, people who are chronically homeless cycle through costly emergency-driven public systems – emergency shelters, emergency rooms, detoxification centers, criminal justice facilities – without getting the ongoing care they need to address severe mental illness, substance abuse disorders, or chronic health conditions.

Homeless Coordinating and Financing Council (HCFC)

SB 1380 (Mitchell, Chapter 847, Statutes of 2016) created the HCFC to coordinate the state’s response to homelessness. The HCFC was created to identify mainstream resources, benefits, and services that can be accessed to prevent and end homelessness in California. Additionally, the HCFC was intended to create partnerships among state agencies and departments, local government agencies, participants in HUD’s CoC program, federal agencies, the U.S. Interagency Council on Homelessness, nonprofit agencies working to end homelessness, homeless services providers, and the private sector for purpose of arriving at specific strategies to end homelessness. As created by SB 1380, the HCFC was housed within the Department of Housing and Community Development (HCD), which was further responsible for providing staff for the HCFC.

SB 850 (Senate Committee on Budget and Fiscal Review, Chapter 48, Statues of 2018) moved the HCFC from HCD to the Business, Consumer Services and Housing Agency. SB 850 also authorized the creation of an Executive Director to oversee the HCFC, as well as the allocation of several staff members.

The HCFC was created in part to oversee the state’s implementation of Housing First. Agencies and departments administering state programs relating to homelessness are required to collaborate with the HCFC to revise or adopt guidelines and regulations that incorporate core components of Housing First. To that end, the HCFC had adopted a Housing First Checklist to be used by state agencies to assess their homelessness-related programs and make recommendations on any changes required to bring their programs into alignment with Housing First statute. More on Housing First can be found below.

SB 850 (Senate Committee on Budget and Fiscal Review, Chapter 48, Statues of 2018) also allocated $500 million in Homeless Emergency Aid Program (HEAP) block grant funds, which was created to provide one time funding to enable local governments to respond to homelessness. SB 850 made the HCFC responsible for the administration of HEAP funding. Those funds have been awarded to 43 CoCs and 11 large cities.

In 2019, AB 101 (Committee on Budget, Chapter 159, Statutes of 2019) created the HHAP Program. Requiring the HCFC to distribute $650 million in funds to assist local governments in addressing homelessness. The HHAP program is a one-time block grant that provides local jurisdictions with funds to support regional coordination and expand or develop local capacity to address their immediate homelessness challenges. HHAP program allocations are given to the 44 CoCs, the 13 large cities, or cities that are also counties, and the 58 counties. A program recipient of HHAP funding is required to use at least 8 percent of the funds for services for homeless youth populations. HHAP funding recipients are additionally required to use the funds on evidence-based solutions that address and prevent homelessness among eligible populations.

HCFC accepted applications for HHAP program funding until February 15, 2020. The HCFC has reviewed applications and is in the process of awarding HHAP funding.

Coordination of State Homelessness Programs

In California there are at least 30 different programs relating to homelessness administered by 13 different state agencies and departments. A 2017 Audit of Homelessness in California by the California State Auditor reported that “one factor that contributes to other entities having a lower proportions of unsheltered homeless individuals is the existence of a specific organization dedicated to addressing homelessness.”^[1] The audit went on to look at the HCFC and the challenges it faced in addressing homelessness due to lack of permanent staffing and adequate funding. Although some of these challenges were addressed through SB 850 (Senate Committee on Budget and Fiscal Review, Chapter 48, Statues of 2018), there is still a sense that the HCFC struggles to coordinate the state’s response to homelessness across agencies and departments.

In response to the Governor’s 2020-2021 budget proposals addressing homelessness, the Legislative Analyst’s Office (LAO) wrote the following regarding California’s current approach to homelessness, “addressing a problem as complex and interconnected as homelessness requires the involvement of departments and agencies across the state and collaboration among all levels of government and other stakeholders. A fragmented response creates various challenges.”^[2] The LAO went on to recommend that the legislature develop a homelessness plan that does the following:

• Identifies goals;
• Identifies solutions that align with goals;
• Sets clear state and local responsibilities;
• Identifies state governance structure;
• Establishes funding strategy; and
• Develops rigorous oversight mechanism.^[3]

COVID-19 Impacts on Committee Jurisdiction

Due to the COVID-19 Pandemic and the unprecedented nature of the 2020 Legislative Session, all Senate Policy Committees are working under a compressed timeline.  This timeline does not allow this bill to be referred and heard by more than one committee as a typical timeline would allow.  In order to fully vet the contents of this measure for the benefit of Senators and the public, this analysis includes information from Senate Housing Committee.

