Part 3.9 - The No Place Like Home Program

California Welfare and Institutions Code — §§ 5849.1-5849.15

Sections (7)

Repealed (in Sec. 67) and added by Stats. 2023, Ch. 790, Sec. 68. (SB 326) Effective October 12, 2023. Operative January 1, 2025, by its own provisions.

(a)The Legislature finds and declares that this part is consistent with and furthers the purposes of the Mental Health Services Act, enacted by Proposition 63 at the November 2, 2004, statewide general election, within the meaning of Section 18 of that measure.
(b)The Legislature further finds and declares all of the following:
(1)Housing is a key factor for stabilization and recovery to occur and results in improved outcomes for individuals living with a mental illness.
(2)Untreated mental illness can increase the risk of homelessness,

especially for single adults.

(3)California has the nation’s largest homeless population, which is disproportionally comprised of women with children and youth, veterans, and the chronically homeless.
(4)California has the largest number of homeless veterans in the United States at 24 percent of the total population in our nation. Fifty percent of California’s homeless veterans live with serious mental illness and 70 percent have a substance use disorder.
(5)Fifty percent of mothers experiencing homelessness have experienced a major depressive episode since becoming homeless, and 36 percent of these mothers live with post-traumatic stress disorder and 41 percent have a substance use disorder.
(6)Ninety-three percent of supportive housing tenants who live with mental illness and substance use disorders voluntarily participated in the services offered.
(7)Adults who receive two years of “whatever-it-takes,” or Full-Service Partnership services, experience a 68-percent reduction in homelessness.
(8)For every dollar of bond funds invested in permanent supportive housing, the state and local governments can leverage a significant amount of additional dollars through tax credits, Medicaid health services funding, and other housing development funds.
(9)Tenants of permanent supportive housing reduced their visits to the emergency department by

56 percent and their hospital admissions by 45 percent.

(10)The cost in public services for a chronically homeless Californian ranges from $60,000 to $100,000 annually. When housed, these costs are cut in half and some reports show reductions in cost of more than 70 percent, including potentially less involvement with the health and criminal justice systems.
(11)Californians have identified homelessness as their top tier priority. This measure seeks to address the needs of the most vulnerable people within this population.
(12)Having counties provide mental health programming and services is a benefit to the state.
(13)The Department of Housing and

Community Development is the state entity with sufficient expertise to implement and oversee a grant or loan program for permanent supportive housing of the target population.

(14)The California Health Facilities Financing Authority is authorized by law to issue bonds and to consult with the Behavioral Health Services Oversight and Accountability Commission and the State Department of Health Care Services concerning the implementation of a grant or loan program for California counties to support the development of programs that increase access to, and capacity for, crisis mental health services. It is therefore appropriate for the authority to issue bonds and contract for services with the Department of Housing and Community Development to provide grants or loans to California counties for permanent supportive housing for the target

population.

(15)Use of bond funding will accelerate the availability of funding for the grant or loan program to provide permanent supportive housing for the target population as compared to relying on annual allocations from the Behavioral Health Services Fund and better allow counties to provide permanent supportive housing for homeless individuals living with mental illness.
(16)The findings and declarations set forth in subdivision (c) of Section 5849.35 are hereby incorporated herein.
(c)This section shall become operative on January 1, 2025, if amendments to the Mental Health Services Act are approved by the voters at the March 5, 2024, statewide primary election.

Added by Stats. 2016, Ch. 43, Sec. 5. (AB 1618) Effective July 1, 2016.

(a)The sum of six million two hundred thousand dollars ($6,200,000) is hereby appropriated from the Mental Health Services Fund to the department to provide technical and application preparation assistance to counties.
(b)Eligible use of technical and application preparation assistance shall include, but is not limited to, assistance in performing one or more of the following activities:
(1)Applying for program funds.
(2)Implementing activities funded by moneys distributed pursuant to this part, including the development of supportive housing for the target

population.

(3)Coordinating funded activities with local homelessness systems, including coordinated access systems developed pursuant to Section 578.7(a)(8) of Title 24 of the Code of Federal Regulations, as that section read on May 1, 2016.
(4)Delivering a range of supportive services to tenants.
(5)Collecting data, evaluating program activities, and sharing data among multiple systems, such as the Mental Health Services Act, enacted by Proposition 63 at the November 2, 2004, statewide general election, the Medi-Cal Act (Chapter 7 (commencing with Section 14000) of Part 3 of Division 9) and implementing regulations, and homelessness systems.
(c)The department shall provide funds to a county upon application as follows:
(1)To a large county and to the County of Los Angeles, the department shall provide one hundred fifty thousand dollars ($150,000).
(2)To a medium county, the department shall provide one hundred thousand dollars ($100,000).
(3)To a small county, the department shall provide seventy-five thousand dollars ($75,000).
(d)If a county does not expend the moneys allocated pursuant to subdivision (c) by June 30, 2020, those moneys shall be used to augment the funding pursuant to subdivision (e).
(e)The department may contract for expert technical assistance and application preparation assistance. The department shall deploy such assistance to counties based upon a process to be defined in

guidelines.

