Orange County is facing what seems to be a paradox. Despite being one of the wealthiest regions in the entire nation, the county is witnessing an escalating affordable housing crisis that is leaving thousands without a place to call home.
In reality, this truth is not paradoxical at all — it’s a characteristic symptom of income inequality that will continue claiming entire livelihoods if its causes aren’t mitigated.
In the county’s 2024 Point in Time Count, it was discovered that over 7,000 of its residents were living on the streets, far outnumbering the 5,466 available beds in the permanent and interim housing supply. Rent prices have also climbed substantially. A report from the California Housing Partnership determined that renters in Orange County need to earn roughly $53.83 an hour to afford the average monthly rent expense — this is approximately three times the state’s minimum wage.
Orange County has spent over $1 billion to address homelessness in recent years, specifically emphasizing the construction and maintenance of homeless shelters. However, these efforts have even been criticized for their measured lack of efficacy in the long term. Although these shelters may provide short-term relief, proof of sustainable progress towards permanent housing solutions is scarce.
There is a clear need for a more comprehensive, preventative and long-lasting approach to addressing homelessness. But the barriers local governments face when mitigating homelessness are notoriously formidable. What is the most effective way to navigate tenant protections, for example? Where are the best places to allocate funds? How can local governments work with the boundaries laid out by state and federal authorities?
Researchers at UC Irvine’s Department of Criminology, Law & Society are in the midst of evaluating a Homeless Prevention Pilot Program, launched from the office of Orange County Supervisor Vicente Sarmiento. The program is vetting trailblazing features like food pantry services, financial literacy education, thorough case management support and periodic grants that aim to support those on the brink of homelessness in a more holistic and tailored manner.
The wraparound services this program provides were inspired by a key realization: The prevention of homelessness has the potential to be more cost-effective, more beneficial to public health outcomes and more sustainable than treating it once it has already occurred.
Vasila Ahmad is a UCI alumna and Policy Advisor for the Office of Supervisor Sarmiento. She is working closely on the development of the program. Ahmad describes that, by working in a district that’s particularly susceptible to homelessness, she and her colleagues often find themselves asking questions about how homelessness unfolds as a process, not just an isolated circumstance.
In an interview with New University, Ahmad said that, “You can prevent someone from losing the roof over their head. You can prevent the trauma that comes with it. You can prevent all of the credit score impacts, the physical health impacts, all of those things, if you just help to keep them housed.”
Taking a preventative approach to the situation can better empower those who are struggling to get back on their feet and stay there, without heavily relying on state resources like child welfare, emergency healthcare services and income support. A 2017 report from Orange County Grantmakers, supported by Orange County United Way and UCI, discovered that it costs roughly $100,000 annually to support an individual experiencing chronic homelessness. This translates to roughly $130,000 adjusted for inflation, Ahmad described.
Rather than paying these expenses after the fact, taking action to prevent homelessness altogether is a more affordable approach in many cases. For instance, facilitating small grants to offset utility bills or one-time rent payments can prevent eviction, thereby reducing the need for emergency shelters that strain taxpayers.
Contrary to what stigma might suggest, widespread economic hardship and escalating housing costs are the leading causes of homelessness in the United States. With this in mind, wouldn’t it be more straightforward to simply provide funds for people on the brink of homelessness, rather than allocating some of those costs to cover food pantry services, financial literacy programs, intensive case management facilitation and administrative support? Research indicates: not necessarily.
Dr. George Tita is a professor in the Department of Criminology, Law & Society at UCI and one of the experts evaluating the success of the pilot program. In an interview with New University, he described that, “The literature has been uneven in regards to cash grant programs. Some research has shown strong, statistically significant impacts, some studies have shown basically no impact.”
He cited a study taking place in a few cities outside of Orange County, in which those on the brink of homelessness were supported with roughly $38,000 a year, far exceeding the more modest financial support offered by the Homeless Prevention Pilot Program.
“When they asked people what they thought of the program, many of the people who received their monthly cash transfers said, ‘Yeah, it was great to get the money, but what I really want is for things to be more affordable. I want access to healthcare. I want access to affordable housing.’” Tita said.
The unfortunate news is that this issue is much larger than Orange County, as there are greater factors at play that are inflating the overall cost of living throughout the country. But the resources and passion from local initiatives are paving the way to greater enlightenment nonetheless. UCI’s study will be used to inform policy and future developments to the program, and Ahmad cites that the program’s current participants are already describing favorable effects.
“We got an update from folks telling us all the great news on how they were able to pay past due rent, how they’re using the stabilization support and just what a relief it’s been for these individuals. But to know the real impacts of it, we’re going to have to wait for the full two years to complete, and then UCI is gonna do their research and report back to us,” Ahmad concluded.
Addressing the problem of homelessness is remarkably daunting and complex on a national scale. However, there is a great need and a great prospect for Orange County’s condition to improve, even if this change occurs one person at a time.
Casey Mendoza is an Assistant Opinion Editor for the Summer 2025 quarter. He can be reached at caseym4@uci.edu.
Edited by Isabella Ehring and Joshua Gonzales