Punishing Homelessness is a Crime Against Humanity: Root Causes and Compassionate Solutions (Guest Article)

Background:

With its term’s commencement fast-approaching, the United States Supreme Court delivered its first major ruling on homelessness in decades on June 28, 2024. Writing for the majority, Justice Neil Gorsuch asserted that local government ordinances with civil and criminal penalties for camping on public land do not constitute cruel and unusual punishment of homeless people—even if they have nowhere else to go. He argued that the Eighth Amendment only applies to punishments resulting from a conviction for violating a specific statute, effectively affirming the right to criminalize homelessness for state and local governments.

Hot on this ruling’s tail came an executive order from California Governor Gavin Newsome mandating state agencies and departments adopt policies to clear camps throughout California and urging local governments to follow suit. This move is particularly high-magnitude given that California has the largest homeless population of any state, rendering its implications vast. With around 181,400 unhoused individuals, California accounts for nearly 30 percent of the homeless population nationwide. But is forcibly evicting and locking up California’s most vulnerable citizens really the most effective or compassionate approach?

By analyzing the effects of particular state laws and court decisions, this research first deconstructs the elements causing California’s homelessness. While acknowledging California's progressive actions toward solving these issues, it spotlights the continuation of economic inequality, costly healthcare, and pay discrepancies. Ultimately, more all-encompassing measures are still needed to address the fundamental causes of homelessness and ensure that every Californian has fair access to housing, employment opportunities, healthcare, and other basic human needs. 

California's policies such as minimum wage increases and healthcare reforms have sought to alleviate components generating homelessness, but more comprehensive efforts are needed for long-lasting benefits. If these issues are prioritized, the outcome could improve the lives of many low-income California households and individuals.

Opinion:

One of California’s most salient issues, homelessness results from various conditions. Over my time working as Chief Financial Officer for AYOUTH, a 501(c)(3) non-profit my friends and I created with the purpose of offering unhoused persons necessities for their daily lives, I have directly faced these problems. Despite the greatest efforts of the state to address these issues, many Californians still suffer from economic inequities, expensive healthcare, and salary gaps—which often result in homelessness. With an eye on the minimum wage increase, Medi-Cal expansion, the Fair Pricing Act, and the Healthy California for All campaign, this publication looks at how California's policies impact these issues.

Economic Inequality and the Minimum Wage Increase:

Economic inequality is one of the main factors driving homelessness in California. In trying to solve this problem, the state has increased the minimum pay. With further hikes expected, California's minimum pay rose to $16 per hour on January 1, 2024.

Researching the possible effects of increasing the federal minimum wage, the Congressional Budget Office (CBO) found, according to their study, that raising the minimum wage will greatly increase the income of low-paid workers, therefore helping some families to transcend poverty and improve their quality of living. It also contends that businesses may cut staff or increase prices to cover more labor expenses, which could result in job losses from increased minimum wages and ultimately increase homelessness.

Examining the case, National Federation of Independent Business v. Sebelius (2012) would help one understand more about the complexities around raising the minimum wage. Though this case mostly addressed the Affordable Care Act, one of the main points of contention for those opposed to pay raises and comparable economic policies is the possibility of job losses and bad effects on the economy. They suggest that the Court underlined the possible financial consequences of such broad changes, especially the worry that imposing major financial obligations on employers might lead to unintended economic consequences, such as job losses. This idea underlines the issue immediately pertinent to the discussion on minimum wage rises. Like the financial obligations of the ACA, increasing the minimum wage would cost companies more in labor.

Reduced hiring and job losses generate economic uncertainty that directly fuels homelessness. People who lose their employment or have notable wage cuts might find it difficult to meet even basic needs including housing. The inability to pay mortgage or rent can result in foreclosures and evictions, therefore driving people and families into homelessness.

The possible job loss consequences illustrated by the National Federation of Independent Business v. Sebelius case make it clear that although increasing the minimum pay seeks to help low-income workers' economic situations, careful consideration of the possibility of job losses and economic instability is absolutely important. Developing policies that successfully address economic disparities and mitigate homelessness depends on juggling the advantages of better pay with the dangers of rising unemployment.

