Senator Cortesi calls for audit of California's homelessness funding effectiveness in San Jose

The Joint Legislative Audit Committee convened on March 22, 2023, to discuss a significant audit request concerning the effectiveness of state and local government funding aimed at addressing homelessness in California. Senator Cortesi presented the request, emphasizing the urgent need for transparency and accountability in how public funds are utilized to combat the homelessness crisis, particularly in his home city of San Jose.

Senator Cortesi highlighted alarming statistics, noting a 40% increase in San Jose's unhoused population from 2018 to 2019, with numbers continuing to rise. He described the dire conditions of homeless encampments, which he characterized as public health disasters, and called for a comprehensive audit to assess the effectiveness of nearly $10 billion spent on homelessness over the past five years. The senator stressed the importance of understanding which strategies are successful and how funds can be better allocated to provide shelter and permanent housing solutions.

The proposed audit aims to evaluate the roles of the Interagency Council on Homelessness and the effectiveness of various programs, including Project Homekey. It will also investigate how cities like San Jose are spending federal and state funds, focusing on the balance between service delivery and administrative costs. The audit is expected to take approximately six to seven months and will involve a thorough examination of over 20 unique objectives related to homelessness.

During the meeting, representatives from the city of San Jose defended their approach to tackling homelessness, citing a collaborative Community Plan to End Homelessness and recent successes in housing initiatives. They acknowledged the systemic challenges driving homelessness but expressed concerns that the audit could divert resources from ongoing efforts to provide essential services.

Committee members expressed a shared commitment to addressing homelessness, with some advocating for a focus on outcomes that genuinely reduce the number of individuals living unsheltered. The discussion underscored the complexity of the homelessness crisis in California, with varying challenges faced by larger cities compared to smaller jurisdictions.

The meeting concluded with a consensus on the need for actionable recommendations from the audit that could be applied statewide, reflecting the urgency of addressing homelessness effectively and sustainably. The committee's next steps will involve determining the scope and timeline for the audit, as well as selecting additional cities for evaluation alongside San Jose.