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"content": "\u003cp>\u003ca href=\"https://www.kqed.org/news/tag/alameda-county\">Alameda County \u003c/a>saw its largest overall reduction in homelessness to date over the last two years, according to new data released by county officials on Tuesday.\u003c/p>\n\u003cp>The county’s biennial Point In Time count found a 13% drop in overall homelessness and 18% drop in unsheltered homelessness since 2024, bringing the proportion of unhoused people outside to its lowest point in more than a decade.\u003c/p>\n\u003cp>Jonathan Russell, the county’s director of Housing and Homelessness Services, said Tuesday that the preliminary data from this year’s tally is “a good sign that we know what works, that we can end this entrenched suffering, and that we need to do it together.”\u003c/p>\n\u003cp>[ad fullwidth]\u003c/p>\n\u003cp>The biggest decrease was in Oakland, which saw a 20% drop in its unhoused population. The result reverses a trend recorded in 2024, when the city’s homelessness rose 9% while the county overall saw a modest decline.\u003c/p>\n\u003cp>“Today’s proof is that we are doing the right thing,” Oakland Mayor Barbara Lee said Tuesday.\u003c/p>\n\u003cp>Still, Oakland, which accounts for more than half of the county’s unhoused individuals, despite representing just 22% of the population, is the “epicenter” of the county’s crisis, she said.\u003c/p>\n\u003cp>\u003c!-- iframe plugin v.4.3 wordpress.org/plugins/iframe/ -->\u003cbr>\n\u003ciframe loading=\"lazy\" title=\"Alameda County's Homeless Population\" aria-label=\"Line chart\" id=\"datawrapper-chart-VtVL3\" src=\"https://datawrapper.dwcdn.net/VtVL3/2/\" scrolling=\"no\" frameborder=\"0\" style=\"border: none;\" width=\"600\" height=\"527\" data-external=\"1\" class=\"iframe-class\">\u003c/iframe>\u003c/p>\n\u003cp>“The homelessness crisis in Alameda County, here in Oakland specifically, is at its root a racial equity crisis,” Lee said. “It’s a product of decades, and I mean decades, of redlining, disinvestment and displacement. We can’t sweep this under the rug.”\u003c/p>\n\u003cp>Lee said Oakland has the lofty goal of reducing homelessness by 50% in five years.\u003c/p>\n\u003cp>The city has 1,000 units of housing for formerly unhoused people that are already in construction or set to break ground next year, and 2,000 new affordable housing units in its pipeline, according to Lee.\u003c/p>\n\u003cp>But Oakland is also facing budget headwinds, and Lee warned that without additional funding, the city could have to cut about 190 shelter beds. In June, Oaklanders will vote on whether to pass \u003ca href=\"https://www.kqed.org/voterguide/alameda/measure-e\">Measure E\u003c/a>, an annual parcel tax that could raise $34 million for the city annually.\u003c/p>\n\u003cp>A daylong count of homelessness, the PIT is a federal survey conducted every other January in counties across the country. While the method is considered an imperfect measure of homelessness, it is useful for identifying trends.[aside postID=news_12083310 hero='https://cdn.kqed.org/wp-content/uploads/sites/10/2024/06/005_KQED_SanFrancisco_SafeSleepingVillage_05142020-1020x680.jpg']The 1,300 volunteers who walked Alameda County block by block in one morning this year found that the number of families with children and unaccompanied youth under 25 experiencing homelessness decreased, while veteran homelessness rose slightly. A few cities, including Berkeley, Fremont and Livermore, saw slight upticks in their total unhoused populations.\u003c/p>\n\u003cp>One of the survey’s biggest findings was a continued rise in the number of unhoused people who are sheltered in Alameda County, with 1,140 fewer people sleeping on the streets compared to 2024. Since 2019, that percentage has increased from 21% to 37%.\u003c/p>\n\u003cp>It’s not entirely clear whether the number of unsheltered unhoused people was impacted by policy shifts after the Supreme Court’s 2024 decision gave cities the right to enforce camping bans, though Oakland and Berkeley are among the cities that tightened encampment management policies that had been disallowed under a previous lower court order.\u003c/p>\n\u003cp>In neighboring \u003ca href=\"https://www.kqed.org/news/12083310/fewer-people-are-sleeping-on-san-francisco-streets-but-family-homelessness-is-up\">San Francisco\u003c/a>, which has focused aggressively on clearing encampments since the 2024 ruling, unsheltered homelessness plummeted 22%. More than 50% of the city’s homeless population is sheltered.\u003c/p>\n\u003cp>Heather Freinkel, the outreach team supervisor with Alameda County’s Homeless Action Center, said that after sweeps of larger encampments, “It’s likely that unsheltered residents are seeking solitary and scattered locations to avoid being targeted, which would make them harder for [Point In Time] volunteers to find.”\u003c/p>\n\u003cp>She said she does not believe that there has been a significant net increase in the number of unsheltered people being offered housing or shelter since the last count in 2024.\u003c/p>\n\u003cfigure id=\"attachment_12042903\" class=\"wp-caption aligncenter\" style=\"max-width: 2000px\">\u003cimg loading=\"lazy\" decoding=\"async\" class=\"size-full wp-image-12042903\" src=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2025/06/20250529_OhloneParkEncampment_GC-16_qed.jpg\" alt=\"\" width=\"2000\" height=\"1333\" srcset=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2025/06/20250529_OhloneParkEncampment_GC-16_qed.jpg 2000w, https://cdn.kqed.org/wp-content/uploads/sites/10/2025/06/20250529_OhloneParkEncampment_GC-16_qed-800x533.jpg 800w, https://cdn.kqed.org/wp-content/uploads/sites/10/2025/06/20250529_OhloneParkEncampment_GC-16_qed-1020x680.jpg 1020w, https://cdn.kqed.org/wp-content/uploads/sites/10/2025/06/20250529_OhloneParkEncampment_GC-16_qed-160x107.jpg 160w, https://cdn.kqed.org/wp-content/uploads/sites/10/2025/06/20250529_OhloneParkEncampment_GC-16_qed-1536x1024.jpg 1536w, https://cdn.kqed.org/wp-content/uploads/sites/10/2025/06/20250529_OhloneParkEncampment_GC-16_qed-1920x1280.jpg 1920w\" sizes=\"auto, (max-width: 2000px) 100vw, 2000px\">\u003cfigcaption class=\"wp-caption-text\">The homeless encampment at Ohlone Park in Berkeley on May 29, 2025. \u003ccite>(Gina Castro/KQED)\u003c/cite>\u003c/figcaption>\u003c/figure>\n\u003cp>Local leaders from across the county credited an influx of local policy to fund homelessness services and build new housing, including Measure W, a 0.5% sales tax passed in 2020 to generate about $150 million a year for rapid rehousing, rental subsidies and expanded emergency shelter and permanent supportive housing.\u003c/p>\n\u003cp>Earlier this year, the county \u003ca href=\"https://www.achcd.org/measure-w-home-together-fund/\">awarded $50 million\u003c/a> in Measure W revenue to 10 projects in various cities, which will provide 900 new housing units, including 346 for people experiencing homelessness.\u003c/p>\n\u003cp>Alameda County Supervisor Nate Miley, who represents parts of Oakland and Pleasanton and Castro Valley, said Measure W would allocate another $50 million to focus on homelessness prevention in the next year. For the first time on record, Alameda County saw more people move out of homelessness into housing than enter homelessness in 2025, Russell said.\u003c/p>\n\u003cp>“If we can turn off that spigot and stop people from becoming homeless, then we’ll eventually work our way out of this crisis,” Miley said.\u003c/p>\n\u003cp>\u003c/p>\n",
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"excerpt": "Oakland saw a 20% drop in its unhoused population over the past two years. ",
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"content": "\u003cdiv class=\"post-body\">\u003cp>\u003cp>\u003ca href=\"https://www.kqed.org/news/tag/alameda-county\">Alameda County \u003c/a>saw its largest overall reduction in homelessness to date over the last two years, according to new data released by county officials on Tuesday.\u003c/p>\n\u003cp>The county’s biennial Point In Time count found a 13% drop in overall homelessness and 18% drop in unsheltered homelessness since 2024, bringing the proportion of unhoused people outside to its lowest point in more than a decade.\u003c/p>\n\u003cp>Jonathan Russell, the county’s director of Housing and Homelessness Services, said Tuesday that the preliminary data from this year’s tally is “a good sign that we know what works, that we can end this entrenched suffering, and that we need to do it together.”\u003c/p>\n\u003cp>\u003c/p>\u003c/div>",
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"content": "\u003cdiv class=\"post-body\">\u003cp>\u003c/p>\n\u003cp>The biggest decrease was in Oakland, which saw a 20% drop in its unhoused population. The result reverses a trend recorded in 2024, when the city’s homelessness rose 9% while the county overall saw a modest decline.\u003c/p>\n\u003cp>“Today’s proof is that we are doing the right thing,” Oakland Mayor Barbara Lee said Tuesday.\u003c/p>\n\u003cp>Still, Oakland, which accounts for more than half of the county’s unhoused individuals, despite representing just 22% of the population, is the “epicenter” of the county’s crisis, she said.\u003c/p>\n\u003cp>\u003c!-- iframe plugin v.4.3 wordpress.org/plugins/iframe/ -->\u003cbr>\n\u003ciframe loading=\"lazy\" title=\"Alameda County's Homeless Population\" aria-label=\"Line chart\" id=\"datawrapper-chart-VtVL3\" src=\"https://datawrapper.dwcdn.net/VtVL3/2/\" scrolling=\"no\" frameborder=\"0\" style=\"border: none;\" width=\"600\" height=\"527\" data-external=\"1\" class=\"iframe-class\">\u003c/iframe>\u003c/p>\n\u003cp>“The homelessness crisis in Alameda County, here in Oakland specifically, is at its root a racial equity crisis,” Lee said. “It’s a product of decades, and I mean decades, of redlining, disinvestment and displacement. We can’t sweep this under the rug.”\u003c/p>\n\u003cp>Lee said Oakland has the lofty goal of reducing homelessness by 50% in five years.\u003c/p>\n\u003cp>The city has 1,000 units of housing for formerly unhoused people that are already in construction or set to break ground next year, and 2,000 new affordable housing units in its pipeline, according to Lee.\u003c/p>\n\u003cp>But Oakland is also facing budget headwinds, and Lee warned that without additional funding, the city could have to cut about 190 shelter beds. In June, Oaklanders will vote on whether to pass \u003ca href=\"https://www.kqed.org/voterguide/alameda/measure-e\">Measure E\u003c/a>, an annual parcel tax that could raise $34 million for the city annually.\u003c/p>\n\u003cp>A daylong count of homelessness, the PIT is a federal survey conducted every other January in counties across the country. While the method is considered an imperfect measure of homelessness, it is useful for identifying trends.\u003c/p>\u003c/div>",
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"content": "\u003cdiv class=\"post-body\">\u003cp>The 1,300 volunteers who walked Alameda County block by block in one morning this year found that the number of families with children and unaccompanied youth under 25 experiencing homelessness decreased, while veteran homelessness rose slightly. A few cities, including Berkeley, Fremont and Livermore, saw slight upticks in their total unhoused populations.\u003c/p>\n\u003cp>One of the survey’s biggest findings was a continued rise in the number of unhoused people who are sheltered in Alameda County, with 1,140 fewer people sleeping on the streets compared to 2024. Since 2019, that percentage has increased from 21% to 37%.\u003c/p>\n\u003cp>It’s not entirely clear whether the number of unsheltered unhoused people was impacted by policy shifts after the Supreme Court’s 2024 decision gave cities the right to enforce camping bans, though Oakland and Berkeley are among the cities that tightened encampment management policies that had been disallowed under a previous lower court order.\u003c/p>\n\u003cp>In neighboring \u003ca href=\"https://www.kqed.org/news/12083310/fewer-people-are-sleeping-on-san-francisco-streets-but-family-homelessness-is-up\">San Francisco\u003c/a>, which has focused aggressively on clearing encampments since the 2024 ruling, unsheltered homelessness plummeted 22%. More than 50% of the city’s homeless population is sheltered.\u003c/p>\n\u003cp>Heather Freinkel, the outreach team supervisor with Alameda County’s Homeless Action Center, said that after sweeps of larger encampments, “It’s likely that unsheltered residents are seeking solitary and scattered locations to avoid being targeted, which would make them harder for [Point In Time] volunteers to find.”\u003c/p>\n\u003cp>She said she does not believe that there has been a significant net increase in the number of unsheltered people being offered housing or shelter since the last count in 2024.\u003c/p>\n\u003cfigure id=\"attachment_12042903\" class=\"wp-caption aligncenter\" style=\"max-width: 2000px\">\u003cimg loading=\"lazy\" decoding=\"async\" class=\"size-full wp-image-12042903\" src=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2025/06/20250529_OhloneParkEncampment_GC-16_qed.jpg\" alt=\"\" width=\"2000\" height=\"1333\" srcset=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2025/06/20250529_OhloneParkEncampment_GC-16_qed.jpg 2000w, https://cdn.kqed.org/wp-content/uploads/sites/10/2025/06/20250529_OhloneParkEncampment_GC-16_qed-800x533.jpg 800w, https://cdn.kqed.org/wp-content/uploads/sites/10/2025/06/20250529_OhloneParkEncampment_GC-16_qed-1020x680.jpg 1020w, https://cdn.kqed.org/wp-content/uploads/sites/10/2025/06/20250529_OhloneParkEncampment_GC-16_qed-160x107.jpg 160w, https://cdn.kqed.org/wp-content/uploads/sites/10/2025/06/20250529_OhloneParkEncampment_GC-16_qed-1536x1024.jpg 1536w, https://cdn.kqed.org/wp-content/uploads/sites/10/2025/06/20250529_OhloneParkEncampment_GC-16_qed-1920x1280.jpg 1920w\" sizes=\"auto, (max-width: 2000px) 100vw, 2000px\">\u003cfigcaption class=\"wp-caption-text\">The homeless encampment at Ohlone Park in Berkeley on May 29, 2025. \u003ccite>(Gina Castro/KQED)\u003c/cite>\u003c/figcaption>\u003c/figure>\n\u003cp>Local leaders from across the county credited an influx of local policy to fund homelessness services and build new housing, including Measure W, a 0.5% sales tax passed in 2020 to generate about $150 million a year for rapid rehousing, rental subsidies and expanded emergency shelter and permanent supportive housing.\u003c/p>\n\u003cp>Earlier this year, the county \u003ca href=\"https://www.achcd.org/measure-w-home-together-fund/\">awarded $50 million\u003c/a> in Measure W revenue to 10 projects in various cities, which will provide 900 new housing units, including 346 for people experiencing homelessness.\u003c/p>\n\u003cp>Alameda County Supervisor Nate Miley, who represents parts of Oakland and Pleasanton and Castro Valley, said Measure W would allocate another $50 million to focus on homelessness prevention in the next year. For the first time on record, Alameda County saw more people move out of homelessness into housing than enter homelessness in 2025, Russell said.\u003c/p>\n\u003cp>“If we can turn off that spigot and stop people from becoming homeless, then we’ll eventually work our way out of this crisis,” Miley said.\u003c/p>\n\u003cp>\u003c/p>\n\u003c/div>\u003c/p>",
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"slug": "california-stoneworkers-with-silicosis-struggle-to-get-workers-comp",
"title": "California Stoneworkers With Silicosis Struggle to Get Workers’ Comp",
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"content": "\u003cp>Eleazar Resendiz Cortes has seen an \u003ca href=\"https://www.kqed.org/news/12064693/california-doctors-urge-ban-on-engineered-stone-as-silicosis-cases-surge\">incurable job-related lung disease\u003c/a> disable six of his coworkers in the countertop fabrication industry. Two of the men in their 50s needed oxygen machines to breathe before they had lung transplants, he said.\u003c/p>\n\u003cp>Resendiz Cortes, who was diagnosed with silicosis in 2024, fears a similar fate. The 38-year-old can no longer work. He pursued workers’ compensation insurance benefits that are meant to support people injured on the job, but has received no payment after two years.\u003c/p>\n\u003cp>“Things are really hard,” Resendiz Cortes, a Bakersfield resident who ran out of savings and has no income, told KQED in Spanish. “It’s terrible. As a worker, one wants to improve oneself. But then you are the one who gets sick, you are the one who ends up suffering and struggling.”\u003c/p>\n\u003cp>California’s silicosis epidemic is exposing deep failures in the state’s \u003ca href=\"https://www.dir.ca.gov/dwc/WCFaqIW.html\">workers’ compensation\u003c/a> system. As hundreds of countertop fabrication workers become gravely ill from inhaling dust generated by a factory-made stone, many say insurers are delaying or denying benefits meant to cover lost wages and medical care. The disputes are leaving some workers destitute while taxpayers shoulder the cost of expensive treatments, including lung transplants, even as state regulators consider restricting the material linked to the disease’s spread.\u003c/p>\n\u003cp>[ad fullwidth]\u003c/p>\n\u003cp>Occupational doctors are simultaneously \u003ca href=\"https://www.kqed.org/news/12067166/health-emergency-california-doctors-urge-ban-of-countertop-material-linked-to-deadly-disease\">pressing California regulators\u003c/a> to restrict engineered stone, the countertop material many physicians believe is driving the surge in silicosis cases, a claim disputed by manufacturers of the popular product in a multibillion-dollar industry.\u003c/p>\n\u003cp>The companies \u003ca href=\"https://www.kqed.org/news/12070138/stone-industry-proposes-self-policing-as-california-weighs-artificial-stone-ban\">oppose\u003c/a> the move to limit engineered stone, also known as quartz or artificial stone, arguing that it’s not their product that’s causing the problem, but fabrication shops that fail to follow proper safety measures.\u003c/p>\n\u003cp>Taxpayers are bearing the cost of lifesaving medical treatment for many sick stoneworkers, including lung transplants estimated at more than $1 million each. Medi-Cal, the state’s public health insurance program, was the main payer — not workers’ compensation — even though the disease is occupational, according to \u003ca href=\"https://academic.oup.com/ajrccm/article/211/Supplement_1/A6310/8338415#google_vignette\">a study\u003c/a> published last year.\u003c/p>\n\u003cfigure id=\"attachment_12084041\" class=\"wp-caption aligncenter\" style=\"max-width: 2000px\">\u003cimg loading=\"lazy\" decoding=\"async\" class=\"wp-image-12084041 size-full\" src=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/ELEAZAR-RESENDIZ-CORTES-KQED-LEOPO-2026-1826-KQED.jpg\" alt=\"\" width=\"2000\" height=\"1333\" srcset=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/ELEAZAR-RESENDIZ-CORTES-KQED-LEOPO-2026-1826-KQED.jpg 2000w, https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/ELEAZAR-RESENDIZ-CORTES-KQED-LEOPO-2026-1826-KQED-160x107.jpg 160w, https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/ELEAZAR-RESENDIZ-CORTES-KQED-LEOPO-2026-1826-KQED-1536x1024.jpg 1536w\" sizes=\"auto, (max-width: 2000px) 100vw, 2000px\">\u003cfigcaption class=\"wp-caption-text\">Eleazar Resendiz Cortes and his wife prepare lunch with ingredients from his garden on Thursday, May 14, 2026, in Bakersfield, California. Cortes says the garden has helped keep him busy after he could no longer work. \u003ccite>(Julie Leopo for KQED)\u003c/cite>\u003c/figcaption>\u003c/figure>\n\u003cp>“Ultimately, workers’ comp should be paying for these patients’ medical care, especially if they do not have some other form of insurance, because that is the goal of workers’ comp,” said Dr. Sheiphali Gandhi, a pulmonologist at UCSF, who co-authored the report. “Silicosis, there’s no other cause other than work exposure.”\u003c/p>\n\u003cp>The California Department of Insurance, which oversees insurer behavior and the workers’ compensation market, did not respond to multiple requests for comment. In 2024, Insurance Commissioner Ricardo Lara requested a \u003ca href=\"https://www.insurance.ca.gov/0400-news/0100-press-releases/2024/release030-2024.cfm\">detailed \u003c/a>analysis on silicosis claims to “ensure that affected workers receive the benefits they are entitled to.” But it’s unclear what the outcome was.\u003c/p>\n\u003cp>Lara called for an evaluation shortly after a \u003cem>Los Angeles Times\u003c/em> \u003ca href=\"https://www.latimes.com/california/story/2024-07-11/his-lungs-failed-doctors-blame-work-had-to-fight-workers-comp\">story\u003c/a> detailed the struggles of a lung transplant patient to get workers’ compensation from AmTrust North America, the same insurer that continues to deny Resendiz Cortes’ claim.\u003c/p>\n\u003cp>Mounting scientific evidence shows people get sick from inhaling toxic crystalline silica particles generated when cutting or polishing artificial stone, even when safety precautions are followed. The silica dust released by engineered stone is much more dangerous than that of granite and other natural stones, doctors say.[aside postID=news_12064693 hero='https://cdn.kqed.org/wp-content/uploads/sites/10/2025/11/251115-DEADLY-LUNG-DISEASE-MD-01-KQED-1.jpg']The Occupational Safety and Health Standards Board plans \u003ca href=\"https://www.dir.ca.gov/oshsb/documents/agendaMay2026.pdf\">to vote\u003c/a> Thursday on whether to advance a medical association’s petition to ban the fabrication and installation of artificial stone with more than 1% crystalline silica. In an \u003ca href=\"https://www.dir.ca.gov/oshsb/documents/petition-609-staffeval.pdf\">analysis\u003c/a> disclosed last week, the board’s staff concluded a prohibition may be the quickest and most cost-effective way to stem the industry’s silicosis epidemic.\u003c/p>\n\u003cp>“Why are we keeping a toxic product in our state that is costing taxpayers millions of dollars?” said Gandhi, who cares for dozens of silicosis patients. “It’s not benefiting the California population other than just the way people’s countertops look.”\u003c/p>\n\u003cp>Silicosis is an ancient illness afflicting stonemasons, sandblasters and miners that has resurfaced in the U.S. as artificial stone became the top countertop material. The global market for engineered stone, valued at $26.5 billion in 2025, is estimated to reach $45 billion by 2033.\u003c/p>\n\u003cp>Consumers prefer it to natural stones because it’s often cheaper, stain-resistant and available in beautiful designs and colors. But many ignore the risks the material brings to the workers who make and install their kitchen and bathroom countertops.\u003c/p>\n\u003cp>Australia became the first country to ban artificial stone in 2024, and some manufacturers have developed alternatives with lower crystalline silica.\u003c/p>\n\u003cp>In California, the only state \u003ca href=\"https://www.cdph.ca.gov/Programs/CCDPHP/DEODC/OHB/Pages/essdashboard.aspx\">actively tracking\u003c/a> silicosis linked to the material, 31 stoneworkers have died, and nearly 60 have undergone lung transplants since 2019. At least 560 people have been diagnosed with the disease, a figure that’s expected to balloon. Most of these cases, 75%, were confirmed over the last three years.\u003c/p>\n\u003cfigure id=\"attachment_12084036\" class=\"wp-caption aligncenter\" style=\"max-width: 2000px\">\u003cimg loading=\"lazy\" decoding=\"async\" class=\"size-full wp-image-12084036\" src=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/ELEAZAR-RESENDIZ-CORTES-KQED-LEOPO-2026-0636-KQED.jpg\" alt=\"\" width=\"2000\" height=\"1333\" srcset=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/ELEAZAR-RESENDIZ-CORTES-KQED-LEOPO-2026-0636-KQED.jpg 2000w, https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/ELEAZAR-RESENDIZ-CORTES-KQED-LEOPO-2026-0636-KQED-160x107.jpg 160w, https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/ELEAZAR-RESENDIZ-CORTES-KQED-LEOPO-2026-0636-KQED-1536x1024.jpg 1536w\" sizes=\"auto, (max-width: 2000px) 100vw, 2000px\">\u003cfigcaption class=\"wp-caption-text\">Eleazar Resendiz Cortes, 38, points to countertops in his Bakersfield, California, home made from artificial stone leftover from his previous jobs on Thursday, May 14, 2026. Cortes says the material serves as a harsh reminder of his silicosis diagnosis. \u003ccite>(Julie Leopo for KQED)\u003c/cite>\u003c/figcaption>\u003c/figure>\n\u003cp>Nearly all of those sick statewide are low-income Latino immigrants who didn’t know about the dangers of inhaling engineered stone dust until they or coworkers got sick.\u003c/p>\n\u003cp>Resendiz Cortes worked in countertop fabrication shops for a decade, first in the San Fernando Valley, which has become the U.S. silicosis epicenter, and then in Bakersfield. The father of three girls said a back injury, which he attributes to lifting heavy stone slabs on the job, also prevents him from returning to work.\u003c/p>\n\u003cp>He received state disability benefits for the maximum period of one year. His family now relies on help from relatives to survive. Resendiz Cortes worries about their economic uncertainty as well as the worsening shortness of breath that keeps him from biking or swimming with his children as he used to. He mourns that his entire life was transformed.\u003c/p>\n\u003cp>“I don’t see anything positive. Just negative things, and that doesn’t help much,” said Resendiz Cortes, who doesn’t leave his house most days. “What I want is for someone to take responsibility. In this case, the insurance companies.”\u003c/p>\n\u003cp>In California, all employers with more than one employee are required to have workers’ compensation insurance. Workers who suffer an injury or illness on the job should be technically eligible to receive compensation to cover medical care and long-term disability, but the system often does not function well for ill laborers.\u003c/p>\n\u003cfigure id=\"attachment_12084039\" class=\"wp-caption aligncenter\" style=\"max-width: 2000px\">\u003cimg loading=\"lazy\" decoding=\"async\" class=\"size-full wp-image-12084039\" src=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/ELEAZAR-RESENDIZ-CORTES-KQED-LEOPO-2026-1289-KQED.jpg\" alt=\"\" width=\"2000\" height=\"1333\" srcset=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/ELEAZAR-RESENDIZ-CORTES-KQED-LEOPO-2026-1289-KQED.jpg 2000w, https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/ELEAZAR-RESENDIZ-CORTES-KQED-LEOPO-2026-1289-KQED-160x107.jpg 160w, https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/ELEAZAR-RESENDIZ-CORTES-KQED-LEOPO-2026-1289-KQED-1536x1024.jpg 1536w\" sizes=\"auto, (max-width: 2000px) 100vw, 2000px\">\u003cfigcaption class=\"wp-caption-text\">Eleazar Resendiz Cortes’ wife shows scans of his chest in their home on Thursday, May 14, 2026, in Bakersfield, California, that revealed particles around his lungs linked to his silicosis diagnosis. \u003ccite>(Julie Leopo for KQED)\u003c/cite>\u003c/figcaption>\u003c/figure>\n\u003cp>AmTrust North America denied all liability in Resendiz Cortes’ case in an August 2024 letter viewed by KQED, citing “no substantial medical, legal or factual evidence to support the cumulative trauma claim.” The Cleveland, Ohio-based company did not respond to requests for comment.\u003c/p>\n\u003cp>A top executive for a second insurer, Omaha National, said the company could not comment on the specifics of Resendiz Cortes’ case but is investigating.\u003c/p>\n\u003cp>“We remain committed to handling every claim fairly and in accordance with policy terms and established processes,” said Chris LaMantia, Omaha National’s chief sales and marketing officer, in a statement.\u003c/p>\n\u003cp>Resendiz Cortes said his last place of employment, Custom Stone Interiors, dry-cut artificial stone slabs, and also used wet methods to tamp the dust down. Although he wore a filter respirator when polishing and cutting countertops, he said, he still found white dust over his face and nostrils at the end of the day. He would blow the dust out of his nose.\u003c/p>\n\u003cp>Custom Stone Interiors declined to comment.\u003c/p>\n\u003cfigure id=\"attachment_12084038\" class=\"wp-caption aligncenter\" style=\"max-width: 2000px\">\u003cimg loading=\"lazy\" decoding=\"async\" class=\"size-full wp-image-12084038\" src=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/ELEAZAR-RESENDIZ-CORTES-KQED-LEOPO-2026-1088-KQED.jpg\" alt=\"\" width=\"2000\" height=\"1333\" srcset=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/ELEAZAR-RESENDIZ-CORTES-KQED-LEOPO-2026-1088-KQED.jpg 2000w, https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/ELEAZAR-RESENDIZ-CORTES-KQED-LEOPO-2026-1088-KQED-160x107.jpg 160w, https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/ELEAZAR-RESENDIZ-CORTES-KQED-LEOPO-2026-1088-KQED-1536x1024.jpg 1536w\" sizes=\"auto, (max-width: 2000px) 100vw, 2000px\">\u003cfigcaption class=\"wp-caption-text\">Eleazar Resendiz Cortes, 38, stands in his garden on Thursday, May 14, 2026, in Bakersfield, California. Cortes started gardening after he could no longer work and now grows fresh vegetables for his family. \u003ccite>(Julie Leopo for KQED)\u003c/cite>\u003c/figcaption>\u003c/figure>\n\u003cp>“We saw your email but are not interested in a comment,” a company representative said when reached by phone before hanging up.\u003c/p>\n\u003cp>Statewide, at least 80 other sick stonecutters remain without workers’ comp payment after fighting for a year or longer for the benefits, according to Barry Rodich, whose L.A. law firm represents them and Resendiz Cortes. Insurers have an economic incentive to deny or delay the expensive claims, he said.\u003c/p>\n\u003cp>“They will always try to say, ‘Well, there’s a latency period, and it’s not my client that’s responsible. It’s somebody before us,’” said Rodich, whose firm specializes in silicosis cases. “These delays by the insurance company just make my clients worse.”\u003c/p>\n\u003cp>Laborers can challenge insurance denials at the state Division of Workers’ Compensation and the Workers’ Compensation Appeals Board, but obtaining a resolution can take months or years. About 460 cases were awaiting a judge’s decision at the appeals board last month, a smaller backlog than in recent years, according to the Department of Industrial Relations, which oversees the agencies.[aside postID=news_12070138 hero='https://cdn.kqed.org/wp-content/uploads/sites/10/2026/01/StoneWorkerGetty2.jpg']“Penalties related to unreasonable delays or refusals are addressed through the adjudication process on a case-by-case basis and depend on the facts and circumstances of each individual matter,” the spokesperson said in a statement.\u003c/p>\n\u003cp>Most of the hundreds of California stonecutters with silicosis don’t seek workers’ compensation benefits because they are self-employed or past workplaces lack the insurance. Others decline to apply for benefits that will likely increase costs for their former employers, according to Rodich.\u003c/p>\n\u003cp>“There’s a lot of loyalty,” he said. “Some of these individuals feel like they have an allegiance to these employers. And the reason why is because they helped get them a job, they may have helped them in other ways… And so when they find out that their insurance premiums could potentially be affected in the following year, they don’t want to do anything.”\u003cstrong> \u003c/strong>\u003c/p>\n\u003cp>Rodich’s firm has settled a handful of silicosis cases for amounts ranging between $1.5 million and $3 million each, usually when the workers’ disease is so advanced that a lung transplant is required, he said.\u003c/p>\n\u003cp>The high price tag likely elicits extra scrutiny from insurers, which aim to weed out any fraudulent claims. Insurers’ investigations aim to determine whether their client employer indeed hired the injured worker and is liable for illness.\u003c/p>\n\u003cp>But in the countertop fabrication industry, workers often have multiple employers over their careers, and job records might be missing, said Yvonne Lang, who has represented insurers on silicosis claims and helped settle one case recently.\u003c/p>\n\u003cfigure id=\"attachment_12084035\" class=\"wp-caption aligncenter\" style=\"max-width: 2000px\">\u003cimg loading=\"lazy\" decoding=\"async\" class=\"size-full wp-image-12084035\" src=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/ELEAZAR-RESENDIZ-CORTES-KQED-LEOPO-2026-0557-KQED.jpg\" alt=\"\" width=\"2000\" height=\"1333\" srcset=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/ELEAZAR-RESENDIZ-CORTES-KQED-LEOPO-2026-0557-KQED.jpg 2000w, https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/ELEAZAR-RESENDIZ-CORTES-KQED-LEOPO-2026-0557-KQED-160x107.jpg 160w, https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/ELEAZAR-RESENDIZ-CORTES-KQED-LEOPO-2026-0557-KQED-1536x1024.jpg 1536w\" sizes=\"auto, (max-width: 2000px) 100vw, 2000px\">\u003cfigcaption class=\"wp-caption-text\">Eleazar Resendiz Cortes, 38, points to countertops in his Bakersfield, California, home made from artificial stone leftover from his previous jobs on Thursday, May 14, 2026. \u003ccite>(Julie Leopo for KQED)\u003c/cite>\u003c/figcaption>\u003c/figure>\n\u003cp>“When there’s multiple employers, the employers are going to point the fingers at each other,” said Lang, a former president of the California Workers’ Compensation Defense Attorneys Association. “And if the employers are pointing the fingers at each other, the [insurance] carriers are going to point the fingers at each other.”\u003c/p>\n\u003cp>Insurance companies are more likely to deny claims for illnesses developed over time, when compared to physical injuries linked to a single accident, such as a ladder fall, according to experts. To fight the insurer’s denial, workers must often enlist an attorney willing to help on time-consuming and costly cases, which is another barrier.\u003c/p>\n\u003cp>Sick workers’ struggle to get compensation benefits has led the federal government to intervene and create separate programs to support some of them, such as for Virginia coal miners with black lung disease, and nuclear plant workers with cancer from radiation, said Glenn Shor, a retired public policy and research analyst with the California Department of Industrial Relations, Cal/OSHA, and Division of Workers’ Compensation.\u003c/p>\n\u003cp>For insurers, “denial is often the first step because they think some of those cases will go away,” said Shor. “If they’re denied, some people will contact a lawyer, but some people just say, I shouldn’t have worked at that place or I should have worn a mask more.”\u003c/p>\n\u003cp>[ad floatright]\u003c/p>\n",
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"excerpt": "Many California countertop workers diagnosed with silicosis from engineered stone are struggling to obtain workers’ compensation benefits as insurers deny claims and taxpayers fund costly lung transplants through Medi-Cal.",
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"content": "\u003cdiv class=\"post-body\">\u003cp>\u003cp>Eleazar Resendiz Cortes has seen an \u003ca href=\"https://www.kqed.org/news/12064693/california-doctors-urge-ban-on-engineered-stone-as-silicosis-cases-surge\">incurable job-related lung disease\u003c/a> disable six of his coworkers in the countertop fabrication industry. Two of the men in their 50s needed oxygen machines to breathe before they had lung transplants, he said.\u003c/p>\n\u003cp>Resendiz Cortes, who was diagnosed with silicosis in 2024, fears a similar fate. The 38-year-old can no longer work. He pursued workers’ compensation insurance benefits that are meant to support people injured on the job, but has received no payment after two years.\u003c/p>\n\u003cp>“Things are really hard,” Resendiz Cortes, a Bakersfield resident who ran out of savings and has no income, told KQED in Spanish. “It’s terrible. As a worker, one wants to improve oneself. But then you are the one who gets sick, you are the one who ends up suffering and struggling.”\u003c/p>\n\u003cp>California’s silicosis epidemic is exposing deep failures in the state’s \u003ca href=\"https://www.dir.ca.gov/dwc/WCFaqIW.html\">workers’ compensation\u003c/a> system. As hundreds of countertop fabrication workers become gravely ill from inhaling dust generated by a factory-made stone, many say insurers are delaying or denying benefits meant to cover lost wages and medical care. The disputes are leaving some workers destitute while taxpayers shoulder the cost of expensive treatments, including lung transplants, even as state regulators consider restricting the material linked to the disease’s spread.\u003c/p>\n\u003cp>\u003c/p>\u003c/div>",
