Westminster nonprofits warn Adams County TANF contract changes will reduce homelessness prevention

Representatives of three nonprofits told the Westminster City Council on Oct. 6 that changes to how Temporary Assistance for Needy Families (TANF) money is distributed in Adams County will sharply reduce rental- and homelessness-prevention assistance available to local residents.

The nonprofits — Growing Home, Almost Home and Family Tree — said Adams County’s decision to let homelessness-prevention contracts funded by TANF sunset at the end of 2025 will remove roughly $2.9 million that now supports rental, mortgage and utility assistance, case management and shelter services. City staff said they will seek a regional meeting with county officials and other municipalities to explore ways to replace those funds.

TANF is a federal program routed through the state and then to counties. Kate Skarbak, the city’s lead for human services, said changes in Colorado law and county decisions are shifting more TANF dollars to basic cash-assistance programs administered directly by county case managers. “This is funding that was not affected by that bill,” she said of other recent state budget actions, adding that TANF has been distributed “since 1996” and can be used for administrative, basic cash assistance or discretionary programs.

Nonprofit leaders described the local impact. Veronica Perez of Growing Home said the prevention programs are research-based and keep households from entering homelessness. “When we're seeing these programs enacted appropriately, we see about 80 to 90 percent of our program participants remain stably housed following the completion of [the] program,” Perez said. She gave Westminster-specific figures: Growing Home assisted more than 31 Westminster households with rental, mortgage and utility help and reported an 84% stable-housing exit rate among those clients.

Delaney Coe of Almost Home said TANF supported a range of services in Adams County, including housing-stability case management, a family shelter, respite hotel stays and a housing navigation center. Coe said the nonprofit served 155 households in the most recent fiscal year; 36 of those were Westminster residents. “We stick with people, make sure that we continue providing support and resources as needed,” she said.

Family Tree CEO Paulo Diaz said the organization served roughly 358 Westminster residents across domestic violence, kinship and homelessness programs last year; he said Adams County TANF funding accounted for about half of Family Tree’s support for those residents. Diaz noted that contracts for key Adams County TANF-funded services — the homelessness program and kinship support — will expire Dec. 31, 2025, and that Family Tree’s contract for some domestic-violence services extends to June 30, 2026.

Nonprofits and staff flagged rising urgency among clients: Growing Home reported that more participants are now more than $2,000 behind in rent, versus about $1,000 previously, and that demand for rental assistance has increased. Veronica Perez said the organizations have been attempting to line up philanthropic, municipal and county funding to replace lost TANF discretionary dollars but called for coordinated regional planning. “How can Westminster and other municipalities help? Help us replace the almost $3,000,000 for homelessness and prevention that is going to be lost at the end of the year,” Perez said.

Council members repeatedly asked the nonprofits and staff what Westminster could do next. Councilor Camilla urged prompt regional coordination with Adams County and other neighboring cities; councilors suggested an all-day work session like one Jefferson County recently hosted. City staff reported they had already begun outreach: the city manager said she had spoken with Adams County Manager Dion Stroder and would follow up, and staff will offer Westminster facilities to host a regional meeting if desired.

City staff described what would change operationally: Adams County plans to fold more services into Colorado Works county case management staff rather than fund external nonprofit contracts. Nonprofit leaders said that change shifts resources from direct rental assistance to administrative case-management functions and that state emergency-assistance programs are insufficient to replace the prevention funds because they rely on random selection and do not guarantee support.

Council members stressed keeping existing nonprofits operating while a regional solution is developed. Councilor Lazari urged the county to present data that justify folding contracted services into in-house case management, and Councilor DeMotte asked staff for an update on the city’s existing vouchers and hotel partnerships used for severe-weather and short-term sheltering; staff said vouchers were sufficient in the last cold-weather season but cautioned that capacity might tighten as navigators' caseloads increase.

Ending notes: nonprofit leaders asked for a short- and medium-term plan that could include coordinated municipal funding, philanthropic matches, and, as a longer-term option, a ballot measure. Staff and council agreed to pursue a regional convening with Adams County and to return with options and next steps.