Nonprofit Fails To Provide Housing As Part of State's Project Homekey

Here are the morning’s top stories on Wednesday, September 18, 2024…

• A few years ago, two companies, one nonprofit, one for profit, received more than $100 million in taxpayer dollars to quickly house homeless people in California. It was part of Governor Gavin Newsom’s Project Homekey, which turned hotels into shelters for unhoused people. But little has come from the partnership.
• The man accused of starting the Line Fire in San Bernardino County pleaded not guilty to arson charges on Tuesday.
• California’s Surgeon General introduced a new initiative Tuesday that aims to cut the state’s maternal mortality rate by 50% in two years.

Homeless Services Nonprofit Leaves String Of Failed Projects As Part Of Project Homekey

One year ago, the Santa Monica-based homeless housing and services nonprofit Step Up On Second Street seemed like it was about to become a national player.

The politically connected organization had helped come up with California Gov. Gavin Newsom’s “Homekey” homeless housing grant program and then, along with its for-profit real estate partner, had become a major recipient of Homekey funds.

Together, Step Up and its partner, Shangri-La Industries, pulled in more than $114 million to convert seven California motels into apartments for formerly unhoused tenants. 

But getting the Homekey grants turned out to be the easy part. While Step Up and its partner lined up business elsewhere, the seven projects in California fell into debt. Instead of creating hundreds of badly needed apartments, the properties went into foreclosure and were taken over by lenders. Four remain empty and unfinished.

Norco Man Pleads Not Guilty To Charges In Line Fire Arson Case

The man accused of starting the Line Fire and burning close to 40,000 acres in the San Bernardino National Forest pleaded not guilty to arson charges on Tuesday.

Justin Wayne Halstenberg, 34, was arrested on September 10 at his home in Norco after investigators charged him with attempting three times to ignite the fire. Investigators shared last week that two of the attempts were put out by fire crews and nearby residents.

Prosecutors say the third attempt led to the start of the Line Fire, which is 50% contained and caused Governor Gavin Newsom to declare a state of emergency for San Bernardino County.  Halstenberg is facing 11 felony counts, including aggravated arson, arson causing great bodily injury and arson of forest land.

California Promises To Cut Maternal Mortality In Half By 2026

California’s surgeon general, Dr. Diana Ramos, introduced a new initiative on Tuesday that promises to cut the state’s maternal mortality rate by 50% by December 2026.

Currently, a mother in California loses her life to pregnancy-related complications every five days. Research from the Centers for Disease Control and Prevention shows that 80% of maternal deaths are preventable.

“Pregnancy is more than just a pivotal moment in a woman’s life; it is also a crucial indicator of future health. Complications like diabetes, hypertension, and depression can reappear later in life, often triggered by the conditions surrounding childbirth,” Ramos said. “We cannot stand idly by as preventable deaths continue to occur.”