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Sacramento chosen to host pilot program aimed at reducing homelessness

Sacramento is receiving the largest portion of money from the state's billion-dollar homeless fund. Here's how they'll use it.

SACRAMENTO, Calif. — California Governor Gavin Newsom is handing out more money from the state’s billion-dollar homeless fund. 

More than $730 million has been disbursed so far and the governor announced an additional $130.7 million Friday. It's going to counties across the state to help with the homeless crisis.

Sacramento is getting the largest portion with $18.2 million. Sacramento Mayor Darrell Steinberg spoke at the announcement about how the cities planned to use their new funds before meeting with media later to give further details.

“Double our capacity at the Roseville Road pallet home and trailer site, $6 million of the $18 million we are going to be the first-in-the-state pilot project (where) at least 100 people will go from the streets themselves directly to housing,” said Steinberg.

Mayor Darrell Steinberg says $12 million will be spent on doubling the size of the Roseville Road housing site. It currently has 60 sleeping cabins and 40 trailers serving 240 people.

The other $6 million will subsidize rent for two years in a pilot program which has been extremely successful in other states but is a first in California.

Brian Pedro is with the Department of Community Response for the City of Sacramento and he believes their willingness to create teams to go out to encampments caught the governor’s attention in choosing the city as the pilot program host.

“We are on the leading edge. We are doing the street to housing model that is either going to be a success or we will have egg on our face. I can tell you we are going to make every effort to be a success. We are going to be a year from now to say, 'Look what Sacramento did,'” said Pedro.

When asked why Sacramento was chosen for the pilot program and to receive the largest amount of funding this round, Steinberg says it’s the 41% reduction in unsheltered individuals in the last two years.

“The need is great, the demonstrated track record of the city of Sacramento now in partnership with the county, and I on behalf of the city take this seriously and are in it for the long haul,” said Steinberg.

Newsom also announced that if cities don’t want to wait for state services to arrive to clean up state property areas, then cities can clean encampments in those areas and be reimbursed. Steinberg says they are open to that idea.

Newsom says the money comes with accountability and he isn't afraid to take funds back from cities that don’t follow through. More accountability measures will be announced with the budget in January.

WATCH MORE ON ABC10: Newsom vetoes bill aimed at tracking state spending on homelessness, housing programs

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