SACRAMENTO:-  Governor Gavin Newsom today announced nearly $181.1 million in grant funding to revitalize communities and increase homeownership opportunities for 1,275 lower-income California households — including agricultural workers and their families. The funding was provided through a streamlined process created by the Newsom administration to help simplify the process for communities to access funding and create housing.

Governor Gavin Newsom said, “This year, more California families will have a place to call home because of the vital, durable state investments that are literally building up our communities — creating real projects and putting real keys in hands. We’re cutting red tape, expanding affordability, and accelerating access so the promise of homeownership is within reach for more California families.”

“Homeownership is one of the greatest tools for creating generational financial security, and one that is increasingly difficult to attain,” said California Business, Consumer Services and Housing Agency Secretary Tomiquia Moss. “Through CalHOME and the Serna program, we are working with amazing partners to address historical inequities in homeownership, strengthening California communities.”

In 2019, during his first State of the State, Governor Newsom announced the state would begin focusing on the housing and homelessness crisis — becoming the first Governor in history to make this issue a statewide priority. Governor Newsom has advanced measures to tackle California’s decades-long crisis of housing affordability and homelessness with an unprecedented singular focus.

Through new programs and funding, California is outperforming the nation in turning around the decades-in-the-making homelessness crisis. A key part of the Governor’s strategy is increasing California’s housing inventory, helping strengthen affordability and helping every family achieve the California Dream. The Governor has also streamlined the process for communities to access funding and support to create new housing. This includes through the creation of the Homeownership Super NOFA (HOSN) in 2019  which developed a one-stop shop for affordable homeownership projects and programs.

Helping Californians access housing 

Today’s CalHOME program and Joe Serna Jr. Farmworker Housing (Serna, or FWHG) awards, administered by the California Department of Housing and Community Development (HCD), will create 74 CalHOME projects in 22 California counties and benefit 1,172 households, while six Serna homeownership projects are expected to help another 103 farmworker households. To date, the HOSN program has awarded $447.57 million to help 4,074 California households in 40 California counties attain or maintain homeownership. In just two years, the Serna program has extended homeownership opportunities to 192 farmworker families.“The Homeownership Super NOFA provides a powerful investment for Californians,” said HCD Director Gustavo Velasquez. “This funding makes homeownership possible for lower-income households, creating generational change that not only preserves but revitalizes communities throughout the state.”

The Homeownership Super NOFA (HOSN) administered by the California Department of Housing and Community Development (HCD), is a one-stop shop for affordable homeownership projects and programs. Under this HOSN round, both CalHOME and Serna funded first-time homebuyer mortgage assistance. Serna also funded programs for the purchase of manufactured homes, while CalHOME funded: homeownership development project loans; owner-occupied rehabilitation assistance; technical assistance for self-help housing projects and shared housing programs; accessory dwelling unit programs; and the acquisition of manufactured housing. Both CalHOME and Serna grants are available to nonprofits, local governments, and tribal entities; limited liability corporations and limited partnerships are also eligible for Serna homeownership activity awards.

To learn more about HCD’s Homeownership Super NOFA and the CalHOME and Serna awards announced today, visit Homeownership Super NOFA | California Department of Housing and Community Development.

An approach that works

From the very first moments of the Newsom administration, the national crisis of housing and homelessness – which were decades in the making – has been addressed with ingenuity, seriousness, and expertise. No other state has devoted as much time and attention to these twin problems – and California is a leader in producing positive results. Governor Newsom is creating a structural and foundational model for the entire country:  Addressing mental health and its impact on homelessness — Ending a long-standing 7,000 behavioral health bed shortfall in California by rapidly expanding community treatment centers and permanent supportive housing units. In 2024, voters approved Governor Newsom’s Proposition 1 which is transforming California’s mental health systems with a $6.4 billion Behavioral Health Bond for treatment settings and housing with services for veterans and people experiencing homelessness, and reforming the Behavioral Health Services Act to focus on people with the most serious illnesses, provide care to people with substance disorders, and support their housing needs.

Creating new pathways for those who need the most help — Updating conservatorship laws for the first time in 50 years to include people who are unable to provide for their personal safety or necessary medical care, in addition to food, clothing, or shelter, due to either severe substance use disorder or serious mental health illness. Creating a new CARE court system that creates court-ordered plans for up to 24 months for people struggling with untreated mental illness, and often substance use challenges.

Streamlining and prioritizing building of new housing — Governor Newsom made creating more housing a state priority for the first time in history. He has signed into law groundbreaking reforms to break down systemic barriers that have stood in the way of building the housing Californians need, including broad CEQA reforms.

Creating shelter and support — Providing funding and programs for local governments, coupled with strong accountability measures to ensure that each local government is doing its share to build housing, and create shelter and support, so that people living in encampments have a safe place to go.

Removing dangerous encampments — Governor Newsom has set a strong expectation for all local governments to address encampments in their communities and help connect people with support. In 2024, Governor Newsom filed an amicus brief with the Supreme Court defending communities’ authority to clear encampments. After the Supreme Court affirmed local authority, Governor Newsom issued an executive order directing state entities and urging local governments to clear encampments and connect people with support, using a state-tested model that helps ensure encampments are addressed humanely and people are given adequate notice and support.

Reversing a decades-in-the-making crisis

The Newsom administration is making significant progress in reversing decades of inaction on homelessness. Between 2014 and 2019—before Governor Newsom took office—unsheltered homelessness in California rose by approximately 37,000 people. Since then, under this Administration, California has significantly slowed that growth, even as many other states have seen worsening trends.

In 2024, while homelessness increased nationally by over 18%, California limited its overall increase to just 3% — a lower rate than in 40 other states. The state also held the growth of unsheltered homelessness to just 0.45%, compared to a national increase of nearly 7%. States like Florida, Texas, New York, and Illinois saw larger increases both in percentage and absolute numbers. California also achieved the nation’s largest reduction in veteran homelessness and made meaningful progress in reducing youth homelessness.