HSH Budget Fiscal Year 2024 to 2026

HSH held public meetings as required by the Administrative Code at the January and February 2024 Homelessness Oversight Commission meetings. The purpose of these meetings was to get input from the Commission and general public.  

HSH presented the Mayor’s proposed budget at two hearings of the San Francisco Board of Supervisors Budget and Appropriations Committee on June 13th and June 20th 2024. Access meeting archives on the Board of Supervisors website. 

The budget was fully adopted in July 2024. 

FY 2024-25 and FY 2025-26 Adopted Budget Overview

The adopted budget allocates $846.3 million to HSH in FY 2024-25 and $677 million in FY 2025-26. 

Sources in the current HSH adopted two-year budget include: 40.9% from local General Fund dollars, 40.8% from local Our City, Our Home dollars, 8.2% in federal funds, 6.4% in other local funds, and 3.8% in state funds. Combination of state funding and Our City, Our Home fund allocations provide a slight increase in FY 2024-25 and a significant decrease in FY 2025-26.

With ongoing Our City, Our Home funding, HSH’s budget has more than tripled since the first year of the Department’s operation.

93% of the adopted two-year budget would be appropriated to homelessness response system services, including 60% ($911 million) to housing. Housing costs go towards subsidies and services that keep households who have exited homelessness stably and successfully housed as well as new units.

The adopted budget allocates 7% to departmental salaries, fringe benefits, and department-wide costs, including work orders with other City departments. 

FY 2024-26 Proposed Key Initiatives

Investments in Families (Safer Families Initiative)

$50.1 million investment over two years to shelter approximately 600 families and house more than 450 families through new investments and turnover in existing resources.

• $23.8 million for 130 rapid rehousing subsidies for families
• $11.6 million for 115 emergency shelter hotel vouchers for families
• $9.9 million for 50 rapid rehousing subsidies for young adult-headed family households 
• $4.8 million for 35 shallow rental subsidies for families

Investments in Young Adults

$32.5 million investment over two years to provide housing subsidies for over 280 young adults households.

• $24.5 million for 235 rapid rehousing subsidies for young adults 
• $3 million for 50 flexible housing subsidies for young adults 
• $5 million to acquire a new housing site for justice-involved youth to support the Just Home Project, an initiative led by the MacArthur Foundation and Urban Institute. 

Shelter Investments

$57.7 million investment over two years to maintain and expand temporary shelter programs serving adults and families

• $5 million one-time funding to construct and launch a Safe Parking program in the Westside of the city
• $32.9 million to continue 288 beds of non-congregate shelter for adults
• $7.9 million to support capital and operations of new shelter program in the Bayview providing mix of cabins and safe parking
• $11.6 million for 115 emergency shelter hotel vouchers for families
• $0.3 million to expand capacity at the Buena Vista Horace Mann family shelter

Our City, Our Home Fund Two-Year Spending Plan

While the City faces a budget deficit, Our City, Our Home (OCOH) Fund has sufficient resources to support a much-needed expansion of shelter and housing for adults, families and young adults. The Mayor’s proposed budget includes:

• $47.2 million investment of OCOH funds towards the Safer Families initiative
• $32.5 million investment of OCOH funds towards expanding housing for young adults

The Plan required a one-time reallocation of $17.6 million in accrued OCOH Fund interest to support families with children, and suspends the 12% cap on short-term rental subsidies for two budget cycles.

The Plan does not redirect funding away from projects or other populations, but uses unplanned interest to meet the growing need of homeless families. The two-year spending plan was approved by the Board of Supervisors in July 2024.

The adopted two-year budget continues investments in all current OCOH funded programs and supports investments recommended by the OCOH Oversight Committee.