Related/Prior Legislation:

AB 2746 (Gabriel, 2020) requires a recipient of funds from CalWORKs homelessness assistance programs, Housing and Disability Income Advocacy Program, and the Whole Person Care pilot to submit an annual report to the agency that allocated the funds. This bill is set to be heard by the Senate Human Services Committee on August 10, 2020.

AB 3269 (Chiu, 2020) establishes a Housing and Homelessness Inspector General in the California Department of Housing and Community Development to monitor implementation and progress of state and local homeless action plans; provide technical assistance; bring actions against state and local agencies to compel plan compliance; and investigate complaints and issue civil penalties. This bill is scheduled be heard by the Senate Housing Committee on August 6, 2020.

SB 333 (Wilk, 2019) would have required the HCFC, by July 1, 2021, to develop and implement a statewide strategic plan for addressing homelessness in the state. This bill also would have required the HCFC, by January 1, 2021, to implement strategic plans to assist HUD CoC lead agencies to better implement HUD recommended activities and/or better meet federal HUD requirements. SB 333 was held in the Assembly Appropriations Committee.

AB 101 (Committee on Budget, Chapter 159, Statutes of 2019) provides for statutory changes necessary to enact the housing and homelessness-related provisions of the Budget Act of 2019. Including, among other changes, the creation of the HHAP Program to distribute $650 million in funds to assist local governments in addressing homelessness.

SB 850 (Senate Committee on Budget and Fiscal Review, Chapter 48, Statutes of 2018) provided for over $600 million in funding to various projects aimed at reducing homelessness. As well as moved the Council from HCD to the Business, Consumer Services, and Housing Agency. SB 850 also authorized the creation of an Executive Director to oversee the Council and provided for the allocation of several staff members.

SB 1380 (Mitchell, Chapter 847, Statues of 2016) established the Council to oversee implementation of the Housing First regulations and, among other things, identify resources, benefits, and services that can be accessed to prevent and end homelessness in California. Also required state agencies or departments that fund, implement, or administer state housing or housing-related services programs to adopt guidelines and regulations to include Housing First policies.

COMMENTS

Addressing California’s homelessness crisis was a 2020 priority for the Legislature and the Governor prior to the COVID-19 Pandemic. Although much of the state’s attention and resources have been focused on responding to COVID-19, addressing the needs of the individuals experiencing homelessness has continued to be a top priority. For example, Governor Newsom signed Executive Order N-25-20 on March 12, 2020 identifying the state’s need for various facilities that could be used to isolate and treat individuals exposed to COVID-19. These actions were followed by Executive Order N-32-20 on March 18, 2020, which provided local governments with additional flexibilities to expand emergency shelter and isolation capacity for people experiencing homelessness in California during the COVID-19 pandemic. An additional $150 million in state general funds were made available to support state and local governments in protecting the health and safety of people experiencing homelessness in response to COVID-19.

This bill seeks to address some of the challenges faced in the state’s response to homelessness by creating the Office to End Homelessness lead by the Secretary on Homelessness and moving the HCFC under the direction of that office. This bill also sets some goals for the Office, realigns the goals of the HCFC under the Office, and places requirements on the work of the Office to align funding and proposals for addressing homelessness across state agencies and departments. This bill does not implement all of the LAO’s suggestions nor correct all of the difficulties noted by the State Auditor’s report, but it does take steps to move state policy in that direction.

To address a drafting error, the Committee proposes the following amendments:

Committee Amendment

On page 5, lines 36-37 make the following changes:

violence, or ensuring Californians do not exit incarceration to

prison. to homelessness.

