
Housing Policy Update
Why Federal Changes Matter Locally
If you have been keeping up with federal housing policy in the news, you know that a shift is underway. In simple terms, the U.S. Department of Housing and Urban Development has proposed major changes to how homelessness assistance funds are distributed, signaling a move away from long-standing investments in permanent housing and supportive services toward short-term or more restrictive approaches.
If implemented, these changes would directly impact our communities right here in Palo Alto, East Palo Alto, and Menlo Park. Local governments and housing providers have warned that reducing flexibility to fund proven solutions like permanent supportive housing and rapid rehousing could force programs to close or scale back, putting people at risk of losing their homes and, in some cases, returning to the streets. As Santa Clara County Supervisor Margaret Abe-Koga cautioned, the change “carelessly discards years of progress and taxpayer investment” and “could create a crisis that overwhelms our entire community.”
Local leaders are responding. Santa Clara County, alongside other jurisdictions and national housing organizations, has pushed back through legal action, arguing that these changes undermine effective and humane approaches to homelessness. While some of the proposals have been paused, uncertainty and delays remain, and their effects are already being felt by housing providers on the ground, including PACF grantees.
At PACF, we believe housing is not too large or complex an issue to address. There is a continuum of interventions that work together to prevent homelessness, stabilize housing, and support long-term stability. PACF invests in several of these approaches locally through partners who work on and contribute to local solutions, including Community Legal Services in East Palo Alto, Community Overcoming Relationship Abuse, HIP Housing, Heart & Home Collaborative, LifeMoves, Legal Aid Society of San Mateo County, Nuestra CASA, Peninsula Healthcare Connection, WeHOPE, and Youth United for Community Action (YUCA).
As policies shift and funding landscapes change, one thing remains constant. Local commitment matters. By investing in proven solutions and supporting the organizations doing this work every day, our community helps ensure that fewer people are left without shelter, especially during the coldest months of the year.
