Providers urge San Francisco to release Prop C and homelessness funds as supervisors press departments for timelines

A broad coalition of homeless‑service providers and advocates told the Budget & Finance Committee on Dec. 1 that tens of millions of dollars allocated in the city’s 2021–23 spending plans — including Proposition C funding — have not yet been fully released and are needed now to get people off the streets.

Joe Wilson and Mary Kate Bacalau of the Homeless Emergency Service Providers Association (HESPA) told the committee that while the city has committed large sums to housing and services, “funds must be released now” to prevent more deaths on the streets and to connect people to shelter, treatment and housing. Wilson said the scale of the response requires urgency: “Every delay, lives are at stake,” he told supervisors.

Department directors described steady progress but acknowledged delays. Mick Spadden, director of the Department of Homelessness and Supportive Housing (HSH), outlined priorities including a strategic planning process, expansion of shelter options (non‑congregate and semi‑congregate), the federal Emergency Housing Voucher (EHV) rollout and flexible housing subsidies. Spadden said active steps include reopening shelter beds, launching a family non‑congregate shelter and activating flex subsidy slots, and described efforts to pair service dollars with HUD vouchers.

DPH’s behavioral health representative described Mental Health SF investments funded by Prop C and ongoing work to stand up new treatment and residential beds. The Office of Economic and Workforce Development highlighted workforce investments for people experiencing homelessness. MOCD described a $30.5 million proxy allocation for eviction prevention and rental assistance and plans to amend existing grants for an immediate $21.5 million distribution while issuing RFPs for the rest.

Many frontline providers and community members told the committee they are seeing families and individuals awaiting shelter and emergency hotel vouchers. Multiple callers urged immediate use of already‑allocated hotel vouchers, flexible housing subsidies and prevention dollars. Supervisors pressed departments on contracting and IT barriers — including the decommissioning of the old 3‑1‑1 shelter waitlist system — and asked for exact timelines to roll out family and transitional‑age‑youth (TAY) subsidies.

HSH said part of the delay came from the need to reallocate local funds to pair services with nearly 906 HUD emergency housing vouchers; staff also said bringing new providers on board to meet equity goals takes time. HSH pledged to prioritize voucher deployment tied to HUD deadlines and planned to bring back more definitive progress reports. Chair Matt Haney said the committee would continue the hearing to the call of the chair to allow departments to return with the requested details.

The hearing laid out the tension between the urgency providers report on the streets and the practical steps departments say are needed to design, procure and monitor programs. Several supervisors and advocates asked for monthly accountability updates to track funds released and program starts.