San Diego service providers are bracing for potential cuts to federal homelessness funding, with HUD planning to redirect $3.6 billion away from permanent housing. - A federal judge blocked the first attempt to cap spending, but HUD is trying again with a June 1 funding announcement.
- Local programs like Rapid Rehousing and permanent supportive housing are being wound down, affecting hundreds of people. - Interfaith Community Services has already moved 45 people with disabilities out of HUD-funded units.
- Providers warn the cuts would push vulnerable people back into homelessness and reverse progress. The outcome depends on court scrutiny and congressional action, but uncertainty is already causing harm.