Gov. Gavin Newsom is suing the Trump administration to halt plans to divert billions of dollars in homelessness funding away from permanent housing, a move state officials warn could push tens of thousands of formerly homeless Californians back to the street.
The administration is seeking to redirect the funds toward shorter-term housing and outreach efforts, prioritizing programs that impose work requirements, mandate addiction or mental health treatment and help police close encampments.
California officials estimate the shift could mean a loss of $250 million to $300 million in grant money this year for local homeless housing sites and rental assistance programs statewide.
“While Donald Trump is busy hosting parties and showing off his gold-plated decor, Americans are worried about g

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