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"content": "\u003cdiv class=\"post-body\">\u003cp>\u003c/p>\n\u003cp>Occupational doctors are simultaneously \u003ca href=\"https://www.kqed.org/news/12067166/health-emergency-california-doctors-urge-ban-of-countertop-material-linked-to-deadly-disease\">pressing California regulators\u003c/a> to restrict engineered stone, the countertop material many physicians believe is driving the surge in silicosis cases, a claim disputed by manufacturers of the popular product in a multibillion-dollar industry.\u003c/p>\n\u003cp>The companies \u003ca href=\"https://www.kqed.org/news/12070138/stone-industry-proposes-self-policing-as-california-weighs-artificial-stone-ban\">oppose\u003c/a> the move to limit engineered stone, also known as quartz or artificial stone, arguing that it’s not their product that’s causing the problem, but fabrication shops that fail to follow proper safety measures.\u003c/p>\n\u003cp>Taxpayers are bearing the cost of lifesaving medical treatment for many sick stoneworkers, including lung transplants estimated at more than $1 million each. Medi-Cal, the state’s public health insurance program, was the main payer — not workers’ compensation — even though the disease is occupational, according to \u003ca href=\"https://academic.oup.com/ajrccm/article/211/Supplement_1/A6310/8338415#google_vignette\">a study\u003c/a> published last year.\u003c/p>\n\u003cfigure id=\"attachment_12084041\" class=\"wp-caption aligncenter\" style=\"max-width: 2000px\">\u003cimg loading=\"lazy\" decoding=\"async\" class=\"wp-image-12084041 size-full\" src=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/ELEAZAR-RESENDIZ-CORTES-KQED-LEOPO-2026-1826-KQED.jpg\" alt=\"\" width=\"2000\" height=\"1333\" srcset=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/ELEAZAR-RESENDIZ-CORTES-KQED-LEOPO-2026-1826-KQED.jpg 2000w, https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/ELEAZAR-RESENDIZ-CORTES-KQED-LEOPO-2026-1826-KQED-160x107.jpg 160w, https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/ELEAZAR-RESENDIZ-CORTES-KQED-LEOPO-2026-1826-KQED-1536x1024.jpg 1536w\" sizes=\"auto, (max-width: 2000px) 100vw, 2000px\">\u003cfigcaption class=\"wp-caption-text\">Eleazar Resendiz Cortes and his wife prepare lunch with ingredients from his garden on Thursday, May 14, 2026, in Bakersfield, California. Cortes says the garden has helped keep him busy after he could no longer work. \u003ccite>(Julie Leopo for KQED)\u003c/cite>\u003c/figcaption>\u003c/figure>\n\u003cp>“Ultimately, workers’ comp should be paying for these patients’ medical care, especially if they do not have some other form of insurance, because that is the goal of workers’ comp,” said Dr. Sheiphali Gandhi, a pulmonologist at UCSF, who co-authored the report. “Silicosis, there’s no other cause other than work exposure.”\u003c/p>\n\u003cp>The California Department of Insurance, which oversees insurer behavior and the workers’ compensation market, did not respond to multiple requests for comment. In 2024, Insurance Commissioner Ricardo Lara requested a \u003ca href=\"https://www.insurance.ca.gov/0400-news/0100-press-releases/2024/release030-2024.cfm\">detailed \u003c/a>analysis on silicosis claims to “ensure that affected workers receive the benefits they are entitled to.” But it’s unclear what the outcome was.\u003c/p>\n\u003cp>Lara called for an evaluation shortly after a \u003cem>Los Angeles Times\u003c/em> \u003ca href=\"https://www.latimes.com/california/story/2024-07-11/his-lungs-failed-doctors-blame-work-had-to-fight-workers-comp\">story\u003c/a> detailed the struggles of a lung transplant patient to get workers’ compensation from AmTrust North America, the same insurer that continues to deny Resendiz Cortes’ claim.\u003c/p>\n\u003cp>Mounting scientific evidence shows people get sick from inhaling toxic crystalline silica particles generated when cutting or polishing artificial stone, even when safety precautions are followed. The silica dust released by engineered stone is much more dangerous than that of granite and other natural stones, doctors say.\u003c/p>\u003c/div>",
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"content": "\u003cdiv class=\"post-body\">\u003cp>The Occupational Safety and Health Standards Board plans \u003ca href=\"https://www.dir.ca.gov/oshsb/documents/agendaMay2026.pdf\">to vote\u003c/a> Thursday on whether to advance a medical association’s petition to ban the fabrication and installation of artificial stone with more than 1% crystalline silica. In an \u003ca href=\"https://www.dir.ca.gov/oshsb/documents/petition-609-staffeval.pdf\">analysis\u003c/a> disclosed last week, the board’s staff concluded a prohibition may be the quickest and most cost-effective way to stem the industry’s silicosis epidemic.\u003c/p>\n\u003cp>“Why are we keeping a toxic product in our state that is costing taxpayers millions of dollars?” said Gandhi, who cares for dozens of silicosis patients. “It’s not benefiting the California population other than just the way people’s countertops look.”\u003c/p>\n\u003cp>Silicosis is an ancient illness afflicting stonemasons, sandblasters and miners that has resurfaced in the U.S. as artificial stone became the top countertop material. The global market for engineered stone, valued at $26.5 billion in 2025, is estimated to reach $45 billion by 2033.\u003c/p>\n\u003cp>Consumers prefer it to natural stones because it’s often cheaper, stain-resistant and available in beautiful designs and colors. But many ignore the risks the material brings to the workers who make and install their kitchen and bathroom countertops.\u003c/p>\n\u003cp>Australia became the first country to ban artificial stone in 2024, and some manufacturers have developed alternatives with lower crystalline silica.\u003c/p>\n\u003cp>In California, the only state \u003ca href=\"https://www.cdph.ca.gov/Programs/CCDPHP/DEODC/OHB/Pages/essdashboard.aspx\">actively tracking\u003c/a> silicosis linked to the material, 31 stoneworkers have died, and nearly 60 have undergone lung transplants since 2019. At least 560 people have been diagnosed with the disease, a figure that’s expected to balloon. Most of these cases, 75%, were confirmed over the last three years.\u003c/p>\n\u003cfigure id=\"attachment_12084036\" class=\"wp-caption aligncenter\" style=\"max-width: 2000px\">\u003cimg loading=\"lazy\" decoding=\"async\" class=\"size-full wp-image-12084036\" src=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/ELEAZAR-RESENDIZ-CORTES-KQED-LEOPO-2026-0636-KQED.jpg\" alt=\"\" width=\"2000\" height=\"1333\" srcset=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/ELEAZAR-RESENDIZ-CORTES-KQED-LEOPO-2026-0636-KQED.jpg 2000w, https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/ELEAZAR-RESENDIZ-CORTES-KQED-LEOPO-2026-0636-KQED-160x107.jpg 160w, https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/ELEAZAR-RESENDIZ-CORTES-KQED-LEOPO-2026-0636-KQED-1536x1024.jpg 1536w\" sizes=\"auto, (max-width: 2000px) 100vw, 2000px\">\u003cfigcaption class=\"wp-caption-text\">Eleazar Resendiz Cortes, 38, points to countertops in his Bakersfield, California, home made from artificial stone leftover from his previous jobs on Thursday, May 14, 2026. Cortes says the material serves as a harsh reminder of his silicosis diagnosis. \u003ccite>(Julie Leopo for KQED)\u003c/cite>\u003c/figcaption>\u003c/figure>\n\u003cp>Nearly all of those sick statewide are low-income Latino immigrants who didn’t know about the dangers of inhaling engineered stone dust until they or coworkers got sick.\u003c/p>\n\u003cp>Resendiz Cortes worked in countertop fabrication shops for a decade, first in the San Fernando Valley, which has become the U.S. silicosis epicenter, and then in Bakersfield. The father of three girls said a back injury, which he attributes to lifting heavy stone slabs on the job, also prevents him from returning to work.\u003c/p>\n\u003cp>He received state disability benefits for the maximum period of one year. His family now relies on help from relatives to survive. Resendiz Cortes worries about their economic uncertainty as well as the worsening shortness of breath that keeps him from biking or swimming with his children as he used to. He mourns that his entire life was transformed.\u003c/p>\n\u003cp>“I don’t see anything positive. Just negative things, and that doesn’t help much,” said Resendiz Cortes, who doesn’t leave his house most days. “What I want is for someone to take responsibility. In this case, the insurance companies.”\u003c/p>\n\u003cp>In California, all employers with more than one employee are required to have workers’ compensation insurance. Workers who suffer an injury or illness on the job should be technically eligible to receive compensation to cover medical care and long-term disability, but the system often does not function well for ill laborers.\u003c/p>\n\u003cfigure id=\"attachment_12084039\" class=\"wp-caption aligncenter\" style=\"max-width: 2000px\">\u003cimg loading=\"lazy\" decoding=\"async\" class=\"size-full wp-image-12084039\" src=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/ELEAZAR-RESENDIZ-CORTES-KQED-LEOPO-2026-1289-KQED.jpg\" alt=\"\" width=\"2000\" height=\"1333\" srcset=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/ELEAZAR-RESENDIZ-CORTES-KQED-LEOPO-2026-1289-KQED.jpg 2000w, https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/ELEAZAR-RESENDIZ-CORTES-KQED-LEOPO-2026-1289-KQED-160x107.jpg 160w, https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/ELEAZAR-RESENDIZ-CORTES-KQED-LEOPO-2026-1289-KQED-1536x1024.jpg 1536w\" sizes=\"auto, (max-width: 2000px) 100vw, 2000px\">\u003cfigcaption class=\"wp-caption-text\">Eleazar Resendiz Cortes’ wife shows scans of his chest in their home on Thursday, May 14, 2026, in Bakersfield, California, that revealed particles around his lungs linked to his silicosis diagnosis. \u003ccite>(Julie Leopo for KQED)\u003c/cite>\u003c/figcaption>\u003c/figure>\n\u003cp>AmTrust North America denied all liability in Resendiz Cortes’ case in an August 2024 letter viewed by KQED, citing “no substantial medical, legal or factual evidence to support the cumulative trauma claim.” The Cleveland, Ohio-based company did not respond to requests for comment.\u003c/p>\n\u003cp>A top executive for a second insurer, Omaha National, said the company could not comment on the specifics of Resendiz Cortes’ case but is investigating.\u003c/p>\n\u003cp>“We remain committed to handling every claim fairly and in accordance with policy terms and established processes,” said Chris LaMantia, Omaha National’s chief sales and marketing officer, in a statement.\u003c/p>\n\u003cp>Resendiz Cortes said his last place of employment, Custom Stone Interiors, dry-cut artificial stone slabs, and also used wet methods to tamp the dust down. Although he wore a filter respirator when polishing and cutting countertops, he said, he still found white dust over his face and nostrils at the end of the day. He would blow the dust out of his nose.\u003c/p>\n\u003cp>Custom Stone Interiors declined to comment.\u003c/p>\n\u003cfigure id=\"attachment_12084038\" class=\"wp-caption aligncenter\" style=\"max-width: 2000px\">\u003cimg loading=\"lazy\" decoding=\"async\" class=\"size-full wp-image-12084038\" src=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/ELEAZAR-RESENDIZ-CORTES-KQED-LEOPO-2026-1088-KQED.jpg\" alt=\"\" width=\"2000\" height=\"1333\" srcset=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/ELEAZAR-RESENDIZ-CORTES-KQED-LEOPO-2026-1088-KQED.jpg 2000w, https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/ELEAZAR-RESENDIZ-CORTES-KQED-LEOPO-2026-1088-KQED-160x107.jpg 160w, https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/ELEAZAR-RESENDIZ-CORTES-KQED-LEOPO-2026-1088-KQED-1536x1024.jpg 1536w\" sizes=\"auto, (max-width: 2000px) 100vw, 2000px\">\u003cfigcaption class=\"wp-caption-text\">Eleazar Resendiz Cortes, 38, stands in his garden on Thursday, May 14, 2026, in Bakersfield, California. Cortes started gardening after he could no longer work and now grows fresh vegetables for his family. \u003ccite>(Julie Leopo for KQED)\u003c/cite>\u003c/figcaption>\u003c/figure>\n\u003cp>“We saw your email but are not interested in a comment,” a company representative said when reached by phone before hanging up.\u003c/p>\n\u003cp>Statewide, at least 80 other sick stonecutters remain without workers’ comp payment after fighting for a year or longer for the benefits, according to Barry Rodich, whose L.A. law firm represents them and Resendiz Cortes. Insurers have an economic incentive to deny or delay the expensive claims, he said.\u003c/p>\n\u003cp>“They will always try to say, ‘Well, there’s a latency period, and it’s not my client that’s responsible. It’s somebody before us,’” said Rodich, whose firm specializes in silicosis cases. “These delays by the insurance company just make my clients worse.”\u003c/p>\n\u003cp>Laborers can challenge insurance denials at the state Division of Workers’ Compensation and the Workers’ Compensation Appeals Board, but obtaining a resolution can take months or years. About 460 cases were awaiting a judge’s decision at the appeals board last month, a smaller backlog than in recent years, according to the Department of Industrial Relations, which oversees the agencies.\u003c/p>\u003c/div>",
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"content": "\u003cdiv class=\"post-body\">\u003cp>“Penalties related to unreasonable delays or refusals are addressed through the adjudication process on a case-by-case basis and depend on the facts and circumstances of each individual matter,” the spokesperson said in a statement.\u003c/p>\n\u003cp>Most of the hundreds of California stonecutters with silicosis don’t seek workers’ compensation benefits because they are self-employed or past workplaces lack the insurance. Others decline to apply for benefits that will likely increase costs for their former employers, according to Rodich.\u003c/p>\n\u003cp>“There’s a lot of loyalty,” he said. “Some of these individuals feel like they have an allegiance to these employers. And the reason why is because they helped get them a job, they may have helped them in other ways… And so when they find out that their insurance premiums could potentially be affected in the following year, they don’t want to do anything.”\u003cstrong> \u003c/strong>\u003c/p>\n\u003cp>Rodich’s firm has settled a handful of silicosis cases for amounts ranging between $1.5 million and $3 million each, usually when the workers’ disease is so advanced that a lung transplant is required, he said.\u003c/p>\n\u003cp>The high price tag likely elicits extra scrutiny from insurers, which aim to weed out any fraudulent claims. Insurers’ investigations aim to determine whether their client employer indeed hired the injured worker and is liable for illness.\u003c/p>\n\u003cp>But in the countertop fabrication industry, workers often have multiple employers over their careers, and job records might be missing, said Yvonne Lang, who has represented insurers on silicosis claims and helped settle one case recently.\u003c/p>\n\u003cfigure id=\"attachment_12084035\" class=\"wp-caption aligncenter\" style=\"max-width: 2000px\">\u003cimg loading=\"lazy\" decoding=\"async\" class=\"size-full wp-image-12084035\" src=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/ELEAZAR-RESENDIZ-CORTES-KQED-LEOPO-2026-0557-KQED.jpg\" alt=\"\" width=\"2000\" height=\"1333\" srcset=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/ELEAZAR-RESENDIZ-CORTES-KQED-LEOPO-2026-0557-KQED.jpg 2000w, https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/ELEAZAR-RESENDIZ-CORTES-KQED-LEOPO-2026-0557-KQED-160x107.jpg 160w, https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/ELEAZAR-RESENDIZ-CORTES-KQED-LEOPO-2026-0557-KQED-1536x1024.jpg 1536w\" sizes=\"auto, (max-width: 2000px) 100vw, 2000px\">\u003cfigcaption class=\"wp-caption-text\">Eleazar Resendiz Cortes, 38, points to countertops in his Bakersfield, California, home made from artificial stone leftover from his previous jobs on Thursday, May 14, 2026. \u003ccite>(Julie Leopo for KQED)\u003c/cite>\u003c/figcaption>\u003c/figure>\n\u003cp>“When there’s multiple employers, the employers are going to point the fingers at each other,” said Lang, a former president of the California Workers’ Compensation Defense Attorneys Association. “And if the employers are pointing the fingers at each other, the [insurance] carriers are going to point the fingers at each other.”\u003c/p>\n\u003cp>Insurance companies are more likely to deny claims for illnesses developed over time, when compared to physical injuries linked to a single accident, such as a ladder fall, according to experts. To fight the insurer’s denial, workers must often enlist an attorney willing to help on time-consuming and costly cases, which is another barrier.\u003c/p>\n\u003cp>Sick workers’ struggle to get compensation benefits has led the federal government to intervene and create separate programs to support some of them, such as for Virginia coal miners with black lung disease, and nuclear plant workers with cancer from radiation, said Glenn Shor, a retired public policy and research analyst with the California Department of Industrial Relations, Cal/OSHA, and Division of Workers’ Compensation.\u003c/p>\n\u003cp>For insurers, “denial is often the first step because they think some of those cases will go away,” said Shor. “If they’re denied, some people will contact a lawyer, but some people just say, I shouldn’t have worked at that place or I should have worn a mask more.”\u003c/p>\n\u003cp>\u003c/p>\u003c/div>",
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"content": "\u003cp>Bar patios are one of the few remaining places \u003ca href=\"https://www.kqed.org/news/tag/san-francisco\">San Franciscans\u003c/a> can legally smoke in public. But on Monday, a committee of city supervisors will consider eliminating the exception for patio smoking, and join over 50 other cities in the Bay Area with similar bans.\u003c/p>\n\u003cp>The proposal has sparked a heated debate between patrons and bar owners, who say their businesses are already hurting, and public health experts — who say anti-smoking laws have played a significant role in reducing tobacco consumption from 42% to less than 15% nationally, since the 1960s.\u003c/p>\n\u003cp>“ Rather than allowing or even encouraging this behavior, we should take every effort to try to educate the public, and to try to protect both the customers as well as the employees of these establishments,” Dr. John Maa, a surgeon at Chinese Hospital, said. “We want to reduce their risks of heart disease, of stroke, and of cancers.”\u003c/p>\n\u003cp>[ad fullwidth]\u003c/p>\n\u003cp>Maa is the former president of the San Francisco Marin Medical Society, which co-sponsored the proposal, along with major medical groups such as the American Heart Association and the American Lung Association.\u003c/p>\n\u003cp>Maa said the ban builds off of a 2014 city law, which prohibited outdoor smoking at restaurants, but granted an exception for bars and taverns with outdoor patios after pushback from bar owners.\u003c/p>\n\u003cp>That pushback has carried over into this fight: more than 2,000 small business owners and residents have signed an online \u003ca href=\"https://www.change.org/p/small-businesses-and-residents-of-san-francisco-oppose-the-smoke-free-places-ordinance\">petition\u003c/a> opposing the ban.\u003c/p>\n\u003cp>“While we respect the Board’s concern for public health, we believe this legislation is misguided in its scope, timing, and priorities — and we urge the Board to reject it,” the petition reads.\u003c/p>\n\u003cfigure id=\"attachment_12084014\" class=\"wp-caption aligncenter\" style=\"max-width: 2000px\">\u003cimg loading=\"lazy\" decoding=\"async\" class=\"size-full wp-image-12084014\" src=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/PXL_20260515_172446739-scaled-e1778890672540.jpg\" alt=\"\" width=\"2000\" height=\"1506\">\u003cfigcaption class=\"wp-caption-text\">Lex Montiel, who owns and operates the San Francisco Eagle, said he’s worried about the indirect impact the city’s proposed anti-smoking ordinance would have on business, on May 15, 2025. \u003ccite>(Desmond Meagley/KQED)\u003c/cite>\u003c/figcaption>\u003c/figure>\n\u003cp>Lex Montiel, who owns and operates the San Francisco Eagle, said he’s worried about the indirect impact the ordinance would have on business.\u003c/p>\n\u003cp>The Eagle is a historic leather bar in SoMa, with a large covered patio — an important draw for customers, many of whom enjoy cigars and cigarettes in the space, Montiel said.\u003c/p>\n\u003cp>Since COVID, the bar’s economic position has been tenuous, he said, and his clientele relies on the covered patio to provide them a space to dress freely and socialize with others in the community.\u003c/p>\n\u003cp>“If [a customer] is smoking and we have to push them out to the street on a jockstrap, we definitely would lose that customer,” he said. “We will not be able to offer a safe space.”\u003c/p>\n\u003cp>Montiel said the city is “overreaching” with the ban. While the health of his clientele and his employees is important to him, he said, he doubts that his employees are exposed to dangerous levels of secondhand smoke while at work. Montiel said that he hasn’t received complaints, and he is “very, very strict” about preventing smoking and vaping inside the bar.[aside postID=news_12068987 hero='https://cdn.kqed.org/wp-content/uploads/sites/10/2026/01/zyngetty.jpg']Maa said Montiel’s claims, and other arguments against the ban, are based on misinformation. He pointed to decades of public health research, which shows that whenever someone smokes outside, others around them risk inhaling particles in concentrations that can increase the risk of disease.\u003c/p>\n\u003cp>He also said the tobacco industry has “targeted” the LGBTQ+ community and other minority groups in their marketing, and credited the San Francisco-based nonprofit LGBTQ Minus Tobacco for their contributions to “championing” the ban.\u003c/p>\n\u003cp>“It’s only a small incremental step forward — that over 400 cities in America have already done,” he said. “San Francisco is simply trying to catch up with the rest of the nation here.”\u003c/p>\n\u003cp>Though Maa said, it’s hard to evaluate whether changing the law will also change the behavior of existing smokers.\u003c/p>\n\u003cp>Supervisor Myrna Melgar, who wrote and sponsored the legislation, said she knows her proposal has been controversial.\u003c/p>\n\u003cp>“As with all things in San Francisco, everybody has an opinion,” she said. Some of the messages she’s received, however, have been “ very personal, very toxic” and, in some cases, threatening.\u003c/p>\n\u003cp>She told KQED that she empathizes with the concerns of both smokers and business owners, but nonetheless, “there’s no question” that “secondhand smoke causes cancer.”\u003c/p>\n\u003cp>The bill faces its first hurdle in front of the city’s Land Use and Transportation Committee on May 18. To pass, it must be approved by at least two members of the committee.\u003c/p>\n\u003cp>\u003c/p>\n",
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"content": "\u003cdiv class=\"post-body\">\u003cp>\u003cp>Bar patios are one of the few remaining places \u003ca href=\"https://www.kqed.org/news/tag/san-francisco\">San Franciscans\u003c/a> can legally smoke in public. But on Monday, a committee of city supervisors will consider eliminating the exception for patio smoking, and join over 50 other cities in the Bay Area with similar bans.\u003c/p>\n\u003cp>The proposal has sparked a heated debate between patrons and bar owners, who say their businesses are already hurting, and public health experts — who say anti-smoking laws have played a significant role in reducing tobacco consumption from 42% to less than 15% nationally, since the 1960s.\u003c/p>\n\u003cp>“ Rather than allowing or even encouraging this behavior, we should take every effort to try to educate the public, and to try to protect both the customers as well as the employees of these establishments,” Dr. John Maa, a surgeon at Chinese Hospital, said. “We want to reduce their risks of heart disease, of stroke, and of cancers.”\u003c/p>\n\u003cp>\u003c/p>\u003c/div>",
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"content": "\u003cdiv class=\"post-body\">\u003cp>\u003c/p>\n\u003cp>Maa is the former president of the San Francisco Marin Medical Society, which co-sponsored the proposal, along with major medical groups such as the American Heart Association and the American Lung Association.\u003c/p>\n\u003cp>Maa said the ban builds off of a 2014 city law, which prohibited outdoor smoking at restaurants, but granted an exception for bars and taverns with outdoor patios after pushback from bar owners.\u003c/p>\n\u003cp>That pushback has carried over into this fight: more than 2,000 small business owners and residents have signed an online \u003ca href=\"https://www.change.org/p/small-businesses-and-residents-of-san-francisco-oppose-the-smoke-free-places-ordinance\">petition\u003c/a> opposing the ban.\u003c/p>\n\u003cp>“While we respect the Board’s concern for public health, we believe this legislation is misguided in its scope, timing, and priorities — and we urge the Board to reject it,” the petition reads.\u003c/p>\n\u003cfigure id=\"attachment_12084014\" class=\"wp-caption aligncenter\" style=\"max-width: 2000px\">\u003cimg loading=\"lazy\" decoding=\"async\" class=\"size-full wp-image-12084014\" src=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/PXL_20260515_172446739-scaled-e1778890672540.jpg\" alt=\"\" width=\"2000\" height=\"1506\">\u003cfigcaption class=\"wp-caption-text\">Lex Montiel, who owns and operates the San Francisco Eagle, said he’s worried about the indirect impact the city’s proposed anti-smoking ordinance would have on business, on May 15, 2025. \u003ccite>(Desmond Meagley/KQED)\u003c/cite>\u003c/figcaption>\u003c/figure>\n\u003cp>Lex Montiel, who owns and operates the San Francisco Eagle, said he’s worried about the indirect impact the ordinance would have on business.\u003c/p>\n\u003cp>The Eagle is a historic leather bar in SoMa, with a large covered patio — an important draw for customers, many of whom enjoy cigars and cigarettes in the space, Montiel said.\u003c/p>\n\u003cp>Since COVID, the bar’s economic position has been tenuous, he said, and his clientele relies on the covered patio to provide them a space to dress freely and socialize with others in the community.\u003c/p>\n\u003cp>“If [a customer] is smoking and we have to push them out to the street on a jockstrap, we definitely would lose that customer,” he said. “We will not be able to offer a safe space.”\u003c/p>\n\u003cp>Montiel said the city is “overreaching” with the ban. While the health of his clientele and his employees is important to him, he said, he doubts that his employees are exposed to dangerous levels of secondhand smoke while at work. Montiel said that he hasn’t received complaints, and he is “very, very strict” about preventing smoking and vaping inside the bar.\u003c/p>\u003c/div>",
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"content": "\u003cdiv class=\"post-body\">\u003cp>Maa said Montiel’s claims, and other arguments against the ban, are based on misinformation. He pointed to decades of public health research, which shows that whenever someone smokes outside, others around them risk inhaling particles in concentrations that can increase the risk of disease.\u003c/p>\n\u003cp>He also said the tobacco industry has “targeted” the LGBTQ+ community and other minority groups in their marketing, and credited the San Francisco-based nonprofit LGBTQ Minus Tobacco for their contributions to “championing” the ban.\u003c/p>\n\u003cp>“It’s only a small incremental step forward — that over 400 cities in America have already done,” he said. “San Francisco is simply trying to catch up with the rest of the nation here.”\u003c/p>\n\u003cp>Though Maa said, it’s hard to evaluate whether changing the law will also change the behavior of existing smokers.\u003c/p>\n\u003cp>Supervisor Myrna Melgar, who wrote and sponsored the legislation, said she knows her proposal has been controversial.\u003c/p>\n\u003cp>“As with all things in San Francisco, everybody has an opinion,” she said. Some of the messages she’s received, however, have been “ very personal, very toxic” and, in some cases, threatening.\u003c/p>\n\u003cp>She told KQED that she empathizes with the concerns of both smokers and business owners, but nonetheless, “there’s no question” that “secondhand smoke causes cancer.”\u003c/p>\n\u003cp>The bill faces its first hurdle in front of the city’s Land Use and Transportation Committee on May 18. To pass, it must be approved by at least two members of the committee.\u003c/p>\n\u003cp>\u003c/p>\n\u003c/div>\u003c/p>",
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"title": "Fewer People Are Sleeping on San Francisco Streets. But Family Homelessness Is Up",
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"content": "\u003cp>The number of people sleeping outside on San Francisco’s sidewalks is plummeting, but families continue to struggle to find affordable, stable housing amid rising rents and a skyrocketing cost of living.\u003c/p>\n\u003cp>That’s according to \u003ca href=\"https://www.sf.gov/2026-point-in-time-count-preliminary-results\">preliminary data\u003c/a> from this year’s Point in Time (PIT) Count, a federal survey of the city’s homeless residents conducted in January.\u003c/p>\n\u003cp>It found that there were 1,000 fewer unsheltered people compared to the 2024 survey, marking a 22% decrease and the lowest recorded level since 2011.\u003c/p>\n\u003cp>[ad fullwidth]\u003c/p>\n\u003cp>“More people are coming inside to get shelter and treatment, and we are moving in the right direction,” Mayor Daniel Lurie said during a press conference on Tuesday.\u003c/p>\n\u003cp>Lurie campaigned on addressing street homelessness and outdoor drug use in the lead-up to his 2024 election as mayor.\u003c/p>\n\u003cp>The city has made a number of changes to its approach to both issues since he stepped into office in January 2025, including opening a \u003ca href=\"https://www.kqed.org/news/12038376/tenderloin-welcomes-mental-health-clinic-demands-broader-city-action-on-homelessness\">crisis stabilization center\u003c/a> at 822 Geary St. and, most recently, \u003ca href=\"https://www.kqed.org/news/12081889/not-a-jail-not-an-emergency-room-what-is-daniel-luries-new-reset-center\">the RESET Center\u003c/a>, a controversial sobering center and jail alternative where police bring people using drugs outside.\u003c/p>\n\u003cp>\u003c!-- iframe plugin v.4.3 wordpress.org/plugins/iframe/ -->\u003cbr>\n\u003ciframe loading=\"lazy\" title=\"San Francisco's Homeless Population\" aria-label=\"Line chart\" id=\"datawrapper-chart-Yvyf5\" src=\"https://datawrapper.dwcdn.net/Yvyf5/1/\" scrolling=\"no\" frameborder=\"0\" style=\"width: 0; min-width: 100% !important; border: none;\" height=\"500\" data-external=\"1\" width=\"100%\" class=\"iframe-class\">\u003c/iframe>\u003c/p>\n\u003cp>“When more than 800 people died of overdose in 2023, how could we expect San Franciscans or anyone else, for that matter, to feel like we were at our best as a city,” Lurie said at the press conference outside of Hope House, a recovery-focused transitional housing site. “I thought we had lost our way.”\u003c/p>\n\u003cp>Overall, the city saw a 4% decline in all homelessness in the latest count, dropping from 8,323 to 7,973 people since 2024, according to the PIT data.[aside postID=news_12081889 hero='https://cdn.kqed.org/wp-content/uploads/sites/10/2026/04/042906RESET-CENTER_GH_018-KQED.jpg']The tally, which takes place every two years, sends surveyors out to scan the city block by block in a single day to count the number of people who are homeless both outside, including in cars and tents, and in shelters.\u003c/p>\n\u003cp>It is widely considered an imperfect measure, but a valuable tool in measuring broad changes in the city’s homeless population.\u003c/p>\n\u003cp>Despite the encouraging overall decrease, this year’s PIT Count found a 15% increase since 2024 in families experiencing homelessness. Many live in their vehicles.\u003c/p>\n\u003cp>The finding comes as rent prices and evictions in San Francisco have increased. Kunal Modi, the mayor’s homelessness chief, pointed to the city’s rising cost of living as a key reason families are struggling to stay housed.\u003c/p>\n\u003cp>“It’s everything from the availability of affordable housing to the cost of everyday living, whether it’s gas or groceries or rising rents,” Modi said. “The homeless response system sits alongside other work around family zoning or efforts to keep people enrolled in their benefits… and we’re going to think about all of these elements working together to keep families housed.”\u003c/p>\n\u003cp>Lurie’s administration has focused on clearing RVs as part of its overall approach to homelessness.\u003c/p>\n\u003cfigure id=\"attachment_12073557\" class=\"wp-caption aligncenter\" style=\"max-width: 2000px\">\u003cimg loading=\"lazy\" decoding=\"async\" class=\"size-full wp-image-12073557\" src=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/02/DanielLurieSFUSDStrike.jpg\" alt=\"\" width=\"2000\" height=\"1500\" srcset=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/02/DanielLurieSFUSDStrike.jpg 2000w, https://cdn.kqed.org/wp-content/uploads/sites/10/2026/02/DanielLurieSFUSDStrike-160x120.jpg 160w, https://cdn.kqed.org/wp-content/uploads/sites/10/2026/02/DanielLurieSFUSDStrike-1536x1152.jpg 1536w\" sizes=\"auto, (max-width: 2000px) 100vw, 2000px\">\u003cfigcaption class=\"wp-caption-text\">Mayor Daniel Lurie speaks at a press conference on Friday, Feb. 13, 2026, in San Francisco, addressing the San Francisco Unified School District’s newly reached agreement with the teachers’ union. \u003ccite>(Sydney Johnson/KQED)\u003c/cite>\u003c/figcaption>\u003c/figure>\n\u003cp>In October 2025, permits were issued to large vehicles and RVs to avoid towing and citations as the city worked to move families and individuals living in campers into housing.\u003c/p>\n\u003cp>A total of 132 households have moved from their vehicles to housing, and the city has cited nearly 800 large vehicles and towed 240 since the start of the program, according to city data.\u003c/p>\n\u003cp>Lurie, who, according to a recent \u003ca href=\"https://www.yahoo.com/news/articles/mayor-lurie-still-popular-poll-120000359.html?guccounter=1\">\u003cem>San Francisco Chronicle\u003c/em> poll,\u003c/a> has a whopping 74% approval rating among the more than 1,000 registered voters surveyed, said the bump in the number of families experiencing homelessness has been tied to the RV program.\u003c/p>\n\u003cp>“Most of those families [in the survey] were in shelter, but among those who weren’t, many were living in RVs,” he said. “I’m optimistic that our work around RVs has shown progress, and we are on track to have every family with a permitted vehicle in shelter or housing by the end of this year.”\u003c/p>\n\u003cp>The latest PIT Count recorded a roughly 85% decline in tents and other shelter structures outside, compared to the nearly 650 people identified in tents in 2024.\u003c/p>\n\u003cp>Unlike previous years where the PIT Count took place overnight, this year’s survey was conducted in the early morning. Some homelessness advocates argued that the data was manipulated “for political gain” because the count took place when many working homeless people were out at service jobs or other responsibilities.\u003c/p>\n\u003cp>“The PIT Count results can also be skewed by the Lurie administration’s refusal to halt sweeps during the count,” reads a statement from the Coalition on Homelessness.\u003c/p>\n\u003cp>The findings come as the city has ramped up efforts to clear sidewalk encampments and move or arrest people on sidewalks who are using drugs.\u003c/p>\n\u003cp>\u003c!-- iframe plugin v.4.3 wordpress.org/plugins/iframe/ -->\u003cbr>\n\u003ciframe loading=\"lazy\" title=\"San Francisco's Homeless Population\" aria-label=\"Stacked Bars\" id=\"datawrapper-chart-8a3tf\" src=\"https://datawrapper.dwcdn.net/8a3tf/1/\" scrolling=\"no\" frameborder=\"0\" style=\"width: 0; min-width: 100% !important; border: none;\" height=\"460\" data-external=\"1\" width=\"100%\" class=\"iframe-class\">\u003c/iframe>\u003c/p>\n\u003cp>Lurie campaigned on a \u003ca href=\"https://www.kqed.org/news/12059460/bay-area-cities-expand-homeless-shelters-winning-over-neighbors-is-the-hard-part\">promise to build 1,500 shelter beds\u003c/a> within his first six months in office. But the mayor later pivoted, saying instead that the city needs the “right kind of beds,” such as treatment beds and transitional housing.\u003c/p>\n\u003cp>The city has closed some non-congregate shelter options under Lurie’s administration, but overall has added a net total of 408 shelter beds.\u003c/p>\n\u003cp>Some homelessness advocates have criticized Lurie’s focus on short-term shelter, saying that the city must do more to focus on preventing homelessness and providing long-term housing.\u003c/p>\n\u003cp>“Municipalities that overinvest in shelter see a short-term decrease in street counts, but without investment in prevention and housing, street counts will undoubtedly balloon in future years,” the Coalition on Homelessness said.\u003c/p>\n\u003cp>Today, 57% of San Francisco’s homeless population is sheltered, and there are not enough beds for everyone who wants a spot. There were 500 people on the city’s \u003ca href=\"https://www.sf.gov/data--check-your-position-adult-shelter-waitlist\">waitlist for shelter\u003c/a> as of Tuesday.\u003c/p>\n\u003cp>The full survey results from January’s PIT Count will be released this summer.\u003c/p>\n\u003cp>\u003c/p>\n",