PRIOR VOTES

POSITIONS

Support:

Corporation for Supportive Housing (Sponsor)

Housing California (Sponsor)

American Family Housing
Brilliant Corners
California Apartment Association
California Catholic Conference
California Coalition for Rural Housing
California Partnership to End Domestic Violence
City of Santa Monica
City of Stockton
Clifford Beers Housing, INC.
Community Economics, INC.
Compass Family Services
County of Humboldt
County of Los Angeles Board of Supervisors
Destination: Home
Disability Rights California
Downtown Women's Center
EAH Housing
East Bay Housing Organizations
Fresno City Council District One
Homeaid America
Homefirst Services of Santa Clara County
Hope 4 Restoration
Housing on Merit
John Burton Advocates for Youth
Kings/Tulare Homeless Alliance
LA Family Housing
Legal Services for Prisoner With Children
Los Angeles County Office of Education
Los Angeles Homeless Services Authority
Los Angeles Veterans Collaborative
Many Mansions
Mayor Eric Garcetti, City of Los Angeles
National Association of Social Workers, California Chapter
Non-profit Housing Association of Northern California
Oakland; City of
Orange County United Way
Path
Resident United Network
Sacramento; City of
San Diego Board of Supervisor, Nathan Fletcher
San Diego Housing Federation
San Gabriel Valley Consortium on Homelessness
Self-help Enterprises
Shelter Partnership
St. Joseph Center
The People Concern
United Way of Greater Los Angeles
United Ways of California (UWCA)
Valley Industry & Commerce Association
Villines Group, LLC

50 individuals

Oppose:

None received

-- END --

1. https://www.auditor.ca.gov/pdfs/reports/2017-112.pdf ↑

2. https://lao.ca.gov/handouts/localgov/2020/Homelessness-and-the-Budget-021920.pdf ↑

3. Id. ↑

ASSEMBLY THIRD READING

ATR Bill Id:AB 1845

Author:(Luz Rivas and Chiu)

As Introduced Ver:June 4, 2020

Majority vote

SUMMARY:

Establishes the Office to End Homelessness under the direction of the Secretary of Housing Insecurity and Homelessness.

Major Provisions

1. Establishes the Office to End Homelessness to be housed in the Governor's office.
2. Requires the Governor to appoint a Secretary of Housing Insecurity and Homelessness and places the Office to End Homelessness under the direct control of the Secretary.
3. Provides that the primary purpose of the Office to End Homelessness is to coordinate homelessness services, data, and policies between federal, local, and state agencies.
4. Moves the Homelessness Coordinating and Financing Council (HCFC) from the Business Consumer Services and Housing Agency (BCSH) into the Governor's Office to End Homelessness.
5. Replaces the Secretary of BCSH as chair of the HCFC with the Secretary of Housing and Insecurity and Homelessness.
6. Moves all of the staff and resources from the HCFC from BCSH and into the Office to End Homelessness.
7. Requires the Office to End Homelessness to do all of the following:
8. Advise the Governor on ways to advance statewide homelessness prevention through a need-gap analysis;
9. Convene staff from state agencies and departments that provide services to those experiencing homelessness to develop universal guidelines and standards for providing those services;
10. Coordinate the standardization of housing and services to people experiencing homelessness using evidence-based approaches;
11. Establish a process for agencies and departments to identify, assist, and track individuals leaving state-funded institutions that are at risk of homelessness;
12. Fund housing navigation for people at risk of homelessness upon discharge from state-funded institutions;
13. Develop a universal application for individuals, developers, and other entities to apply for funding from the state for homelessness services, funding, and housing.
14. Issue funding to address homelessness to local agencies through a unified funding application in consideration of the timing of similar federal funding;
15. Examine and promote racially equitable polices for departments and agencies that provide housing and services to people experiencing homelessness; and,
16. Accept monetary donations or other donations from businesses; nonprofit organizations, or individuals to encourage innovation in ending homelessness and providing housing and other services.
17. Requires the Office to End Homelessness to coordinate with state agencies and departments to reduce the risk of long-term homelessness by developing procedures and protocols that do all of the following:
18. Connect domestic violence survivors that are exiting shelters and transitional housing to housing navigators and rental assistance programs;
19. Assist individuals reentering communities from jails and prisons with housing navigation and obtaining permanent housing;
20. Connect older adults with services that assist independent living and other wrap around and personal care services;
21. Provide high-cost and high-acuity health users, with housing and services to avoid homelessness; and,
22. Create local processes that make child welfare services available to unaccompanied minors experiencing homelessness.
23. States the intent of the Legislature to enact legislation to establish a funders collaborative administered by the Office to End Homelessness.
24. Requires a state agency or department that administers a program that is required to be a Housing First program to provide the HCFC with any relevant information regarding the program

