Pamela Cruz. Peninsula 360 Press [P360P].
California Governor Gavin Newsom announced that all 94 projects in the Homekey Program - low-income housing grants - have closed escrow, meaning that there will be buildings providing 6,029 critical need housing units for homeless people throughout California.
In this regard, the official emphasized that a total of $750 million in dollars from the Federal Assistance Fund for COVID-19 has been allocated to 51 applicants for the 94 projects.
Such critical investments allow high-risk populations to follow public health guidelines to curb the spread of IDOC-19, using innovative approaches, such as converting temporary, uncrowded housing, including hotels, motels, empty apartment buildings and other properties, into permanent ones, he noted.
In a statement, the state government stressed that long-term housing is for people who are homeless or at risk of homelessness, and that $96 million in operating support, a combination of state funds and philanthropic investment, has been granted in full.
Thus, in total, Homekey used $846 million to quickly purchase and subsidize all six thousand 029 units in less than six months from start to finish.
"In a matter of months and in the midst of a pandemic, we did what many said was impossible: California created more than 6,000 new units, on time and under budget, helping thousands of homeless Californians move from cars and tents to housing," Newsom said.
He added that Homekey has been made possible by federal support to stop the spread of COVID-19, the Legislature's partnership and local leaders who "didn't settle for excuses and instead set to work to make history.
The statewide average cost for Homekey per unit is $123,987 and the statewide average local cost is $23,987, making the total average cost per unit $147,974.
"With equity and inclusion built into Homekey, communities and Californians who are too often overlooked will benefit, including at-risk youth and former foster youth, LGBTTTIQ+ youth, people living with HIV, essential farm workers, vulnerable seniors, veterans, people with disabilities and women escaping domestic violence," said Gustavo Velasquez, director of the Department of Housing and Community Development -HCD.
The purpose of "Homekey" and procurement is to create permanent places for at-risk homeless people to live safely, protecting them from many public health risks, including the impacts of the COVID-19 pandemic.
HCD began accepting applications for Homekey on July 22, 2020, and by the priority application deadline of August 13, a total of 138 applications had been received from 67 jurisdictions across the state, totaling nearly $1.06 billion requested.
As of December 29, 2020, all 51 local agencies that received awards had obtained their funding and purchased and closed their project escrow.
In addition to funding to acquire units, the 51 grantees have received at least one operating support grant from philanthropic sources or the state General Fund to help ensure the long-term viability of each applicant's Homekey portfolio.
