187,000 individuals experience a lack of housing in California; this makes up about 24% of the nation’s unhoused population (California Integracy Council on Homelessness, 2025). Finding solutions for caring for unhoused populations remains one of California’s largest issues, and policymakers work to tackle the epidemic of unaffordable housing. Launched on July 1, 2026, the California Housing and Homelessness Agency (CHHA) aims to unite housing-related departments under one roof to strengthen focus on the long-standing issue of unaffordable housing and a rising population of unhoused individuals across the state (Office of Governor Gavin Newsom, 2025). Through this initiative, California hopes to create a more coordinated response to a crisis that has affected many groups statewide.

Why was CHHA Created?

The creation of the agency occurred as the state continues to face a substantial unhoused population, alongside difficulties pertaining to housing. Historically, these concerns at the state level have been spread out among different departments, making it difficult to coordinate responses. Having responsibilities divided can make decision-making less coordinated, which established a need for a more unified approach to address the housing crisis. By bringing housing and homeless responsibilities together, state leaders hope to prioritize these crises. The Newsom administration has previously emphasized that this new structure is intended to improve coordination among departments addressing housing challenges (Office of Governor Newsom, 2026).

What Changed?

Before CHHA was created, concerns regarding housing and homelessness fell under the oversight of the Business, Consumer Services, and Housing Agency (BCSH) (Office of Governor Newsom, 2025). The reorganization plan that led to the creation of the CHHA changed this structure, splitting it into two new agencies: the California Housing and Homeless Agency (CHHA), and the Business Consumer Services Agency (BCSA) (Office of Governor Newsom, 2025). However, the old structure faced limitations in addressing California’s growing housing challenges. These shortcomings stemmed partly from its fragmented system, weakening efforts to maintain a unified approach. With the BCSH, housing policies competed for attention among countless unrelated responsibilities.

The creation of CHHA marks a shift away from this broader structure and toward a more focused structure. Under this new agency, housing responsibilities are consolidated under one cabinet, which prioritizes housing and homelessness issues. Ultimately, this reorganization establishes a system with a greater concentration on California’s most pressing concerns.

What Will This Agency Do?

With its new position in California’s government, CHHA will oversee several departments responsible for the state’s housing efforts. This agency will bring together production programs and financing under one roof to enable a more effective use of resources. By uniting five key departments, state leaders hope to foster stronger partnerships and efficient outcomes, helping communities across the state.

Rather than creating new departments, CHHA brings together four existing departments, alongside a newly created one, under a single agency. These departments include the Civil Rights Department, the Department of Housing and Community Development, the new Housing Development & Finance Committee, California Housing Finance Agency, and the California Interagency Council on Homelessness (California Housing and Homelessness Agency, 2026). These departments collectively address different aspects of the housing crisis, including discrimination, funding and local government support, and reducing the housing crisis.

What Does This Mean for California?

For communities in California, the changes caused by the reorganization can have impacts beyond the state government. Better coordination could make resources easier to administer, and therefore more accessible to many communities throughout the state. Affordable housing efforts could become more effective and people experiencing homelessness may have more support. Those working at the state level wish to improve accountability, meaning centralized leadership, a better tracking of funding, and transparency in addressing homelessness. These initiatives can significantly bolster efforts to address the ongoing crises facing the state.

Though much is being done to facilitate progress, such as reforms intended to speed up housing development and investments aimed at expanding affordability, the long-term impacts will depend on the implementation of policies within the agency. The success of this agency will take time to evaluate, and continued monitoring will be important. The level of coordination between the departments will demonstrate whether the new structure is functioning as intended. Measurable changes, including reductions in unsheltered homelessness and increases in affordable housing will ultimately help determine whether the reorganization is accomplishing its goals.

Mission of Project Lux

Changes in housing policies can have direct effects on the communities Project Lux seeks to support. Through care navigation, Project Lux works to expand access to healthcare and other resources for unhoused communities. Decisions related to affordable housing and homelessness programs can have an effect on the resources available to unhoused individuals living in California. By bringing attention to this progress, Project Lux highlights the systems that shape the experiences of these communities. As CHHA begins its work, its significance will primarily depend on whether these changes will translate into improvements for the communities it aims to serve.

Works Cited

About CHHA – California Housing and Homelessness Agency. https://housing.ca.gov/about-chha/

Governor Newsom restructures state government to combat homelessness, boost housing and affordability | California Department of Housing and Community Development.  https://www.hcd.ca.gov/about-hcd/newsroom/governor-newsom-restructures-state-government-to-combat-homelessness-boost-housing-and-affordability

Cremin, Sean, Homelessness Hits a Record High in California, Jumps Dramatically in Rest of US. | Public Policy Institute of California. https://www.ppic.org/blog/homelessness-hits-record-high-in-california-jumps-dramatically-in-rest-of-us/

Langer, L. (2026, January 8). New State Housing and Homelessness Agency under government reorganization plan. https://bbklaw.com/resources/la-01826-new-state-housing-and-homelessness-agency-under-government-reorganization-plan

Abbott, J. (2025, October 20). What’s Happening with the BCSH Reorganization. California Council for Affordable Housing. https://californiacouncil.org/news/whats-happening-with-the-bcsh-reorganization