Kaiser, Blue Shield aid housing fund
OAKLAND (AP) — Hospital giant Kaiser Permanente and insurer Blue Shield of California on Friday pledged $45 million to a new state fund aimed at getting people off the streets.
Gov. Gavin Newsom signed an executive order last week creating what he proposes to be a $750 million fund that could be used to pay rents, subsidize affordable housing or help board and care homes.
Kaiser is contributing $25 million and Blue Shield of California is contributing $20 million.
“Chronic homelessness has been shown to cut 27 years from the average lifespan and is associated with communicable diseases such as hepatitis and typhus, increased hospitalizations, and frequent readmissions,” said Greg Adams, CEO of Kaiser, a nonprofit healthcare company.
Paul Markovich, president & CEO of Blue Shield of California, said “addressing homelessness is a key step in ensuring health and wellness for individuals and families.”
Newsom applauded the rapid response from both companies for his initiative. He has just wrapped up a statewide tour promoting his plan to combat spiking homelessness. Last week he declared himself California’s “homeless czar,” after promising a year ago to appoint one.
The state is in the grip of a housing and homelessness crisis. There’s too little housing that workers can afford, and the number of people who are living in their cars, temporary shelters and out in the open increased 16% over two years.