Earlier this month, Governor Gavin Newsom announced the award of $52.6 million in federal funding to support housing, infrastructure improvements, and homelessness services across California. The funding will support 90 projects in 53 counties and is expected to benefit more than 160,000 residents statewide.

The awards combine funding from the federal Community Development Block Grant (CDBG) program and the 2024 Emergency Solutions Grants (ESG) program. Both programs are administered in California by the Department of Housing and Community Development (HCD).

Of the total funding, CDBG awards will support 38 projects in 20 counties. These projects include improvements to sewer and street infrastructure, public facilities, and recreational spaces. The funding is intended to expand access to basic infrastructure and community services in low- and moderate-income areas.

An additional $14.3 million was awarded through 52 Emergency Solutions Grants projects serving 25 counties. ESG funding supports local governments and service providers in addressing homelessness through outreach, shelter operations, rapid rehousing, and homelessness prevention programs.

CDBG public service awards included 18 grants totaling $4.6 million. These grants support activities such as advocacy for children in the court system, shelters for survivors of domestic violence, housing navigation services for people experiencing homelessness, support services for veterans with behavioral health challenges, nutrition programs for seniors, and assistance for food banks, transportation, and utilities.

Housing and Community Development also awarded 52 ESG grants totaling $14.3 million to counties and service providers in 36 counties. ESG funding may be used to engage individuals and families experiencing homelessness, improve emergency shelter operations, provide essential services, rapidly rehouse individuals and families, and prevent homelessness.

State officials report that the funding aligns with broader efforts to address housing and homelessness challenges statewide. According to the administration, California has slowed the growth of homelessness in recent years compared to national trends. In 2024, homelessness increased nationally by more than 18 percent, while California reported an overall increase of three percent and an unsheltered homelessness increase of 0.45 percent. The state also reported reductions in veteran homelessness and progress in reducing youth homelessness.

More information about the CDBG and ESG awards is available through the California Department of Housing and Community Development.