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"content": "\u003cdiv class=\"post-body\">\u003cp>\u003cp>The number of people sleeping outside on San Francisco’s sidewalks is plummeting, but families continue to struggle to find affordable, stable housing amid rising rents and a skyrocketing cost of living.\u003c/p>\n\u003cp>That’s according to \u003ca href=\"https://www.sf.gov/2026-point-in-time-count-preliminary-results\">preliminary data\u003c/a> from this year’s Point in Time (PIT) Count, a federal survey of the city’s homeless residents conducted in January.\u003c/p>\n\u003cp>It found that there were 1,000 fewer unsheltered people compared to the 2024 survey, marking a 22% decrease and the lowest recorded level since 2011.\u003c/p>\n\u003cp>\u003c/p>\u003c/div>",
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"content": "\u003cdiv class=\"post-body\">\u003cp>\u003c/p>\n\u003cp>“More people are coming inside to get shelter and treatment, and we are moving in the right direction,” Mayor Daniel Lurie said during a press conference on Tuesday.\u003c/p>\n\u003cp>Lurie campaigned on addressing street homelessness and outdoor drug use in the lead-up to his 2024 election as mayor.\u003c/p>\n\u003cp>The city has made a number of changes to its approach to both issues since he stepped into office in January 2025, including opening a \u003ca href=\"https://www.kqed.org/news/12038376/tenderloin-welcomes-mental-health-clinic-demands-broader-city-action-on-homelessness\">crisis stabilization center\u003c/a> at 822 Geary St. and, most recently, \u003ca href=\"https://www.kqed.org/news/12081889/not-a-jail-not-an-emergency-room-what-is-daniel-luries-new-reset-center\">the RESET Center\u003c/a>, a controversial sobering center and jail alternative where police bring people using drugs outside.\u003c/p>\n\u003cp>\u003c!-- iframe plugin v.4.3 wordpress.org/plugins/iframe/ -->\u003cbr>\n\u003ciframe loading=\"lazy\" title=\"San Francisco's Homeless Population\" aria-label=\"Line chart\" id=\"datawrapper-chart-Yvyf5\" src=\"https://datawrapper.dwcdn.net/Yvyf5/1/\" scrolling=\"no\" frameborder=\"0\" style=\"width: 0; min-width: 100% !important; border: none;\" height=\"500\" data-external=\"1\" width=\"100%\" class=\"iframe-class\">\u003c/iframe>\u003c/p>\n\u003cp>“When more than 800 people died of overdose in 2023, how could we expect San Franciscans or anyone else, for that matter, to feel like we were at our best as a city,” Lurie said at the press conference outside of Hope House, a recovery-focused transitional housing site. “I thought we had lost our way.”\u003c/p>\n\u003cp>Overall, the city saw a 4% decline in all homelessness in the latest count, dropping from 8,323 to 7,973 people since 2024, according to the PIT data.\u003c/p>\u003c/div>",
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"content": "\u003cdiv class=\"post-body\">\u003cp>The tally, which takes place every two years, sends surveyors out to scan the city block by block in a single day to count the number of people who are homeless both outside, including in cars and tents, and in shelters.\u003c/p>\n\u003cp>It is widely considered an imperfect measure, but a valuable tool in measuring broad changes in the city’s homeless population.\u003c/p>\n\u003cp>Despite the encouraging overall decrease, this year’s PIT Count found a 15% increase since 2024 in families experiencing homelessness. Many live in their vehicles.\u003c/p>\n\u003cp>The finding comes as rent prices and evictions in San Francisco have increased. Kunal Modi, the mayor’s homelessness chief, pointed to the city’s rising cost of living as a key reason families are struggling to stay housed.\u003c/p>\n\u003cp>“It’s everything from the availability of affordable housing to the cost of everyday living, whether it’s gas or groceries or rising rents,” Modi said. “The homeless response system sits alongside other work around family zoning or efforts to keep people enrolled in their benefits… and we’re going to think about all of these elements working together to keep families housed.”\u003c/p>\n\u003cp>Lurie’s administration has focused on clearing RVs as part of its overall approach to homelessness.\u003c/p>\n\u003cfigure id=\"attachment_12073557\" class=\"wp-caption aligncenter\" style=\"max-width: 2000px\">\u003cimg loading=\"lazy\" decoding=\"async\" class=\"size-full wp-image-12073557\" src=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/02/DanielLurieSFUSDStrike.jpg\" alt=\"\" width=\"2000\" height=\"1500\" srcset=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/02/DanielLurieSFUSDStrike.jpg 2000w, https://cdn.kqed.org/wp-content/uploads/sites/10/2026/02/DanielLurieSFUSDStrike-160x120.jpg 160w, https://cdn.kqed.org/wp-content/uploads/sites/10/2026/02/DanielLurieSFUSDStrike-1536x1152.jpg 1536w\" sizes=\"auto, (max-width: 2000px) 100vw, 2000px\">\u003cfigcaption class=\"wp-caption-text\">Mayor Daniel Lurie speaks at a press conference on Friday, Feb. 13, 2026, in San Francisco, addressing the San Francisco Unified School District’s newly reached agreement with the teachers’ union. \u003ccite>(Sydney Johnson/KQED)\u003c/cite>\u003c/figcaption>\u003c/figure>\n\u003cp>In October 2025, permits were issued to large vehicles and RVs to avoid towing and citations as the city worked to move families and individuals living in campers into housing.\u003c/p>\n\u003cp>A total of 132 households have moved from their vehicles to housing, and the city has cited nearly 800 large vehicles and towed 240 since the start of the program, according to city data.\u003c/p>\n\u003cp>Lurie, who, according to a recent \u003ca href=\"https://www.yahoo.com/news/articles/mayor-lurie-still-popular-poll-120000359.html?guccounter=1\">\u003cem>San Francisco Chronicle\u003c/em> poll,\u003c/a> has a whopping 74% approval rating among the more than 1,000 registered voters surveyed, said the bump in the number of families experiencing homelessness has been tied to the RV program.\u003c/p>\n\u003cp>“Most of those families [in the survey] were in shelter, but among those who weren’t, many were living in RVs,” he said. “I’m optimistic that our work around RVs has shown progress, and we are on track to have every family with a permitted vehicle in shelter or housing by the end of this year.”\u003c/p>\n\u003cp>The latest PIT Count recorded a roughly 85% decline in tents and other shelter structures outside, compared to the nearly 650 people identified in tents in 2024.\u003c/p>\n\u003cp>Unlike previous years where the PIT Count took place overnight, this year’s survey was conducted in the early morning. Some homelessness advocates argued that the data was manipulated “for political gain” because the count took place when many working homeless people were out at service jobs or other responsibilities.\u003c/p>\n\u003cp>“The PIT Count results can also be skewed by the Lurie administration’s refusal to halt sweeps during the count,” reads a statement from the Coalition on Homelessness.\u003c/p>\n\u003cp>The findings come as the city has ramped up efforts to clear sidewalk encampments and move or arrest people on sidewalks who are using drugs.\u003c/p>\n\u003cp>\u003c!-- iframe plugin v.4.3 wordpress.org/plugins/iframe/ -->\u003cbr>\n\u003ciframe loading=\"lazy\" title=\"San Francisco's Homeless Population\" aria-label=\"Stacked Bars\" id=\"datawrapper-chart-8a3tf\" src=\"https://datawrapper.dwcdn.net/8a3tf/1/\" scrolling=\"no\" frameborder=\"0\" style=\"width: 0; min-width: 100% !important; border: none;\" height=\"460\" data-external=\"1\" width=\"100%\" class=\"iframe-class\">\u003c/iframe>\u003c/p>\n\u003cp>Lurie campaigned on a \u003ca href=\"https://www.kqed.org/news/12059460/bay-area-cities-expand-homeless-shelters-winning-over-neighbors-is-the-hard-part\">promise to build 1,500 shelter beds\u003c/a> within his first six months in office. But the mayor later pivoted, saying instead that the city needs the “right kind of beds,” such as treatment beds and transitional housing.\u003c/p>\n\u003cp>The city has closed some non-congregate shelter options under Lurie’s administration, but overall has added a net total of 408 shelter beds.\u003c/p>\n\u003cp>Some homelessness advocates have criticized Lurie’s focus on short-term shelter, saying that the city must do more to focus on preventing homelessness and providing long-term housing.\u003c/p>\n\u003cp>“Municipalities that overinvest in shelter see a short-term decrease in street counts, but without investment in prevention and housing, street counts will undoubtedly balloon in future years,” the Coalition on Homelessness said.\u003c/p>\n\u003cp>Today, 57% of San Francisco’s homeless population is sheltered, and there are not enough beds for everyone who wants a spot. There were 500 people on the city’s \u003ca href=\"https://www.sf.gov/data--check-your-position-adult-shelter-waitlist\">waitlist for shelter\u003c/a> as of Tuesday.\u003c/p>\n\u003cp>The full survey results from January’s PIT Count will be released this summer.\u003c/p>\n\u003cp>\u003c/p>\n\u003c/div>\u003c/p>",
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"slug": "san-francisco-nurses-fight-for-kaiser-employee-terminated-over-daca-status",
"title": "San Francisco Nurses Fight for Kaiser Employee Terminated Over DACA Status",
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"content": "\u003cp>Dozens of nurses rallied outside \u003ca href=\"https://www.kqed.org/news/tag/kaiser\">Kaiser\u003c/a> San Francisco on Monday to advocate for a San Francisco nurse who is set to lose her job — after the federal government did not process her temporary legal status in time.\u003c/p>\n\u003cp>The surgical nurse, who has lived in the U.S. for most of her life and will remain anonymous due to safety concerns, immigrated from the Philippines when she was two years old. As an employee of Kaiser Permanente San Francisco Medical Center on Geary Boulevard, the nurse filed her DACA, or Deferred Action for Childhood Arrivals, renewal application on Dec.1 — exactly 135 days before her status was set to expire on April 15. Despite applying well within the recommended window, she said she has not heard back.\u003c/p>\n\u003cp>When her status lapsed, Kaiser placed her on 30 days of unpaid leave. That window closes on May 14. In response to her inquiries, Kaiser wrote that “It is your responsibility to keep your work authorization current,” according to \u003ca href=\"https://missionlocal.org/2026/05/kaiser-nurse-daca-renewal-delay-san-francisco/\">\u003cem>Mission Local\u003c/em>\u003c/a>, which first reported her case.\u003c/p>\n\u003cp>[ad fullwidth]\u003c/p>\n\u003cp>In a statement, Kaiser said the organization was evaluating potential solutions. \u003c/p>\n\u003cp>“We have been working directly with our employee to support her through this as best we can. We have been working with the union as well, and appreciate their advocacy on behalf of our employee. We are currently evaluating what potential solutions are available,” a spokesperson said in a statement. \u003c/p>\n\u003cp>Outside of Kaiser on Monday, dozens of nurses chanted: “Defend DACA now,” calling on the hospital to extend the nurse’s unpaid leave. In a statement read aloud by fellow nurses at the rally, the soon-to-be-terminated nurse wrote: “I feel devastated and torn to pieces to be in a position where the fault lies with the innocent.”\u003c/p>\n\u003cp>“So, I ask Kaiser to extend my leave, because I want to thrive, too,” it said.\u003c/p>\n\u003cp>Hers is not an isolated case. According to the Migration Policy Institute, an estimated 500,000 immigrants currently hold DACA status, and many have been caught in a surge of federal processing delays — a trend that advocates told KQED accelerated this year.\u003c/p>\n\u003cfigure id=\"attachment_12083226\" class=\"wp-caption aligncenter\" style=\"max-width: 2000px\">\u003cimg loading=\"lazy\" decoding=\"async\" class=\"size-full wp-image-12083226\" src=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/260511-KAISERDACA00122_TV-KQED.jpg\" alt=\"\" width=\"2000\" height=\"1334\" srcset=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/260511-KAISERDACA00122_TV-KQED.jpg 2000w, https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/260511-KAISERDACA00122_TV-KQED-160x107.jpg 160w, https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/260511-KAISERDACA00122_TV-KQED-1536x1025.jpg 1536w\" sizes=\"auto, (max-width: 2000px) 100vw, 2000px\">\u003cfigcaption class=\"wp-caption-text\">Diana Alfaro, a registered nurse, rallies against Kaiser’s plans to terminate a DACA recipient registered nurse outside of Kaiser Permanente on Geary Street in San Francisco on May 11, 2026. \u003ccite>(Tâm Vũ/KQED)\u003c/cite>\u003c/figcaption>\u003c/figure>\n\u003cp>The East Bay Sanctuary Covenant, which serves more than 1,000 active DACA clients, said that over half of renewal requests filed since November 2025 remain pending.\u003c/p>\n\u003cp>Lisa Hoffman, the organization’s co-executive director, said delays of 150 days or more are now common.\u003c/p>\n\u003cp>“This is just the latest attack,” Hoffman said. “It feels like DACA is being chipped away at piece by piece every day.”\u003c/p>\n\u003cp>Sydney Simpson, a registered nurse at Kaiser San Francisco, said the hospital’s decision is both morally and practically wrong.[aside postID=news_12082440 hero='https://cdn.kqed.org/wp-content/uploads/sites/10/2024/04/240408-FCIDublin-018-BL_qut-1020x680.jpg']“To replace a nurse with her level of expertise is extremely painful for the organization — it’s expensive, it hurts our morale as nurses and it hurts patient quality of care,” Simpson said. “It seems like a really easy decision, but for whatever reason, they are holding their ground.”\u003c/p>\n\u003cp>Nurses pointed to a stark contrast with the University of California health system. Maureen Dugan, a UCSF registered nurse, said at Monday’s rally that the UC’s union contract explicitly protects DACA nurses from termination during renewal delays — and guarantees recall rights if they are temporarily let go.\u003c/p>\n\u003cp>“UC is committed to supporting DACA staff,” Dugan said. “We won that language in our last contract negotiations.”\u003c/p>\n\u003cp>Last week, a coalition of Bay Area immigrant rights groups — including Justice Action Center, East Bay Sanctuary Covenant, the Immigration Institute of the Bay Area and Cornell Law School’s Path2Papers — filed a Freedom of Information Act request, demanding the Trump administration release data on how it is processing DACA renewals and what, if any, policy changes are driving the delays.\u003c/p>\n\u003cp>Advocates say DACA recipients are now making major life decisions — about their jobs, their housing, their families — without knowing when or whether their renewals will come through.\u003c/p>\n\u003cp>Vanessa Rivas-Bernardy, a staff attorney at Justice Action Center, said the delays reflect a program under sustained administrative pressure.\u003c/p>\n\u003cfigure id=\"attachment_12083229\" class=\"wp-caption aligncenter\" style=\"max-width: 2000px\">\u003cimg loading=\"lazy\" decoding=\"async\" class=\"size-full wp-image-12083229\" src=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/260511-KAISERDACA00360_TV-KQED.jpg\" alt=\"\" width=\"2000\" height=\"1333\" srcset=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/260511-KAISERDACA00360_TV-KQED.jpg 2000w, https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/260511-KAISERDACA00360_TV-KQED-160x107.jpg 160w, https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/260511-KAISERDACA00360_TV-KQED-1536x1024.jpg 1536w\" sizes=\"auto, (max-width: 2000px) 100vw, 2000px\">\u003cfigcaption class=\"wp-caption-text\">Supervisor Connie Chan rallies against Kaiser’s plans to terminate a DACA recipient registered nurse outside of Kaiser Permanente on Geary Street in San Francisco on May 11, 2026. \u003ccite>(Tâm Vũ/KQED)\u003c/cite>\u003c/figcaption>\u003c/figure>\n\u003cp>“DACA recipients have been living in two-year increments — all their decisions, their whole lives are in these two-year chunks,” Rivas-Bernardy said. “This is just an exacerbation of that uncertainty and risk, but it’s been completely ramping up in recent months in a way we really haven’t seen before.”\u003c/p>\n\u003cp>If the government does not respond to the FOIA request within 20 calendar days, Rivas-Bernardy said the coalition is prepared to file a federal lawsuit to compel disclosure.\u003c/p>\n\u003cp>San Francisco Supervisor Connie Chan attended Monday’s rally and called on Kaiser to change course.\u003c/p>\n\u003cp>“Our nurses — DACA or otherwise — should not be punished for the Trump administration’s incompetence,” Chan said.\u003c/p>\n\u003cp>In her written statement, the nurse said she is still holding on to hope.\u003c/p>\n\u003cp>“I know I am worthy, good enough, an exceptional nurse and member of this society,” she wrote. “I am a DACA recipient — a dreamer.”\u003c/p>\n\u003cp>\u003c/p>\n",
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"content": "\u003cdiv class=\"post-body\">\u003cp>\u003cp>Dozens of nurses rallied outside \u003ca href=\"https://www.kqed.org/news/tag/kaiser\">Kaiser\u003c/a> San Francisco on Monday to advocate for a San Francisco nurse who is set to lose her job — after the federal government did not process her temporary legal status in time.\u003c/p>\n\u003cp>The surgical nurse, who has lived in the U.S. for most of her life and will remain anonymous due to safety concerns, immigrated from the Philippines when she was two years old. As an employee of Kaiser Permanente San Francisco Medical Center on Geary Boulevard, the nurse filed her DACA, or Deferred Action for Childhood Arrivals, renewal application on Dec.1 — exactly 135 days before her status was set to expire on April 15. Despite applying well within the recommended window, she said she has not heard back.\u003c/p>\n\u003cp>When her status lapsed, Kaiser placed her on 30 days of unpaid leave. That window closes on May 14. In response to her inquiries, Kaiser wrote that “It is your responsibility to keep your work authorization current,” according to \u003ca href=\"https://missionlocal.org/2026/05/kaiser-nurse-daca-renewal-delay-san-francisco/\">\u003cem>Mission Local\u003c/em>\u003c/a>, which first reported her case.\u003c/p>\n\u003cp>\u003c/p>\u003c/div>",
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"content": "\u003cdiv class=\"post-body\">\u003cp>\u003c/p>\n\u003cp>In a statement, Kaiser said the organization was evaluating potential solutions. \u003c/p>\n\u003cp>“We have been working directly with our employee to support her through this as best we can. We have been working with the union as well, and appreciate their advocacy on behalf of our employee. We are currently evaluating what potential solutions are available,” a spokesperson said in a statement. \u003c/p>\n\u003cp>Outside of Kaiser on Monday, dozens of nurses chanted: “Defend DACA now,” calling on the hospital to extend the nurse’s unpaid leave. In a statement read aloud by fellow nurses at the rally, the soon-to-be-terminated nurse wrote: “I feel devastated and torn to pieces to be in a position where the fault lies with the innocent.”\u003c/p>\n\u003cp>“So, I ask Kaiser to extend my leave, because I want to thrive, too,” it said.\u003c/p>\n\u003cp>Hers is not an isolated case. According to the Migration Policy Institute, an estimated 500,000 immigrants currently hold DACA status, and many have been caught in a surge of federal processing delays — a trend that advocates told KQED accelerated this year.\u003c/p>\n\u003cfigure id=\"attachment_12083226\" class=\"wp-caption aligncenter\" style=\"max-width: 2000px\">\u003cimg loading=\"lazy\" decoding=\"async\" class=\"size-full wp-image-12083226\" src=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/260511-KAISERDACA00122_TV-KQED.jpg\" alt=\"\" width=\"2000\" height=\"1334\" srcset=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/260511-KAISERDACA00122_TV-KQED.jpg 2000w, https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/260511-KAISERDACA00122_TV-KQED-160x107.jpg 160w, https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/260511-KAISERDACA00122_TV-KQED-1536x1025.jpg 1536w\" sizes=\"auto, (max-width: 2000px) 100vw, 2000px\">\u003cfigcaption class=\"wp-caption-text\">Diana Alfaro, a registered nurse, rallies against Kaiser’s plans to terminate a DACA recipient registered nurse outside of Kaiser Permanente on Geary Street in San Francisco on May 11, 2026. \u003ccite>(Tâm Vũ/KQED)\u003c/cite>\u003c/figcaption>\u003c/figure>\n\u003cp>The East Bay Sanctuary Covenant, which serves more than 1,000 active DACA clients, said that over half of renewal requests filed since November 2025 remain pending.\u003c/p>\n\u003cp>Lisa Hoffman, the organization’s co-executive director, said delays of 150 days or more are now common.\u003c/p>\n\u003cp>“This is just the latest attack,” Hoffman said. “It feels like DACA is being chipped away at piece by piece every day.”\u003c/p>\n\u003cp>Sydney Simpson, a registered nurse at Kaiser San Francisco, said the hospital’s decision is both morally and practically wrong.\u003c/p>\u003c/div>",
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"content": "\u003cdiv class=\"post-body\">\u003cp>“To replace a nurse with her level of expertise is extremely painful for the organization — it’s expensive, it hurts our morale as nurses and it hurts patient quality of care,” Simpson said. “It seems like a really easy decision, but for whatever reason, they are holding their ground.”\u003c/p>\n\u003cp>Nurses pointed to a stark contrast with the University of California health system. Maureen Dugan, a UCSF registered nurse, said at Monday’s rally that the UC’s union contract explicitly protects DACA nurses from termination during renewal delays — and guarantees recall rights if they are temporarily let go.\u003c/p>\n\u003cp>“UC is committed to supporting DACA staff,” Dugan said. “We won that language in our last contract negotiations.”\u003c/p>\n\u003cp>Last week, a coalition of Bay Area immigrant rights groups — including Justice Action Center, East Bay Sanctuary Covenant, the Immigration Institute of the Bay Area and Cornell Law School’s Path2Papers — filed a Freedom of Information Act request, demanding the Trump administration release data on how it is processing DACA renewals and what, if any, policy changes are driving the delays.\u003c/p>\n\u003cp>Advocates say DACA recipients are now making major life decisions — about their jobs, their housing, their families — without knowing when or whether their renewals will come through.\u003c/p>\n\u003cp>Vanessa Rivas-Bernardy, a staff attorney at Justice Action Center, said the delays reflect a program under sustained administrative pressure.\u003c/p>\n\u003cfigure id=\"attachment_12083229\" class=\"wp-caption aligncenter\" style=\"max-width: 2000px\">\u003cimg loading=\"lazy\" decoding=\"async\" class=\"size-full wp-image-12083229\" src=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/260511-KAISERDACA00360_TV-KQED.jpg\" alt=\"\" width=\"2000\" height=\"1333\" srcset=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/260511-KAISERDACA00360_TV-KQED.jpg 2000w, https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/260511-KAISERDACA00360_TV-KQED-160x107.jpg 160w, https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/260511-KAISERDACA00360_TV-KQED-1536x1024.jpg 1536w\" sizes=\"auto, (max-width: 2000px) 100vw, 2000px\">\u003cfigcaption class=\"wp-caption-text\">Supervisor Connie Chan rallies against Kaiser’s plans to terminate a DACA recipient registered nurse outside of Kaiser Permanente on Geary Street in San Francisco on May 11, 2026. \u003ccite>(Tâm Vũ/KQED)\u003c/cite>\u003c/figcaption>\u003c/figure>\n\u003cp>“DACA recipients have been living in two-year increments — all their decisions, their whole lives are in these two-year chunks,” Rivas-Bernardy said. “This is just an exacerbation of that uncertainty and risk, but it’s been completely ramping up in recent months in a way we really haven’t seen before.”\u003c/p>\n\u003cp>If the government does not respond to the FOIA request within 20 calendar days, Rivas-Bernardy said the coalition is prepared to file a federal lawsuit to compel disclosure.\u003c/p>\n\u003cp>San Francisco Supervisor Connie Chan attended Monday’s rally and called on Kaiser to change course.\u003c/p>\n\u003cp>“Our nurses — DACA or otherwise — should not be punished for the Trump administration’s incompetence,” Chan said.\u003c/p>\n\u003cp>In her written statement, the nurse said she is still holding on to hope.\u003c/p>\n\u003cp>“I know I am worthy, good enough, an exceptional nurse and member of this society,” she wrote. “I am a DACA recipient — a dreamer.”\u003c/p>\n\u003cp>\u003c/p>\n\u003c/div>\u003c/p>",
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"title": "Santa Clara County Resident Exposed to Deadly Hantavirus on Ship, Officials Say",
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"headTitle": "Santa Clara County Resident Exposed to Deadly Hantavirus on Ship, Officials Say | KQED",
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"content": "\u003cp>Health officials are monitoring a \u003ca href=\"https://www.kqed.org/news/tag/bay-area\">Bay Area\u003c/a> resident who was exposed to hantavirus on the MV Hondius cruise ship.\u003c/p>\n\u003cp>The \u003ca href=\"https://www.kqed.org/news/tag/santa-clara-county\">Santa Clara County\u003c/a> resident has returned home to California, the county’s department of public health confirmed Saturday.\u003c/p>\n\u003cp>Dr. Sarah Rudman, the county’s health officer, said Santa Clara officials are in contact with the passenger and are monitoring them in coordination with the state’s Department of Public Health and Centers for Disease Control and Prevention.\u003c/p>\n\u003cp>[ad fullwidth]\u003c/p>\n\u003cp>“Right now, there is no known risk to the people of Santa Clara County,” Rudman said in a video message.\u003c/p>\n\u003cp>The Bay Area resident is one of four Californians who were exposed to the Andes hantavirus virus in connection to an outbreak aboard the MV Hondius.\u003c/p>\n\u003cp>Three people have died and at least five more have been sickened in the rare outbreak aboard the luxury cruise ship, which was carrying 150 passengers and departed the southern tip of Argentina April 1. Six cases are confirmed, and the three others were reported as probable, as of May 8.\u003c/p>\n\u003cfigure id=\"attachment_12083124\" class=\"wp-caption aligncenter\" style=\"max-width: 1998px\">\u003cimg loading=\"lazy\" decoding=\"async\" class=\"size-full wp-image-12083124\" src=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/GettyImages-2274860238.jpg\" alt=\"\" width=\"1998\" height=\"1332\" srcset=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/GettyImages-2274860238.jpg 1998w, https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/GettyImages-2274860238-160x107.jpg 160w, https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/GettyImages-2274860238-1536x1024.jpg 1536w\" sizes=\"auto, (max-width: 1998px) 100vw, 1998px\">\u003cfigcaption class=\"wp-caption-text\">The HV Hondius approaches the Port of Granadilla, carrying passengers possibly infected with hantavirus on board in Tenerife, Canary Islands, on May 10, 2026. \u003ccite>(Andres Gutierrez/Anadolu via Getty Images)\u003c/cite>\u003c/figcaption>\u003c/figure>\n\u003cp>None of the Californians who have been exposed are experiencing symptoms, and all are being closely monitored, according to state Public Health Officer Dr. Erica Pan.\u003c/p>\n\u003cp>The Santa Clara County resident had disembarked from the MV Hondius before the outbreak was recognized, she said. Their exposure was reported to the department last week.[aside postID=news_12082376 hero='https://cdn.kqed.org/wp-content/uploads/sites/10/2025/04/250401-REGIONALMED-JG-3_qed-1020x680.jpg']Two more Californians were identified among more than a dozen cruise passengers who were evacuated from the ship to the University of Nebraska Medical Center in Omaha on Sunday. There, they are undergoing a health assessment. The fourth person being monitored was exposed to an ill patient on a flight traveling through South Africa.\u003c/p>\n\u003cp>Pan said that resident, who is in Sacramento County, came into brief, close contact with an ill patient from the ship while on the aircraft, but the sick person was removed from the flight prior to takeoff.\u003c/p>\n\u003cp>Andes hantavirus is part of a family of viruses that spreads mostly through the urine, feces and saliva of rodents, but in rare cases, can be transmitted person to person through repeated, close contact with someone who is ill. Hantavirus can cause serious diseases in humans, CDPH said.\u003c/p>\n\u003cp>According to state health officials, daily protocol includes temperature checks and assessment for any relevant symptoms. There are no known cases of asymptomatic Andes hantavirus.\u003c/p>\n\u003cp>Pan said the California residents have been asked to modify their daily activities, including avoiding close or prolonged contact with others, wearing a respirator or mask if they must be around people indoors and avoiding sharing beds or personal items.\u003c/p>\n\u003cp>“This is not something you would contract through casual contact at Starbucks or Trader Joe’s,” said Matt Willis, a Bay Area-based epidemiologist and the former head of Marin’s public health department for a decade. “This is someone who would be a risk only to those who were in very close contact with them, like in the household.”\u003c/p>\n\u003cfigure id=\"attachment_12083127\" class=\"wp-caption aligncenter\" style=\"max-width: 1980px\">\u003cimg loading=\"lazy\" decoding=\"async\" class=\"size-full wp-image-12083127\" src=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/GettyImages-2275511934.jpg\" alt=\"\" width=\"1980\" height=\"1321\" srcset=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/GettyImages-2275511934.jpg 1980w, https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/GettyImages-2275511934-160x107.jpg 160w, https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/GettyImages-2275511934-1536x1025.jpg 1536w\" sizes=\"auto, (max-width: 1980px) 100vw, 1980px\">\u003cfigcaption class=\"wp-caption-text\">Passengers are evacuated by small boat from the MV Hondius in the Granadilla Port on May 10, 2026, in Tenerife, part of the Canary Islands, Spain. \u003ccite>(Chris McGrath/Getty Images)\u003c/cite>\u003c/figcaption>\u003c/figure>\n\u003cp>Willis said the Santa Clara passenger is not experiencing symptoms, and is isolated at home with twice-daily monitoring. He said it’s likely that they are not infected.\u003c/p>\n\u003cp>“Transmissibility is low,” he told KQED Monday. “We don’t know the exact nature of the exposure of this individual on board before they disembarked, but it was not likely to be that kind of intimate exposure that we’ve already seen in secondary cases.”\u003c/p>\n\u003cp>Among those on the ship who have been infected, he said, are people who were in close contact with the initial patients, including the ship’s primary doctor.\u003c/p>\n\u003cp>As a Bay Area resident, Willis said, he’s confident that his own family is safe.\u003c/p>\n\u003cp>“I think we all carry this experience of a pandemic close,” he told KQED. “These kinds of stories — the cruise ship, a respiratory illness being spread from person to person — obviously invokes a lot of fear. It’s important to remember that this is not COVID.”\u003c/p>\n\u003cp>\u003c/p>\n",
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"excerpt": "Public health experts encouraged Bay Area residents not to worry, saying the risk of transmission is extremely low: “It's important to remember that this is not COVID.”",
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"headline": "Santa Clara County Resident Exposed to Deadly Hantavirus on Ship, Officials Say",
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"content": "\u003cdiv class=\"post-body\">\u003cp>\u003cp>Health officials are monitoring a \u003ca href=\"https://www.kqed.org/news/tag/bay-area\">Bay Area\u003c/a> resident who was exposed to hantavirus on the MV Hondius cruise ship.\u003c/p>\n\u003cp>The \u003ca href=\"https://www.kqed.org/news/tag/santa-clara-county\">Santa Clara County\u003c/a> resident has returned home to California, the county’s department of public health confirmed Saturday.\u003c/p>\n\u003cp>Dr. Sarah Rudman, the county’s health officer, said Santa Clara officials are in contact with the passenger and are monitoring them in coordination with the state’s Department of Public Health and Centers for Disease Control and Prevention.\u003c/p>\n\u003cp>\u003c/p>\u003c/div>",
