Riverside City Council Rejects $20M in State Funding for Low-Income Housing

Council members vote 4-3 to turn down grant that would have converted motel into affordable units

Published on Feb. 7, 2026

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The city of Riverside was recently awarded a $20.1 million state grant to build housing for low-income seniors and the homeless, but the city council voted 4-3 to refuse to accept the funding. The plan was to transform a local motel into 114 studio apartment units, but some council members argued the proposal would do little to address the root causes of homelessness, such as mental illness and addiction.

Why it matters

This decision highlights the ongoing debate around the best approaches to addressing homelessness, with some favoring immediate housing solutions and others prioritizing wraparound services and treatment. The rejection of state funding for affordable units also raises questions about Riverside's commitment to providing housing options for its most vulnerable residents.

The details

The $20.1 million grant would have allowed Riverside to convert the Quality Inn motel on University Avenue into 114 studio apartments. However, some council members, like Sean Mill, argued that simply providing housing without addressing mental health and addiction issues would not solve the core problems facing the homeless population.

  • Riverside was recently awarded the $20.1 million state grant.
  • The city council voted 4-3 to reject the funding last month.
  • The council had until 5 p.m. on Friday to signal their intent to change the vote, but no members did so.

The players

Riverside City Council

The governing body of the city of Riverside, California, which voted 4-3 to decline the $20.1 million state grant for low-income housing.

Clarrisa Cervantes

A Riverside city council member who voted to accept the state grant, arguing that providing housing is a critical first step in helping the homeless.

Sean Mill

A Riverside city council member who voted against accepting the state funding, believing the proposal would do little to address the root causes of homelessness, such as mental illness and addiction.

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What they’re saying

“When we get awarded free state grant funding, that's free from the state of California to come into our city, it is hard to see that we're going to say no to $20.1 million.”

— Clarrisa Cervantes, Riverside City Council Member (abc7.com)

“I don't think just putting a roof over their head is going to solve the problem.”

— Sean Mill, Riverside City Council Member (abc7.com)

What’s next

The city council's decision to reject the $20.1 million state grant effectively ends the plans to transform the Quality Inn motel into 114 units of low-income housing. It remains to be seen if the council will pursue alternative approaches to addressing homelessness in Riverside, such as the new powers granted under Senate Bill 43 to intervene with those suffering from severe mental illness or substance abuse issues.

The takeaway

Riverside's rejection of state funding for affordable housing highlights the ongoing debate around the best strategies for tackling homelessness. While some council members prioritize immediate housing solutions, others argue that addressing the root causes of homelessness, such as mental health and addiction, should be the primary focus. This decision raises questions about Riverside's commitment to providing housing options for its most vulnerable residents.