Phoenix council renews Rio Fresco shelter contract amid calls for audits and better tracking

The Phoenix City Council on June 4 approved an item to authorize an amendment to the city’s contract with Community Bridges to operate the Rio Fresco non‑congregate shelter for single adults, voting 9‑0.

Council members and speakers at the meeting pressed city staff and the Office of Homeless Solutions for more transparency and measurement of outcomes, including longer‑term tracking of whether people who exit shelters remain housed.

The shelter at issue is the city’s only non‑congregate option for single adults and has 117 units, city staff said. Rachel, an Office of Homeless Solutions staff member, told the council that the shelter "has our highest positive exit rate" among single‑adult shelters and that the city operates shelter contracts "on a reimbursement basis" and receives monthly reports and invoices. She said the city auditor is "also initiating a full audit of of some of our, organizations, including Community Bridges." Scott, another OHS staff member, said OHS places staff on site and conducts weekly on‑site monitoring and case conferencing.

Advocates asked for deeper programmatic accountability. Volunteer outreach worker Stacy Champion criticized Community Bridges’ performance in public comment, saying, "This is an organization that in, in 2023 had $191,000,000 in revenue. Their CEO makes over half a million dollars" and that frontline navigators "are paid barely above minimum wage" while carrying large caseloads.

Council members pressed staff on specific oversight steps. They asked for a system map showing client touch points across shelters and partner programs, benchmarks for shelter exit and returns to homelessness, and clarity on how the city monitors staffing levels and case‑management caseloads. Rachel said the city tracks exits using the Homeless Management Information System (HMIS) and can monitor whether people reenter the homeless services system; she said the city also requires case‑management ratios in its contracts and performs annual fiscal reviews.

Councilwoman Kate Gallego and other members emphasized that contract continuity matters while accountability work continues. Councilwoman Pastor said she had considered voting no because of system gaps but would support continuation of services while the city pursues audits and operational fixes.

The council’s action authorizes the contract amendment needed for continued operation; staff said they will pursue the city auditor’s fiscal review and provide programmatic benchmarks and a vendor resolicitation schedule for contracts approaching expiration. No policy changes beyond the contract authorization were adopted at the meeting.

The city auditor’s announced review and OHS’ commitments to on‑site monitoring and data reporting are the next steps cited by staff.