COMMENTS:

California is facing a homelessness and affordable housing crisis. In 2019, on a single night in January, 151,278 people experienced homelessness in California. California has twenty-four percent of the people in the nation experiencing homelessness. Nearly half of all unsheltered people in the country were in California. The number of people experiencing homelessness increased by 17% from 2018 to 2019.

The homeless crisis is driven by the lack of affordable rental housing for lower income people. In the current market, 2.2 million extremely low-income and very low-income renter households are competing for 664,000 affordable rental units. Of the six million renter households in the state, 1.7 million are paying more than 50% of their income toward rent. The National Low Income Housing Coalition estimates that the state needs an additional 1.5 million housing units affordable to very-low income Californians.

HCFC: SB 1380 (Mitchell), Chapter 847, Statutes of 2016 created the HCFC to coordinate the state's response to homelessness. SB 1380 required all state agencies or departments that operate programs that provide housing or housing-related services to people experiencing homelessness or at risk of homelessness to adopt guidelines and regulations to include Housing First policies. Housing First is an evidence-based housing model that centers on providing people experiencing homelessness with housing as quickly as possible and then providing services as needed. 

The HCFC was given a list of "goals" to focus on but no clear authority to make changes to state policy or programs that address homelessness.

In 2018, the budget included $500 million for the Homeless Emergency Assistance Program (HEAP) to provide localities with flexible block grant funds to address their immediate homelessness challenges. The HCFC was tasked with distributing HEAP. Funding can be used for emergency housing vouchers, rapid re-housing, construction of emergency shelters, among other uses. In 2019, the HCFC was allocated $650 million for the Homelessness Housing, Assistance, and Prevention Program (HHAP) to distribute to local governments – CoCs, counties, and large cities to respond to homelessness. HHAP is similar to HEAP but provides more specificity on how local governments must spending funding and moves away from a priority for emergency shelters and toward permanent housing solutions.

State coordination across homelessness programs: In 2017, the California State Auditor reported the core reason our "homeless population exceeds that of other entities" is due to the fact that "other entities have a single entity charged specifically with addressing homelessness. Furthermore, other entities invest significantly in administering and funding homeless services."

The Legislative Analyst Office recently commented on the state's current approach to addressing homelessness by asserting: "[A] fragmented approach creates various challenges. Addressing a problem as complex and interconnected as homelessness requires the involvement of departments and agencies across the state and collaboration among all levels of government and other stakeholders. A fragmented response creates various challenges, including:

1. Difficulty tracking all homelessness‑related expenditures across the state;
2. Difficulty assessing how much the state is spending on a particular approach towards addressing homelessness, for example—prevention versus intervention efforts;
3. Difficulty determining how programs work collaboratively; and,
4. Difficulty assessing what programs are collectively accomplishing.

According to the Author:

According to the author, "increasing housing costs and stagnating incomes have been the main drivers that cause individuals to fall into homelessness. To help alleviate those pressures, the Legislature and Governor has allocated significant resources in response to the growing crisis. While state funding plays a critical role in the fight against homelessness, funding alone will not solve systemic issues. Continued state investments, combined with significant structural changes to how California oversees, coordinates, and delivers its homelessness programs is essential to ensuring that state and local programs are being utilized effectively."

Arguments in Support:

According to supporters, "AB 1845 (L. Rivas) will create an Office to End Homelessness within Governor's Office, led by a Secretary on Housing Insecurity and Homelessness. As a position directly reporting to the Governor, the Office will have the authority to coordinate the work of state departments, and the accountability over the state direction. The Office will oversee our HCFC and create a new "funders collaborative" that will recruit philanthropy to invest seed funding for promising practices. It will convene state staff to arrive at a core set of standards for housing and housing-based services that would follow evidence-based interventions. And it will institute best practices for preventing Californians from exiting state-funded institutional settings into homelessness."

