Committee forwards ordinance reallocating $16.3M in Prop C interest to homelessness prevention and temporary shelter

The Budget and Appropriations Committee on July 12 unanimously forwarded to the full Board an ordinance that would reallocate approximately $16,300,000 in earned interest from the Our City Our Home (Prop C) homelessness fund to broaden allowable uses for homelessness prevention and shelter services.

According to the ordinance read into the record, the reallocation would allow the city to use interest earnings from the Prop C 'Our City Our Home' fund to pay for certain types of services to prevent homelessness, temporarily suspend the limit on funding for short‑term rental subsidies, and make findings that these changes are necessary to achieve the fund’s purposes under the Business and Tax Regulations Code.

Chair Supervisor Connie Chan said the substantive amendments to the ordinance had been championed by Supervisor Hilary Ronen and are intended to let interest accrued from the Prop C fund meet demand for transitional‑age youth and family housing and to shift some funding to temporary shelter for adults.

No members of the public spoke on Item 2 at the hearing. With no public comment, Chan moved to forward the ordinance to the full Board with a positive recommendation; Supervisor Asha Safai seconded, and the motion passed on a roll call vote of three ayes with two supervisors excused.

Next steps: the ordinance will be forwarded to the Board of Supervisors for consideration, where staff reports and fiscal details are expected to be provided to the full Board before final action.