Riverside Awarded $20.4 Million to Fund Homelessness Programs as Housing Concerns Grow

The city of Riverside — along with Riverside County — received $20.4 million from the state to address homelessness as the city faces mounting pressure over its ongoing housing performance challenges.

"We're making critical investments through programs to help local communities expand housing, strengthen services, and better support people experiencing homelessness," said Gov. Gavin Newsom in an April 8 press release. "But just investing money is not enough — we have to invest in programs and local governments that are producing real results."

HHAP Round 6 breakdown

Riverside is one of eight regions sharing $145.4 million in Homeless Housing, Assistance and Prevention (HHAP) Round 6 funds, a statewide program that supports shelter operations, outreach services, rental assistance, and other interventions for people experiencing homelessness. HHAP has helped transition more than 100,000 Californians into permanent stable housing since its creation, according to the press release.

According to the April 8 announcement from the California Department of Housing and Community Development, the $20.4 million will be shared among Riverside County, the City of Riverside, and the Riverside City & County Continuum of Care, and is designated to support shelter operations, fund hotel and motel vouchers, and provide financial assistance for move-in costs. These formula-based awards were calculated from regional homeless population data. The City of Riverside's Public Information Office did not respond with a comment in time for publication.

Housing performance under pressure

The city remains under scrutiny as it works to improve its record on affordable housing.

A city report last month showed Riverside has permitted less than 20% of its target of 18,458 new homes for the 2021–2029 cycle. Nearly all approvals have been for above-moderate-income homes, with no new very-low-income housing since 2021 and none for low- or moderate-income levels since 2023.

The city also faced state and community criticism in January, when the City Council rejected $20.1 million in Homekey+ funding that would have converted the Quality Inn on University Avenue into 114 permanent supportive units.

The decision also drew legal concern from housing advocates, including Inland Counties Legal Services, the ACLU of Southern California, and the Public Interest Law Project, as well as from the California Department of Housing and Community Development.

A spokesperson for the HCD told the Gazette last month that "HCD is closely monitoring the Riverside matter."

Are HHAP and Homekey+ related?

Though the $20.4 million Riverside received from the HHAP program is a similar amount to the $20.1 million Homekey+ grant rejected by the City Council in January, the grants are from two separate programs with distinct funding sources and purposes.

Homekey+ is funded by Proposition 1 bond revenue and administered by the California Department of Housing and Community Development (HCD) and is meant for transforming buildings into permanent supportive housing, particularly for people with serious behavioral health challenges. Awards are competitive and project-based.

HHAP Round 6 is funded through a $1 billion state general fund appropriation authorized by Assembly Bill 166 and also administered by HCD. Allocations are formula-based, determined by local homeless counts and not by discretionary application. The money is intended for shelters, vouchers, case management, outreach, and move-in assistance.

However, the city had planned to contribute around $6.5 million in HHAP funds as a capital match to support the University Terrace Homekey project, plus $2.75 million in operating match from HHAP and federal sources, according to a January city report. When the council rejected Homekey+, the intended use of those HHAP dollars was left unresolved.