(f)The department may establish a unit for the purpose of providing technical assistance to counties.

Amended by Stats. 2023, Ch. 770, Sec. 22. (AB 1764) Effective January 1, 2024.

(a)The counties shall annually report to the department on activities funded under this part, including information on the funded supportive housing development. Reported information shall include location of projects, number of units assisted, occupancy restrictions, number of individuals and households served, related income levels, and homeless, veteran, and mental health status.
(b)The department shall include a report on the program in the annual report required by Section 50408 of the Health and Safety Code, commencing with the year after the first full year in which the program is in effect. The report shall contain the following:
(1)The processes established for distributing funds.
(2)The distribution of funds among counties.
(3)Any recommendations as to modifications to the program for the purpose of improving efficiency or furthering the goals of the program.
(c)The department shall submit a report to the authority by December 31 of each year, commencing with the year after the first full year in which the program is in effect, that contains the information described in subdivision (a) and paragraphs (1) and (2) of subdivision (b) for all counties participating in the program and the services that have been provided pursuant to any service contracts entered into pursuant to Section 5849.35.

Added by Stats. 2016, Ch. 43, Sec. 5. (AB 1618) Effective July 1, 2016.

(a)Upon an appropriation of funds for the purpose of this section, the department shall contract with a public or private research university in this state to evaluate the program. The department shall develop the research design and issue a request for proposal for a contract for the evaluation, with the assistance of the Legislative Analyst’s Office and the Department of Finance.
(b)The department shall submit the final research design and request for proposal required by subdivision (a) to the Chairperson of the Joint Legislative Budget Committee no more than 30 days prior to executing a contract for the evaluation.

Repealed and added by Stats. 2016, Ch. 322, Sec. 13. (AB 1628) Effective September 13, 2016.

An action to determine the validity of any contract or loan authorized pursuant to Section 5849.35 or of any bond authorized to be issued pursuant to Section 15463 of the Government Code, and any contracts related to those bonds, may be brought in accordance with Section 17700 of the Government Code.

Amended by Stats. 2017, Ch. 561, Sec. 274. (AB 1516) Effective January 1, 2018.

The Department of Finance may authorize one or more loans from the General Fund to the No Place Like Home Fund for cashflow purposes in an aggregate amount not to exceed two million dollars ($2,000,000) subject to the following conditions:

(a)The loans are for either of the following purposes:
(1)To allow the department to begin program implementation activities, including, but not limited to, drafting program guidelines and regulations.
(2)To allow the department, the authority, and the Treasurer to implement Section 5849.35 of this code and Section 15463 of the Government Code, including, but not limited to, payment for financial advisory and legal

services to prepare for, and in connection with, any validation action pursuant to Section 5849.13 or any other court action regarding this part or Section 15463 of the Government Code.

(b)The loans are short term, and shall be repaid within 30 days after the deposit of bond proceeds into the fund pursuant to paragraph (1) of subdivision (b) of Section 5849.4.
(c)Interest charges may be waived pursuant to subdivision (e) of Section 16314 of the Government Code.

Added by Stats. 2018, Ch. 41, Sec. 5. Effective December 19, 2018. Approved in Proposition 2 at the November 6, 2018, election.

The voters ratify all of the following provisions as being consistent with and in furtherance of Proposition 63, enacted by the voters at the November 2, 2004, statewide general election, and approve all of the following provisions for purposes of Section 1 of Article XVI of the California Constitution:

(a)Chapter 43 of the Statutes of 2016, which amended Sections 5830, 5845, 5847, 5848, 5897, and 5899 and added this part.
(b)Chapter 322 of the Statutes of 2016, which added Section 15463 to the Government Code, and amended Sections 5849.1, 5849.2, 5849.3, 5849.4, 5849.5, 5849.7, 5849.8, 5849.9, 5849.11, 5849.14, 5890, and

5891 of, added Section 5849.35 to, and repealed and added Section 5849.13 of, this code.

(c)Those provisions of Chapter 561 of the Statutes of 2017 that amended any of the provisions referenced in subdivisions (a) and (b).
(d)The amendments to Section 5849.35, 5849.4, and 5890 made by the act adding this section.
(e)The issuance by the California Health Facilities Financing Authority of bonds in an amount not to exceed two billion dollars ($2,000,000,000) for the purposes of financing permanent supportive housing pursuant to the No Place Like Home Program and related purposes as set forth in subdivision (b) of Section 15463 of the Government Code, the issuance of bonds for the purpose of redeeming, refunding, or

retiring bonds as set forth in subdivision (c) of Section 15463 of the Government Code, and the process by which those bonds are issued, secured, and repaid, as set forth in the provisions referenced in subdivisions (a) to (d), inclusive.