The Sierra Vista City Council on Jan. 9 approved Resolution 2025-004, a two-year program agreement that provides transitional funding to keep the Good Neighbor Alliance emergency shelter operating while Catholic Community Services of Southern Arizona (CCS) takes over management.

The funding agreement is capped at $301,898 and is structured across multiple fiscal years: a potential impact this fiscal year of $98,384 (including a $30,000 initial cash-flow payment), $150,950 budgeted in the next fiscal year, and $52,566 to cover the second half of FY2026. Staff said if projected revenues exceed expenses, the city contribution would be reduced proportionately.

The council and staff stressed the agreement carries documentation requirements. CCS must submit periodic written financial and activity reports showing the number of individuals served, their homeless status, services provided and revenue raised by source; the contract includes a termination clause for failure to meet obligations and allows either party to end the agreement for convenience with 30 days' notice.

Staff described the local shelter, operated as Samaritan Station by Good Neighbor Alliance, as the only emergency shelter serving people living in and around Sierra Vista. The facility offers 22 beds and housed 180 unduplicated residents, including eight families, in the last fiscal year. City staff and councilmembers framed the agreement as gap funding and “seed money” while CCS works to expand programs and stabilize revenue.

Elena Dwyer, identified in the meeting packet as the executive director of CCS, and Terrence Watkins, identified as CCS’s housing director, attended the meeting to answer council questions about operations and CCS’s implementation plan. City staff said CCS has experience managing grants and holds statewide coordination contracts that could broaden funding streams for the shelter.

Staff prefaced the agreement at the meeting by saying, “To be clear, we’re not handing over a blank check.” The agreement includes financial reporting requirements and a termination-for-cause clause, and staff said the property will retain the Good Neighbor Alliance name during the transition.

Councilor David Jones moved approval of Resolution 2025-004; the motion was seconded and passed by voice vote.

Why it matters: City officials said the shelter was at risk of closing as early as Feb. 1 without immediate funds. The agreement is meant to preserve emergency shelter capacity while CCS works to expand services, pursue grants and stabilize operations.

What’s next: CCS and Good Neighbor Alliance are working to finalize the transfer of operations; staff will receive the required financial and activity reports under the agreement and will scale city funding if outside revenues come in higher than projected.