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"content": "\u003cdiv class=\"post-body\">\u003cp>\u003c/p>\n\u003cp>“Right now, there is no known risk to the people of Santa Clara County,” Rudman said in a video message.\u003c/p>\n\u003cp>The Bay Area resident is one of four Californians who were exposed to the Andes hantavirus virus in connection to an outbreak aboard the MV Hondius.\u003c/p>\n\u003cp>Three people have died and at least five more have been sickened in the rare outbreak aboard the luxury cruise ship, which was carrying 150 passengers and departed the southern tip of Argentina April 1. Six cases are confirmed, and the three others were reported as probable, as of May 8.\u003c/p>\n\u003cfigure id=\"attachment_12083124\" class=\"wp-caption aligncenter\" style=\"max-width: 1998px\">\u003cimg loading=\"lazy\" decoding=\"async\" class=\"size-full wp-image-12083124\" src=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/GettyImages-2274860238.jpg\" alt=\"\" width=\"1998\" height=\"1332\" srcset=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/GettyImages-2274860238.jpg 1998w, https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/GettyImages-2274860238-160x107.jpg 160w, https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/GettyImages-2274860238-1536x1024.jpg 1536w\" sizes=\"auto, (max-width: 1998px) 100vw, 1998px\">\u003cfigcaption class=\"wp-caption-text\">The HV Hondius approaches the Port of Granadilla, carrying passengers possibly infected with hantavirus on board in Tenerife, Canary Islands, on May 10, 2026. \u003ccite>(Andres Gutierrez/Anadolu via Getty Images)\u003c/cite>\u003c/figcaption>\u003c/figure>\n\u003cp>None of the Californians who have been exposed are experiencing symptoms, and all are being closely monitored, according to state Public Health Officer Dr. Erica Pan.\u003c/p>\n\u003cp>The Santa Clara County resident had disembarked from the MV Hondius before the outbreak was recognized, she said. Their exposure was reported to the department last week.\u003c/p>\u003c/div>",
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"content": "\u003cdiv class=\"post-body\">\u003cp>Two more Californians were identified among more than a dozen cruise passengers who were evacuated from the ship to the University of Nebraska Medical Center in Omaha on Sunday. There, they are undergoing a health assessment. The fourth person being monitored was exposed to an ill patient on a flight traveling through South Africa.\u003c/p>\n\u003cp>Pan said that resident, who is in Sacramento County, came into brief, close contact with an ill patient from the ship while on the aircraft, but the sick person was removed from the flight prior to takeoff.\u003c/p>\n\u003cp>Andes hantavirus is part of a family of viruses that spreads mostly through the urine, feces and saliva of rodents, but in rare cases, can be transmitted person to person through repeated, close contact with someone who is ill. Hantavirus can cause serious diseases in humans, CDPH said.\u003c/p>\n\u003cp>According to state health officials, daily protocol includes temperature checks and assessment for any relevant symptoms. There are no known cases of asymptomatic Andes hantavirus.\u003c/p>\n\u003cp>Pan said the California residents have been asked to modify their daily activities, including avoiding close or prolonged contact with others, wearing a respirator or mask if they must be around people indoors and avoiding sharing beds or personal items.\u003c/p>\n\u003cp>“This is not something you would contract through casual contact at Starbucks or Trader Joe’s,” said Matt Willis, a Bay Area-based epidemiologist and the former head of Marin’s public health department for a decade. “This is someone who would be a risk only to those who were in very close contact with them, like in the household.”\u003c/p>\n\u003cfigure id=\"attachment_12083127\" class=\"wp-caption aligncenter\" style=\"max-width: 1980px\">\u003cimg loading=\"lazy\" decoding=\"async\" class=\"size-full wp-image-12083127\" src=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/GettyImages-2275511934.jpg\" alt=\"\" width=\"1980\" height=\"1321\" srcset=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/GettyImages-2275511934.jpg 1980w, https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/GettyImages-2275511934-160x107.jpg 160w, https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/GettyImages-2275511934-1536x1025.jpg 1536w\" sizes=\"auto, (max-width: 1980px) 100vw, 1980px\">\u003cfigcaption class=\"wp-caption-text\">Passengers are evacuated by small boat from the MV Hondius in the Granadilla Port on May 10, 2026, in Tenerife, part of the Canary Islands, Spain. \u003ccite>(Chris McGrath/Getty Images)\u003c/cite>\u003c/figcaption>\u003c/figure>\n\u003cp>Willis said the Santa Clara passenger is not experiencing symptoms, and is isolated at home with twice-daily monitoring. He said it’s likely that they are not infected.\u003c/p>\n\u003cp>“Transmissibility is low,” he told KQED Monday. “We don’t know the exact nature of the exposure of this individual on board before they disembarked, but it was not likely to be that kind of intimate exposure that we’ve already seen in secondary cases.”\u003c/p>\n\u003cp>Among those on the ship who have been infected, he said, are people who were in close contact with the initial patients, including the ship’s primary doctor.\u003c/p>\n\u003cp>As a Bay Area resident, Willis said, he’s confident that his own family is safe.\u003c/p>\n\u003cp>“I think we all carry this experience of a pandemic close,” he told KQED. “These kinds of stories — the cruise ship, a respiratory illness being spread from person to person — obviously invokes a lot of fear. It’s important to remember that this is not COVID.”\u003c/p>\n\u003cp>\u003c/p>\n\u003c/div>\u003c/p>",
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"slug": "in-northern-californias-maternity-desert-a-humboldt-midwife-offers-intimate-births",
"title": "In Northern California’s Maternity Desert, a Humboldt Midwife Offers Intimate Births",
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"headTitle": "In Northern California’s Maternity Desert, a Humboldt Midwife Offers Intimate Births | KQED",
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"content": "\u003cp>Between her two young toddlers, her work as a seaweed farmer on \u003ca href=\"https://www.kqed.org/news/tag/humboldt-county\">Humboldt County’s \u003c/a>coast, and a third baby on the way, Leslie Booher doesn’t have a lot of spare time.\u003c/p>\n\u003cp>But her prenatal appointments with her \u003ca href=\"https://midwifemade.com/2509-2/\">midwife, Laura Doyle\u003c/a>, give Booher the opportunity to really focus on the pregnancy.\u003c/p>\n\u003cp>“For me, feeling more informed and curious makes you feel much more empowered in your body,” she said.\u003c/p>\n\u003cp>[ad fullwidth]\u003c/p>\n\u003cp>Unlike the \u003ca href=\"https://www.uclahealth.org/medical-services/birthplace/pregnancy-newborn-health/prenatal-education/your-pregnancy/schedule-prenatal-care\">typical\u003c/a> 10- to 15-minute OB check-up, Booher and Doyle spent a full hour together in early March, chatting on a comfortable sofa at \u003ca href=\"https://www.moonstonemidwives.com/\">Moonstone Midwives Birth Center\u003c/a> in Eureka, California. The cozy room where they met has kids’ toys in one corner, calm pastel-colored paintings on the wall, and feels more like a friend’s living room than a clinic.\u003c/p>\n\u003cp>Doyle listened to the baby’s heartbeat, took Booher’s blood pressure, and reviewed her blood test results. The midwife also asked about Booher’s stress levels, whether she’s exercising, and if she’s getting enough time to herself.\u003c/p>\n\u003cfigure id=\"attachment_12082734\" class=\"wp-caption aligncenter\" style=\"max-width: 2000px\">\u003cimg loading=\"lazy\" decoding=\"async\" class=\"wp-image-12082734 size-full\" src=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/KQED_RURALMATERNALHEALTH_HIRES_08-KQED.jpg\" alt=\"\" width=\"2000\" height=\"1333\" srcset=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/KQED_RURALMATERNALHEALTH_HIRES_08-KQED.jpg 2000w, https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/KQED_RURALMATERNALHEALTH_HIRES_08-KQED-160x107.jpg 160w, https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/KQED_RURALMATERNALHEALTH_HIRES_08-KQED-1536x1024.jpg 1536w\" sizes=\"auto, (max-width: 2000px) 100vw, 2000px\">\u003cfigcaption class=\"wp-caption-text\">Midwife Laura Doyle measures expecting parent Leslie Booher’s fundal height during an appointment at Moonstone Midwives Birth Center in Eureka on May 4, 2026. \u003ccite>(Alexandra Hootnick for KQED)\u003c/cite>\u003c/figcaption>\u003c/figure>\n\u003cp>“In prenatal care, what I am learning the most is who this person is,” Doyle said. “Yes, I look at blood work. Yes, I’m feeling babies and their growth. More importantly, I’m like: ‘Who are you? What are the relationships like in your life? Are you supported? Are you fearful?’”\u003c/p>\n\u003cp>She continued: “Every little story I get out of somebody is like telling me so much about how they are, and often, how their birth will be.”\u003c/p>\n\u003cp>Across California, and across the U.S., there are now fewer places in which to give birth. Hospitals — facing rising costs, staff shortages and falling birth rates — are \u003ca href=\"https://calmatters.org/health/2024/09/new-maternity-care-closures/\">closing\u003c/a> maternity wards.\u003c/p>\n\u003cp>Rural parts of the state are especially impacted: many women in these regions must travel for hours in labor to give birth, which can cause \u003ca href=\"https://www.sciline.org/public-health/obstetric-care-rural-america/\">serious complications\u003c/a> for moms and babies, including a \u003ca href=\"https://www.sciline.org/public-health/obstetric-care-rural-america/\">higher risk\u003c/a> of pre-term births, c-sections and infant deaths. In California, the \u003ca href=\"https://www.cdph.ca.gov/Programs/CFH/DMCAH/Pages/Health-Topics/Pregnancy-Related-Mortality.aspx\">maternal mortality rate\u003c/a> is higher in rural communities than in urban areas.\u003c/p>\n\u003cp>In Humboldt and other northwestern parts of the state, two hospitals have closed their labor and delivery units in the past five years, leaving the entire county with just one hospital in which to give birth, Providence St. Joseph in Eureka.\u003c/p>\n\u003cp>[aside postID=news_12007627 hero='https://cdn.kqed.org/wp-content/uploads/sites/10/2024/10/AGBontaAP1-1020x680.jpg']\u003c/p>\n\u003cp>“People are coming from a couple hours [away] to have their babies,” Doyle said. “We only have one hospital that is doing deliveries for hours in every direction. It’s super stressful.”\u003c/p>\n\u003cp>Abundant research has shown that midwifery care leads to \u003ca href=\"https://medicine.yale.edu/news-article/the-value-of-midwives-during-prenatal-care-and-birth/\">better\u003c/a> \u003ca href=\"https://pubmed.ncbi.nlm.nih.gov/29944777/\">outcomes\u003c/a> for many of these challenges. As medically-trained healthcare professionals, midwives offer a different kind of care that can help meet this need. They can place IVs, do sutures, and give antibiotics — but they don’t administer epidurals or perform c-sections.\u003c/p>\n\u003cp>“Doing unmedicated birth means we’re relying on preventative care, so good nutrition, really good sleep, low stress and getting these babies in an optimal position,” Doyle said. “Unfortunately, standard medical practice doesn’t have time for that.”\u003c/p>\n\u003cp>And they offer women longer prenatal appointments, safe birth outside a hospital setting, and regular postpartum check-ups —a crucial time, because \u003ca href=\"https://www.ncbi.nlm.nih.gov/books/NBK592630/\">most pregnancy-related deaths\u003c/a> occur in the postpartum period.\u003c/p>\n\u003cp>But the vast majority of people can’t afford midwifery care. Midwives are not covered by most insurers, and incredibly low reimbursement rates mean that most midwives also can’t accept low-income clients on Medi-Cal. Holly Smith, a midwife and co-lead of \u003ca href=\"https://www.midwiferyaccessca.org/\">Midwifery Access California\u003c/a>, estimated that Medi-Cal reimburses around $3,000 per birth.\u003c/p>\n\u003cp>“Midwives across the state have told us that the minimum they need is $7,000-$8,000 per birth, in order to sustain their practice,” said Smith, adding that the actual cost is around $14,000-$15,000.\u003c/p>\n\u003cp>Doyle has found a way to serve low-income families in Humboldt, where the median household income is about 60% of the state median.\u003c/p>\n\u003cp>“I always say, we’re all working hard to be poor,” Doyle said. “The stress is real for most people in this community.”\u003c/p>\n\u003cfigure id=\"attachment_12082736\" class=\"wp-caption aligncenter\" style=\"max-width: 2000px\">\u003ca href=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/KQED_RURALMATERNALHEALTH_HIRES_16-KQED.jpg\">\u003cimg loading=\"lazy\" decoding=\"async\" class=\"size-full wp-image-12082736\" src=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/KQED_RURALMATERNALHEALTH_HIRES_16-KQED.jpg\" alt=\"\" width=\"2000\" height=\"1333\" srcset=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/KQED_RURALMATERNALHEALTH_HIRES_16-KQED.jpg 2000w, https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/KQED_RURALMATERNALHEALTH_HIRES_16-KQED-160x107.jpg 160w, https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/KQED_RURALMATERNALHEALTH_HIRES_16-KQED-1536x1024.jpg 1536w\" sizes=\"auto, (max-width: 2000px) 100vw, 2000px\">\u003c/a>\u003cfigcaption class=\"wp-caption-text\">Midwife Laura Doyle at Moonstone Midwives Birth Center in Eureka on May 4, 2026. \u003ccite>(Alexandra Hootnick for KQED)\u003c/cite>\u003c/figcaption>\u003c/figure>\n\u003cfigure id=\"attachment_12082737\" class=\"wp-caption aligncenter\" style=\"max-width: 2000px\">\u003cimg loading=\"lazy\" decoding=\"async\" class=\"wp-image-12082737 size-full\" src=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/KQED_RURALMATERNALHEALTH_HIRES_29-KQED.jpg\" alt=\"\" width=\"2000\" height=\"1333\" srcset=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/KQED_RURALMATERNALHEALTH_HIRES_29-KQED.jpg 2000w, https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/KQED_RURALMATERNALHEALTH_HIRES_29-KQED-160x107.jpg 160w, https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/KQED_RURALMATERNALHEALTH_HIRES_29-KQED-1536x1024.jpg 1536w\" sizes=\"auto, (max-width: 2000px) 100vw, 2000px\">\u003cfigcaption class=\"wp-caption-text\">Midwife Laura Doyle (right) chats with expecting parent Kaylee Biane and her daughter Josie in the waiting room at Moonstone Midwives Birth Center in Eureka on May 4, 2026. \u003ccite>(Alexandra Hootnick for KQED)\u003c/cite>\u003c/figcaption>\u003c/figure>\n\u003cp>After a year of meetings, Doyle was able to negotiate a better deal with the local Medi-Cal payer in Humboldt, Partnership Healthplan. This makes her birth center one of the very few in California able to accept low-income families. Around 75% of current Moonstone clients are on Medi-Cal.\u003c/p>\n\u003cp>“It’s so frustrating to know that you can only have this if you can afford it,” said Doyle. “That is just wrong. Everybody should have access to good midwifery care. It’s really been the motivator of my career: people should be empowered in their birth experience no matter who they are.”\u003c/p>\n\u003cp>Moonstone is located opposite Humboldt’s last remaining labor and delivery ward, at Providence St. Joseph, so that if a birthing person wants an epidural, needs surgery or the baby has to go to the NICU, the transfer is quick and easy.\u003c/p>\n\u003cp>“We’ve always been able to reach out to doctors and consult with them,” Doyle said, of the hospital staff. “We’ve built that rapport; they trust us and we trust them.”\u003c/p>\n\u003cp>Community midwives, meaning those who don’t work in a hospital, attend around \u003ca href=\"https://www.chcf.org/wp-content/uploads/2023/11/MaternityCareAlmanac2023.pdf\">1% of births\u003c/a> in California — but \u003ca href=\"https://www.chcf.org/wp-content/uploads/2018/09/ListeningMothersCAFullSurveyReport2018.pdf\">research\u003c/a> \u003ca href=\"https://www.chcf.org/resource/advancing-midwifery-birth-equity-california/\">has shown\u003c/a> that more birthing people would like to have this kind of care.\u003c/p>\n\u003cp>Some women seek midwifery care because they’ve had a difficult experience in the hospital. Claire Henderson gave birth at Mad River Community Hospital nearby in Arcata, before it closed its maternity ward in 2024.\u003c/p>\n\u003cp>“They had three birthing rooms and at that time I think nine babies were being born, or were just born, so there was no room for me,” Henderson said. “But I was in full labor, so they stuck me in this little exam room we called a ‘closet,’ and that’s where I had my baby.”\u003c/p>\n\u003cp>Henderson said she felt unheard by the hospital staff, who kept offering her medicine she didn’t want. Even though her baby was born healthy, she felt overwhelmed — so when she got pregnant a second time, she knew she wanted a midwife instead.\u003c/p>\n\u003cp>“I believe in hospital births, but I knew I wanted a natural, physiological birth,” she said, “uninterrupted as much as possible, and to have everything calm down.”\u003c/p>\n\u003cp>[aside postID=news_12080800 hero='https://cdn.kqed.org/wp-content/uploads/sites/10/2026/03/20260309_MIGNON_20-KQED.jpg']\u003c/p>\n\u003cp>At Moonstone, Henderson gave birth in a birth suite with the lights dimmed low. “I was very present in my body and brain. The midwives checked the baby here and there, but I wasn’t on continuous monitoring — they left us alone a lot of the time. I was laughing in between contractions. It felt so natural.”\u003c/p>\n\u003cp>Even so, Henderson said: “Birth is really hard. It was still one of the most intense pains of my life. But I didn’t need anything for [it]. I just needed to feel secure and safe – and that was my team and the environment.”\u003c/p>\n\u003cp>Doyle said she gave birth to her first baby at home in a very remote area, supported by midwives.\u003c/p>\n\u003cp>“The most impactful thing was their patience, and [the way they] really listened to me,” she said.\u003c/p>\n\u003cp>Doyle trained as a midwife herself and after many years of attending home births, she opened Moonstone with \u003cspan style=\"font-weight: 400\">co-owner Calista Young\u003c/span> in 2014. It’s still the county’s only birth center.\u003c/p>\n\u003cp>“I think we have a really unique culture in Humboldt,” she said. “I always call it the ‘707 culture.’ It’s like a different way of being, and a lot of it was driven by the outlaw culture of marijuana growing.”\u003c/p>\n\u003cp>Doyle believes that mindset has influenced birthing people’s approach to their healthcare.\u003c/p>\n\u003cp>“A lot of these women are like, ‘No, I’m not doing that. I’m declining this, I’m declining that,” she said. “‘I want to do it this way.’”\u003c/p>\n\u003cfigure id=\"attachment_12082740\" class=\"wp-caption aligncenter\" style=\"max-width: 2000px\">\u003ca href=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/KQED_RURALMATERNALHEALTH_HIRES_37-KQED.jpg\">\u003cimg loading=\"lazy\" decoding=\"async\" class=\"size-full wp-image-12082740\" src=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/KQED_RURALMATERNALHEALTH_HIRES_37-KQED.jpg\" alt=\"\" width=\"2000\" height=\"1333\" srcset=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/KQED_RURALMATERNALHEALTH_HIRES_37-KQED.jpg 2000w, https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/KQED_RURALMATERNALHEALTH_HIRES_37-KQED-160x107.jpg 160w, https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/KQED_RURALMATERNALHEALTH_HIRES_37-KQED-1536x1024.jpg 1536w\" sizes=\"auto, (max-width: 2000px) 100vw, 2000px\">\u003c/a>\u003cfigcaption class=\"wp-caption-text\">The exterior of Moonstone Midwives Birth Center in Eureka on May 4, 2026. The midwives moved to this location in January of 2026 in order to be closer to Providence St. Joseph, the one remaining hospital with a labor and delivery unit in Humboldt county. \u003ccite>(Alexandra Hootnick for KQED)\u003c/cite>\u003c/figcaption>\u003c/figure>\n\u003cp>On a typical day at the birth center, pregnant women will come in for their check-ups or group prenatal classes, while new moms can join postpartum support groups. Moonstone has two birth suites which resemble hotel rooms: comfy queen beds and large tubs for water birth.\u003c/p>\n\u003cp>Occasionally a mom will drop by with her newborn and a box of cookies or muffins for the midwives, as a little token of thanks. Doyle has lost count of how many babies she’s delivered, but estimated she’s passed the 1,000 mark.\u003c/p>\n\u003cp>“You can tell that’s what’s happened when I’m going through the grocery store,” she said, laughing, “because I see everybody and it’s hard to get anywhere, which is the sweet thing about being in a small town.”\u003c/p>\n\u003cp>\u003cem>Clare Wiley is a Los Angeles based reporter covering women’s health. \u003c/em>\u003c/p>\n\u003cp>\u003cem>This story was co-published and supported by the journalism nonprofit the \u003c/em>\u003ca href=\"https://emea01.safelinks.protection.outlook.com/?url=https%3A%2F%2F705e1645.streak-link.com%2FC1mohHHz81VdDMSRUwkUFhI3%2Fhttp%253A%252F%252Fwww.economichardship.org%252F&data=05%7C02%7C%7C2df2b5528d9e466cdb2608de94ebfbf4%7C84df9e7fe9f640afb435aaaaaaaaaaaa%7C1%7C0%7C639111938429288639%7CUnknown%7CTWFpbGZsb3d8eyJFbXB0eU1hcGkiOnRydWUsIlYiOiIwLjAuMDAwMCIsIlAiOiJXaW4zMiIsIkFOIjoiTWFpbCIsIldUIjoyfQ%3D%3D%7C0%7C%7C%7C&sdata=0NPfR6pRTwbXNJHuUbcNiAt3kkjrCO%2Bl7shM6fBqucc%3D&reserved=0\">\u003cem>Economic Hardship Reporting Project\u003c/em>\u003c/a>\u003cem>. \u003c/em>\u003c/p>\n\u003cp> \u003c/p>\n\u003cp> \u003c/p>\n\u003cp>[ad floatright]\u003c/p>\n",
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"excerpt": "As hospitals across the state shutter, rural midwives provide specialized, and sometimes lifesaving, medical care. \r\n",
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"title": "In Northern California’s Maternity Desert, a Humboldt Midwife Offers Intimate Births | KQED",
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"content": "\u003cdiv class=\"post-body\">\u003cp>\u003cp>Between her two young toddlers, her work as a seaweed farmer on \u003ca href=\"https://www.kqed.org/news/tag/humboldt-county\">Humboldt County’s \u003c/a>coast, and a third baby on the way, Leslie Booher doesn’t have a lot of spare time.\u003c/p>\n\u003cp>But her prenatal appointments with her \u003ca href=\"https://midwifemade.com/2509-2/\">midwife, Laura Doyle\u003c/a>, give Booher the opportunity to really focus on the pregnancy.\u003c/p>\n\u003cp>“For me, feeling more informed and curious makes you feel much more empowered in your body,” she said.\u003c/p>\n\u003cp>\u003c/p>\u003c/div>",
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"content": "\u003cdiv class=\"post-body\">\u003cp>\u003c/p>\n\u003cp>Unlike the \u003ca href=\"https://www.uclahealth.org/medical-services/birthplace/pregnancy-newborn-health/prenatal-education/your-pregnancy/schedule-prenatal-care\">typical\u003c/a> 10- to 15-minute OB check-up, Booher and Doyle spent a full hour together in early March, chatting on a comfortable sofa at \u003ca href=\"https://www.moonstonemidwives.com/\">Moonstone Midwives Birth Center\u003c/a> in Eureka, California. The cozy room where they met has kids’ toys in one corner, calm pastel-colored paintings on the wall, and feels more like a friend’s living room than a clinic.\u003c/p>\n\u003cp>Doyle listened to the baby’s heartbeat, took Booher’s blood pressure, and reviewed her blood test results. The midwife also asked about Booher’s stress levels, whether she’s exercising, and if she’s getting enough time to herself.\u003c/p>\n\u003cfigure id=\"attachment_12082734\" class=\"wp-caption aligncenter\" style=\"max-width: 2000px\">\u003cimg loading=\"lazy\" decoding=\"async\" class=\"wp-image-12082734 size-full\" src=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/KQED_RURALMATERNALHEALTH_HIRES_08-KQED.jpg\" alt=\"\" width=\"2000\" height=\"1333\" srcset=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/KQED_RURALMATERNALHEALTH_HIRES_08-KQED.jpg 2000w, https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/KQED_RURALMATERNALHEALTH_HIRES_08-KQED-160x107.jpg 160w, https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/KQED_RURALMATERNALHEALTH_HIRES_08-KQED-1536x1024.jpg 1536w\" sizes=\"auto, (max-width: 2000px) 100vw, 2000px\">\u003cfigcaption class=\"wp-caption-text\">Midwife Laura Doyle measures expecting parent Leslie Booher’s fundal height during an appointment at Moonstone Midwives Birth Center in Eureka on May 4, 2026. \u003ccite>(Alexandra Hootnick for KQED)\u003c/cite>\u003c/figcaption>\u003c/figure>\n\u003cp>“In prenatal care, what I am learning the most is who this person is,” Doyle said. “Yes, I look at blood work. Yes, I’m feeling babies and their growth. More importantly, I’m like: ‘Who are you? What are the relationships like in your life? Are you supported? Are you fearful?’”\u003c/p>\n\u003cp>She continued: “Every little story I get out of somebody is like telling me so much about how they are, and often, how their birth will be.”\u003c/p>\n\u003cp>Across California, and across the U.S., there are now fewer places in which to give birth. Hospitals — facing rising costs, staff shortages and falling birth rates — are \u003ca href=\"https://calmatters.org/health/2024/09/new-maternity-care-closures/\">closing\u003c/a> maternity wards.\u003c/p>\n\u003cp>Rural parts of the state are especially impacted: many women in these regions must travel for hours in labor to give birth, which can cause \u003ca href=\"https://www.sciline.org/public-health/obstetric-care-rural-america/\">serious complications\u003c/a> for moms and babies, including a \u003ca href=\"https://www.sciline.org/public-health/obstetric-care-rural-america/\">higher risk\u003c/a> of pre-term births, c-sections and infant deaths. In California, the \u003ca href=\"https://www.cdph.ca.gov/Programs/CFH/DMCAH/Pages/Health-Topics/Pregnancy-Related-Mortality.aspx\">maternal mortality rate\u003c/a> is higher in rural communities than in urban areas.\u003c/p>\n\u003cp>In Humboldt and other northwestern parts of the state, two hospitals have closed their labor and delivery units in the past five years, leaving the entire county with just one hospital in which to give birth, Providence St. Joseph in Eureka.\u003c/p>\n\u003cp>\u003c/p>\u003c/div>",
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"content": "\u003cdiv class=\"post-body\">\u003cp>\u003c/p>\n\u003cp>“People are coming from a couple hours [away] to have their babies,” Doyle said. “We only have one hospital that is doing deliveries for hours in every direction. It’s super stressful.”\u003c/p>\n\u003cp>Abundant research has shown that midwifery care leads to \u003ca href=\"https://medicine.yale.edu/news-article/the-value-of-midwives-during-prenatal-care-and-birth/\">better\u003c/a> \u003ca href=\"https://pubmed.ncbi.nlm.nih.gov/29944777/\">outcomes\u003c/a> for many of these challenges. As medically-trained healthcare professionals, midwives offer a different kind of care that can help meet this need. They can place IVs, do sutures, and give antibiotics — but they don’t administer epidurals or perform c-sections.\u003c/p>\n\u003cp>“Doing unmedicated birth means we’re relying on preventative care, so good nutrition, really good sleep, low stress and getting these babies in an optimal position,” Doyle said. “Unfortunately, standard medical practice doesn’t have time for that.”\u003c/p>\n\u003cp>And they offer women longer prenatal appointments, safe birth outside a hospital setting, and regular postpartum check-ups —a crucial time, because \u003ca href=\"https://www.ncbi.nlm.nih.gov/books/NBK592630/\">most pregnancy-related deaths\u003c/a> occur in the postpartum period.\u003c/p>\n\u003cp>But the vast majority of people can’t afford midwifery care. Midwives are not covered by most insurers, and incredibly low reimbursement rates mean that most midwives also can’t accept low-income clients on Medi-Cal. Holly Smith, a midwife and co-lead of \u003ca href=\"https://www.midwiferyaccessca.org/\">Midwifery Access California\u003c/a>, estimated that Medi-Cal reimburses around $3,000 per birth.\u003c/p>\n\u003cp>“Midwives across the state have told us that the minimum they need is $7,000-$8,000 per birth, in order to sustain their practice,” said Smith, adding that the actual cost is around $14,000-$15,000.\u003c/p>\n\u003cp>Doyle has found a way to serve low-income families in Humboldt, where the median household income is about 60% of the state median.\u003c/p>\n\u003cp>“I always say, we’re all working hard to be poor,” Doyle said. “The stress is real for most people in this community.”\u003c/p>\n\u003cfigure id=\"attachment_12082736\" class=\"wp-caption aligncenter\" style=\"max-width: 2000px\">\u003ca href=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/KQED_RURALMATERNALHEALTH_HIRES_16-KQED.jpg\">\u003cimg loading=\"lazy\" decoding=\"async\" class=\"size-full wp-image-12082736\" src=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/KQED_RURALMATERNALHEALTH_HIRES_16-KQED.jpg\" alt=\"\" width=\"2000\" height=\"1333\" srcset=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/KQED_RURALMATERNALHEALTH_HIRES_16-KQED.jpg 2000w, https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/KQED_RURALMATERNALHEALTH_HIRES_16-KQED-160x107.jpg 160w, https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/KQED_RURALMATERNALHEALTH_HIRES_16-KQED-1536x1024.jpg 1536w\" sizes=\"auto, (max-width: 2000px) 100vw, 2000px\">\u003c/a>\u003cfigcaption class=\"wp-caption-text\">Midwife Laura Doyle at Moonstone Midwives Birth Center in Eureka on May 4, 2026. \u003ccite>(Alexandra Hootnick for KQED)\u003c/cite>\u003c/figcaption>\u003c/figure>\n\u003cfigure id=\"attachment_12082737\" class=\"wp-caption aligncenter\" style=\"max-width: 2000px\">\u003cimg loading=\"lazy\" decoding=\"async\" class=\"wp-image-12082737 size-full\" src=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/KQED_RURALMATERNALHEALTH_HIRES_29-KQED.jpg\" alt=\"\" width=\"2000\" height=\"1333\" srcset=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/KQED_RURALMATERNALHEALTH_HIRES_29-KQED.jpg 2000w, https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/KQED_RURALMATERNALHEALTH_HIRES_29-KQED-160x107.jpg 160w, https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/KQED_RURALMATERNALHEALTH_HIRES_29-KQED-1536x1024.jpg 1536w\" sizes=\"auto, (max-width: 2000px) 100vw, 2000px\">\u003cfigcaption class=\"wp-caption-text\">Midwife Laura Doyle (right) chats with expecting parent Kaylee Biane and her daughter Josie in the waiting room at Moonstone Midwives Birth Center in Eureka on May 4, 2026. \u003ccite>(Alexandra Hootnick for KQED)\u003c/cite>\u003c/figcaption>\u003c/figure>\n\u003cp>After a year of meetings, Doyle was able to negotiate a better deal with the local Medi-Cal payer in Humboldt, Partnership Healthplan. This makes her birth center one of the very few in California able to accept low-income families. Around 75% of current Moonstone clients are on Medi-Cal.\u003c/p>\n\u003cp>“It’s so frustrating to know that you can only have this if you can afford it,” said Doyle. “That is just wrong. Everybody should have access to good midwifery care. It’s really been the motivator of my career: people should be empowered in their birth experience no matter who they are.”\u003c/p>\n\u003cp>Moonstone is located opposite Humboldt’s last remaining labor and delivery ward, at Providence St. Joseph, so that if a birthing person wants an epidural, needs surgery or the baby has to go to the NICU, the transfer is quick and easy.\u003c/p>\n\u003cp>“We’ve always been able to reach out to doctors and consult with them,” Doyle said, of the hospital staff. “We’ve built that rapport; they trust us and we trust them.”\u003c/p>\n\u003cp>Community midwives, meaning those who don’t work in a hospital, attend around \u003ca href=\"https://www.chcf.org/wp-content/uploads/2023/11/MaternityCareAlmanac2023.pdf\">1% of births\u003c/a> in California — but \u003ca href=\"https://www.chcf.org/wp-content/uploads/2018/09/ListeningMothersCAFullSurveyReport2018.pdf\">research\u003c/a> \u003ca href=\"https://www.chcf.org/resource/advancing-midwifery-birth-equity-california/\">has shown\u003c/a> that more birthing people would like to have this kind of care.\u003c/p>\n\u003cp>Some women seek midwifery care because they’ve had a difficult experience in the hospital. Claire Henderson gave birth at Mad River Community Hospital nearby in Arcata, before it closed its maternity ward in 2024.\u003c/p>\n\u003cp>“They had three birthing rooms and at that time I think nine babies were being born, or were just born, so there was no room for me,” Henderson said. “But I was in full labor, so they stuck me in this little exam room we called a ‘closet,’ and that’s where I had my baby.”\u003c/p>\n\u003cp>Henderson said she felt unheard by the hospital staff, who kept offering her medicine she didn’t want. Even though her baby was born healthy, she felt overwhelmed — so when she got pregnant a second time, she knew she wanted a midwife instead.\u003c/p>\n\u003cp>“I believe in hospital births, but I knew I wanted a natural, physiological birth,” she said, “uninterrupted as much as possible, and to have everything calm down.”\u003c/p>\n\u003cp>\u003c/p>\u003c/div>",
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"content": "\u003cdiv class=\"post-body\">\u003cp>\u003c/p>\n\u003cp>At Moonstone, Henderson gave birth in a birth suite with the lights dimmed low. “I was very present in my body and brain. The midwives checked the baby here and there, but I wasn’t on continuous monitoring — they left us alone a lot of the time. I was laughing in between contractions. It felt so natural.”\u003c/p>\n\u003cp>Even so, Henderson said: “Birth is really hard. It was still one of the most intense pains of my life. But I didn’t need anything for [it]. I just needed to feel secure and safe – and that was my team and the environment.”\u003c/p>\n\u003cp>Doyle said she gave birth to her first baby at home in a very remote area, supported by midwives.\u003c/p>\n\u003cp>“The most impactful thing was their patience, and [the way they] really listened to me,” she said.\u003c/p>\n\u003cp>Doyle trained as a midwife herself and after many years of attending home births, she opened Moonstone with \u003cspan style=\"font-weight: 400\">co-owner Calista Young\u003c/span> in 2014. It’s still the county’s only birth center.\u003c/p>\n\u003cp>“I think we have a really unique culture in Humboldt,” she said. “I always call it the ‘707 culture.’ It’s like a different way of being, and a lot of it was driven by the outlaw culture of marijuana growing.”\u003c/p>\n\u003cp>Doyle believes that mindset has influenced birthing people’s approach to their healthcare.\u003c/p>\n\u003cp>“A lot of these women are like, ‘No, I’m not doing that. I’m declining this, I’m declining that,” she said. “‘I want to do it this way.’”\u003c/p>\n\u003cfigure id=\"attachment_12082740\" class=\"wp-caption aligncenter\" style=\"max-width: 2000px\">\u003ca href=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/KQED_RURALMATERNALHEALTH_HIRES_37-KQED.jpg\">\u003cimg loading=\"lazy\" decoding=\"async\" class=\"size-full wp-image-12082740\" src=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/KQED_RURALMATERNALHEALTH_HIRES_37-KQED.jpg\" alt=\"\" width=\"2000\" height=\"1333\" srcset=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/KQED_RURALMATERNALHEALTH_HIRES_37-KQED.jpg 2000w, https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/KQED_RURALMATERNALHEALTH_HIRES_37-KQED-160x107.jpg 160w, https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/KQED_RURALMATERNALHEALTH_HIRES_37-KQED-1536x1024.jpg 1536w\" sizes=\"auto, (max-width: 2000px) 100vw, 2000px\">\u003c/a>\u003cfigcaption class=\"wp-caption-text\">The exterior of Moonstone Midwives Birth Center in Eureka on May 4, 2026. The midwives moved to this location in January of 2026 in order to be closer to Providence St. Joseph, the one remaining hospital with a labor and delivery unit in Humboldt county. \u003ccite>(Alexandra Hootnick for KQED)\u003c/cite>\u003c/figcaption>\u003c/figure>\n\u003cp>On a typical day at the birth center, pregnant women will come in for their check-ups or group prenatal classes, while new moms can join postpartum support groups. Moonstone has two birth suites which resemble hotel rooms: comfy queen beds and large tubs for water birth.\u003c/p>\n\u003cp>Occasionally a mom will drop by with her newborn and a box of cookies or muffins for the midwives, as a little token of thanks. Doyle has lost count of how many babies she’s delivered, but estimated she’s passed the 1,000 mark.\u003c/p>\n\u003cp>“You can tell that’s what’s happened when I’m going through the grocery store,” she said, laughing, “because I see everybody and it’s hard to get anywhere, which is the sweet thing about being in a small town.”\u003c/p>\n\u003cp>\u003cem>Clare Wiley is a Los Angeles based reporter covering women’s health. \u003c/em>\u003c/p>\n\u003cp>\u003cem>This story was co-published and supported by the journalism nonprofit the \u003c/em>\u003ca href=\"https://emea01.safelinks.protection.outlook.com/?url=https%3A%2F%2F705e1645.streak-link.com%2FC1mohHHz81VdDMSRUwkUFhI3%2Fhttp%253A%252F%252Fwww.economichardship.org%252F&data=05%7C02%7C%7C2df2b5528d9e466cdb2608de94ebfbf4%7C84df9e7fe9f640afb435aaaaaaaaaaaa%7C1%7C0%7C639111938429288639%7CUnknown%7CTWFpbGZsb3d8eyJFbXB0eU1hcGkiOnRydWUsIlYiOiIwLjAuMDAwMCIsIlAiOiJXaW4zMiIsIkFOIjoiTWFpbCIsIldUIjoyfQ%3D%3D%7C0%7C%7C%7C&sdata=0NPfR6pRTwbXNJHuUbcNiAt3kkjrCO%2Bl7shM6fBqucc%3D&reserved=0\">\u003cem>Economic Hardship Reporting Project\u003c/em>\u003c/a>\u003cem>. \u003c/em>\u003c/p>\n\u003cp> \u003c/p>\n\u003cp> \u003c/p>\n\u003cp>\u003c/p>\u003c/div>",
