San Jose frames 'functional zero' model and a 3,000‑unit shelter gap as city doubles interim capacity

City housing staff told the San Jose City Council that a data review and modeling effort estimates roughly 5,477 unsheltered people in San Jose and that, under the model presented, the city faces an approximate gap of 3,000 shelter beds/spaces to reach a community target the presentation described as “functional zero.”

Eric (housing director) and deputy director Cupid Alexander said functional zero in this context means the system is sized so that exits from homelessness consistently outpace entries; they emphasized it does not mean the city will have literally zero people experiencing homelessness. Staff described a three‑part framework: (1) prevention and diversion to stop inflow; (2) shelter and low‑barrier interim housing to meet urgent unsheltered need; and (3) long‑term permanent housing production and preservation.

Staff reported a current system supply of roughly 2,968 beds and spaces managed across city and county programs and described about 1,723 additional interim units and sites under development that will increase capacity in the near term. Even after adding those projects and the city’s existing inventory, staff said an additional roughly…