Earlier this year, President Trump issued an executive order that ends support for the “housing first” approach to homelessness. Instead, the order prioritizes federal dollars to cities and localities that ban homeless encampments and open drug use. It also directs money to local governments for outpatient drug treatment programs.
This shift could impact homelessness in Santa Clara County, which relies on Federal resources to fund permanent housing and supportive services.
The county received 48 million dollars in Continuum of Care funding before Trump took office in January this year. A further six million dollars for new programs remains pending.
According to documents obtained by Politico, HUD is planning to restrict the amount of grant monies that can be used for permanent housing to 30 percent in 2026.
Santa Clara County’s Office of Supportive Housing is reviewing the impact that these cuts could have on its permanent supportive housing and rapid rehousing programs.