Unaffordable Healthcare:

For many low-income families and individuals, unaffordable health care still presents a major obstacle. According to the California Department of Health Care Services, many low-income individuals and families confront major obstacles owing to the great expense of healthcare. Many times, people postpone or avoid required medical procedures without enough insurance, which results in deteriorating health issues and unstable finances. The inability to pay for medical treatment can lead to a vicious cycle of declining health and ballooning medical debt, finally driving people and families into homelessness. This emphasizes how closely homelessness and healthcare costs are related. Individuals’ health suffers and they build medical debt when they cannot afford the required treatment. Such financial pressures can make it more difficult to afford housing, therefore raising the likelihood of homelessness.

Consider a low-income household running paychecks one after the other. One family member suffers from a chronic condition that calls for consistent medical attention. The expense of treatments, drugs, and doctor visits is unbearable without reasonably priced health insurance. The family starts to owe medical debt, which takes money away from other necessary costs such as rent. Their inability to eventually keep up with their housing payments results in eviction and homelessness. Fortunately, the U.S. Supreme Court upheld the legality of the Affordable Care Act in California v. Texas (2021), therefore guaranteeing ongoing financing and growth of initiatives like Medi-Cal, which is vital for low-income Californians in danger of homelessness. The case underlined the need to keep healthcare coverage for millions of Americans, especially those from low-income groups who are most susceptible to financial difficulty and homelessness without reasonably priced healthcare solutions.

Medical Bankruptcy and the Fair Pricing Act:

For many low-income individuals and families, unaffordable health care still presents a major obstacle. The Kaiser Permanente Charity Care Policy says that without sufficient insurance, individuals typically postpone or skip required medical treatments, leading to deteriorating health problems and financial instability. By growing Medi-Cal and offering more reasonably priced healthcare alternatives, California hopes to reduce this risk and give low-income citizens a safety net.

Furthermore, the 2017 Abbott v. City of Los Angeles case raised serious issues around the overabundance of medical bills. This case significantly strengthened California's Hospital Fair Pricing Act and revealed how some billing practices may cause financial overburden for patients and possibly endanger them of becoming homeless due to medical debt.

Ludicrous hospital bills cause patients—especially those with little means—to become financially unstable or destitute. California answered by strengthening the implementation of the Hospital Fair Pricing Act. This Act ensures that hospitals bill people fairly and honestly and provide financial help to qualified candidates. The law seeks to prevent hospitals from price-gouging patients and helps mitigate medical bankruptcies.

The Hospital Fair Billing Program, for instance, extended the income eligibility for financial assistance and stretched the period before negative credit reporting and legal action could be pursued. The scheme started on January 1, 2024. Before starting debt-collecting processes with patients, hospitals also have to look for public health care programs and financial help. These policies were first proposed in part in reaction to the challenges presented in the Abbott case in order to shield low-income patients from the financial catastrophe that may lead to homelessness.

Illness and Its Role in Homelessness:

Particularly for those already financially poor, diseases can greatly contribute to homelessness. Because of their high medical expenses and difficulty keeping consistent jobs, chronic diseases, mental health issues, chemical dependency, and physical impairments can significantly impact finances. The absence of reasonably priced healthcare as well as insufficient insurance coverage aggravate this problem as people with serious medical conditions might find themselves unable to pay both basic living expenditures and medical treatment.

Sometimes people get unexpected diseases requiring quick and expensive medical intervention. Without sufficient insurance, patients often delay or forgo required medical treatments, leading to worsening health conditions and financial instability; this idea comes from the Public Health Alliance of Southern California. Again, they assert that the inability to pay for medical treatment can lead to a vicious cycle of worsening health and mounting medical debt that finally drives individuals and families into homelessness. This emphasizes the important junction between homelessness and healthcare costs. People's health declines and they get into medical debt when they cannot afford the required treatment. This financial load might cause one to be unable to afford accommodation, therefore leading to homelessness.

