Anchorage health department staff told the Anchorage Assembly work session they will present a memorandum next week asking the assembly to approve Amendment 2 to the congregate shelter contract with Catholic Social Services, extending operations at the East 56 site from July 1 to Aug. 31 to continue serving up to 200 residents.

The request is meant to preserve continuity of operations while the municipality negotiates and moves clients into a scattered‑site model for non‑congregate housing. Health staff said the extension is intended to avoid displacing people who are currently staying at East 56.

Shelter program staff said the contract extension covers “up to 200 individuals residing at that location” and that the additional time will allow staff to “ensure continuity of operations as we continue to look at the scattered site model.”

Assembly members asked whether the scattered‑site model will have room to absorb the East 56 residents during the two‑month extension. Member Johnson asked, “We feel confident that by the end of the two‑month extension, there'll be sufficient capacity in the scatter site model to absorb the 200 people?” Health staff replied that they expect capacity will be available and that the scattered‑site model is “close to pass capacity right now.”

The memorandum was scheduled for introduction to the assembly on Tuesday, June 24; staff said formal action on the contract extension will come to the assembly at that meeting. No vote on the extension occurred during the work session.

Officials said the extension is a short, tactical step while confidential negotiations continue on the scattered‑site placements. The work session did not provide a final costing, contract amendment text, or a binding timeline beyond the July 1–Aug. 31 extension window; those details are to be included in the memorandum to the assembly.

Assembly members and staff said they will continue questions during the formal introduction and public meeting next week.