California outperforms the nation in reducing the growth of homelessness, state sees largest decrease in veteran homelessness in the nation

SACRAMENTO – Governor Newsom’s ambitious efforts to address the decades-long homelessness crisis have made California a leader in reducing its growth. While homelessness continues to increase across the nation, California stands out for its ability to blunt the rise and even reduce rates in key areas. New HUD annual point-in-time counts show continued progress that points to a continued reversal of the increased rate of people experiencing homelessness in the state, with roughly no increase in unsheltered homelessness, more people accessing shelter than ever before, and more beds available throughout the state – outperforming the nation as well as historic trends within California.

As states throughout the nation continue to see ever-higher increases in homeless populations, California has dramatically slowed the growth in homelessness and reduced the number of veterans and youth experiencing homelessness — more than any other state.

“No one in our nation should be without a place to call home. Homelessness continues to rise and increase at ever-higher numbers nationwide, but we are seeing signs of progress in California. We have turned the tide on a decades-long increase in homelessness – but we have more work to do. California‘s plan is ambitious and challenging but the data is proving that it is not impossible: our strategies are making a positive difference.”

Governor Gavin Newsom

Outperforming the nation in slowing homelessness

Homelessness continued to increase nationwide, increasing in 2024 by more than 18%. California is bucking the national trend by holding the statewide increase to 3%. This is a lower rate than in 40 other states.

Reversing decades of inaction on homelessness

The Newsom Administration is making significant progress in reversing decades of inaction on homelessness. Between 2014-2019, unsheltered homelessness in California increased by approximately 37,000 people — more than double the increase seen during the Newsom Administration. Since 2019, the number of people experiencing unsheltered homelessness has increased by 14.3%, a marked improvement compared to the 51.8% increase during the five years prior to the Newsom Administration.

More beds, more shelter 

California is a nationwide leader in the availability of year-round shelter beds.  As the total number of shelter beds decreased nationally by nearly 4%, California’s year-round shelter bed capacity grew by 5.7%, reaching 208,517 beds – more than any other state in the nation. During the Newsom Administration, California made available a record number of 71,000 shelter beds. This is nearly double the number created in the previous five-year period before 2019.

This expanded capacity has significantly reduced the percentage of Californians experiencing unsheltered homelessness, providing shelter and services to more people in need. California’s growth rate in year-round shelter outpaced 35 other states (including Washington, D.C.).

More care, more accountability

Governor Newsom has made addressing the homelessness crisis a top priority by enacting strategies to expand care and shelter while implementing new accountability measures to ensure local governments actively address homelessness, with a particular focus on reducing unsheltered homelessness.

In August, Governor Newsom issued an executive order urging local governments to adopt policies and plans consistent with the California Department of Transportation’s (Caltrans) existing encampment policy. This policy prioritizes encampments that pose a threat to the life, health, and safety of the community, while ensuring a humane approach. Caltrans provides advance notice of clearance and works with local service providers to support those experiencing homelessness at the encampment, and stores personal property collected at the site for at least 60 days.

As required by the Governor’s executive order, the California Interagency Council on Homelessness released new guidance to assist local communities in addressing encampments. The guidance provides local communities with best practices for resolving encampments and connecting individuals in encampments with services and housing.

California is also transforming behavioral health care by improving access, accountability, transparency, and capacity.

This includes through the Community Assistance, Recovery, and Empowerment (CARE) Court, a first-in-the-nation approach to create accountability for connecting individuals with untreated psychosis to the treatment and housing they need. It also includes Proposition 1, which is expanding the behavioral health continuum using existing dollars and providing care to individuals experiencing mental health conditions and substance use disorders — with a particular focus on people who are the most seriously ill, vulnerable, and at risk of homelessness or experiencing homelessness.