Reducing homelessness mostly depends on widely available and reasonably priced mental health treatments for people with mental health-related diseases. Olmstead v. L.C. (1999) a historic Supreme Court ruling kept the rights of those with developmental disabilities to live in the community rather than in institutions intact.The Court decided that when persons with disabilities are unfairly excluded from society, discrimination covered by the Americans with Disabilities Act (ADA) is committed. This decision underlined how institutionalizing persons who would benefit more in community environments helps to propagate negative stereotypes and drastically reduces their chances for social and psychological development.

In a recent publication, the U.S. Department of Health and Human Services declared that  "discrimination based on disability is appropriately regarded as justified isolation." The decision guaranteed that persons with developmental disabilities can access the assistance they need to live independently using state-provided community-based services where relevant. This approach not only enhances their quality of life but also helps to prevent the social and economic upheaval capable of leading to homelessness.

The Olmstead decision offers community-based services and integrates individuals with disabilities into society, therefore lowering the possibility of homelessness. It underlines how crucial it is to have a comprehensive, well-executed strategy in place before moving people from institutions to community settings so they may obtain the aid and concessions they need to succeed.

Universal Healthcare and the Healthy California for All Commission:

With projects like the Healthy California for All Commission, California is looking at whether a single-payer healthcare system may be instituted. This initiative aims to create one financial framework allowing every person to have access to healthcare. Should it be effective, this might be a model for universal healthcare in the US, ensuring that every Californian, from all walks of life, has access to first-rate medical treatment and therefore reduces the state's risk of homelessness.

The Healthy California for All Commission wants to build a system where every person can afford and has access to healthcare. The California Health and Human Services article notes that a unified financing system could help achieve universal coverage and address issues of cost and access that have long plagued our healthcare system. This approach is essential for decreasing homelessness since access to affordable healthcare helps people avoid the financial problems that usually lead to homelessness.

By striving toward a centralized healthcare financing system, California hopes to ensure that every person has access to necessary medical treatments and to reduce healthcare inequalities. Reducing their probability of becoming homeless due to untreated medical debt and health problems, can significantly improve the general well-being of low-income individuals and families.

Gonzales v. Raich (2005) established a precedent stressing the federal government's authority to control state healthcare projects should they be judged to affect interstate commerce. This idea will be very important in determining how California's single-payer system develops as it guarantees it conforms with federal rules and aims to give its citizens thorough treatment. Through negotiating these federal-state relationships, California hopes to lower healthcare inequalities and stop homelessness among its most disadvantaged groups.

Commitment to Progressive Policies:

California's innovative policy approach to solving homelessness shows a great awareness of the several elements influencing this problem. The state wants to give low-income workers a living income by raising the minimum wage, therefore lessening the economic inequalities that sometimes result in homelessness. The expansion of Medi-Cal guarantees that more Californians have access to reasonably priced healthcare, therefore preventing medical debt from driving people into financial difficulty and homelessness. For low-income groups, the Fair Pricing Act offers financial assistance and openness as well as shields customers from outrageous medical costs. Furthermore, the Healthy California for All Commission's investigation of a single-payer healthcare system is a daring move toward complete healthcare reform maybe modeled for the country.

Addressing Economic Inequality:

Reducing economic disparity starts mostly with raising the minimum pay. California seeks to pull people and families out of poverty by guaranteeing decent pay for employees. Although for many this approach significantly improves their quality of life, it must be backed by other activities to address the more general economic inequities generating homelessness. These initiatives taken together—job training programs, educational campaigns, and affordable housing projects—help to create a more equitable economic environment.

An article from the Economic Policy Institute captures recent activity, "We, the undersigned economists and social scientists, endorse the plan to raise the state's minimum wage to $15 an hour by 2022 for large enterprises and 2023 for small ones. Though economy-wide productivity has more than quadrupled since then, this level of minimum pay is just 34 percent over that of 1968. Low-paid workers and their families could expect great financial gains from this rise in the minimum wage, therefore helping to lower poverty and economic disparity in the state.”