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"slug": "did-newsoms-3-8-billion-hotels-to-housing-program-pay-off",
"title": "Did Newsom’s $3.8 Billion Hotels-to-Housing Program Pay Off?",
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"headTitle": "Did Newsom’s $3.8 Billion Hotels-to-Housing Program Pay Off? | KQED",
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"content": "\u003cp>\u003c!-- Creative Commons Attribution-NonCommercial-NoDerivatives https://creativecommons.org/licenses/by-nc-nd/4.0/ -->\u003c/p>\n\u003cp>\u003cem>This story was originally published by \u003ca href=\"https://calmatters.org/\">CalMatters\u003c/a>. \u003ca href=\"https://calmatters.org/subscribe-to-calmatters/\">Sign up\u003c/a> for their newsletters.\u003c/em>\u003c/p>\n\u003cp>As \u003ca href=\"https://www.kqed.org/news/tag/covid-19\">COVID-19\u003c/a> tore through California, Jennifer Hark Dietz had a decision to make. The state was making perhaps its biggest push ever to get people off the street, offering up billions of dollars for cities and organizations like hers to turn old motels into new homes.\u003c/p>\n\u003cp>It was risky. The Homekey program came with up-front cash and a promise to move fast and cut red tape. But it also meant taking on old buildings with little vetting, which had the potential to put a developer in a deep financial hole.\u003c/p>\n\u003cp>At first, the gamble paid off. In just a few months, Hark Dietz’s nonprofit, People Assisting The Homeless, was housing people in the old 40-room Hollywood Orchid Suites in Los Angeles. She called it a “shining light” for what seemed possible with the radical new program.\u003c/p>\n\u003cp>[ad fullwidth]\u003c/p>\n\u003cp>But then came a pale pink Travelodge in the suburb of Gardena. The city of LA had already bought the motel for $9 million, and Hark Dietz said her team didn’t have a chance to vet or tour the site. They’d only seen online photos and basic inspection reports before they took it over in December 2020. A city consultant estimated that it would take about $50,000 to start moving people into the roadside motel.\u003c/p>\n\u003cp>“Of course,” she said, “we know now that’s not the case.”\u003c/p>\n\u003cp>More than five years and nearly $3 million later, the motel — which turned out to need all new windows, plumbing and electrical, among other issues — was still vacant earlier this year. There was plywood over some of the windows, and someone had graffitied a ghost on one side.\u003c/p>\n\u003cfigure id=\"attachment_12082684\" class=\"wp-caption aligncenter\" style=\"max-width: 2000px\">\u003cimg loading=\"lazy\" decoding=\"async\" class=\"size-full wp-image-12082684\" src=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/homekey2.jpeg\" alt=\"\" width=\"2000\" height=\"1334\" srcset=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/homekey2.jpeg 2000w, https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/homekey2-160x107.jpeg 160w, https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/homekey2-1536x1025.jpeg 1536w\" sizes=\"auto, (max-width: 2000px) 100vw, 2000px\">\u003cfigcaption class=\"wp-caption-text\">Live Oak Apartments in Ukiah on Feb. 26. Live Oak offers its residents access to common spaces, such as a community garden and meeting rooms for visitors. \u003ccite>(Manuel Orbegozo for CalMatters)\u003c/cite>\u003c/figcaption>\u003c/figure>\n\u003cp>The boom-or-bust results in Los Angeles underscore how little is known publicly about a generational project with a high price tag and even higher stakes. Some projects were huge successes. Others were total failures. Dozens remain stuck in limbo. CalMatters found there’s been little public accountability for any of it.\u003c/p>\n\u003cp>Launched by Gov. Gavin Newsom in the summer of 2020, Homekey awarded more than $3.8 billion to local governments to convert motels and other buildings into homeless housing, thrusting many local governments into a new role running multimillion-dollar real estate projects. Cities and counties could hire outside contractors to help or do the work themselves, skipping some of the usual building process for the sake of speed.\u003c/p>\n\u003cp>It was unlike anything the state had ever done, largely because it sprang from desperation. Homekey launched during peak COVID, five months before vaccines were available, and after cities had already moved thousands of unhoused people into motels through \u003ca href=\"https://calmatters.org/housing/homelessness/2024/05/california-homeless-project-roomkey/\">Project Roomkey\u003c/a>, another Newsom program. But those rooms were temporary, and officials were scrambling to prevent a mass exodus back to the streets.[aside postID=news_12082132 hero='https://cdn.kqed.org/wp-content/uploads/sites/10/2025/04/250218-SFDowntown-12-BL_qed-1020x680.jpg']With Homekey, local officials across the state bought and gutted Motel 6s, Best Westerns and roadside inns. They got more creative as the program evolved: Tiny homes sprouted in Silicon Valley, and Santa Cruz retrofitted an old dentist’s office. In Southern California, housing took shape in a former Tri-Delt sorority house, an earthquake-stricken church and a hostel that once served as a refuge for Japanese Americans returning from World War II internment.\u003c/p>\n\u003cp>“What we’re doing here today is multiples of what any state in American history has committed to address this crisis of homelessness,” Newsom said at a \u003ca href=\"https://calmatters.org/housing/homelessness/2021/05/newsom-end-homelessness-pandemic-lessons/\">2021 press conference\u003c/a> announcing a major Homekey expansion.\u003c/p>\n\u003cp>The program came with little built-in oversight. Earlier this year, state lawmakers killed a bill to audit Homekey. No state agency has publicly analyzed the program in detail to find out what’s working and what’s not.\u003c/p>\n\u003cp>The challenge now: A new and more complex phase is already underway with up to $2 billion from the \u003ca href=\"https://calmatters.org/health/mental-health/2025/06/prop-1-mental-health-awards/\">voter-approved Prop. 1\u003c/a> mental health bond. But no one has publicly accounted for how many of the program’s original projects stalled out and how many succeeded.\u003c/p>\n\u003cp>To find out what happened, CalMatters filed more than 100 public records requests with cities and counties that were awarded Homekey funds. We asked for key details on 250 projects announced through the end of 2024, covering all but a handful of projects for which less public data was available. Those state and local records — along with dozens of visits to Homekey sites, plus interviews with people who built and lived in them — create a first-of-its-kind window into how it all played out.\u003c/p>\n\u003cp>Among our findings:\u003c/p>\n\u003cul>\n\u003cli>\u003cstrong>Homekey made producing housing simpler. But it came at a cost\u003c/strong>. Homekey provided billions of dollars in housing funding up front, allowing some developers to sidestep the usual webs of investors and lenders and finish much faster than normal. But fewer funders also means less oversight. With rushed vetting, some projects got bogged down in delays, blown budgets or worse. At least one Homekey developer was forced out of business by an unwieldy project. Another is facing fraud charges.\u003c/li>\n\u003cli>\u003cstrong>When Homekey worked, those involved stress that it \u003c/strong>\u003cstrong>\u003cem>really\u003c/em>\u003c/strong>\u003cstrong> worked.\u003c/strong> Nearly 13,500 people now live at Homekey sites, according to the state Housing Department. For small and rural communities, such as Glenn County, the program provided crucial cash for their first-ever homeless housing. Officials from Mendocino County to Ventura say they were able to stabilize people longer term by adding stronger ties to public services and extra investment in resources such as counseling.\u003c/li>\n\u003cli>\u003cstrong>Those successes magnify the opportunities squandered. \u003c/strong>Projects involving about 3,000 homes — roughly 1 in 5 promised by the program — weren’t finished as of the end of last year. Another 2,000 units have people living in them on a temporary basis but haven’t been converted into permanent housing, the program’s main goal. In 10 instances involving 500 more units, the state publicized grants that later were canceled or that never materialized because local officials or developers backed out.\u003c/li>\n\u003cli>\u003cstrong>A lack of transparency raises familiar questions about the program’s future\u003c/strong>. State officials stress that they have extended deadlines and improved vetting for the program’s latest bond-funded iteration, Homekey+. But they refused to publicly provide details about that vetting process. And as homeless services providers have long warned, there remains no guaranteed state funding to keep existing or planned Homekey projects going.\u003c/li>\n\u003c/ul>\n\u003cp>Yes, many Homekey projects opened late or over budget. But, officials emphasize, they still opened.\u003c/p>\n\u003cp>Newsom said he considers the program a “phenomenal success.”\u003c/p>\n\u003cfigure id=\"attachment_12076525\" class=\"wp-caption aligncenter\" style=\"max-width: 2000px\">\u003cimg loading=\"lazy\" decoding=\"async\" class=\"size-full wp-image-12076525\" src=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/03/260116-NewsomLuriePresser-33-BL_qed.jpg\" alt=\"\" width=\"2000\" height=\"1333\" srcset=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/03/260116-NewsomLuriePresser-33-BL_qed.jpg 2000w, https://cdn.kqed.org/wp-content/uploads/sites/10/2026/03/260116-NewsomLuriePresser-33-BL_qed-160x107.jpg 160w, https://cdn.kqed.org/wp-content/uploads/sites/10/2026/03/260116-NewsomLuriePresser-33-BL_qed-1536x1024.jpg 1536w\" sizes=\"auto, (max-width: 2000px) 100vw, 2000px\">\u003cfigcaption class=\"wp-caption-text\">Gov. Gavin Newsom speaks during a press conference at the Friendship House Association of American Indians in San Francisco on Jan. 16, 2026.\u003c/figcaption>\u003c/figure>\n\u003cp>“We’re talking about hundreds and hundreds of projects all across the state of California that they’re trying to manage and organize and operate,” he said when CalMatters asked about it at a recent press conference. “And I imagine each one of them brings its own opportunities and own challenges as we move forward and implement at a scale we’ve never implemented in the state’s history.”\u003c/p>\n\u003cp>Taryn Sandulyak knows that better than most. The Bay Area developer thought Homekey might be her big break, but it ultimately put her out of business. She sees a fundamental mismatch at the heart of the program. It wanted high quality, high speed and low budgets.\u003c/p>\n\u003cp>“You can only have two of those,” Sandulyak said. “You really can’t ever have three. That’s the issue with Homekey, is they give you not quite enough money to do it, and they want you to do it really, really fast and really, really well.”\u003c/p>\n\u003cp>The chasm between Homekey successes and failures isn’t a simple, one-size-fits-all story. But it does provide an outline of what it will take to make good on California’s big effort to finally make a dent in its homelessness crisis.\u003c/p>\n\u003ch2>‘Failing was not an option’\u003c/h2>\n\u003cp>On the west side of Ventura, just as the surf town creeps up into the hills toward Ojai, sits what used to be one of the city’s worst nuisance properties: a nearly 100-year-old apartment building once known, in a nod to local drug slang, as the “Booyah Mansion.”\u003c/p>\n\u003cp>The city’s housing authority, Ventura Housing, cobbled together enough money in 2019 to buy the building. But it didn’t have enough cash to fix all 300-something code violations at the crime-ridden property — until Homekey came along.\u003c/p>\n\u003cp>“We had some scary stuff go on here,” said Karen Flock, Ventura Housing’s real estate development director. “This property failing was not an option.”\u003c/p>\n\u003cfigure id=\"attachment_12082685\" class=\"wp-caption aligncenter\" style=\"max-width: 2000px\">\u003cimg loading=\"lazy\" decoding=\"async\" class=\"size-full wp-image-12082685\" src=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/homekey3.jpeg\" alt=\"\" width=\"2000\" height=\"1334\" srcset=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/homekey3.jpeg 2000w, https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/homekey3-160x107.jpeg 160w, https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/homekey3-1536x1025.jpeg 1536w\" sizes=\"auto, (max-width: 2000px) 100vw, 2000px\">\u003cfigcaption class=\"wp-caption-text\">Live Oak Apartments in Ukiah on Feb. 26. Live Oak offers its residents access to common spaces, such as a community garden and meeting rooms for visitors. \u003ccite>(Manuel Orbegozo for CalMatters)\u003c/cite>\u003c/figcaption>\u003c/figure>\n\u003cp>Now known as El Portal, the 29-unit apartment complex today serves as a lifeline for a mother with 9-year-old twins, one severely autistic. It’s a refuge for a woman who lived for six years in a city-funded Tuff Shed. Another neighbor still keeps his shopping cart from the street in his apartment as a reminder of what he’s been through, and why he can never go back.\u003c/p>\n\u003cp>Ventura and other cities and counties that were able to pull off Homekey projects relatively on time and on budget credit a variety of factors for their success. Some grantees provided services themselves rather than contracting them out, better integrating public resources. Others raised extra money for on-site social services or worked closely with first responders to head off concerns about crime and stabilize residents.\u003c/p>\n\u003cp>Jeffrey Lambert, CEO of Ventura Housing, said the crucial thing was realizing early that Homekey money alone isn’t nearly enough. Instead, the city combined it with other public and private funding, staffing and resources. Projects that failed or got stuck in limbo often fell apart after they ran out of money.\u003c/p>\n\u003cp>“Homekey works,” Lambert said, “because of all the stuff added on top of it.”\u003c/p>\n\u003cp>\u003c!-- iframe plugin v.4.3 wordpress.org/plugins/iframe/ -->\u003cbr>\n\u003ciframe loading=\"lazy\" title=\"Look up Homekey projects in your city or county\" aria-label=\"Table\" id=\"datawrapper-chart-kiDgD\" src=\"https://datawrapper.dwcdn.net/kiDgD/8/\" scrolling=\"no\" frameborder=\"0\" style=\"width: 0; min-width: 100% !important; border: none;\" height=\"550\" data-external=\"1\" width=\"100%\" class=\"iframe-class\">\u003c/iframe>\u003c/p>\n\u003cp>For housing researchers such as Ryan Finnigan, deputy director of research at UC Berkeley’s Terner Center for Housing Innovation, the real strength of Homekey was not the building minutiae. It was an attempt to challenge the state’s status quo of painstakingly slow housing development while people kept pouring onto the streets.\u003c/p>\n\u003cp>“If we’re not willing to try a new approach,” he said, “then we’re not going to learn as much about how we can be more creative, how we can work with more urgency than the current systems.”\u003c/p>\n\u003cp>As fraught and full of delays as the construction process can be, getting a project completed is often just the first hurdle for Homekey. Once a project opens its doors, it typically needs significant resources in addition to the state funding. Mendocino County credits much of its project’s success to extra services for residents, which aren’t paid for by the state grant, said Megan Van Sant, a senior program manager for the county who oversees the Homekey site.\u003c/p>\n\u003cp>At the former Best Western hotel now known as Live Oak Apartments, there’s a therapist on retainer for tenants, plus a dog trainer paid to work with problem pets. Both try to help residents resolve any issues that come up before they escalate into grounds for an eviction.\u003c/p>\n\u003cp>To provide those extras, the county runs the project itself, rather than contracting with an outside service provider as many Homekey projects do. Two county staffers work full-time inside the building, using their connections to do everything from enrolling residents in Medi-Cal to pairing them with mental health services.\u003c/p>\n\u003cp>All that is expensive.\u003c/p>\n\u003cfigure id=\"attachment_12082686\" class=\"wp-caption aligncenter\" style=\"max-width: 2000px\">\u003cimg loading=\"lazy\" decoding=\"async\" class=\"size-full wp-image-12082686\" src=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/homekey4.jpeg\" alt=\"\" width=\"2000\" height=\"1334\" srcset=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/homekey4.jpeg 2000w, https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/homekey4-160x107.jpeg 160w, https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/homekey4-1536x1025.jpeg 1536w\" sizes=\"auto, (max-width: 2000px) 100vw, 2000px\">\u003cfigcaption class=\"wp-caption-text\">Resident Sherry Collins inside her room at Live Oak Apartments in Ukiah on Feb. 26. \u003ccite>(Manuel Orbegozo for CalMatters)\u003c/cite>\u003c/figcaption>\u003c/figure>\n\u003cp>“I think the state should continue to support these projects,” Van Sant said. “The state asked communities to do these projects, and they cost more to do well than what you can earn in rent.”\u003c/p>\n\u003cp>Sherry Collins, 66, moved into the project three years ago, at a time when she was terrified of what would come next. Her husband had died, her health was failing, she couldn’t work, and she couldn’t afford to keep living in her cabin in the tiny coastal city of Fort Bragg.\u003c/p>\n\u003cp>Now she feels like she’s home. Collins decorated the window of her room with little red and pink hearts and adopted a kitten with extra toes, whom she named Mr. Handsome.\u003c/p>\n\u003cp>She continues to deal with health challenges after losing a leg to diabetes about a year ago. The building has only four units accessible for people with disabilities, making it a challenge to accommodate everyone, but one recently opened up for Collins, where she can more comfortably shower.\u003c/p>\n\u003cp>“They have been awesome to me,” Collins said. “They’re more like family.”\u003c/p>\n\u003ch2>Never-ending projects\u003c/h2>\n\u003cp>For Sandulyak, Homekey was too good to refuse.\u003c/p>\n\u003cp>Five years earlier she had co-founded Firm Foundation Community Housing, which helped Bay Area churches turn their parking lots and backyards into tiny homes for homeless residents.\u003c/p>\n\u003cp>Homekey was a once-in-a-lifetime opportunity to dramatically scale up that vision by using millions in state funds to house dozens of people in Vallejo. It would be the small nonprofit’s most ambitious project by far.\u003c/p>\n\u003cfigure id=\"attachment_12082687\" class=\"wp-caption aligncenter\" style=\"max-width: 2000px\">\u003cimg loading=\"lazy\" decoding=\"async\" class=\"size-full wp-image-12082687\" src=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/homekey5.jpeg\" alt=\"\" width=\"2000\" height=\"1333\" srcset=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/homekey5.jpeg 2000w, https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/homekey5-160x107.jpeg 160w, https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/homekey5-1536x1024.jpeg 1536w\" sizes=\"auto, (max-width: 2000px) 100vw, 2000px\">\u003cfigcaption class=\"wp-caption-text\">The official ribbon cutting at the grand opening of Broadway Village in Vallejo on March 5. \u003ccite>(Nathan Weyland for CalMatters)\u003c/cite>\u003c/figcaption>\u003c/figure>\n\u003cp>Sandulyak never suspected that by applying for Homekey, she had doomed her organization.\u003c/p>\n\u003cp>Firm Foundation was awarded $12 million in 2022 to build a 47-unit modular apartment building called the Broadway Project. Over the next four years, nearly everything that could go wrong did.\u003c/p>\n\u003cp>Some problems had nothing to do with Homekey. The general contractor went bankrupt, and the nonprofit tapped to operate the facility squabbled with the city, leaving the project in limbo for a year. The state wouldn’t let Firm Foundation pick a new partner to run the housing, which Sandulyak says further delayed the opening.\u003c/p>\n\u003cp>Other problems were directly related to Homekey. By design, the program forced cities to take a much more hands-on role with housing development than they were used to. Vallejo wasn’t prepared for that responsibility. It fumbled its attempt to get a key federal grant and failed to set up important safeguards that protect affordable housing projects from financial risks.\u003c/p>\n\u003cp>Soon, Sandulyak had $2 million in bills and no way to pay them. With construction three-quarters done, the project ran out of money. Firm Foundation was forced to stop work.\u003c/p>\n\u003cp>It became such a nightmare that the Vallejo City Council asked for an independent audit to find out what went wrong and why. The \u003ca href=\"https://www.documentcloud.org/documents/28094481-vallejo-broadway-affordable-housing-report/\">audit blamed\u003c/a> both the city and Firm Foundation for allowing the project to run out of money before it was finished. Firm Foundation vastly underestimated the project’s cost, and the city bungled efforts to secure additional funds.\u003c/p>\n\u003cp>In some ways, the audit found, the very nature of Homekey helped set the project up for failure.\u003c/p>\n\u003cfigure id=\"attachment_12023514\" class=\"wp-caption aligncenter\" style=\"max-width: 2000px\">\u003cimg loading=\"lazy\" decoding=\"async\" class=\"size-full wp-image-12023514\" src=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2025/01/20250114_Mare-Island_DMB_00333.jpg\" alt=\"\" width=\"2000\" height=\"1333\" srcset=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2025/01/20250114_Mare-Island_DMB_00333.jpg 2000w, https://cdn.kqed.org/wp-content/uploads/sites/10/2025/01/20250114_Mare-Island_DMB_00333-800x533.jpg 800w, https://cdn.kqed.org/wp-content/uploads/sites/10/2025/01/20250114_Mare-Island_DMB_00333-1020x680.jpg 1020w, https://cdn.kqed.org/wp-content/uploads/sites/10/2025/01/20250114_Mare-Island_DMB_00333-160x107.jpg 160w, https://cdn.kqed.org/wp-content/uploads/sites/10/2025/01/20250114_Mare-Island_DMB_00333-1536x1024.jpg 1536w, https://cdn.kqed.org/wp-content/uploads/sites/10/2025/01/20250114_Mare-Island_DMB_00333-1920x1280.jpg 1920w\" sizes=\"auto, (max-width: 2000px) 100vw, 2000px\">\u003cfigcaption class=\"wp-caption-text\">A kayaker floats down the Napa River past the Navy Yard of Mare Island in the city of Vallejo, Tuesday, Jan. 14, 2025. \u003ccite>(David M. Barreda/KQED)\u003c/cite>\u003c/figcaption>\u003c/figure>\n\u003cp>One big problem was the timeline. Homekey required projects to finish construction within one year of their award, and to move people in 90 days after that. To meet those deadlines, Firm Foundation created budgets before the architectural drawings were even done, contributing to serious cost underestimates, the audit found.\u003c/p>\n\u003cp>The audit also found a lack of oversight at the Broadway Project, which it said is typical of Homekey projects. Normally, a single affordable housing project uses funding from multiple sources, including the city, the county, the state, federal funds, tax credits, private banks and more. The more funders and investors, the more eyes watching and holding the developer accountable. With Homekey, the city applying for the grant typically takes on all those risks by itself, the audit found.\u003c/p>\n\u003cp>On a recent Thursday morning, Sandulyak gathered with city officials and her construction partners in front of a crowd to celebrate what they, at times, had thought would be impossible: the Broadway Project was finally open. Behind them rose the terracotta-colored wall of the sleek, new, modular apartment building. A red ribbon waited in front of them.\u003c/p>\n\u003cp>On the count of three, Sandulyak helped Vallejo’s assistant city manager snip the ribbon. The crowd cheered.\u003c/p>\n\u003cp>The project ended up coming in two and a half years late and 70% over budget. Despite those setbacks, the audit found it \u003cem>still \u003c/em>cost less per unit and was built more quickly than the region’s average affordable housing project.\u003c/p>\n\u003cp>But it cost Sandulyak everything. She laid off three of her four employees, and she plans to lay off the last one and dissolve her organization. The nonprofit is still on the hook for more than $1 million in unpaid bills related to the project.\u003c/p>\n\u003cfigure id=\"attachment_12082708\" class=\"wp-caption aligncenter\" style=\"max-width: 1980px\">\u003cimg loading=\"lazy\" decoding=\"async\" class=\"size-full wp-image-12082708\" src=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/GettyImages-2172244931.jpg\" alt=\"\" width=\"1980\" height=\"1367\" srcset=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/GettyImages-2172244931.jpg 1980w, https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/GettyImages-2172244931-160x110.jpg 160w, https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/GettyImages-2172244931-1536x1060.jpg 1536w\" sizes=\"auto, (max-width: 1980px) 100vw, 1980px\">\u003cfigcaption class=\"wp-caption-text\">Governor Gavin Newsom speaks during a press conference of housing & homelessness with new legislation and funding and bills signing, along with other local, state and federal leaders are gathered in San Francisco, California, United States on Sept. 19, 2024. \u003ccite>(Tayfun Coskun/Anadolu via Getty Images)\u003c/cite>\u003c/figcaption>\u003c/figure>\n\u003cp>Despite her pride in the finished building, Sandulyak wonders how much more housing her nonprofit could have built — if only she’d never applied for Homekey.\u003c/p>\n\u003cp>Still, 52 people now have somewhere to call home.\u003c/p>\n\u003cp>“I’m unshaken in my belief that that is worth it,” Sandulyak said.\u003c/p>\n\u003cp>One of those people is 62-year-old Terrence White, a former refinery worker who was forced into early retirement by an injury and can’t afford market-rate rent. Now, he pays $294 a month and finally has his own place.\u003c/p>\n\u003cp>“It feels wonderful,” he said.\u003c/p>\n\u003ch2>The Homekey gold rush\u003c/h2>\n\u003cp>During the frantic first two years of Homekey, when many experienced affordable housing developers were sitting out the untested new program, an LA company called Shangri-La Industries stepped in to help fill the void. It scored nearly $115 million in contracts to build 500 homes for homeless Californians in cities from Salinas to San Bernardino.\u003c/p>\n\u003cp>But a \u003ca href=\"https://www.documentcloud.org/documents/28097013-holmes-indictment/\">federal indictment\u003c/a> and a separate civil lawsuit allege that millions in state funds instead went to fund a lavish lifestyle for the company’s chief financial officer.\u003c/p>\n\u003cp>Among the charges attributed in \u003ca href=\"https://www.documentcloud.org/documents/28097094-shangri-la-v-holmes/\">court records\u003c/a> to Shangri-La’s former CFO, Cody Holmes: $46,000 in monthly rent for a Beverly Hills house with a pool. Designer gifts for a girlfriend, including a $127,000 diamond necklace and a $111,000 crocodile Birkin bag. A $5,000-a-month lease on a Ferrari Portofino. Another $53,000 for Coachella passes, and $44,000 for flights on private jets.\u003c/p>\n\u003cfigure id=\"attachment_12082689\" class=\"wp-caption aligncenter\" style=\"max-width: 2000px\">\u003cimg loading=\"lazy\" decoding=\"async\" class=\"size-full wp-image-12082689\" src=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/homekey7.jpeg\" alt=\"\" width=\"2000\" height=\"1333\" srcset=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/homekey7.jpeg 2000w, https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/homekey7-160x107.jpeg 160w, https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/homekey7-1536x1024.jpeg 1536w\" sizes=\"auto, (max-width: 2000px) 100vw, 2000px\">\u003cfigcaption class=\"wp-caption-text\">The Quality Inn & Suites building, a former Shangri-La project, stands vacant in Thousand Oaks on Feb. 26. \u003ccite>(Julie Leopo-Bermudez for CalMatters)\u003c/cite>\u003c/figcaption>\u003c/figure>\n\u003cp>All this while many of the desperately needed motel rooms sat empty.\u003c/p>\n\u003cp>Homekey set a low bar for contractors to qualify: They had to have worked on at least two affordable housing projects that included at least one homeless tenant.\u003c/p>\n\u003cp>Shangri-La easily cleared that hurdle. But had any state or local officials done more digging, they might have seen warning signs.\u003c/p>\n\u003cp>Shangri-La’s construction business was sued twice for breach of contract in \u003ca href=\"https://www.documentcloud.org/documents/28094732-shangri-la-2018-breach-contract-complaint/\">2018\u003c/a> and \u003ca href=\"https://www.documentcloud.org/documents/28094731-shangri-la-2019-contract-fraud-complaint/\">2019\u003c/a>, court records show, after two firms alleged that it failed to pay them. The company was also a contractor on a troubled LA veteran housing project, where records first \u003ca href=\"https://www.kcrw.com/shows/greater-la/stories/30-million-motel-homeless-shelter-prop-hhh-taxpayer-oversight-la\">reported by KCRW\u003c/a> show Shangri-La partners sold the property to themselves, increasing the project’s budget by $8 million.\u003c/p>\n\u003cp>With Homekey, federal \u003ca href=\"https://www.justice.gov/usao-cdca/pr/beverly-hills-man-arrested-brentwood-man-charged-separate-criminal-cases-linked-fraud\">prosecutors allege\u003c/a> that Holmes “knowingly submitted fake bank records” to the state Housing Department to boost Shangri-La’s credentials — financial claims that state officials apparently failed to verify with the banks. Holmes has pleaded not guilty, and an attorney representing him declined to comment.\u003c/p>\n\u003cp>As the company took on the Homekey projects, property records show that entities connected to Shangri-La or its partners paid around $13 million for actress Milla Jovovich’s Beverly Hills mansion, adding to a portfolio that included a $7 million oceanfront home in Long Beach purchased two years earlier.\u003c/p>\n\u003cfigure id=\"attachment_12082690\" class=\"wp-caption aligncenter\" style=\"max-width: 2000px\">\u003cimg loading=\"lazy\" decoding=\"async\" class=\"size-full wp-image-12082690\" src=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/homekey8.jpeg\" alt=\"\" width=\"2000\" height=\"1334\" srcset=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/homekey8.jpeg 2000w, https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/homekey8-160x107.jpeg 160w, https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/homekey8-1536x1025.jpeg 1536w\" sizes=\"auto, (max-width: 2000px) 100vw, 2000px\">\u003cfigcaption class=\"wp-caption-text\">The Quality Inn & Suites building, a former Shangri-La project, stands vacant in Thousand Oaks on Feb. 26. \u003ccite>(Julie Leopo-Bermudez for CalMatters)\u003c/cite>\u003c/figcaption>\u003c/figure>\n\u003cp>In a separate \u003ca href=\"https://www.documentcloud.org/documents/28093061-hcd-vs-shangri-la-complaint/\">civil fraud case\u003c/a>, state prosecutors allege in court records that Shangri-La went behind the state’s back and took out undisclosed loans on the Homekey buildings, giving up control of the sites and violating their contract with the state. That became a major problem when the company defaulted on the loans.\u003c/p>\n\u003cp>For several of the properties, no one had filed crucial paperwork to ensure that they remained affordable housing. After the buildings ended up in foreclosure, some were scooped up by companies with no commitment to homeless housing.\u003c/p>\n\u003cp>Homekey contracts tasked local officials with vetting projects and reviewing contractors’ organizational documents, budgets and other key details. But records show state officials also reviewed Shangri-La’s financials, and once they paid out the Homekey money, they failed to verify that paperwork was completed to restrict the buildings to affordable housing.[aside postID=news_12068047 hero='https://cdn.kqed.org/wp-content/uploads/sites/10/2025/12/20251211_YOUTHHOMELESSNESS_DECEMBER_GH-5-KQED.jpg']The state Housing Department and several local governments that hired Shangri-La for Homekey projects declined to comment, citing ongoing litigation.\u003c/p>\n\u003cp>Andy Meyers, the former CEO of Shangri-La, acknowledged in an interview that he had “a lack of control” over his company. He has sued Holmes for fraud. He also blamed the local and state officials.\u003c/p>\n\u003cp>“My CFO had a lot of wrongdoing,” he said. “But it was a confluence of events that caused each project to go bad.”\u003c/p>\n\u003cp>Meyers said officials’ failure to file the proper affordable housing restrictions, which were also required by his lender, triggered a financial disaster that led his company to default on some of the properties. On two projects that Shangri-La did open in San Bernardino and Salinas, he estimated that the company incurred around $11 million in unexpected costs.\u003c/p>\n\u003cp>“We have spent so much money following their guidelines and following their timetables,” he said, “and they never followed their guidelines or timetables.”\u003c/p>\n\u003cp>Monterey County Supervisor Chris Lopez rallied support for a Homekey project in his hometown of King City. He thought Shangri-La made sense for four projects in the county, since it had already opened one Homekey site in Salinas.\u003c/p>\n\u003cp>But it didn’t take long for constituents to start asking why rooms were sitting empty behind chain-link fences.