Arguments in Opposition:

None on file.

FISCAL COMMENTS:

According to the Assembly Committee on Appropriations, this bill specifies using existing state civil service employees, including existing Council staff, and moves Council resources to the new Office to End Homelessness, Therefore, estimated costs for this bill will be offset by existing resources. Further, the Governor's 2020-21 workload budget includes additional funding for the Council. However, to the extent his bill assigns duties to the new office not currently performed by the Council, the office may require additional resources.

VOTES:

ASM HOUSING AND COMMUNITY DEVELOPMENT: 6-1-1

YES: Chiu, Diep, Gloria, Limón, Maienschein, Quirk-Silva

NO: Kiley

ABS, ABST OR NV: Gabriel

ASM APPROPRIATIONS: 15-3-0

YES: Gonzalez, Bauer-Kahan, Bloom, Bonta, Calderon, Carrillo, Chau, Diep, Eggman, Fong, Gabriel, Eduardo Garcia, Petrie-Norris, McCarty, Robert Rivas

NO: Bigelow, Megan Dahle, Voepel

UPDATED:

VERSION: June 4, 2020

CONSULTANT: Lisa Engel / H. & C.D. / (916) 319-2085 FN: 0003022

Date of Hearing: June 2, 2020

ASSEMBLY COMMITTEE ON APPROPRIATIONS

Lorena Gonzalez, Chair

ABPCA Bill Id:AB 1845

Author:(Luz Rivas) – As Introduced Ver:January 6, 2020

Urgency: No State Mandated Local Program: No Reimbursable: No

SUMMARY:

This bill creates the Governor’s Office to End Homelessness under the direction of the Secretary of Housing Insecurity and Homelessness, and moves the Homelessness Coordinating and Financing Council (Council) from the Business Consumer Services and Housing Agency (BCSH) to the Office to End Homelessness. Specifically, this bill:

1. Establishes the Governor’s Office to End Homelessness under the direction of the Secretary of Housing Insecurity and Homelessness, and housed in the Governor’s office.
2. Requires the Governor to appoint a Secretary of Housing Insecurity and Homelessness.
3. States the primary purpose of the Governor’s Office to End Homelessness is to coordinate homelessness services, data and policies between federal, local and state agencies.
4. Moves the Council from BCSH into the Governor’s Office to End Homelessness.
5. Replaces the Secretary of BCSH as chair of the Council with the Secretary of Housing and Insecurity and Homelessness.
6. Moves all staff and resources from the Council into the Governor’s Office to End Homelessness.
7. Requires the Governor’s Office to End Homelessness to perform specified duties.
8. Requires the Governor’s Office to End Homelessness to coordinate with state agencies and departments to reduce the risk of long-term homelessness by developing procedures and protocols as specified.
9. Requires each state agency or department that administers a program required to be a “Housing First” program to provide the Council with relevant information regarding the program.

FISCAL EFFECT:

Estimated annual costs of $1.9 million (GF) for 11 positions and resources to staff and operate the new Governor’s Office to End Homelessness. Because the bill moves all existing Council staff and resources to the new office, estimated costs for this bill could be offset to some extent by existing resources. Further, the Governor’s 2020-21 workload budget includes additional funding for the Council. However, this bill assigns duties to the new office not currently performed by the Council, which will likely require additional resources.

COMMENTS:

1. Purpose. This bill seeks to establish a single point of contact on homelessness at the state level, by creating a Secretary on Housing Insecurity and Homelessness in charge of overseeing all homelessness programs. This bill also seeks to more effectively coordinate and hold the state accountable for its response to homelessness by moving the Council to the newly created Office of Homelessness.
2. Background. California is facing a homelessness and affordable housing crisis. In 2019, on a single night in January, 151,278 people experienced homelessness in California. California has twenty-four% of the people in the nation experiencing homelessness. Nearly half of all unsheltered people in the country were in California. The number of people experiencing homelessness increased by 17% from 2018 to 2019.
3. The Council. In 2016, SB 1380 (Mitchell), Chapter 847, created the Council to coordinate the state's response to homelessness. The Council has a list of “goals” but no clear authority to make changes to state policy or programs that address homelessness. In 2018, the state budget included $500 million for the Homeless Emergency Assistance Program (HEAP) to provide localities with flexible block grant funds to address their immediate homelessness challenges. The Council was tasked with distributing HEAP. In 2019, the Council was allocated $650 million for the Homelessness Housing, Assistance, and Prevention Program (HHAP) to distribute to local governments – continuums of care (CoCs), counties, and large cities to respond to homelessness.
4. State Coordination of Homelessness Programs. In 2017, the California State Auditor reported a core reason our “homeless population exceeds that of other entities” is because “other entities have a single entity charged specifically with addressing homelessness. Furthermore, other entities invest significantly in administering and funding homeless services.”