Further studies from the Othering & Belonging Institute at UC Berkeley show that "higher wages for the lowest-paid workers have the potential to help nearly 4.6 million people out of poverty and add approximately $2 billion to the nation's overall real income." These results show that increasing the minimum pay benefits not just in terms of lowering poverty but also in terms of boosting economic growth and enhancing economic mobility for every citizen.

Enhancing Healthcare Accessibility:

Medi-Cal's growth and the Fair Pricing Act's adoption show California's initiatives to provide more reasonably priced healthcare. These laws are crucial in avoiding medical bankruptcy, a major cause of homelessness in society. More structural adjustments are needed, if we are to completely meet the healthcare requirements of low-income people. Aiming to offer universal coverage and lower healthcare costs generally, the investigation of a single-payer healthcare system is in line here. Making sure every person has access to thorough healthcare helps to avoid the financial difficulties that often drive people into homelessness.

ProCon.org notes, "If all Americans were provided health care under a single-payer system, medical bankruptcy would no longer exist because the government, not private citizens, would pay all medical bills". Preventing the financial volatility that can cause homelessness depends on this kind of strategy. Under a single-payer system, reduced prescription medication costs would also assist low-income people in keeping their homes stable by further lowering their financial load.

Exploring a Single-Payer System:

Research on a single-payer healthcare system through the Healthy California for All Commission is a major move towards complete healthcare reform perhaps modeled for the country. This method aims to ensure universal access to sufficient coverage, lower healthcare expenditures, and comprehensive treatment. According to The Source on Healthcare Price and Competition, achieving universal coverage and solving long-standing issues of cost and access rely on a consistent financial structure.

Systemic Solutions for Homelessness:

Although California's progressive policies offer a strong structure for attending to the immediate needs of those in danger of homelessness, more thorough and institutional remedies are required to solve the underlying problems. 

More choices for reasonably priced homes are truly vital. This includes building more reasonably priced homes, offering rental help programs, and enacting laws meant to stop foreclosures and evictions. 

Integrated support programs are also essential in covering the several needs of homeless people including mental health care, drug addiction treatment, job training, and education. Good initiatives such as Housing First, which promotes encouragement of economic potential by way of programs for workforce development, small firm support, and job creation are still another crucial element. Preventing homelessness requires ensuring individuals have access to consistent, fairly paid jobs. The Brookings Institution reports that small businesses are the main drivers of employment and economic development. Laws promoting small firm development, funding access, and worker training are absolutely essential for low-income individuals to be economically mobile and stable.

A further action that needs to be tackled is strengthening regulatory safeguards for consumers and tenants to stop exploitative behavior capable of causing financial instability and homelessness. In its analysis of the Community Reinvestment Act (CRA), the Federal Reserve Bank of Philadelphia emphasizes the need for such safeguards. The CRA invites banks to participate in activities supporting job creation, workforce development, and place-based investments—all of which are vital for tackling structural economic problems and thereby fostering inclusive growth.

The California Policy Lab stresses the need for community engagement in implementing plans for homelessness prevention, including local stakeholders' guarantees, from their point of view, that solutions are customized to fit the particular requirements and resources of every area. Their findings underline that community needs are addressed and prioritized in all phases of research to promote community involvement in its homelessness prevention research agenda.

Conclusion and Resolution:

California's progressive laws—increasing the minimum wage, expanding Medi-Cal, passing the Fair Pricing Act, and looking at a single-payer system—show significant determination to address the aspects generating homelessness. These initiatives are looked upon by most other states and the federal government as models for their ongoing effort to provide every American with equitable healthcare and financial options. Still, if we are to truly address the underlying causes of homelessness, more comprehensive and institutional answers are needed.

Emphasizing consumer protection, healthcare access, and economic equality, creates a good basis for reducing homelessness. California can continue to lead the way in building a more fair and equitable society where homelessness is rare and brief by extending affordable housing, including support services, motivating economic possibilities, strengthening legal protections, using community-based measures, and increasing the opportunity for a quality life for all Californians.