San Jose budget could reallocate affordable housing funds

San Jose voters passed a property transfer tax to help fund affordable housing, but the mayor wants to reallocate more than 50% of those dollars for other uses.

The city manager’s budget proposal, obtained by San José Spotlight, shows that $38 million of the $70 million in Measure E funds earmarked for affordable housing may shift to homelessness services. This would be a significant reallocation from council’s direction last year, where they voted to spend 75% of Measure E dollars on affordable housing development.