The Legislative Analyst Office recently commented on the state’s approach to addressing homelessness by asserting:

[A] fragmented approach creates various challenges. Addressing a problem as complex and interconnected as homelessness requires the involvement of departments and agencies across the state and collaboration among all levels of government and other stakeholders.

There are 13 state agencies and departments in the state administering at least 30 different programs relating to homelessness. The Council provides an opportunity to coordinate these programs, but lacks the authority to direct the departments and agencies that make up the Council to make policy changes to align the state’s resources. In addition, the Council is not required to deliver specific outcomes but has a set of goals to guide its work without prioritization. This bill will give the Council the authority it needs to effectively coordinate the state’s housing programs.

The Governor could, without new legislation, create a new secretary to oversee and direct homeless policies. However, this bill gives the Legislature an opportunity to direct the efforts of the Secretary and the Governor’s Office to End Homelessness and set priorities for the state’s response to homelessness.

1. Related Legislation. AB 3269 (Chiu), of this legislative session, creates the Office of the Housing and Homelessness Inspector General, requires the Council to conduct a needs and gaps analysis, and requires local governments to develop actionable plans to address homelessness, among other items. AB 3269 is pending hearing in this committee.

Analysis Prepared by: Jennifer Swenson / APPR. / (916) 319-2081

Date of Hearing: March 11, 2020

ASSEMBLY COMMITTEE ON HOUSING AND COMMUNITY DEVELOPMENT

David Chiu, Chair

ABPCA Bill Id:AB 1845 (

Author:Luz Rivas) – As Introduced Ver:January 6, 2020

SUBJECT: Homelessness: Office to End Homelessness

SUMMARY: Establishes the Governor’s Office to End Homelessness under the direction of the Secretary of Housing Insecurity and Homelessness. Specifically, this bill:

1. Establishes the Governor’s Office to End Homelessness to be housed in the Governor’s office.
2. Requires the Governor to appoint a Secretary of Housing Insecurity and Homelessness and places the Office to End Homelessness under the direct control of the Secretary.
3. Provides that the primary purpose of the Governor’s Office to End Homelessness is to coordinate homelessness services, data, and policies between federal, local, and state agencies.
4. Moves the Homelessness Coordinating and Financing Council (HCFC) from the Business Consumer Services and Housing Agency (BCSH) into the Governor’s Office to End Homelessness.
5. Replaces the Secretary of BCSH as chair of the HCFC with the Secretary of Housing and Insecurity and Homelessness.
6. Moves all of the staff and resources from the HCFC from BCSH and into the Governor’s Office to End Homelessness.
7. Requires the Governor’s Office to End Homelessness to do all of the following:
8. Advise the Governor on ways to advance statewide homelessness prevention through a need-gap analysis;
9. Convene staff from state agencies and departments that provide services to those experiencing homelessness to develop universal guidelines and standards for providing those services;
10. Coordinate the standardization of housing and services to people experiencing homelessness using evidence-based approaches;
11. Establish a process for agencies and departments to identify, assist, and track individuals leaving state-funded institutions that are at risk of homelessness;
12. Fund housing navigation for people at risk of homelessness upon discharge from state-funded institutions;
13. Develop a universal application for individuals, developers, and other entities to apply for funding from the state for homelessness services, funding, and housing.
14. Issue funding to address homelessness to local agencies through a unified funding application in consideration of the timing of similar federal funding;
15. Examine and promote racially equitable polices for departments and agencies that provide housing and services to people experiencing homelessness; and,
16. Accept monetary donations or other donations from businesses; nonprofit organizations, or individuals to encourage innovation in ending homelessness and providing housing and other services.
17. Requires the Governor’s Office to End Homelessness to coordinate with state agencies and departments to reduce the risk of long-term homelessness by developing procedures and protocols that do all of the following:
18. Connect domestic violence survivors that are exiting shelters and transitional housing to housing navigators and rental assistance programs;
19. Assist individuals reentering communities from jails and prisons with housing navigation and obtaining permanent housing;
20. Connect older adults with services that assist independent living and other wrap around and personal care services;
21. Provide high-cost and high-acuity health users, with housing and services to avoid homelessness; and,
22. Create local processes that make child welfare services available to unaccompanied minors experiencing homelessness.
23. States the intent of the Legislature to enact legislation to establish a funders collaborative administered by the Governor’s Office to End Homelessness.
24. Requires a state agency or department that administers a program that is required to be a Housing First program to provide the HCFC with any relevant information regarding the program.

