Michael Gause, ending homelessness manager for the Sonoma County Department of Health Services, says the changes felt like a gut punch. photo credit: George Alfaro/Bay City NewsA homeless encampment in San Rafael on Nov. 18. 2025. Leaders from homelessness response networks across the Bay Area are still reeling from the announcement of sweeping changes to the federal grant system that arrived late last week.Since learning of the new requirements from the U.S. Department of Housing and Urban Development on Thursday, directors from local Continuum of Care agencies now must figure out how they will serve their communities with guaranteed funding slashed from 90% to 30% — all while living in a blue region where their own state laws, like those on diversity, equity and inclusion, could put…..