\u003c/p>\n\u003cfigure id=\"attachment_12028078\" class=\"wp-caption aligncenter\" style=\"max-width: 1568px\">\u003cimg loading=\"lazy\" decoding=\"async\" class=\"size-full wp-image-12028078\" src=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2025/02/021125-ICE-Schools-Salinas-LV_34-copy.jpg\" alt=\"\" width=\"1568\" height=\"1045\" srcset=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2025/02/021125-ICE-Schools-Salinas-LV_34-copy.jpg 1568w, https://cdn.kqed.org/wp-content/uploads/sites/10/2025/02/021125-ICE-Schools-Salinas-LV_34-copy-800x533.jpg 800w, https://cdn.kqed.org/wp-content/uploads/sites/10/2025/02/021125-ICE-Schools-Salinas-LV_34-copy-1020x680.jpg 1020w, https://cdn.kqed.org/wp-content/uploads/sites/10/2025/02/021125-ICE-Schools-Salinas-LV_34-copy-160x107.jpg 160w, https://cdn.kqed.org/wp-content/uploads/sites/10/2025/02/021125-ICE-Schools-Salinas-LV_34-copy-1536x1024.jpg 1536w\" sizes=\"auto, (max-width: 1568px) 100vw, 1568px\">\u003cfigcaption class=\"wp-caption-text\">A person drives a tractor through a field of crops on farmland near Salinas on Feb. 11, 2025. \u003ccite>(Larry Valenzuela/CalMatters/CatchLight Local)\u003c/cite>\u003c/figcaption>\u003c/figure>\n\u003cp>“The longer it went on without seeing any movement, the flag started to get raised,” Lopez said. “I was starting to hear less and less communication and more sort of finger pointing\u003cem>.”\u003c/em>\u003c/p>\n\u003cp>Local officials like Lopez had to start from scratch, raising millions more dollars to revive the projects as encampments swelled. It took 10 different deals totaling $16 million to open the King City project in March, three years behind schedule.\u003c/p>\n\u003cp>The full trail of Shangri-La’s deceit stretches from the state’s agricultural heartland to the edge of the Southern California desert. A $27 million Thousand Oaks hotel project sits abandoned today, robbing a region of 77 homes while it had a decade-long housing waitlist. Another $16 million project scrapped in Salinas would have provided 58 homes. Officials still plan to salvage 200 homes in other parts of Monterey County. The only two Shangri-La projects that stayed open during the legal battle, two motels in Southern California, were full of people who were plunged into messy foreclosure disputes.\u003c/p>\n\u003cp>Carrie Harmon, San Bernardino County’s director of community development and housing, said in an email that “the county entered into this effort in good faith, relying on representations that later proved to be inaccurate.”[aside postID=news_12082518 hero='https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/OAKRIDGE_11_qed-1.jpg']Even some of those whose Homekey projects went well say they’re not surprised that things went sideways. In Mendocino County, Van Sant said the state’s oversight was limited to quarterly progress reports. Once the money was spent, the state stopped asking for any information at all.\u003c/p>\n\u003cp>“They gave us a bunch of money, made us do some paperwork, and then they’re out of here,” Van Sant said.\u003c/p>\n\u003cp>For Colleen Robinson, public officials’ failure to see the red flags with Shangri-La was life-changing.\u003c/p>\n\u003cp>Robinson, now 62, survived years on the street after losing her job and fleeing a bad relationship. The All Star Lodge in downtown San Bernardino was her chance to start over. Shangri-La did manage to renovate and open that project in late 2022.\u003c/p>\n\u003cp>Two years later, the bank foreclosed. Because no one had put the affordable housing restriction on the property, the new owner told Robinson and other tenants that it was going to quadruple the rent. She said the new owner neglected the building; weeds and stray cats reclaimed the parking lot, police sirens blared, and neighbors died with little explanation.\u003c/p>\n\u003cp>“This would give hell a run for its money,” Robinson said.\u003c/p>\n\u003cp>Harmon said the county was still trying to buy the building and figure something out, but Robinson didn’t wait around to see how the saga ended. On a Thursday in February, she packed up and boarded a Greyhound bus for Iowa, where one of her children lives.\u003c/p>\n\u003ch2>Homeless veterans still waiting\u003c/h2>\n\u003cp>Some Homekey projects still haven’t opened.\u003c/p>\n\u003cp>Santa Cruz County has three badly delayed Homekey projects, one of which will be more than four years late when it is slated to finally be finished at the end of next year. For that project, the county obtained more than $6 million to convert rustic vacation cabins under a grove of redwood trees into housing for homeless veterans. The state initially set a completion deadline of 2023, but the project ran out of money before it crossed the finish line, forcing construction to stop.\u003c/p>\n\u003cp>There were many reasons why, but one stands out: underestimating the cost, said Robert Ratner, director of Santa Cruz County’s Housing for Health division.\u003c/p>\n\u003cfigure id=\"attachment_12082694\" class=\"wp-caption aligncenter\" style=\"max-width: 2000px\">\u003cimg loading=\"lazy\" decoding=\"async\" class=\"size-full wp-image-12082694\" src=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/homekey9.jpeg\" alt=\"\" width=\"2000\" height=\"1333\" srcset=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/homekey9.jpeg 2000w, https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/homekey9-160x107.jpeg 160w, https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/homekey9-1536x1024.jpeg 1536w\" sizes=\"auto, (max-width: 2000px) 100vw, 2000px\">\u003cfigcaption class=\"wp-caption-text\">An unfinished motel conversion in the Encino neighborhood of Los Angeles on January 27. The project is expected to finish more than a year after the original deadline, city records show. \u003ccite>(Courtesy of CalMatters)\u003c/cite>\u003c/figcaption>\u003c/figure>\n\u003cp>The developers had never undertaken a project this large, and that inexperience contributed to the budgeting error, Ratner said. But so did the design of Homekey, which capped what the state was willing to pay per unit at about half what it takes to build affordable housing in some parts of California.\u003c/p>\n\u003cp>The idea was that projects would be cheaper because they were converting existing buildings, while also cutting out extra layers of bureaucracy that add time and expense. That led developers to low-ball budgets, which came back to bite them when the savings weren’t as great as anticipated, Ratner said.\u003c/p>\n\u003cp>Once the budgeting error was made, neither the state nor the county caught it, Ratner said. The county assumed that the state would scrutinize all Homekey applications and throw out any that didn’t seem viable, Ratner said. But it appears that in reality, the state was relying on the counties to do that vetting.\u003c/p>\n\u003cp>Santa Cruz County had little experience analyzing whether a construction project was adequately budgeted. Typically, the county relies on other funders, such as construction lenders and tax credit investors, to do that job. But those investors weren’t present here.\u003c/p>\n\u003cp>When asked whether he and his colleagues had done their due diligence to make sure the projects were realistic, Ratner was straightforward.\u003c/p>\n\u003cfigure id=\"attachment_11682474\" class=\"wp-caption aligncenter\" style=\"max-width: 1920px\">\u003cimg loading=\"lazy\" decoding=\"async\" class=\"size-full wp-image-11682474\" src=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2018/07/SantaCruzBeach.jpg\" alt=\"Visitors enjoy the beach below West Cliff Drive in Santa Cruz. Santa Cruz County has the second-highest poverty rate in the state, after Los Angeles.\" width=\"1920\" height=\"1226\" srcset=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2018/07/SantaCruzBeach.jpg 1920w, https://cdn.kqed.org/wp-content/uploads/sites/10/2018/07/SantaCruzBeach-160x102.jpg 160w, https://cdn.kqed.org/wp-content/uploads/sites/10/2018/07/SantaCruzBeach-800x511.jpg 800w, https://cdn.kqed.org/wp-content/uploads/sites/10/2018/07/SantaCruzBeach-1020x651.jpg 1020w, https://cdn.kqed.org/wp-content/uploads/sites/10/2018/07/SantaCruzBeach-1200x766.jpg 1200w, https://cdn.kqed.org/wp-content/uploads/sites/10/2018/07/SantaCruzBeach-1180x753.jpg 1180w, https://cdn.kqed.org/wp-content/uploads/sites/10/2018/07/SantaCruzBeach-960x613.jpg 960w, https://cdn.kqed.org/wp-content/uploads/sites/10/2018/07/SantaCruzBeach-240x153.jpg 240w, https://cdn.kqed.org/wp-content/uploads/sites/10/2018/07/SantaCruzBeach-375x239.jpg 375w, https://cdn.kqed.org/wp-content/uploads/sites/10/2018/07/SantaCruzBeach-520x332.jpg 520w\" sizes=\"auto, (max-width: 1920px) 100vw, 1920px\">\u003cfigcaption class=\"wp-caption-text\">Visitors in Santa Cruz enjoy the beach below West Cliff Drive. Santa Cruz County has the second-highest poverty rate in the state, after Los Angeles. \u003ccite>(Stephen Dunn/Getty Images)\u003c/cite>\u003c/figcaption>\u003c/figure>\n\u003cp>“I would say no,” Ratner said. “I can’t say yes with a straight face at this juncture.”\u003c/p>\n\u003cp>Other projects just never happened.\u003c/p>\n\u003cp>A $14 million Homekey award was supposed to help breathe new life into the Hotel Travelers, a rundown, century-old building in Oakland’s Chinatown, as housing for people returning from incarceration. But once the developer got a look at the building, that plan fell apart. An inspection revealed such severe issues with the building’s construction that the developer determined it would be “morally untenable” to proceed. Oakland returned the grant.\u003c/p>\n\u003cp>In total, CalMatters found at least 10 cases where a Homekey award was announced, only for the grantee to later withdraw their application, return or redirect the money, or have the state claw it back. Some instances had more public explanation than others.\u003c/p>\n\u003cp>City officials in Fresno voted down their own project. Long Beach was unable to come up with a suitable location for $2 million worth of brand-new tiny homes left sitting in storage. Projects in Marin and Mariposa counties evaporated when real estate deals fell through, and the state rescinded its grant for a project in Salinas after a nonprofit partner pulled out.\u003c/p>\n\u003ch2>Newsom’s legacy and a financial cliff\u003c/h2>\n\u003cp>Despite the vastly different outcomes at Homekey projects around the state, there’s no plan for a comprehensive audit to see what worked and what didn’t — a decision that raises the question of whether the state has done enough to grapple with Homekey as it forges ahead with the new version of the program, Homekey+.\u003c/p>\n\u003cp>Earlier this year, lawmakers nixed a public accounting proposed by \u003ca href=\"https://calmatters.digitaldemocracy.org/legislators/leticia-castillo-187479\">Assemblymember Leticia Castillo\u003c/a>, a Republican from Corona.\u003c/p>\n\u003cp>“While the program has expanded housing options, critical questions remain about its long-term impact and cost-effectiveness,” a \u003ca href=\"https://ad58.asmrc.org/wp-content/uploads/2025/02/Homekey-Program-Audit-Fact-Sheet.pdf\">summary\u003c/a> of \u003ca href=\"https://calmatters.digitaldemocracy.org/bills/ca_202520260ab505\">Assembly Bill 505\u003c/a> said. “It is unclear how many Homekey-funded units remain occupied after one year, how many individuals successfully transition to stable, long-term housing, and whether Homekey’s cost per unit is competitive.”\u003c/p>\n\u003cfigure id=\"attachment_12029662\" class=\"wp-caption aligncenter\" style=\"max-width: 2000px\">\u003cimg loading=\"lazy\" decoding=\"async\" class=\"size-full wp-image-12029662\" src=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2025/03/020624_No-Place-Like-Home_CC_CM_12-copy.jpg\" alt=\"\" width=\"2000\" height=\"1333\" srcset=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2025/03/020624_No-Place-Like-Home_CC_CM_12-copy.jpg 2000w, https://cdn.kqed.org/wp-content/uploads/sites/10/2025/03/020624_No-Place-Like-Home_CC_CM_12-copy-800x533.jpg 800w, https://cdn.kqed.org/wp-content/uploads/sites/10/2025/03/020624_No-Place-Like-Home_CC_CM_12-copy-1020x680.jpg 1020w, https://cdn.kqed.org/wp-content/uploads/sites/10/2025/03/020624_No-Place-Like-Home_CC_CM_12-copy-160x107.jpg 160w, https://cdn.kqed.org/wp-content/uploads/sites/10/2025/03/020624_No-Place-Like-Home_CC_CM_12-copy-1536x1024.jpg 1536w, https://cdn.kqed.org/wp-content/uploads/sites/10/2025/03/020624_No-Place-Like-Home_CC_CM_12-copy-1920x1280.jpg 1920w\" sizes=\"auto, (max-width: 2000px) 100vw, 2000px\">\u003cfigcaption class=\"wp-caption-text\">Framers work to build the Ruby Street apartments in Castro Valley on Feb. 6, 2024. The construction project is funded by the No Place Like Home bond, which passed in 2018 to create affordable housing for homeless residents experiencing mental health issues. \u003ccite>(Camille Cohen for CalMatters)\u003c/cite>\u003c/figcaption>\u003c/figure>\n\u003cp>The bill was never publicly debated. It died in January.\u003c/p>\n\u003cp>The state did do one \u003ca href=\"https://calmatters.org/housing/homelessness/2024/04/california-homelessness-spending/\">audit of multiple homeless services programs\u003c/a> in 2024. It didn’t get into Homekey delays or what actually happened to people living in the buildings, but it analyzed the costs of eight projects.\u003c/p>\n\u003cp>Based on that small sample, the auditor concluded that Homekey was “likely” cost-effective, with an average cost of $144,000 per unit, compared to the hundreds of thousands of dollars more it can cost for new construction in California.\u003c/p>\n\u003cp>The challenge is that when Homekey plans fell short of ambitions at job sites around the state, the consequences were often murky. In extreme cases, where cities acknowledged that projects failed to materialize, the state has clawed back grants.\u003c/p>\n\u003cp>But usually, the main penalty for blown deadlines or other missteps is that the state may hold it against a local government or developer the next time it applies for funding — a dynamic that provides no public transparency.\u003c/p>\n\u003cp>What happens next will be left up to a new state housing agency \u003ca href=\"https://www.bcsh.ca.gov/about/reorganization.html\">set to be launched\u003c/a> this summer, the California Housing and Homelessness Agency. That effort is expected to include a new development committee to “provide centralized, coordinated guidance to state housing policy and funding decisions.”\u003c/p>\n\u003cfigure id=\"attachment_11877271\" class=\"wp-caption aligncenter\" style=\"max-width: 1920px\">\u003cimg loading=\"lazy\" decoding=\"async\" class=\"size-full wp-image-11877271\" src=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2021/06/RS49740_009_MountainView_ProjectHomekey_06082021-qut.jpg\" alt=\"\" width=\"1920\" height=\"1278\" srcset=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2021/06/RS49740_009_MountainView_ProjectHomekey_06082021-qut.jpg 1920w, https://cdn.kqed.org/wp-content/uploads/sites/10/2021/06/RS49740_009_MountainView_ProjectHomekey_06082021-qut-800x533.jpg 800w, https://cdn.kqed.org/wp-content/uploads/sites/10/2021/06/RS49740_009_MountainView_ProjectHomekey_06082021-qut-1020x679.jpg 1020w, https://cdn.kqed.org/wp-content/uploads/sites/10/2021/06/RS49740_009_MountainView_ProjectHomekey_06082021-qut-160x107.jpg 160w, https://cdn.kqed.org/wp-content/uploads/sites/10/2021/06/RS49740_009_MountainView_ProjectHomekey_06082021-qut-1536x1022.jpg 1536w\" sizes=\"auto, (max-width: 1920px) 100vw, 1920px\">\u003cfigcaption class=\"wp-caption-text\">Final construction is completed on a row of housing units at LifeMoves Mountain View, a modular housing community, on June 8, 2021. The site, part of California’s Homekey program, provides temporary housing and resources to people in the city who are currently homeless. \u003ccite>(Beth LaBerge/KQED)\u003c/cite>\u003c/figcaption>\u003c/figure>\n\u003cp>For now, the state’s Housing Department maintains that it “monitors each project closely” if issues arise or deadline extensions are granted. Even with widespread delays, the agency maintains that “Homekey has helped build more and faster.”\u003c/p>\n\u003cp>The state said it is learning as it gives out the new Homekey+ funding.\u003c/p>\n\u003cp>After seeing so many projects miss the one-year deadline, the state doubled the timeline for new construction to two years. Homekey+ projects that \u003ca href=\"https://www.hcd.ca.gov/sites/default/files/docs/grants-and-funding/homekey/hk-plus-nofa-amendment.pdf\">serve veterans\u003c/a> now can propose bigger budgets for new builds, potentially addressing the issue of under-budgeted projects running out of money.\u003c/p>\n\u003cp>Officials also said they’re scrutinizing applications more closely now, including looking carefully at whether applicants are budgeting enough funds for their proposed projects, said California Health and Human Services Secretary Kim Johnson.\u003c/p>\n\u003cp>“We are improving our own vetting process, if you will,” she said during a recent news conference, “to ensure these projects are successful in delivering.”\u003c/p>\n\u003cp>The state’s housing department maintains that Homekey accomplished a major feat: building thousands of units despite a global pandemic, labor shortages, supply chain issues and other challenges.\u003c/p>\n\u003cfigure id=\"attachment_12082698\" class=\"wp-caption aligncenter\" style=\"max-width: 2000px\">\u003cimg loading=\"lazy\" decoding=\"async\" class=\"size-full wp-image-12082698\" src=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/homekey9-1.jpg\" alt=\"\" width=\"2000\" height=\"1333\" srcset=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/homekey9-1.jpg 2000w, https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/homekey9-1-160x107.jpg 160w, https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/homekey9-1-1536x1024.jpg 1536w\" sizes=\"auto, (max-width: 2000px) 100vw, 2000px\">\u003cfigcaption class=\"wp-caption-text\">Gary Wish stands outside El Portal apartments in Ventura on Feb. 26, 2026. \u003ccite>(Julie Leopo-Bermudez for CalMatters)\u003c/cite>\u003c/figcaption>\u003c/figure>\n\u003cp>“It is tremendously rewarding to see so many vulnerable Californians housed so quickly, and to have voters expand the successful Homekey model to house and support veterans and others facing behavioral health challenges,” Assistant Deputy Director Cari Scott said in a statement.\u003c/p>\n\u003cp>As the state’s housing policies shift, there’s one big question left for people like Van Sant in Mendocino: Will there be enough money to keep Homekey projects running?\u003c/p>\n\u003cp>Most of the projects have a pay-as-you-go model, versus standard 10- or 15-year affordable housing financing — a calculation that leaves a financial cliff looming for thousands of Homekey homes.\u003c/p>\n\u003cp>“If [Homekey] is going to be a long-term, permanent, successful program,” Van Sant said, “I think the state’s going to have to find a way to find some ongoing funding for it.”\u003c/p>\n\u003cp>\u003cem>Data reporters\u003c/em> \u003cem>Erica Yee and Kate Li contributed to this story.\u003c/em>\u003c/p>\n\u003cp>\u003cem>This article was \u003ca href=\"https://calmatters.org/housing/2026/05/newsom-homekey-records/\">originally published on CalMatters\u003c/a> and was republished under the \u003ca href=\"https://creativecommons.org/licenses/by-nc-nd/4.0/\">Creative Commons Attribution-NonCommercial-NoDerivatives\u003c/a> license.\u003c/em>\u003c/p>\n\u003cp>[ad floatright]\u003c/p>\n",
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"title": "Did Newsom’s $3.8 Billion Hotels-to-Housing Program Pay Off? | KQED",
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"content": "\u003cdiv class=\"post-body\">\u003cp>\u003cp>\u003c!-- Creative Commons Attribution-NonCommercial-NoDerivatives https://creativecommons.org/licenses/by-nc-nd/4.0/ -->\u003c/p>\n\u003cp>\u003cem>This story was originally published by \u003ca href=\"https://calmatters.org/\">CalMatters\u003c/a>. \u003ca href=\"https://calmatters.org/subscribe-to-calmatters/\">Sign up\u003c/a> for their newsletters.\u003c/em>\u003c/p>\n\u003cp>As \u003ca href=\"https://www.kqed.org/news/tag/covid-19\">COVID-19\u003c/a> tore through California, Jennifer Hark Dietz had a decision to make. The state was making perhaps its biggest push ever to get people off the street, offering up billions of dollars for cities and organizations like hers to turn old motels into new homes.\u003c/p>\n\u003cp>It was risky. The Homekey program came with up-front cash and a promise to move fast and cut red tape. But it also meant taking on old buildings with little vetting, which had the potential to put a developer in a deep financial hole.\u003c/p>\n\u003cp>At first, the gamble paid off. In just a few months, Hark Dietz’s nonprofit, People Assisting The Homeless, was housing people in the old 40-room Hollywood Orchid Suites in Los Angeles. She called it a “shining light” for what seemed possible with the radical new program.\u003c/p>\n\u003cp>\u003c/p>\u003c/div>",
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"content": "\u003cdiv class=\"post-body\">\u003cp>\u003c/p>\n\u003cp>But then came a pale pink Travelodge in the suburb of Gardena. The city of LA had already bought the motel for $9 million, and Hark Dietz said her team didn’t have a chance to vet or tour the site. They’d only seen online photos and basic inspection reports before they took it over in December 2020. A city consultant estimated that it would take about $50,000 to start moving people into the roadside motel.\u003c/p>\n\u003cp>“Of course,” she said, “we know now that’s not the case.”\u003c/p>\n\u003cp>More than five years and nearly $3 million later, the motel — which turned out to need all new windows, plumbing and electrical, among other issues — was still vacant earlier this year. There was plywood over some of the windows, and someone had graffitied a ghost on one side.\u003c/p>\n\u003cfigure id=\"attachment_12082684\" class=\"wp-caption aligncenter\" style=\"max-width: 2000px\">\u003cimg loading=\"lazy\" decoding=\"async\" class=\"size-full wp-image-12082684\" src=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/homekey2.jpeg\" alt=\"\" width=\"2000\" height=\"1334\" srcset=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/homekey2.jpeg 2000w, https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/homekey2-160x107.jpeg 160w, https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/homekey2-1536x1025.jpeg 1536w\" sizes=\"auto, (max-width: 2000px) 100vw, 2000px\">\u003cfigcaption class=\"wp-caption-text\">Live Oak Apartments in Ukiah on Feb. 26. Live Oak offers its residents access to common spaces, such as a community garden and meeting rooms for visitors. \u003ccite>(Manuel Orbegozo for CalMatters)\u003c/cite>\u003c/figcaption>\u003c/figure>\n\u003cp>The boom-or-bust results in Los Angeles underscore how little is known publicly about a generational project with a high price tag and even higher stakes. Some projects were huge successes. Others were total failures. Dozens remain stuck in limbo. CalMatters found there’s been little public accountability for any of it.\u003c/p>\n\u003cp>Launched by Gov. Gavin Newsom in the summer of 2020, Homekey awarded more than $3.8 billion to local governments to convert motels and other buildings into homeless housing, thrusting many local governments into a new role running multimillion-dollar real estate projects. Cities and counties could hire outside contractors to help or do the work themselves, skipping some of the usual building process for the sake of speed.\u003c/p>\n\u003cp>It was unlike anything the state had ever done, largely because it sprang from desperation. Homekey launched during peak COVID, five months before vaccines were available, and after cities had already moved thousands of unhoused people into motels through \u003ca href=\"https://calmatters.org/housing/homelessness/2024/05/california-homeless-project-roomkey/\">Project Roomkey\u003c/a>, another Newsom program. But those rooms were temporary, and officials were scrambling to prevent a mass exodus back to the streets.\u003c/p>\u003c/div>",
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"content": "\u003cdiv class=\"post-body\">\u003cp>With Homekey, local officials across the state bought and gutted Motel 6s, Best Westerns and roadside inns. They got more creative as the program evolved: Tiny homes sprouted in Silicon Valley, and Santa Cruz retrofitted an old dentist’s office. In Southern California, housing took shape in a former Tri-Delt sorority house, an earthquake-stricken church and a hostel that once served as a refuge for Japanese Americans returning from World War II internment.\u003c/p>\n\u003cp>“What we’re doing here today is multiples of what any state in American history has committed to address this crisis of homelessness,” Newsom said at a \u003ca href=\"https://calmatters.org/housing/homelessness/2021/05/newsom-end-homelessness-pandemic-lessons/\">2021 press conference\u003c/a> announcing a major Homekey expansion.\u003c/p>\n\u003cp>The program came with little built-in oversight. Earlier this year, state lawmakers killed a bill to audit Homekey. No state agency has publicly analyzed the program in detail to find out what’s working and what’s not.\u003c/p>\n\u003cp>The challenge now: A new and more complex phase is already underway with up to $2 billion from the \u003ca href=\"https://calmatters.org/health/mental-health/2025/06/prop-1-mental-health-awards/\">voter-approved Prop. 1\u003c/a> mental health bond. But no one has publicly accounted for how many of the program’s original projects stalled out and how many succeeded.\u003c/p>\n\u003cp>To find out what happened, CalMatters filed more than 100 public records requests with cities and counties that were awarded Homekey funds. We asked for key details on 250 projects announced through the end of 2024, covering all but a handful of projects for which less public data was available. Those state and local records — along with dozens of visits to Homekey sites, plus interviews with people who built and lived in them — create a first-of-its-kind window into how it all played out.\u003c/p>\n\u003cp>Among our findings:\u003c/p>\n\u003cul>\n\u003cli>\u003cstrong>Homekey made producing housing simpler. But it came at a cost\u003c/strong>. Homekey provided billions of dollars in housing funding up front, allowing some developers to sidestep the usual webs of investors and lenders and finish much faster than normal. But fewer funders also means less oversight. With rushed vetting, some projects got bogged down in delays, blown budgets or worse. At least one Homekey developer was forced out of business by an unwieldy project. Another is facing fraud charges.\u003c/li>\n\u003cli>\u003cstrong>When Homekey worked, those involved stress that it \u003c/strong>\u003cstrong>\u003cem>really\u003c/em>\u003c/strong>\u003cstrong> worked.\u003c/strong> Nearly 13,500 people now live at Homekey sites, according to the state Housing Department. For small and rural communities, such as Glenn County, the program provided crucial cash for their first-ever homeless housing. Officials from Mendocino County to Ventura say they were able to stabilize people longer term by adding stronger ties to public services and extra investment in resources such as counseling.\u003c/li>\n\u003cli>\u003cstrong>Those successes magnify the opportunities squandered. \u003c/strong>Projects involving about 3,000 homes — roughly 1 in 5 promised by the program — weren’t finished as of the end of last year. Another 2,000 units have people living in them on a temporary basis but haven’t been converted into permanent housing, the program’s main goal. In 10 instances involving 500 more units, the state publicized grants that later were canceled or that never materialized because local officials or developers backed out.\u003c/li>\n\u003cli>\u003cstrong>A lack of transparency raises familiar questions about the program’s future\u003c/strong>. State officials stress that they have extended deadlines and improved vetting for the program’s latest bond-funded iteration, Homekey+. But they refused to publicly provide details about that vetting process. And as homeless services providers have long warned, there remains no guaranteed state funding to keep existing or planned Homekey projects going.\u003c/li>\n\u003c/ul>\n\u003cp>Yes, many Homekey projects opened late or over budget. But, officials emphasize, they still opened.\u003c/p>\n\u003cp>Newsom said he considers the program a “phenomenal success.”\u003c/p>\n\u003cfigure id=\"attachment_12076525\" class=\"wp-caption aligncenter\" style=\"max-width: 2000px\">\u003cimg loading=\"lazy\" decoding=\"async\" class=\"size-full wp-image-12076525\" src=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/03/260116-NewsomLuriePresser-33-BL_qed.jpg\" alt=\"\" width=\"2000\" height=\"1333\" srcset=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/03/260116-NewsomLuriePresser-33-BL_qed.jpg 2000w, https://cdn.kqed.org/wp-content/uploads/sites/10/2026/03/260116-NewsomLuriePresser-33-BL_qed-160x107.jpg 160w, https://cdn.kqed.org/wp-content/uploads/sites/10/2026/03/260116-NewsomLuriePresser-33-BL_qed-1536x1024.jpg 1536w\" sizes=\"auto, (max-width: 2000px) 100vw, 2000px\">\u003cfigcaption class=\"wp-caption-text\">Gov. Gavin Newsom speaks during a press conference at the Friendship House Association of American Indians in San Francisco on Jan. 16, 2026.\u003c/figcaption>\u003c/figure>\n\u003cp>“We’re talking about hundreds and hundreds of projects all across the state of California that they’re trying to manage and organize and operate,” he said when CalMatters asked about it at a recent press conference. “And I imagine each one of them brings its own opportunities and own challenges as we move forward and implement at a scale we’ve never implemented in the state’s history.”\u003c/p>\n\u003cp>Taryn Sandulyak knows that better than most. The Bay Area developer thought Homekey might be her big break, but it ultimately put her out of business. She sees a fundamental mismatch at the heart of the program. It wanted high quality, high speed and low budgets.\u003c/p>\n\u003cp>“You can only have two of those,” Sandulyak said. “You really can’t ever have three. That’s the issue with Homekey, is they give you not quite enough money to do it, and they want you to do it really, really fast and really, really well.”\u003c/p>\n\u003cp>The chasm between Homekey successes and failures isn’t a simple, one-size-fits-all story. But it does provide an outline of what it will take to make good on California’s big effort to finally make a dent in its homelessness crisis.\u003c/p>\n\u003ch2>‘Failing was not an option’\u003c/h2>\n\u003cp>On the west side of Ventura, just as the surf town creeps up into the hills toward Ojai, sits what used to be one of the city’s worst nuisance properties: a nearly 100-year-old apartment building once known, in a nod to local drug slang, as the “Booyah Mansion.”\u003c/p>\n\u003cp>The city’s housing authority, Ventura Housing, cobbled together enough money in 2019 to buy the building. But it didn’t have enough cash to fix all 300-something code violations at the crime-ridden property — until Homekey came along.\u003c/p>\n\u003cp>“We had some scary stuff go on here,” said Karen Flock, Ventura Housing’s real estate development director. “This property failing was not an option.”\u003c/p>\n\u003cfigure id=\"attachment_12082685\" class=\"wp-caption aligncenter\" style=\"max-width: 2000px\">\u003cimg loading=\"lazy\" decoding=\"async\" class=\"size-full wp-image-12082685\" src=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/homekey3.jpeg\" alt=\"\" width=\"2000\" height=\"1334\" srcset=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/homekey3.jpeg 2000w, https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/homekey3-160x107.jpeg 160w, https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/homekey3-1536x1025.jpeg 1536w\" sizes=\"auto, (max-width: 2000px) 100vw, 2000px\">\u003cfigcaption class=\"wp-caption-text\">Live Oak Apartments in Ukiah on Feb. 26. Live Oak offers its residents access to common spaces, such as a community garden and meeting rooms for visitors. \u003ccite>(Manuel Orbegozo for CalMatters)\u003c/cite>\u003c/figcaption>\u003c/figure>\n\u003cp>Now known as El Portal, the 29-unit apartment complex today serves as a lifeline for a mother with 9-year-old twins, one severely autistic. It’s a refuge for a woman who lived for six years in a city-funded Tuff Shed. Another neighbor still keeps his shopping cart from the street in his apartment as a reminder of what he’s been through, and why he can never go back.\u003c/p>\n\u003cp>Ventura and other cities and counties that were able to pull off Homekey projects relatively on time and on budget credit a variety of factors for their success. Some grantees provided services themselves rather than contracting them out, better integrating public resources. Others raised extra money for on-site social services or worked closely with first responders to head off concerns about crime and stabilize residents.\u003c/p>\n\u003cp>Jeffrey Lambert, CEO of Ventura Housing, said the crucial thing was realizing early that Homekey money alone isn’t nearly enough. Instead, the city combined it with other public and private funding, staffing and resources. Projects that failed or got stuck in limbo often fell apart after they ran out of money.\u003c/p>\n\u003cp>“Homekey works,” Lambert said, “because of all the stuff added on top of it.”\u003c/p>\n\u003cp>\u003c!-- iframe plugin v.4.3 wordpress.org/plugins/iframe/ -->\u003cbr>\n\u003ciframe loading=\"lazy\" title=\"Look up Homekey projects in your city or county\" aria-label=\"Table\" id=\"datawrapper-chart-kiDgD\" src=\"https://datawrapper.dwcdn.net/kiDgD/8/\" scrolling=\"no\" frameborder=\"0\" style=\"width: 0; min-width: 100% !important; border: none;\" height=\"550\" data-external=\"1\" width=\"100%\" class=\"iframe-class\">\u003c/iframe>\u003c/p>\n\u003cp>For housing researchers such as Ryan Finnigan, deputy director of research at UC Berkeley’s Terner Center for Housing Innovation, the real strength of Homekey was not the building minutiae. It was an attempt to challenge the state’s status quo of painstakingly slow housing development while people kept pouring onto the streets.\u003c/p>\n\u003cp>“If we’re not willing to try a new approach,” he said, “then we’re not going to learn as much about how we can be more creative, how we can work with more urgency than the current systems.”\u003c/p>\n\u003cp>As fraught and full of delays as the construction process can be, getting a project completed is often just the first hurdle for Homekey. Once a project opens its doors, it typically needs significant resources in addition to the state funding. Mendocino County credits much of its project’s success to extra services for residents, which aren’t paid for by the state grant, said Megan Van Sant, a senior program manager for the county who oversees the Homekey site.\u003c/p>\n\u003cp>At the former Best Western hotel now known as Live Oak Apartments, there’s a therapist on retainer for tenants, plus a dog trainer paid to work with problem pets. Both try to help residents resolve any issues that come up before they escalate into grounds for an eviction.\u003c/p>\n\u003cp>To provide those extras, the county runs the project itself, rather than contracting with an outside service provider as many Homekey projects do. Two county staffers work full-time inside the building, using their connections to do everything from enrolling residents in Medi-Cal to pairing them with mental health services.\u003c/p>\n\u003cp>All that is expensive.\u003c/p>\n\u003cfigure id=\"attachment_12082686\" class=\"wp-caption aligncenter\" style=\"max-width: 2000px\">\u003cimg loading=\"lazy\" decoding=\"async\" class=\"size-full wp-image-12082686\" src=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/homekey4.jpeg\" alt=\"\" width=\"2000\" height=\"1334\" srcset=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/homekey4.jpeg 2000w, https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/homekey4-160x107.jpeg 160w, https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/homekey4-1536x1025.jpeg 1536w\" sizes=\"auto, (max-width: 2000px) 100vw, 2000px\">\u003cfigcaption class=\"wp-caption-text\">Resident Sherry Collins inside her room at Live Oak Apartments in Ukiah on Feb. 26. \u003ccite>(Manuel Orbegozo for CalMatters)\u003c/cite>\u003c/figcaption>\u003c/figure>\n\u003cp>“I think the state should continue to support these projects,” Van Sant said. “The state asked communities to do these projects, and they cost more to do well than what you can earn in rent.”