EXISTING LAW:

1. Establishes the HCFC to be chaired by the Secretary of Business, Consumer Services, and Housing made up of the following members or their representatives:
2. A representative from the Department of Transportation;
3. A representative from the Department of Housing and Community Development;
4. A representative of the State Department of Social Services;
5. A representative of the California Housing Finance Agency;
6. A representative of the State Department of Health Care Services;
7. A representative of the Department of Veterans Affairs;
8. A representative of the Department of Corrections and Rehabilitation;
9. A representative from the California Tax Credit Allocation Committee in the Treasurer’s office;
10. A representative of the Victim Services Program within the Division of Grants Management within the Office of Emergency Services;
11. A formerly homeless person who lives in California;
12. A formerly homeless youth who lives in California;
13. Two representatives of local agencies or organizations that participate in the United States Department of Housing and Urban Development’s Continuum of Care Program;
14. State advocates or other members of the public or state agencies, at  the Governor’s discretion; and
15. An appointee of the Senate Committee on Rules and the Speaker of the Assembly
16. Sets the following goals for the HCFC:
17. To identify mainstream resources, benefits, and services that can be accessed to prevent and end homelessness in California;
18. To create partnerships among state and federal agencies and departments, local government agencies, and nonprofit entities working to end homelessness, homeless services providers, and the private sector, for the purpose of arriving at specific strategies to end homelessness;
19. To promote systems integration to increase efficiency and effectiveness while focusing on designing systems to address the needs of people experiencing homelessness, including unaccompanied youth under 25 years of age;
20. To coordinate existing funding and applications for competitive funding, without restructuring or changing any existing allocations or allocation formulas;
21. To make policy and procedural recommendations to legislators and other governmental entities;
22. To identify and seek funding opportunities for state entities that have programs to end homelessness and to facilitate and coordinate those state entities’ efforts to obtain that funding;
23. To broker agreements between state agencies and departments and between state agencies and departments and local jurisdictions to align and coordinate resources, reduce administrative burdens of accessing existing resources, and foster common applications for services, operating, and capital funding;
24. To serve as a statewide facilitator, coordinator, and policy development resource on ending homelessness in California;
25. To report to the Governor, federal Cabinet members, and the Legislature on homelessness and work to reduce homelessness; and
26. To ensure accountability and results in meeting the strategies and goals of the council.
27. Requires, after July 1, 2017, agencies and departments that implement funds, or administer a program that provides housing or housing-based services to people experiencing homelessness or at-risk of homelessness, with the exception of federally funded programs not consistent with housing first or programs that fund emergency shelters, to work with the state HCFC to adopt guidelines and regulations to incorporate core components of Housing First.

FISCAL EFFECT: Unknown

COMMENTS:

Author’s statement: According to the author, “increasing housing costs and stagnating incomes have been the main drivers that cause individuals to fall into homelessness. To help alleviate those pressures, the Legislature and Governor has allocated significant resources in response to the growing crisis. While state funding plays a critical role in the fight against homelessness, funding alone will not solve systemic issues.

Continued state investments, combined with significant structural changes to how California oversees, coordinates, and delivers its homelessness programs is essential to ensuring that state and local programs are being utilized effectively.”

