Temple leaders, Feed My Sheep outline scaled plan for Little Flock transitional housing campus

Nancy Glover, a city staff member working on homelessness programs, and Jeff Stegall of Feed My Sheep presented the city—s updated Operation RISE plan and a smaller, lower-cost proposal to build a transitional campus on the city-owned Little Flock property.

Glover told the council that Operation RISE began in April 2022 and that a consultant had recommended a countywide set of solutions. She said the updated plan separates Killeen—s approach from Temple—s and reflected a U.S. Supreme Court ruling that changed how municipalities may engage with encampments. Glover said the ruling removed a prior requirement that the city have a bed for every person in an encampment plus one, but the city will continue a compassionate, case-management-focused approach.

The scaled design presented by Stegall calls for a smaller footprint than an earlier draft: about 40 tiny homes, 35 transitional pallet homes the nonprofit already owns, two restroom/kitchen buildings, one community building that can shelter about 50 people in emergencies, retention of existing house and barn for offices and storage, and an on-site pet shelter. Stegall said the reduced-scope Phase 1 cost estimate is about $6.1 million, down from an earlier Phase 1 estimate of roughly $17 million and a full-buildout estimate previously shown around $29 million.

Glover and Stegall outlined a proposed funding plan: the city could use a Section 108 loan (an advance of future Community Development Block Grant allocations) to pay for site improvements and debt service estimated in the presentation at roughly $240,000 per year over 20 years; the team would apply to the Federal Home Loan Bank for a competitive grant (presenters said up to $2 million for initial work); and Feed My Sheep would lead private fundraising and in-kind donations to cover tiny homes and remaining gaps. Stegall emphasized community involvement in fundraising and operation, saying the project should be "led by our faith-based community with the city along for support." (Attribution: Jeff Stegall, Feed My Sheep; Nancy Glover, city staff.)

Presenters described operations the campus would provide: individualized care-management plans, connections to residential treatment partners for substance-use disorder where needed, mental-health services, veteran services, job supports and transportation links to local microtransit (HOP). Project proponents also noted existing nonprofit services in Temple — Salvation Army, Family Promise, a Sunrise Center for recovery counseling, a farm project for women leaving domestic violence, and Feed My Sheep—s drop-in services — as foundations for on-site and off-site supports.

Glover said staff will bring a memorandum of understanding (MOU) with Feed My Sheep to the July 17 council meeting to secure site control and authorize next steps: applying for the Section 108 loan, developing operating procedures and safety protocols, and executing site-control agreements. She said the MOU would not itself be the final partnership agreement but would allow the city and Feed My Sheep to begin permitting, engage consultants for on-site and off-site improvements, and pursue identified funding streams.

Council members asked about bed capacity at the Salvation Army and the availability of overflow beds; Glover said the Salvation Army had offered a contract for program beds and overflow in the past but did not currently have an open overflow cot program and that a separate interim shelter solution is limited in capacity. Councilmembers and presenters also noted the need to measure public costs the city currently incurs for calls, code enforcement, and criminal trespass related to encampments when making the financial case for the campus.

Stegall said the team hopes to have the MOU ready for council consideration on July 17 and that community fundraising and partnerships would be essential to close funding gaps. He described several examples of people who had moved into housing and employment as a result of the coordinated services as evidence the model can work.

If the council approves the MOU, staff said they would use the MOU to apply for the Section 108 loan and Federal Home Loan Bank grant, obtain site control, and return with a more detailed financing and construction schedule.

Ending

The presentation concluded with an ask for the council to consider the MOU on July 17. Presenters framed the plan as a community-led effort relying on nonprofits and faith partners to operate supportive housing, with the city providing site control, permitting and partial financing tools. Councilmembers indicated follow-up questions and financial-policy discussions will continue as staff prepares the formal MOU for the next meeting.