To: Board of Supervisors
From: Dr. Grant Colfax, Health Services Director
Report Title: Grant Agreement #29-822-7 with U.S. Department of Housing and Urban Development
☒Recommendation of the County Administrator ☐ Recommendation of Board Committee
RECOMMENDATIONS:
RATIFY the Health Services Director, or designee’s, January 7, 2026 execution of Grant Agreement #29-822-7 (Federal Grant #CA1651L9T052407) with United States Department of Housing and Urban Development (HUD) payable to the County in an amount not to exceed $2,179,230 for the Contra Costa County Continuum of Care (CoC) Project to provide permanent supportive housing and support services for High Utilizers of Multiple Systems (HUMS) homeless individuals for the period from December 1, 2025 through November 30, 2026, as recommended by the Health Services Director.
FISCAL IMPACT:
Approval of this Grant Agreement will result in an amount not to exceed $2,179,230 in funding from HUD for the CoC Program. A County match of 25% is required.
BACKGROUND:
In 2013 and 2014, a Cost of Homelessness study evaluated Contra Costa Health Services (CCHS) and reported that 12% of our system's homeless services utilizers account for 71% of healthcare costs (over $32 million) at an average cost of $80,000/per person, per year. This translates to 398 unduplicated homeless individuals, with highest costs for inpatient hospital stays and mental health services, many of whom are chronically homeless. Research shows that costs can be reduced by nearly $50,000 per person when placed in permanent supportive housing.
The CoC Project builds on the successes of CCHS in permanent supportive housing projects, which spans 20 years and is considerable in every aspect including outreach and assessment to housing placement and retention. CCHS oversees the referral process, leasing of units, and consumer services. This includes case management, coordination of supportive services, administering the housing application process, and assistance with housing information.
On November 12, 2024, the Board of Supervisors approved Grant Agreement #29-822-6 with HUD, to pay the County in an amount not to exceed $1,964,798 to provide permanent supportive housing and support services for homeless individuals for the period December 1, 2024 through November 30, 2025.
Approval of Grant Agreement #29-822-7 will allow County to continue to receive funding for the CoC Project, for the provision of supportive housing and support services for HUMS homeless individuals, through November 30, 2026. This Grant Agreement is delayed due to County not receiving the Agreement document from HUD until December 15, 2025.
CONSEQUENCE OF NEGATIVE ACTION:
If this Agreement is not ratified, County will not receive funding in an amount up to $2,179,230 and supportive housing and services to HUMS homeless individuals will be decreased.