\u003c/p>\n\u003cp>Sherry Collins, 66, moved into the project three years ago, at a time when she was terrified of what would come next. Her husband had died, her health was failing, she couldn’t work, and she couldn’t afford to keep living in her cabin in the tiny coastal city of Fort Bragg.\u003c/p>\n\u003cp>Now she feels like she’s home. Collins decorated the window of her room with little red and pink hearts and adopted a kitten with extra toes, whom she named Mr. Handsome.\u003c/p>\n\u003cp>She continues to deal with health challenges after losing a leg to diabetes about a year ago. The building has only four units accessible for people with disabilities, making it a challenge to accommodate everyone, but one recently opened up for Collins, where she can more comfortably shower.\u003c/p>\n\u003cp>“They have been awesome to me,” Collins said. “They’re more like family.”\u003c/p>\n\u003ch2>Never-ending projects\u003c/h2>\n\u003cp>For Sandulyak, Homekey was too good to refuse.\u003c/p>\n\u003cp>Five years earlier she had co-founded Firm Foundation Community Housing, which helped Bay Area churches turn their parking lots and backyards into tiny homes for homeless residents.\u003c/p>\n\u003cp>Homekey was a once-in-a-lifetime opportunity to dramatically scale up that vision by using millions in state funds to house dozens of people in Vallejo. It would be the small nonprofit’s most ambitious project by far.\u003c/p>\n\u003cfigure id=\"attachment_12082687\" class=\"wp-caption aligncenter\" style=\"max-width: 2000px\">\u003cimg loading=\"lazy\" decoding=\"async\" class=\"size-full wp-image-12082687\" src=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/homekey5.jpeg\" alt=\"\" width=\"2000\" height=\"1333\" srcset=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/homekey5.jpeg 2000w, https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/homekey5-160x107.jpeg 160w, https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/homekey5-1536x1024.jpeg 1536w\" sizes=\"auto, (max-width: 2000px) 100vw, 2000px\">\u003cfigcaption class=\"wp-caption-text\">The official ribbon cutting at the grand opening of Broadway Village in Vallejo on March 5. \u003ccite>(Nathan Weyland for CalMatters)\u003c/cite>\u003c/figcaption>\u003c/figure>\n\u003cp>Sandulyak never suspected that by applying for Homekey, she had doomed her organization.\u003c/p>\n\u003cp>Firm Foundation was awarded $12 million in 2022 to build a 47-unit modular apartment building called the Broadway Project. Over the next four years, nearly everything that could go wrong did.\u003c/p>\n\u003cp>Some problems had nothing to do with Homekey. The general contractor went bankrupt, and the nonprofit tapped to operate the facility squabbled with the city, leaving the project in limbo for a year. The state wouldn’t let Firm Foundation pick a new partner to run the housing, which Sandulyak says further delayed the opening.\u003c/p>\n\u003cp>Other problems were directly related to Homekey. By design, the program forced cities to take a much more hands-on role with housing development than they were used to. Vallejo wasn’t prepared for that responsibility. It fumbled its attempt to get a key federal grant and failed to set up important safeguards that protect affordable housing projects from financial risks.\u003c/p>\n\u003cp>Soon, Sandulyak had $2 million in bills and no way to pay them. With construction three-quarters done, the project ran out of money. Firm Foundation was forced to stop work.\u003c/p>\n\u003cp>It became such a nightmare that the Vallejo City Council asked for an independent audit to find out what went wrong and why. The \u003ca href=\"https://www.documentcloud.org/documents/28094481-vallejo-broadway-affordable-housing-report/\">audit blamed\u003c/a> both the city and Firm Foundation for allowing the project to run out of money before it was finished. Firm Foundation vastly underestimated the project’s cost, and the city bungled efforts to secure additional funds.\u003c/p>\n\u003cp>In some ways, the audit found, the very nature of Homekey helped set the project up for failure.\u003c/p>\n\u003cfigure id=\"attachment_12023514\" class=\"wp-caption aligncenter\" style=\"max-width: 2000px\">\u003cimg loading=\"lazy\" decoding=\"async\" class=\"size-full wp-image-12023514\" src=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2025/01/20250114_Mare-Island_DMB_00333.jpg\" alt=\"\" width=\"2000\" height=\"1333\" srcset=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2025/01/20250114_Mare-Island_DMB_00333.jpg 2000w, https://cdn.kqed.org/wp-content/uploads/sites/10/2025/01/20250114_Mare-Island_DMB_00333-800x533.jpg 800w, https://cdn.kqed.org/wp-content/uploads/sites/10/2025/01/20250114_Mare-Island_DMB_00333-1020x680.jpg 1020w, https://cdn.kqed.org/wp-content/uploads/sites/10/2025/01/20250114_Mare-Island_DMB_00333-160x107.jpg 160w, https://cdn.kqed.org/wp-content/uploads/sites/10/2025/01/20250114_Mare-Island_DMB_00333-1536x1024.jpg 1536w, https://cdn.kqed.org/wp-content/uploads/sites/10/2025/01/20250114_Mare-Island_DMB_00333-1920x1280.jpg 1920w\" sizes=\"auto, (max-width: 2000px) 100vw, 2000px\">\u003cfigcaption class=\"wp-caption-text\">A kayaker floats down the Napa River past the Navy Yard of Mare Island in the city of Vallejo, Tuesday, Jan. 14, 2025. \u003ccite>(David M. Barreda/KQED)\u003c/cite>\u003c/figcaption>\u003c/figure>\n\u003cp>One big problem was the timeline. Homekey required projects to finish construction within one year of their award, and to move people in 90 days after that. To meet those deadlines, Firm Foundation created budgets before the architectural drawings were even done, contributing to serious cost underestimates, the audit found.\u003c/p>\n\u003cp>The audit also found a lack of oversight at the Broadway Project, which it said is typical of Homekey projects. Normally, a single affordable housing project uses funding from multiple sources, including the city, the county, the state, federal funds, tax credits, private banks and more. The more funders and investors, the more eyes watching and holding the developer accountable. With Homekey, the city applying for the grant typically takes on all those risks by itself, the audit found.\u003c/p>\n\u003cp>On a recent Thursday morning, Sandulyak gathered with city officials and her construction partners in front of a crowd to celebrate what they, at times, had thought would be impossible: the Broadway Project was finally open. Behind them rose the terracotta-colored wall of the sleek, new, modular apartment building. A red ribbon waited in front of them.\u003c/p>\n\u003cp>On the count of three, Sandulyak helped Vallejo’s assistant city manager snip the ribbon. The crowd cheered.\u003c/p>\n\u003cp>The project ended up coming in two and a half years late and 70% over budget. Despite those setbacks, the audit found it \u003cem>still \u003c/em>cost less per unit and was built more quickly than the region’s average affordable housing project.\u003c/p>\n\u003cp>But it cost Sandulyak everything. She laid off three of her four employees, and she plans to lay off the last one and dissolve her organization. The nonprofit is still on the hook for more than $1 million in unpaid bills related to the project.\u003c/p>\n\u003cfigure id=\"attachment_12082708\" class=\"wp-caption aligncenter\" style=\"max-width: 1980px\">\u003cimg loading=\"lazy\" decoding=\"async\" class=\"size-full wp-image-12082708\" src=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/GettyImages-2172244931.jpg\" alt=\"\" width=\"1980\" height=\"1367\" srcset=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/GettyImages-2172244931.jpg 1980w, https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/GettyImages-2172244931-160x110.jpg 160w, https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/GettyImages-2172244931-1536x1060.jpg 1536w\" sizes=\"auto, (max-width: 1980px) 100vw, 1980px\">\u003cfigcaption class=\"wp-caption-text\">Governor Gavin Newsom speaks during a press conference of housing & homelessness with new legislation and funding and bills signing, along with other local, state and federal leaders are gathered in San Francisco, California, United States on Sept. 19, 2024. \u003ccite>(Tayfun Coskun/Anadolu via Getty Images)\u003c/cite>\u003c/figcaption>\u003c/figure>\n\u003cp>Despite her pride in the finished building, Sandulyak wonders how much more housing her nonprofit could have built — if only she’d never applied for Homekey.\u003c/p>\n\u003cp>Still, 52 people now have somewhere to call home.\u003c/p>\n\u003cp>“I’m unshaken in my belief that that is worth it,” Sandulyak said.\u003c/p>\n\u003cp>One of those people is 62-year-old Terrence White, a former refinery worker who was forced into early retirement by an injury and can’t afford market-rate rent. Now, he pays $294 a month and finally has his own place.\u003c/p>\n\u003cp>“It feels wonderful,” he said.\u003c/p>\n\u003ch2>The Homekey gold rush\u003c/h2>\n\u003cp>During the frantic first two years of Homekey, when many experienced affordable housing developers were sitting out the untested new program, an LA company called Shangri-La Industries stepped in to help fill the void. It scored nearly $115 million in contracts to build 500 homes for homeless Californians in cities from Salinas to San Bernardino.\u003c/p>\n\u003cp>But a \u003ca href=\"https://www.documentcloud.org/documents/28097013-holmes-indictment/\">federal indictment\u003c/a> and a separate civil lawsuit allege that millions in state funds instead went to fund a lavish lifestyle for the company’s chief financial officer.\u003c/p>\n\u003cp>Among the charges attributed in \u003ca href=\"https://www.documentcloud.org/documents/28097094-shangri-la-v-holmes/\">court records\u003c/a> to Shangri-La’s former CFO, Cody Holmes: $46,000 in monthly rent for a Beverly Hills house with a pool. Designer gifts for a girlfriend, including a $127,000 diamond necklace and a $111,000 crocodile Birkin bag. A $5,000-a-month lease on a Ferrari Portofino. Another $53,000 for Coachella passes, and $44,000 for flights on private jets.\u003c/p>\n\u003cfigure id=\"attachment_12082689\" class=\"wp-caption aligncenter\" style=\"max-width: 2000px\">\u003cimg loading=\"lazy\" decoding=\"async\" class=\"size-full wp-image-12082689\" src=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/homekey7.jpeg\" alt=\"\" width=\"2000\" height=\"1333\" srcset=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/homekey7.jpeg 2000w, https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/homekey7-160x107.jpeg 160w, https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/homekey7-1536x1024.jpeg 1536w\" sizes=\"auto, (max-width: 2000px) 100vw, 2000px\">\u003cfigcaption class=\"wp-caption-text\">The Quality Inn & Suites building, a former Shangri-La project, stands vacant in Thousand Oaks on Feb. 26. \u003ccite>(Julie Leopo-Bermudez for CalMatters)\u003c/cite>\u003c/figcaption>\u003c/figure>\n\u003cp>All this while many of the desperately needed motel rooms sat empty.\u003c/p>\n\u003cp>Homekey set a low bar for contractors to qualify: They had to have worked on at least two affordable housing projects that included at least one homeless tenant.\u003c/p>\n\u003cp>Shangri-La easily cleared that hurdle. But had any state or local officials done more digging, they might have seen warning signs.\u003c/p>\n\u003cp>Shangri-La’s construction business was sued twice for breach of contract in \u003ca href=\"https://www.documentcloud.org/documents/28094732-shangri-la-2018-breach-contract-complaint/\">2018\u003c/a> and \u003ca href=\"https://www.documentcloud.org/documents/28094731-shangri-la-2019-contract-fraud-complaint/\">2019\u003c/a>, court records show, after two firms alleged that it failed to pay them. The company was also a contractor on a troubled LA veteran housing project, where records first \u003ca href=\"https://www.kcrw.com/shows/greater-la/stories/30-million-motel-homeless-shelter-prop-hhh-taxpayer-oversight-la\">reported by KCRW\u003c/a> show Shangri-La partners sold the property to themselves, increasing the project’s budget by $8 million.\u003c/p>\n\u003cp>With Homekey, federal \u003ca href=\"https://www.justice.gov/usao-cdca/pr/beverly-hills-man-arrested-brentwood-man-charged-separate-criminal-cases-linked-fraud\">prosecutors allege\u003c/a> that Holmes “knowingly submitted fake bank records” to the state Housing Department to boost Shangri-La’s credentials — financial claims that state officials apparently failed to verify with the banks. Holmes has pleaded not guilty, and an attorney representing him declined to comment.\u003c/p>\n\u003cp>As the company took on the Homekey projects, property records show that entities connected to Shangri-La or its partners paid around $13 million for actress Milla Jovovich’s Beverly Hills mansion, adding to a portfolio that included a $7 million oceanfront home in Long Beach purchased two years earlier.\u003c/p>\n\u003cfigure id=\"attachment_12082690\" class=\"wp-caption aligncenter\" style=\"max-width: 2000px\">\u003cimg loading=\"lazy\" decoding=\"async\" class=\"size-full wp-image-12082690\" src=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/homekey8.jpeg\" alt=\"\" width=\"2000\" height=\"1334\" srcset=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/homekey8.jpeg 2000w, https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/homekey8-160x107.jpeg 160w, https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/homekey8-1536x1025.jpeg 1536w\" sizes=\"auto, (max-width: 2000px) 100vw, 2000px\">\u003cfigcaption class=\"wp-caption-text\">The Quality Inn & Suites building, a former Shangri-La project, stands vacant in Thousand Oaks on Feb. 26. \u003ccite>(Julie Leopo-Bermudez for CalMatters)\u003c/cite>\u003c/figcaption>\u003c/figure>\n\u003cp>In a separate \u003ca href=\"https://www.documentcloud.org/documents/28093061-hcd-vs-shangri-la-complaint/\">civil fraud case\u003c/a>, state prosecutors allege in court records that Shangri-La went behind the state’s back and took out undisclosed loans on the Homekey buildings, giving up control of the sites and violating their contract with the state. That became a major problem when the company defaulted on the loans.\u003c/p>\n\u003cp>For several of the properties, no one had filed crucial paperwork to ensure that they remained affordable housing. After the buildings ended up in foreclosure, some were scooped up by companies with no commitment to homeless housing.\u003c/p>\n\u003cp>Homekey contracts tasked local officials with vetting projects and reviewing contractors’ organizational documents, budgets and other key details. But records show state officials also reviewed Shangri-La’s financials, and once they paid out the Homekey money, they failed to verify that paperwork was completed to restrict the buildings to affordable housing.\u003c/p>\u003c/div>",
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"content": "\u003cdiv class=\"post-body\">\u003cp>The state Housing Department and several local governments that hired Shangri-La for Homekey projects declined to comment, citing ongoing litigation.\u003c/p>\n\u003cp>Andy Meyers, the former CEO of Shangri-La, acknowledged in an interview that he had “a lack of control” over his company. He has sued Holmes for fraud. He also blamed the local and state officials.\u003c/p>\n\u003cp>“My CFO had a lot of wrongdoing,” he said. “But it was a confluence of events that caused each project to go bad.”\u003c/p>\n\u003cp>Meyers said officials’ failure to file the proper affordable housing restrictions, which were also required by his lender, triggered a financial disaster that led his company to default on some of the properties. On two projects that Shangri-La did open in San Bernardino and Salinas, he estimated that the company incurred around $11 million in unexpected costs.\u003c/p>\n\u003cp>“We have spent so much money following their guidelines and following their timetables,” he said, “and they never followed their guidelines or timetables.”\u003c/p>\n\u003cp>Monterey County Supervisor Chris Lopez rallied support for a Homekey project in his hometown of King City. He thought Shangri-La made sense for four projects in the county, since it had already opened one Homekey site in Salinas.\u003c/p>\n\u003cp>But it didn’t take long for constituents to start asking why rooms were sitting empty behind chain-link fences.\u003c/p>\n\u003cfigure id=\"attachment_12028078\" class=\"wp-caption aligncenter\" style=\"max-width: 1568px\">\u003cimg loading=\"lazy\" decoding=\"async\" class=\"size-full wp-image-12028078\" src=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2025/02/021125-ICE-Schools-Salinas-LV_34-copy.jpg\" alt=\"\" width=\"1568\" height=\"1045\" srcset=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2025/02/021125-ICE-Schools-Salinas-LV_34-copy.jpg 1568w, https://cdn.kqed.org/wp-content/uploads/sites/10/2025/02/021125-ICE-Schools-Salinas-LV_34-copy-800x533.jpg 800w, https://cdn.kqed.org/wp-content/uploads/sites/10/2025/02/021125-ICE-Schools-Salinas-LV_34-copy-1020x680.jpg 1020w, https://cdn.kqed.org/wp-content/uploads/sites/10/2025/02/021125-ICE-Schools-Salinas-LV_34-copy-160x107.jpg 160w, https://cdn.kqed.org/wp-content/uploads/sites/10/2025/02/021125-ICE-Schools-Salinas-LV_34-copy-1536x1024.jpg 1536w\" sizes=\"auto, (max-width: 1568px) 100vw, 1568px\">\u003cfigcaption class=\"wp-caption-text\">A person drives a tractor through a field of crops on farmland near Salinas on Feb. 11, 2025. \u003ccite>(Larry Valenzuela/CalMatters/CatchLight Local)\u003c/cite>\u003c/figcaption>\u003c/figure>\n\u003cp>“The longer it went on without seeing any movement, the flag started to get raised,” Lopez said. “I was starting to hear less and less communication and more sort of finger pointing\u003cem>.”\u003c/em>\u003c/p>\n\u003cp>Local officials like Lopez had to start from scratch, raising millions more dollars to revive the projects as encampments swelled. It took 10 different deals totaling $16 million to open the King City project in March, three years behind schedule.\u003c/p>\n\u003cp>The full trail of Shangri-La’s deceit stretches from the state’s agricultural heartland to the edge of the Southern California desert. A $27 million Thousand Oaks hotel project sits abandoned today, robbing a region of 77 homes while it had a decade-long housing waitlist. Another $16 million project scrapped in Salinas would have provided 58 homes. Officials still plan to salvage 200 homes in other parts of Monterey County. The only two Shangri-La projects that stayed open during the legal battle, two motels in Southern California, were full of people who were plunged into messy foreclosure disputes.\u003c/p>\n\u003cp>Carrie Harmon, San Bernardino County’s director of community development and housing, said in an email that “the county entered into this effort in good faith, relying on representations that later proved to be inaccurate.”\u003c/p>\u003c/div>",
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"content": "\u003cdiv class=\"post-body\">\u003cp>Even some of those whose Homekey projects went well say they’re not surprised that things went sideways. In Mendocino County, Van Sant said the state’s oversight was limited to quarterly progress reports. Once the money was spent, the state stopped asking for any information at all.\u003c/p>\n\u003cp>“They gave us a bunch of money, made us do some paperwork, and then they’re out of here,” Van Sant said.\u003c/p>\n\u003cp>For Colleen Robinson, public officials’ failure to see the red flags with Shangri-La was life-changing.\u003c/p>\n\u003cp>Robinson, now 62, survived years on the street after losing her job and fleeing a bad relationship. The All Star Lodge in downtown San Bernardino was her chance to start over. Shangri-La did manage to renovate and open that project in late 2022.\u003c/p>\n\u003cp>Two years later, the bank foreclosed. Because no one had put the affordable housing restriction on the property, the new owner told Robinson and other tenants that it was going to quadruple the rent. She said the new owner neglected the building; weeds and stray cats reclaimed the parking lot, police sirens blared, and neighbors died with little explanation.\u003c/p>\n\u003cp>“This would give hell a run for its money,” Robinson said.\u003c/p>\n\u003cp>Harmon said the county was still trying to buy the building and figure something out, but Robinson didn’t wait around to see how the saga ended. On a Thursday in February, she packed up and boarded a Greyhound bus for Iowa, where one of her children lives.\u003c/p>\n\u003ch2>Homeless veterans still waiting\u003c/h2>\n\u003cp>Some Homekey projects still haven’t opened.\u003c/p>\n\u003cp>Santa Cruz County has three badly delayed Homekey projects, one of which will be more than four years late when it is slated to finally be finished at the end of next year. For that project, the county obtained more than $6 million to convert rustic vacation cabins under a grove of redwood trees into housing for homeless veterans. The state initially set a completion deadline of 2023, but the project ran out of money before it crossed the finish line, forcing construction to stop.\u003c/p>\n\u003cp>There were many reasons why, but one stands out: underestimating the cost, said Robert Ratner, director of Santa Cruz County’s Housing for Health division.\u003c/p>\n\u003cfigure id=\"attachment_12082694\" class=\"wp-caption aligncenter\" style=\"max-width: 2000px\">\u003cimg loading=\"lazy\" decoding=\"async\" class=\"size-full wp-image-12082694\" src=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/homekey9.jpeg\" alt=\"\" width=\"2000\" height=\"1333\" srcset=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/homekey9.jpeg 2000w, https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/homekey9-160x107.jpeg 160w, https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/homekey9-1536x1024.jpeg 1536w\" sizes=\"auto, (max-width: 2000px) 100vw, 2000px\">\u003cfigcaption class=\"wp-caption-text\">An unfinished motel conversion in the Encino neighborhood of Los Angeles on January 27. The project is expected to finish more than a year after the original deadline, city records show. \u003ccite>(Courtesy of CalMatters)\u003c/cite>\u003c/figcaption>\u003c/figure>\n\u003cp>The developers had never undertaken a project this large, and that inexperience contributed to the budgeting error, Ratner said. But so did the design of Homekey, which capped what the state was willing to pay per unit at about half what it takes to build affordable housing in some parts of California.\u003c/p>\n\u003cp>The idea was that projects would be cheaper because they were converting existing buildings, while also cutting out extra layers of bureaucracy that add time and expense. That led developers to low-ball budgets, which came back to bite them when the savings weren’t as great as anticipated, Ratner said.\u003c/p>\n\u003cp>Once the budgeting error was made, neither the state nor the county caught it, Ratner said. The county assumed that the state would scrutinize all Homekey applications and throw out any that didn’t seem viable, Ratner said. But it appears that in reality, the state was relying on the counties to do that vetting.\u003c/p>\n\u003cp>Santa Cruz County had little experience analyzing whether a construction project was adequately budgeted. Typically, the county relies on other funders, such as construction lenders and tax credit investors, to do that job. But those investors weren’t present here.\u003c/p>\n\u003cp>When asked whether he and his colleagues had done their due diligence to make sure the projects were realistic, Ratner was straightforward.\u003c/p>\n\u003cfigure id=\"attachment_11682474\" class=\"wp-caption aligncenter\" style=\"max-width: 1920px\">\u003cimg loading=\"lazy\" decoding=\"async\" class=\"size-full wp-image-11682474\" src=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2018/07/SantaCruzBeach.jpg\" alt=\"Visitors enjoy the beach below West Cliff Drive in Santa Cruz. Santa Cruz County has the second-highest poverty rate in the state, after Los Angeles.\" width=\"1920\" height=\"1226\" srcset=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2018/07/SantaCruzBeach.jpg 1920w, https://cdn.kqed.org/wp-content/uploads/sites/10/2018/07/SantaCruzBeach-160x102.jpg 160w, https://cdn.kqed.org/wp-content/uploads/sites/10/2018/07/SantaCruzBeach-800x511.jpg 800w, https://cdn.kqed.org/wp-content/uploads/sites/10/2018/07/SantaCruzBeach-1020x651.jpg 1020w, https://cdn.kqed.org/wp-content/uploads/sites/10/2018/07/SantaCruzBeach-1200x766.jpg 1200w, https://cdn.kqed.org/wp-content/uploads/sites/10/2018/07/SantaCruzBeach-1180x753.jpg 1180w, https://cdn.kqed.org/wp-content/uploads/sites/10/2018/07/SantaCruzBeach-960x613.jpg 960w, https://cdn.kqed.org/wp-content/uploads/sites/10/2018/07/SantaCruzBeach-240x153.jpg 240w, https://cdn.kqed.org/wp-content/uploads/sites/10/2018/07/SantaCruzBeach-375x239.jpg 375w, https://cdn.kqed.org/wp-content/uploads/sites/10/2018/07/SantaCruzBeach-520x332.jpg 520w\" sizes=\"auto, (max-width: 1920px) 100vw, 1920px\">\u003cfigcaption class=\"wp-caption-text\">Visitors in Santa Cruz enjoy the beach below West Cliff Drive. Santa Cruz County has the second-highest poverty rate in the state, after Los Angeles. \u003ccite>(Stephen Dunn/Getty Images)\u003c/cite>\u003c/figcaption>\u003c/figure>\n\u003cp>“I would say no,” Ratner said. “I can’t say yes with a straight face at this juncture.”\u003c/p>\n\u003cp>Other projects just never happened.\u003c/p>\n\u003cp>A $14 million Homekey award was supposed to help breathe new life into the Hotel Travelers, a rundown, century-old building in Oakland’s Chinatown, as housing for people returning from incarceration. But once the developer got a look at the building, that plan fell apart. An inspection revealed such severe issues with the building’s construction that the developer determined it would be “morally untenable” to proceed. Oakland returned the grant.\u003c/p>\n\u003cp>In total, CalMatters found at least 10 cases where a Homekey award was announced, only for the grantee to later withdraw their application, return or redirect the money, or have the state claw it back. Some instances had more public explanation than others.\u003c/p>\n\u003cp>City officials in Fresno voted down their own project. Long Beach was unable to come up with a suitable location for $2 million worth of brand-new tiny homes left sitting in storage. Projects in Marin and Mariposa counties evaporated when real estate deals fell through, and the state rescinded its grant for a project in Salinas after a nonprofit partner pulled out.\u003c/p>\n\u003ch2>Newsom’s legacy and a financial cliff\u003c/h2>\n\u003cp>Despite the vastly different outcomes at Homekey projects around the state, there’s no plan for a comprehensive audit to see what worked and what didn’t — a decision that raises the question of whether the state has done enough to grapple with Homekey as it forges ahead with the new version of the program, Homekey+.\u003c/p>\n\u003cp>Earlier this year, lawmakers nixed a public accounting proposed by \u003ca href=\"https://calmatters.digitaldemocracy.org/legislators/leticia-castillo-187479\">Assemblymember Leticia Castillo\u003c/a>, a Republican from Corona.\u003c/p>\n\u003cp>“While the program has expanded housing options, critical questions remain about its long-term impact and cost-effectiveness,” a \u003ca href=\"https://ad58.asmrc.org/wp-content/uploads/2025/02/Homekey-Program-Audit-Fact-Sheet.pdf\">summary\u003c/a> of \u003ca href=\"https://calmatters.digitaldemocracy.org/bills/ca_202520260ab505\">Assembly Bill 505\u003c/a> said. “It is unclear how many Homekey-funded units remain occupied after one year, how many individuals successfully transition to stable, long-term housing, and whether Homekey’s cost per unit is competitive.”\u003c/p>\n\u003cfigure id=\"attachment_12029662\" class=\"wp-caption aligncenter\" style=\"max-width: 2000px\">\u003cimg loading=\"lazy\" decoding=\"async\" class=\"size-full wp-image-12029662\" src=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2025/03/020624_No-Place-Like-Home_CC_CM_12-copy.jpg\" alt=\"\" width=\"2000\" height=\"1333\" srcset=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2025/03/020624_No-Place-Like-Home_CC_CM_12-copy.jpg 2000w, https://cdn.kqed.org/wp-content/uploads/sites/10/2025/03/020624_No-Place-Like-Home_CC_CM_12-copy-800x533.jpg 800w, https://cdn.kqed.org/wp-content/uploads/sites/10/2025/03/020624_No-Place-Like-Home_CC_CM_12-copy-1020x680.jpg 1020w, https://cdn.kqed.org/wp-content/uploads/sites/10/2025/03/020624_No-Place-Like-Home_CC_CM_12-copy-160x107.jpg 160w, https://cdn.kqed.org/wp-content/uploads/sites/10/2025/03/020624_No-Place-Like-Home_CC_CM_12-copy-1536x1024.jpg 1536w, https://cdn.kqed.org/wp-content/uploads/sites/10/2025/03/020624_No-Place-Like-Home_CC_CM_12-copy-1920x1280.jpg 1920w\" sizes=\"auto, (max-width: 2000px) 100vw, 2000px\">\u003cfigcaption class=\"wp-caption-text\">Framers work to build the Ruby Street apartments in Castro Valley on Feb. 6, 2024. The construction project is funded by the No Place Like Home bond, which passed in 2018 to create affordable housing for homeless residents experiencing mental health issues. \u003ccite>(Camille Cohen for CalMatters)\u003c/cite>\u003c/figcaption>\u003c/figure>\n\u003cp>The bill was never publicly debated. It died in January.\u003c/p>\n\u003cp>The state did do one \u003ca href=\"https://calmatters.org/housing/homelessness/2024/04/california-homelessness-spending/\">audit of multiple homeless services programs\u003c/a> in 2024. It didn’t get into Homekey delays or what actually happened to people living in the buildings, but it analyzed the costs of eight projects.\u003c/p>\n\u003cp>Based on that small sample, the auditor concluded that Homekey was “likely” cost-effective, with an average cost of $144,000 per unit, compared to the hundreds of thousands of dollars more it can cost for new construction in California.\u003c/p>\n\u003cp>The challenge is that when Homekey plans fell short of ambitions at job sites around the state, the consequences were often murky. In extreme cases, where cities acknowledged that projects failed to materialize, the state has clawed back grants.\u003c/p>\n\u003cp>But usually, the main penalty for blown deadlines or other missteps is that the state may hold it against a local government or developer the next time it applies for funding — a dynamic that provides no public transparency.\u003c/p>\n\u003cp>What happens next will be left up to a new state housing agency \u003ca href=\"https://www.bcsh.ca.gov/about/reorganization.html\">set to be launched\u003c/a> this summer, the California Housing and Homelessness Agency. That effort is expected to include a new development committee to “provide centralized, coordinated guidance to state housing policy and funding decisions.”\u003c/p>\n\u003cfigure id=\"attachment_11877271\" class=\"wp-caption aligncenter\" style=\"max-width: 1920px\">\u003cimg loading=\"lazy\" decoding=\"async\" class=\"size-full wp-image-11877271\" src=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2021/06/RS49740_009_MountainView_ProjectHomekey_06082021-qut.jpg\" alt=\"\" width=\"1920\" height=\"1278\" srcset=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2021/06/RS49740_009_MountainView_ProjectHomekey_06082021-qut.jpg 1920w, https://cdn.kqed.org/wp-content/uploads/sites/10/2021/06/RS49740_009_MountainView_ProjectHomekey_06082021-qut-800x533.jpg 800w, https://cdn.kqed.org/wp-content/uploads/sites/10/2021/06/RS49740_009_MountainView_ProjectHomekey_06082021-qut-1020x679.jpg 1020w, https://cdn.kqed.org/wp-content/uploads/sites/10/2021/06/RS49740_009_MountainView_ProjectHomekey_06082021-qut-160x107.jpg 160w, https://cdn.kqed.org/wp-content/uploads/sites/10/2021/06/RS49740_009_MountainView_ProjectHomekey_06082021-qut-1536x1022.jpg 1536w\" sizes=\"auto, (max-width: 1920px) 100vw, 1920px\">\u003cfigcaption class=\"wp-caption-text\">Final construction is completed on a row of housing units at LifeMoves Mountain View, a modular housing community, on June 8, 2021. The site, part of California’s Homekey program, provides temporary housing and resources to people in the city who are currently homeless. \u003ccite>(Beth LaBerge/KQED)\u003c/cite>\u003c/figcaption>\u003c/figure>\n\u003cp>For now, the state’s Housing Department maintains that it “monitors each project closely” if issues arise or deadline extensions are granted. Even with widespread delays, the agency maintains that “Homekey has helped build more and faster.”\u003c/p>\n\u003cp>The state said it is learning as it gives out the new Homekey+ funding.\u003c/p>\n\u003cp>After seeing so many projects miss the one-year deadline, the state doubled the timeline for new construction to two years. Homekey+ projects that \u003ca href=\"https://www.hcd.ca.gov/sites/default/files/docs/grants-and-funding/homekey/hk-plus-nofa-amendment.pdf\">serve veterans\u003c/a> now can propose bigger budgets for new builds, potentially addressing the issue of under-budgeted projects running out of money.\u003c/p>\n\u003cp>Officials also said they’re scrutinizing applications more closely now, including looking carefully at whether applicants are budgeting enough funds for their proposed projects, said California Health and Human Services Secretary Kim Johnson.\u003c/p>\n\u003cp>“We are improving our own vetting process, if you will,” she said during a recent news conference, “to ensure these projects are successful in delivering.”\u003c/p>\n\u003cp>The state’s housing department maintains that Homekey accomplished a major feat: building thousands of units despite a global pandemic, labor shortages, supply chain issues and other challenges.\u003c/p>\n\u003cfigure id=\"attachment_12082698\" class=\"wp-caption aligncenter\" style=\"max-width: 2000px\">\u003cimg loading=\"lazy\" decoding=\"async\" class=\"size-full wp-image-12082698\" src=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/homekey9-1.jpg\" alt=\"\" width=\"2000\" height=\"1333\" srcset=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/homekey9-1.jpg 2000w, https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/homekey9-1-160x107.jpg 160w, https://cdn.kqed.org/wp-content/uploads/sites/10/2026/05/homekey9-1-1536x1024.jpg 1536w\" sizes=\"auto, (max-width: 2000px) 100vw, 2000px\">\u003cfigcaption class=\"wp-caption-text\">Gary Wish stands outside El Portal apartments in Ventura on Feb. 26, 2026. \u003ccite>(Julie Leopo-Bermudez for CalMatters)\u003c/cite>\u003c/figcaption>\u003c/figure>\n\u003cp>“It is tremendously rewarding to see so many vulnerable Californians housed so quickly, and to have voters expand the successful Homekey model to house and support veterans and others facing behavioral health challenges,” Assistant Deputy Director Cari Scott said in a statement.\u003c/p>\n\u003cp>As the state’s housing policies shift, there’s one big question left for people like Van Sant in Mendocino: Will there be enough money to keep Homekey projects running?\u003c/p>\n\u003cp>Most of the projects have a pay-as-you-go model, versus standard 10- or 15-year affordable housing financing — a calculation that leaves a financial cliff looming for thousands of Homekey homes.\u003c/p>\n\u003cp>“If [Homekey] is going to be a long-term, permanent, successful program,” Van Sant said, “I think the state’s going to have to find a way to find some ongoing funding for it.”\u003c/p>\n\u003cp>\u003cem>Data reporters\u003c/em> \u003cem>Erica Yee and Kate Li contributed to this story.\u003c/em>\u003c/p>\n\u003cp>\u003cem>This article was \u003ca href=\"https://calmatters.org/housing/2026/05/newsom-homekey-records/\">originally published on CalMatters\u003c/a> and was republished under the \u003ca href=\"https://creativecommons.org/licenses/by-nc-nd/4.0/\">Creative Commons Attribution-NonCommercial-NoDerivatives\u003c/a> license.\u003c/em>\u003c/p>\n\u003cp>\u003c/p>\u003c/div>",