Background: California is facing a homelessness and affordable housing crisis. In 2019, on a single night in January, 151,278 people experienced homelessness in California. California has twenty-four percent of the people in the nation experiencing homelessness. Nearly half of all unsheltered people in the country were in California. The number of people experiencing homelessness increased by 17 percent from 2018 to 2019.

The homeless crisis is driven by the lack of affordable rental housing for lower income people. In the current market, 2.2 million extremely low-income and very low-income renter households are competing for 664,000 affordable rental units. Of the six million renter households in the state, 1.7 million are paying more than 50% of their income toward rent. The National Low Income Housing Coalition estimates that the state needs an additional 1.5 million housing units affordable to very-low income Californians.

HCFC: In 2016, SB 1380 (Mitchell), Chapter 847, created the HCFC to coordinate the state's response to homelessness. SB 1380 required all state agencies or departments that operate programs that provide housing or housing-related services to people experiencing homelessness or at risk of homelessness to adopt guidelines and regulations to include Housing First policies. Housing First is an evidence-based housing model that centers on providing people experiencing homelessness with housing as quickly as possible and then providing services as needed. 

The HCFC was given a list of “goals” to focus on but no clear authority to make changes to state policy or programs that address homelessness.

In 2018, the budget included $500 million for the Homeless Emergency Assistance Program (HEAP) to provide localities with flexible block grant funds to address their immediate homelessness challenges. The HCFC was tasked with distributing HEAP. Funding can be used for emergency housing vouchers, rapid re-housing, construction of emergency shelters, among other uses. In 2019, the HCFC was allocated $650 million for the Homelessness Housing, Assistance, and Prevention Program (HHAP) to distribute to local governments – CoCs, counties, and large cities to respond to homelessness. HHAP is similar to HEAP but provides more specificity on how local governments must spending funding and moves away from a priority for emergency shelters and toward permanent housing solutions.

State coordination across homelessness programs: In 2017, the California State Auditor reported the core reason our “homeless population exceeds that of other entities” is due to the fact that “other entities have a single entity charged specifically with addressing homelessness. Furthermore, other entities invest significantly in administering and funding homeless services.”

The Legislative Analyst Office recently commented on the state’s current approach to addressing homelessness by asserting: “[A] fragmented approach creates various challenges. Addressing a problem as complex and interconnected as homelessness requires the involvement of departments and agencies across the state and collaboration among all levels of government and other stakeholders. A fragmented response creates various challenges, including:

• Difficulty tracking all homelessness‑related expenditures across the state;
• Difficulty assessing how much the state is spending on a particular approach towards addressing homelessness, for example—prevention versus intervention efforts;
• Difficulty determining how programs work collaboratively; and,
• Difficulty assessing what programs are collectively accomplishing

Staff comments: There are 13 different state agencies and departments administering at least 30 different programs relating to homelessness. The HCFC provides an opportunity to coordinate these programs, but lacks the authority to direct departments and agencies that make up the council to make policy changes to align the state’s resources. In addition, the HCFC is not required to deliver specific outcomes but has a set of goals to guide its work without prioritization. This bill would specify the responsibilities the proposed Governor’s Office to End Homelessness would be required to pursue including creating a uniform application for programs that address homelessness. It’s worth noting, that the Governor could create a new secretary to oversee and direct homeless policies without legislation. However, the bill gives the Legislature an opportunity to direct the efforts of the Secretary and the Governor’s Office to End Homelessness and set priorities for the state’s response to homelessness.

REGISTERED SUPPORT / OPPOSITION:

Support

Corporation for Supportive Housing (Co-Sponsor)
Housing California (Co-Sponsor)
American Family Housing
Brilliant Corners
California Apartment Association
California Catholic Conference
California Coalition for Rural Housing
Clifford Beers Housing, INC.
Community Economics, INC.
Community Housing Partnership
Destination: Home
EAH Housing
Homeless Health Care Los Angeles
John Burton Advocates for Youth
LA Family Housing

LeadingAge California
Los Angeles County Office of Education
PATH
St. Joseph Center

Opposition

None on file

Analysis Prepared by: Lisa Engel / H. & C.D. / (916) 319-2085