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"slug": "santa-clara-county-facing-nearly-1-billion-budget-deficit-after-trump-cuts",
"title": "Santa Clara County Facing Nearly $1 Billion Budget Deficit After Trump Cuts",
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"content": "\u003cp>\u003ca href=\"https://www.kqed.org/news/tag/santa-clara-county\">Santa Clara County\u003c/a> is proposing cutting several hundred positions and shuttering health clinics to help close a $787 million budget deficit, as it confronts sea changes in funding from both the federal and state governments.\u003c/p>\n\u003cp>“This is our fourth year in a row of budget reductions and the magnitude of the gap that we had to close this year is one of the largest that the county has faced in decades,” County Executive James Williams said of the $14.7 billion budget proposal.\u003c/p>\n\u003cp>He called it an “extraordinarily difficult budget to bring forward,” not just because of the challenges of bridging the gap, but because of residents’ increasing reliance on the county, complicated by the likelihood of further losses of federal revenue in coming years.\u003c/p>\n\u003cp>[ad fullwidth]\u003c/p>\n\u003cp>“And all of that in a context where there is so much need in the community and the context where we know that there are tremendous pressures on safety net services for the most vulnerable families,” Williams said.\u003c/p>\n\u003cp>The county’s top brass recommended cutting 655 positions across its organization, with the brunt of that expected to be felt in the county’s large hospital system and its behavioral health departments.\u003c/p>\n\u003cp>The county said about 265 of those positions are currently filled, or roughly 40%, but Williams said he is hoping to avoid any layoffs.\u003c/p>\n\u003cfigure id=\"attachment_12080199\" class=\"wp-caption aligncenter\" style=\"max-width: 1980px\">\u003cimg loading=\"lazy\" decoding=\"async\" class=\"size-full wp-image-12080199\" src=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/04/GettyImages-1679222216.jpg\" alt=\"\" width=\"1980\" height=\"1320\" srcset=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/04/GettyImages-1679222216.jpg 1980w, https://cdn.kqed.org/wp-content/uploads/sites/10/2026/04/GettyImages-1679222216-160x107.jpg 160w, https://cdn.kqed.org/wp-content/uploads/sites/10/2026/04/GettyImages-1679222216-1536x1024.jpg 1536w\" sizes=\"auto, (max-width: 1980px) 100vw, 1980px\">\u003cfigcaption class=\"wp-caption-text\">Santa Clara County Government Center in San Jose, California, on June 10, 2023. \u003ccite>(JHVEPhoto via Getty Images)\u003c/cite>\u003c/figcaption>\u003c/figure>\n\u003cp>“We will be attempting very vigorously to place all those individuals into other vacant positions across the county,” he said. What exactly happens to those employees would be based on what positions are offered to them, their labor contracts and their personal needs, Williams said.\u003c/p>\n\u003cp>County Supervisor Susan Ellenberg lauded those efforts given the county’s total workforce size of roughly 22,000 people, and hopes the county can support every worker.\u003c/p>\n\u003cp>“It’s rather extraordinary… to be able to find enough places to make budget cuts, look for increased revenue and be able to consolidate and increase efficiencies with such a relatively small number of employees being impacted,” she said. “Of course, for any single employee, that makes all the difference in the world…but we have been very successful in leveraging positions that are either vacant now or we know have upcoming retirements or other planned separations from the county.”[aside postID=news_12074467 hero='https://cdn.kqed.org/wp-content/uploads/sites/10/2024/09/SFLicensePlateReader-1020x675.jpg']The county is facing significant cuts to federal Medicaid and food assistance funding stemming from President Donald Trump’s H.R. 1 bill, which is expected to amount to more than $1 billion in annual revenue losses for Santa Clara County in the coming years.\u003c/p>\n\u003cp>The state has also this year shifted the requirements and funding model for mental health and behavioral health programs after the passage of Proposition 1 by voters in 2024, which Williams said “has really turned the fiscal world in behavioral health upside down.”\u003c/p>\n\u003cp>On top of federal and state funding challenges, the county, like many other organizations and households, has also seen rising costs for labor, goods, services and utilities, while property tax revenue has not kept pace.\u003c/p>\n\u003cp>The biggest way the county is coping with the cuts is through the emergency injection of $337 million expected to be provided by a new sales tax approved by 57% of voters last year, called Measure A. The measure increases sales tax across the county by five-eighths of a cent for every one dollar spent, and is in place for five years.\u003c/p>\n\u003cp>Williams and his staff recommended putting all of the Measure A money for the current budget year into Santa Clara Valley Healthcare, the county’s public hospital and clinic system, to help lessen the blow from Medicaid cuts enacted by Trump and the Republican-controlled Congress.\u003c/p>\n\u003cfigure id=\"attachment_12058486\" class=\"wp-caption aligncenter\" style=\"max-width: 2000px\">\u003cimg loading=\"lazy\" decoding=\"async\" class=\"size-full wp-image-12058486\" src=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2025/10/250924-ELECTION-SJ-MEASURE-A_00662_TV-KQED.jpg\" alt=\"\" width=\"2000\" height=\"1333\" srcset=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2025/10/250924-ELECTION-SJ-MEASURE-A_00662_TV-KQED.jpg 2000w, https://cdn.kqed.org/wp-content/uploads/sites/10/2025/10/250924-ELECTION-SJ-MEASURE-A_00662_TV-KQED-160x107.jpg 160w, https://cdn.kqed.org/wp-content/uploads/sites/10/2025/10/250924-ELECTION-SJ-MEASURE-A_00662_TV-KQED-1536x1024.jpg 1536w\" sizes=\"auto, (max-width: 2000px) 100vw, 2000px\">\u003cfigcaption class=\"wp-caption-text\">Santa Clara Valley Medical Center stands on 751 South Bascom Avenue in San José on Sept. 29, 2025. \u003ccite>(Tâm Vũ/KQED)\u003c/cite>\u003c/figcaption>\u003c/figure>\n\u003cp>County supervisors also previously approved nearly $200 million in budget cuts in February during the mid-year budget review, including cutting roughly 365 positions that were largely vacant and focused on the county’s healthcare system.\u003c/p>\n\u003cp>While planning for 655 cuts, the county is simultaneously considering adding 191 positions, especially in areas that are growing but aren’t reliant on federal funds, like parks and libraries, for a net cut of 464 positions, Williams said.\u003c/p>\n\u003cp>Two county-run behavioral health clinics are expected to be closed, but Williams said the services will be transitioned to other facilities or community organizations that provide services for the county already.\u003c/p>\n\u003cp>Ellenberg said the idea of consolidating clinics on its face doesn’t worry her too much, so long as people who need those services aren’t challenged to find them elsewhere nearby.\u003c/p>\n\u003cp>But she added that in general, the on-the-ground impacts from broad budget recommendations to alter contracts and leases and reduce positions is where she will focus as supervisors go through budget workshops and reviews next week.\u003c/p>\n\u003cp>“There are many aspects of it that are not yet clear to me, particularly around impact… I need to understand how that impacts particular populations, especially the very high-need and vulnerable residents that the county serves,” Ellenberg said.\u003c/p>\n\u003cfigure id=\"attachment_12044070\" class=\"wp-caption aligncenter\" style=\"max-width: 1999px\">\u003cimg loading=\"lazy\" decoding=\"async\" class=\"size-full wp-image-12044070\" src=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2025/06/250612-SCCVERMONT-JG-4_qed.jpg\" alt=\"\" width=\"1999\" height=\"1333\" srcset=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2025/06/250612-SCCVERMONT-JG-4_qed.jpg 1999w, https://cdn.kqed.org/wp-content/uploads/sites/10/2025/06/250612-SCCVERMONT-JG-4_qed-160x107.jpg 160w, https://cdn.kqed.org/wp-content/uploads/sites/10/2025/06/250612-SCCVERMONT-JG-4_qed-1536x1024.jpg 1536w\" sizes=\"auto, (max-width: 1999px) 100vw, 1999px\">\u003cfigcaption class=\"wp-caption-text\">Santa Clara County Supervisor Susan Ellenberg, speaks during an event celebrating the opening of Vermont House, a new residential treatment facility in San José for people leaving jail with mental health needs. \u003ccite>(Joseph Geha/KQED)\u003c/cite>\u003c/figcaption>\u003c/figure>\n\u003cp>Williams said the county has been aiming to preserve or expand services for those in most need across the county. He pointed to plans for new “satellite clinics in high-need communities,” as well as the planned opening of the county’s behavioral health pavilion on the campus of Santa Clara Valley Medical Center later this year.\u003c/p>\n\u003cp>The pavilion will include the first child and adolescent inpatient psychiatric unit in the South Bay, Williams said, and will be staffed by transferring positions from elsewhere in the county.\u003c/p>\n\u003cp>“We’re continuing to expand in critical areas and areas with significant community demand where there’s significant need. We haven’t taken our eye off the ball,” he said.\u003c/p>\n\u003cp>Williams said the county has “moved mountains” to preserve critical services in the face of unprecedented cuts, and said voters have stepped up at an important time. But he called directly on the governor and legislature to help counties across the state.\u003c/p>\n\u003cp>“We need to see a forceful, clear and unequivocal response at the state level to what’s happening with H.R. 1,” he said. “There’s no way our county or any other can do this alone.”\u003c/p>\n\u003cp>The county’s Board of Supervisors will hold three consecutive budget workshops May 11-13, and will hold three more sessions to adopt a final budget in mid-June.\u003c/p>\n\u003cp>The county is not the only government facing down budget deficits, as South Bay cities look for ways to close their gaps while maintaining critical services.\u003c/p>\n\u003cfigure id=\"attachment_11998675\" class=\"wp-caption aligncenter\" style=\"max-width: 1920px\">\u003cimg loading=\"lazy\" decoding=\"async\" class=\"size-full wp-image-11998675\" src=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2024/08/240802-VTAFEDFUND-JG-1.jpg\" alt=\"The mayor of San Jose stands behind a podium. A poster breaking down the project budget is displayed next to the speaker.\" width=\"1920\" height=\"1280\" srcset=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2024/08/240802-VTAFEDFUND-JG-1.jpg 1920w, https://cdn.kqed.org/wp-content/uploads/sites/10/2024/08/240802-VTAFEDFUND-JG-1-800x533.jpg 800w, https://cdn.kqed.org/wp-content/uploads/sites/10/2024/08/240802-VTAFEDFUND-JG-1-1020x680.jpg 1020w, https://cdn.kqed.org/wp-content/uploads/sites/10/2024/08/240802-VTAFEDFUND-JG-1-160x107.jpg 160w, https://cdn.kqed.org/wp-content/uploads/sites/10/2024/08/240802-VTAFEDFUND-JG-1-1536x1024.jpg 1536w\" sizes=\"auto, (max-width: 1920px) 100vw, 1920px\">\u003cfigcaption class=\"wp-caption-text\">San José Mayor Matt Mahan speaks during a gathering in Santa Clara on Aug. 2, 2024, to announce a nearly $5.1 billion funding commitment from federal transit officials toward the VTA BART Silicon Valley Phase II extension project. \u003ccite>(Joseph Geha/KQED)\u003c/cite>\u003c/figcaption>\u003c/figure>\n\u003cp>San José, whose Mayor Matt Mahan heavily touted his work to spend more of the city’s affordable housing funds on more than 1,000 new interim shelter spaces for people who are homeless last year, is now working to cut $50 million out of its budget.\u003c/p>\n\u003cp>The city’s current proposal from City Manager Jennifer Maguire would cut support for interim housing operations by $1.25 million in the coming budget year and significantly reduce it by $14.2 million in the budget for 2027-2028, officials said this week.\u003c/p>\n\u003cp>Williams said the coming years for Santa Clara County could be even more difficult, and he is concerned about changes to the “social compact” in the country.\u003c/p>\n\u003cp>“We’re one United States, and there are deep interrelationships between federal, state and local governments that all operate together to help take care of communities across the country,” Williams said. “We’re witnessing a complete reordering of that fabric, not just fiscally, but in terms of policy and the politics of this whole country.”\u003c/p>\n\u003cp>[ad floatright]\u003c/p>\n",
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"content": "\u003cdiv class=\"post-body\">\u003cp>\u003cp>\u003ca href=\"https://www.kqed.org/news/tag/santa-clara-county\">Santa Clara County\u003c/a> is proposing cutting several hundred positions and shuttering health clinics to help close a $787 million budget deficit, as it confronts sea changes in funding from both the federal and state governments.\u003c/p>\n\u003cp>“This is our fourth year in a row of budget reductions and the magnitude of the gap that we had to close this year is one of the largest that the county has faced in decades,” County Executive James Williams said of the $14.7 billion budget proposal.\u003c/p>\n\u003cp>He called it an “extraordinarily difficult budget to bring forward,” not just because of the challenges of bridging the gap, but because of residents’ increasing reliance on the county, complicated by the likelihood of further losses of federal revenue in coming years.\u003c/p>\n\u003cp>\u003c/p>\u003c/div>",
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"content": "\u003cdiv class=\"post-body\">\u003cp>\u003c/p>\n\u003cp>“And all of that in a context where there is so much need in the community and the context where we know that there are tremendous pressures on safety net services for the most vulnerable families,” Williams said.\u003c/p>\n\u003cp>The county’s top brass recommended cutting 655 positions across its organization, with the brunt of that expected to be felt in the county’s large hospital system and its behavioral health departments.\u003c/p>\n\u003cp>The county said about 265 of those positions are currently filled, or roughly 40%, but Williams said he is hoping to avoid any layoffs.\u003c/p>\n\u003cfigure id=\"attachment_12080199\" class=\"wp-caption aligncenter\" style=\"max-width: 1980px\">\u003cimg loading=\"lazy\" decoding=\"async\" class=\"size-full wp-image-12080199\" src=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/04/GettyImages-1679222216.jpg\" alt=\"\" width=\"1980\" height=\"1320\" srcset=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2026/04/GettyImages-1679222216.jpg 1980w, https://cdn.kqed.org/wp-content/uploads/sites/10/2026/04/GettyImages-1679222216-160x107.jpg 160w, https://cdn.kqed.org/wp-content/uploads/sites/10/2026/04/GettyImages-1679222216-1536x1024.jpg 1536w\" sizes=\"auto, (max-width: 1980px) 100vw, 1980px\">\u003cfigcaption class=\"wp-caption-text\">Santa Clara County Government Center in San Jose, California, on June 10, 2023. \u003ccite>(JHVEPhoto via Getty Images)\u003c/cite>\u003c/figcaption>\u003c/figure>\n\u003cp>“We will be attempting very vigorously to place all those individuals into other vacant positions across the county,” he said. What exactly happens to those employees would be based on what positions are offered to them, their labor contracts and their personal needs, Williams said.\u003c/p>\n\u003cp>County Supervisor Susan Ellenberg lauded those efforts given the county’s total workforce size of roughly 22,000 people, and hopes the county can support every worker.\u003c/p>\n\u003cp>“It’s rather extraordinary… to be able to find enough places to make budget cuts, look for increased revenue and be able to consolidate and increase efficiencies with such a relatively small number of employees being impacted,” she said. “Of course, for any single employee, that makes all the difference in the world…but we have been very successful in leveraging positions that are either vacant now or we know have upcoming retirements or other planned separations from the county.”\u003c/p>\u003c/div>",
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"content": "\u003cdiv class=\"post-body\">\u003cp>The county is facing significant cuts to federal Medicaid and food assistance funding stemming from President Donald Trump’s H.R. 1 bill, which is expected to amount to more than $1 billion in annual revenue losses for Santa Clara County in the coming years.\u003c/p>\n\u003cp>The state has also this year shifted the requirements and funding model for mental health and behavioral health programs after the passage of Proposition 1 by voters in 2024, which Williams said “has really turned the fiscal world in behavioral health upside down.”\u003c/p>\n\u003cp>On top of federal and state funding challenges, the county, like many other organizations and households, has also seen rising costs for labor, goods, services and utilities, while property tax revenue has not kept pace.\u003c/p>\n\u003cp>The biggest way the county is coping with the cuts is through the emergency injection of $337 million expected to be provided by a new sales tax approved by 57% of voters last year, called Measure A. The measure increases sales tax across the county by five-eighths of a cent for every one dollar spent, and is in place for five years.\u003c/p>\n\u003cp>Williams and his staff recommended putting all of the Measure A money for the current budget year into Santa Clara Valley Healthcare, the county’s public hospital and clinic system, to help lessen the blow from Medicaid cuts enacted by Trump and the Republican-controlled Congress.\u003c/p>\n\u003cfigure id=\"attachment_12058486\" class=\"wp-caption aligncenter\" style=\"max-width: 2000px\">\u003cimg loading=\"lazy\" decoding=\"async\" class=\"size-full wp-image-12058486\" src=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2025/10/250924-ELECTION-SJ-MEASURE-A_00662_TV-KQED.jpg\" alt=\"\" width=\"2000\" height=\"1333\" srcset=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2025/10/250924-ELECTION-SJ-MEASURE-A_00662_TV-KQED.jpg 2000w, https://cdn.kqed.org/wp-content/uploads/sites/10/2025/10/250924-ELECTION-SJ-MEASURE-A_00662_TV-KQED-160x107.jpg 160w, https://cdn.kqed.org/wp-content/uploads/sites/10/2025/10/250924-ELECTION-SJ-MEASURE-A_00662_TV-KQED-1536x1024.jpg 1536w\" sizes=\"auto, (max-width: 2000px) 100vw, 2000px\">\u003cfigcaption class=\"wp-caption-text\">Santa Clara Valley Medical Center stands on 751 South Bascom Avenue in San José on Sept. 29, 2025. \u003ccite>(Tâm Vũ/KQED)\u003c/cite>\u003c/figcaption>\u003c/figure>\n\u003cp>County supervisors also previously approved nearly $200 million in budget cuts in February during the mid-year budget review, including cutting roughly 365 positions that were largely vacant and focused on the county’s healthcare system.\u003c/p>\n\u003cp>While planning for 655 cuts, the county is simultaneously considering adding 191 positions, especially in areas that are growing but aren’t reliant on federal funds, like parks and libraries, for a net cut of 464 positions, Williams said.\u003c/p>\n\u003cp>Two county-run behavioral health clinics are expected to be closed, but Williams said the services will be transitioned to other facilities or community organizations that provide services for the county already.\u003c/p>\n\u003cp>Ellenberg said the idea of consolidating clinics on its face doesn’t worry her too much, so long as people who need those services aren’t challenged to find them elsewhere nearby.\u003c/p>\n\u003cp>But she added that in general, the on-the-ground impacts from broad budget recommendations to alter contracts and leases and reduce positions is where she will focus as supervisors go through budget workshops and reviews next week.\u003c/p>\n\u003cp>“There are many aspects of it that are not yet clear to me, particularly around impact… I need to understand how that impacts particular populations, especially the very high-need and vulnerable residents that the county serves,” Ellenberg said.\u003c/p>\n\u003cfigure id=\"attachment_12044070\" class=\"wp-caption aligncenter\" style=\"max-width: 1999px\">\u003cimg loading=\"lazy\" decoding=\"async\" class=\"size-full wp-image-12044070\" src=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2025/06/250612-SCCVERMONT-JG-4_qed.jpg\" alt=\"\" width=\"1999\" height=\"1333\" srcset=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2025/06/250612-SCCVERMONT-JG-4_qed.jpg 1999w, https://cdn.kqed.org/wp-content/uploads/sites/10/2025/06/250612-SCCVERMONT-JG-4_qed-160x107.jpg 160w, https://cdn.kqed.org/wp-content/uploads/sites/10/2025/06/250612-SCCVERMONT-JG-4_qed-1536x1024.jpg 1536w\" sizes=\"auto, (max-width: 1999px) 100vw, 1999px\">\u003cfigcaption class=\"wp-caption-text\">Santa Clara County Supervisor Susan Ellenberg, speaks during an event celebrating the opening of Vermont House, a new residential treatment facility in San José for people leaving jail with mental health needs. \u003ccite>(Joseph Geha/KQED)\u003c/cite>\u003c/figcaption>\u003c/figure>\n\u003cp>Williams said the county has been aiming to preserve or expand services for those in most need across the county. He pointed to plans for new “satellite clinics in high-need communities,” as well as the planned opening of the county’s behavioral health pavilion on the campus of Santa Clara Valley Medical Center later this year.\u003c/p>\n\u003cp>The pavilion will include the first child and adolescent inpatient psychiatric unit in the South Bay, Williams said, and will be staffed by transferring positions from elsewhere in the county.\u003c/p>\n\u003cp>“We’re continuing to expand in critical areas and areas with significant community demand where there’s significant need. We haven’t taken our eye off the ball,” he said.\u003c/p>\n\u003cp>Williams said the county has “moved mountains” to preserve critical services in the face of unprecedented cuts, and said voters have stepped up at an important time. But he called directly on the governor and legislature to help counties across the state.\u003c/p>\n\u003cp>“We need to see a forceful, clear and unequivocal response at the state level to what’s happening with H.R. 1,” he said. “There’s no way our county or any other can do this alone.”\u003c/p>\n\u003cp>The county’s Board of Supervisors will hold three consecutive budget workshops May 11-13, and will hold three more sessions to adopt a final budget in mid-June.\u003c/p>\n\u003cp>The county is not the only government facing down budget deficits, as South Bay cities look for ways to close their gaps while maintaining critical services.\u003c/p>\n\u003cfigure id=\"attachment_11998675\" class=\"wp-caption aligncenter\" style=\"max-width: 1920px\">\u003cimg loading=\"lazy\" decoding=\"async\" class=\"size-full wp-image-11998675\" src=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2024/08/240802-VTAFEDFUND-JG-1.jpg\" alt=\"The mayor of San Jose stands behind a podium. A poster breaking down the project budget is displayed next to the speaker.\" width=\"1920\" height=\"1280\" srcset=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2024/08/240802-VTAFEDFUND-JG-1.jpg 1920w, https://cdn.kqed.org/wp-content/uploads/sites/10/2024/08/240802-VTAFEDFUND-JG-1-800x533.jpg 800w, https://cdn.kqed.org/wp-content/uploads/sites/10/2024/08/240802-VTAFEDFUND-JG-1-1020x680.jpg 1020w, https://cdn.kqed.org/wp-content/uploads/sites/10/2024/08/240802-VTAFEDFUND-JG-1-160x107.jpg 160w, https://cdn.kqed.org/wp-content/uploads/sites/10/2024/08/240802-VTAFEDFUND-JG-1-1536x1024.jpg 1536w\" sizes=\"auto, (max-width: 1920px) 100vw, 1920px\">\u003cfigcaption class=\"wp-caption-text\">San José Mayor Matt Mahan speaks during a gathering in Santa Clara on Aug. 2, 2024, to announce a nearly $5.1 billion funding commitment from federal transit officials toward the VTA BART Silicon Valley Phase II extension project. \u003ccite>(Joseph Geha/KQED)\u003c/cite>\u003c/figcaption>\u003c/figure>\n\u003cp>San José, whose Mayor Matt Mahan heavily touted his work to spend more of the city’s affordable housing funds on more than 1,000 new interim shelter spaces for people who are homeless last year, is now working to cut $50 million out of its budget.\u003c/p>\n\u003cp>The city’s current proposal from City Manager Jennifer Maguire would cut support for interim housing operations by $1.25 million in the coming budget year and significantly reduce it by $14.2 million in the budget for 2027-2028, officials said this week.\u003c/p>\n\u003cp>Williams said the coming years for Santa Clara County could be even more difficult, and he is concerned about changes to the “social compact” in the country.\u003c/p>\n\u003cp>“We’re one United States, and there are deep interrelationships between federal, state and local governments that all operate together to help take care of communities across the country,” Williams said. “We’re witnessing a complete reordering of that fabric, not just fiscally, but in terms of policy and the politics of this whole country.”\u003c/p>\n\u003cp>\u003c/p>\u003c/div>",
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"info": "The Commonwealth Club of California is the nation's oldest and largest public affairs forum. As a non-partisan forum, The Club brings to the public airwaves diverse viewpoints on important topics. The Club's weekly radio broadcast - the oldest in the U.S., dating back to 1924 - is carried across the nation on public radio stations and is now podcasting. Our website archive features audio of our recent programs, as well as selected speeches from our long and distinguished history. This podcast feed is usually updated twice a week and is always un-edited.",
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"order": 9
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"id": "fresh-air",
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"airtime": "SUN 7:30pm-8pm",
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"tagline": "Where conversation and cultura meet",
"info": "What kind of no sabo word is Hyphenación? For us, it’s about living within a hyphenation. Like being a third-gen Mexican-American from the Texas border now living that Bay Area Chicano life. Like Xorje! Each week we bring together a couple of hyphenated Latinos to talk all about personal life choices: family, careers, relationships, belonging … everything is on the table. ",
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"order": 15
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"title": "The Political Mind of Jerry Brown",
"tagline": "Lessons from a lifetime in politics",
"info": "The Political Mind of Jerry Brown brings listeners the wisdom of the former Governor, Mayor, and presidential candidate. Scott Shafer interviewed Brown for more than 40 hours, covering the former governor's life and half-century in the political game – and Brown has some lessons he'd like to share. ",
"imageSrc": "https://cdn.kqed.org/wp-content/uploads/2024/04/The-Political-Mind-of-Jerry-Brown-Podcast-Tile-703x703-1.jpg",
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"order": 18
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"info": "Latino USA, the radio journal of news and culture, is the only national, English-language radio program produced from a Latino perspective.",
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"marketplace": {
"id": "marketplace",
"title": "Marketplace",
"info": "Our flagship program, helmed by Kai Ryssdal, examines what the day in money delivered, through stories, conversations, newsworthy numbers and more. Updated Monday through Friday at about 3:30 p.m. PT.",
"airtime": "MON-FRI 4pm-4:30pm, MON-WED 6:30pm-7pm",
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"source": "American Public Media"
},
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"masters-of-scale": {
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"title": "Masters of Scale",
"info": "Masters of Scale is an original podcast in which LinkedIn co-founder and Greylock Partner Reid Hoffman sets out to describe and prove theories that explain how great entrepreneurs take their companies from zero to a gazillion in ingenious fashion.",
"airtime": "Every other Wednesday June 12 through October 16 at 8pm (repeats Thursdays at 2am)",
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},
"mindshift": {
"id": "mindshift",
"title": "MindShift",
"tagline": "A podcast about the future of learning and how we raise our kids",
"info": "The MindShift podcast explores the innovations in education that are shaping how kids learn. Hosts Ki Sung and Katrina Schwartz introduce listeners to educators, researchers, parents and students who are developing effective ways to improve how kids learn. We cover topics like how fed-up administrators are developing surprising tactics to deal with classroom disruptions; how listening to podcasts are helping kids develop reading skills; the consequences of overparenting; and why interdisciplinary learning can engage students on all ends of the traditional achievement spectrum. This podcast is part of the MindShift education site, a division of KQED News. KQED is an NPR/PBS member station based in San Francisco. You can also visit the MindShift website for episodes and supplemental blog posts or tweet us \u003ca href=\"https://twitter.com/MindShiftKQED\">@MindShiftKQED\u003c/a> or visit us at \u003ca href=\"/mindshift\">MindShift.KQED.org\u003c/a>",
"imageSrc": "https://cdn.kqed.org/wp-content/uploads/2024/04/Mindshift-Podcast-Tile-703x703-1.jpg",
"imageAlt": "KQED MindShift: How We Will Learn",
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"meta": {
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"order": 12
},
"link": "/podcasts/mindshift",
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"google": "https://podcasts.google.com/feed/aHR0cHM6Ly9mZWVkcy5tZWdhcGhvbmUuZm0vS1FJTkM1NzY0NjAwNDI5",
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"morning-edition": {
"id": "morning-edition",
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"info": "\u003cem>Morning Edition\u003c/em> takes listeners around the country and the world with multi-faceted stories and commentaries every weekday. Hosts Steve Inskeep, David Greene and Rachel Martin bring you the latest breaking news and features to prepare you for the day.",
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"onourwatch": {
"id": "onourwatch",
"title": "On Our Watch",
"tagline": "Deeply-reported investigative journalism",
"info": "For decades, the process for how police police themselves has been inconsistent – if not opaque. In some states, like California, these proceedings were completely hidden. After a new police transparency law unsealed scores of internal affairs files, our reporters set out to examine these cases and the shadow world of police discipline. On Our Watch brings listeners into the rooms where officers are questioned and witnesses are interrogated to find out who this system is really protecting. Is it the officers, or the public they've sworn to serve?",
"imageSrc": "https://cdn.kqed.org/wp-content/uploads/2024/04/On-Our-Watch-Podcast-Tile-703x703-1.jpg",
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"order": 11
},
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"on-the-media": {
"id": "on-the-media",
"title": "On The Media",
"info": "Our weekly podcast explores how the media 'sausage' is made, casts an incisive eye on fluctuations in the marketplace of ideas, and examines threats to the freedom of information and expression in America and abroad. For one hour a week, the show tries to lift the veil from the process of \"making media,\" especially news media, because it's through that lens that we see the world and the world sees us",
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},
"link": "/radio/program/on-the-media",
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},
"pbs-newshour": {
"id": "pbs-newshour",
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"info": "Analysis, background reports and updates from the PBS NewsHour putting today's news in context.",
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"imageSrc": "https://cdn.kqed.org/wp-content/uploads/2024/04/PBS-News-Hour-Podcast-Tile-360x360-1.jpg",
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"apple": "https://itunes.apple.com/us/podcast/pbs-newshour-full-show/id394432287?mt=2",
"tuneIn": "https://tunein.com/radio/PBS-NewsHour---Full-Show-p425698/",
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},
"perspectives": {
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"order": 14
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"planet-money": {
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"info": "The economy explained. Imagine you could call up a friend and say, Meet me at the bar and tell me what's going on with the economy. Now imagine that's actually a fun evening.",
"airtime": "SUN 3pm-4pm",
"imageSrc": "https://ww2.kqed.org/radio/wp-content/uploads/sites/50/2018/04/planetmoney.jpg",
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},
"link": "/radio/program/planet-money",
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"apple": "https://itunes.apple.com/us/podcast/planet-money/id290783428?mt=2",
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},
"politicalbreakdown": {
"id": "politicalbreakdown",
"title": "Political Breakdown",
"tagline": "Politics from a personal perspective",
"info": "Political Breakdown is a new series that explores the political intersection of California and the nation. Each week hosts Scott Shafer and Marisa Lagos are joined with a new special guest to unpack politics -- with personality — and offer an insider’s glimpse at how politics happens.",
"airtime": "THU 6:30pm-7pm",
"imageSrc": "https://cdn.kqed.org/wp-content/uploads/2024/04/Political-Breakdown-2024-Podcast-Tile-703x703-1.jpg",
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"order": 5
},
"link": "/podcasts/politicalbreakdown",
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"possible": {
"id": "possible",
"title": "Possible",
"info": "Possible is hosted by entrepreneur Reid Hoffman and writer Aria Finger. Together in Possible, Hoffman and Finger lead enlightening discussions about building a brighter collective future. The show features interviews with visionary guests like Trevor Noah, Sam Altman and Janette Sadik-Khan. Possible paints an optimistic portrait of the world we can create through science, policy, business, art and our shared humanity. It asks: What if everything goes right for once? How can we get there? Each episode also includes a short fiction story generated by advanced AI GPT-4, serving as a thought-provoking springboard to speculate how humanity could leverage technology for good.",
"airtime": "SUN 2pm",
"imageSrc": "https://cdn.kqed.org/wp-content/uploads/2024/04/Possible-Podcast-Tile-360x360-1.jpg",
"officialWebsiteLink": "https://www.possible.fm/",
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"source": "Possible"
},
"link": "/radio/program/possible",
"subscribe": {
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"spotify": "https://open.spotify.com/show/730YpdUSNlMyPQwNnyjp4k"
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},
"pri-the-world": {
"id": "pri-the-world",
"title": "PRI's The World: Latest Edition",
"info": "Each weekday, host Marco Werman and his team of producers bring you the world's most interesting stories in an hour of radio that reminds us just how small our planet really is.",
"airtime": "MON-FRI 2pm-3pm",
"imageSrc": "https://cdn.kqed.org/wp-content/uploads/2024/04/The-World-Podcast-Tile-360x360-1.jpg",
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},
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