Washington County corrects Supportive Housing Services forecast, outlines pipeline and contingency plan

Washington County commissioners heard an update Feb. 18 from Homeless Services staff who said earlier public reporting overstated the program’s uncommitted balance and described an updated spend plan, ongoing projects and steps to manage a downshift in forecasted revenues.

“For the supportive housing services measure … we wanted to pause and correct the record, and describe fully what was behind that number,” said Jess Larson, assistant director overseeing the Homeless Services Division, during a quarterly briefing on the Metro Affordable Housing Bond and the Supportive Housing Services (SHS) program.

Larson told the board that a prior figure shown in a public report represented a projected end‑of‑year fund balance included in a comprehensive financial workbook and did not reflect mid‑year adjustments and updated forecasts. Staff said the forecast for SHS revenue for the current period was revised from about $115,000,000 to $98,700,000. The updated one‑time investment plan was reduced to $85,000,000, producing an estimated remaining balance of about $40,000,000 after committed items and reserves are counted, Larson said.

Staff described three restricted reserve accounts — contingencies, stabilization reserves and a regional implementation fund — totaling about $32,000,000. Larson said roughly $7,600,000 of the end‑of‑year balance remained unassigned and could be considered to cover transition costs as the program’s base budget is scaled downward in response to the updated forecast.

Nicole Staying, from the Homeless Services Division, highlighted program outcomes and near‑term openings. She said the county now has more than 400 shelter beds in place, one permanent shelter open, another shelter opening the next month and additional projects breaking ground. Staying said two transitional housing projects approved through a competitive process will deliver 119 units and that staff had moved away from a previously budgeted potential site acquisition.

“We will need to make changes to some of our goals,” Staying said, noting expected reductions to eviction‑prevention and rapid‑rehousing targets aligned with decreased funding while supportive‑housing placement goals remained on track.

Lisa Varon, Real Estate Division manager for the Department of Housing Services, summarized Metro bond projects in the county, saying 12 developments remain in the pipeline that together account for about 958 affordable units expected by the end of 2026 and noting a new $6,740,000 allocation for 60 permanent supportive housing units in Forest Grove.

Commissioners asked staff for clearer side‑by‑side comparisons of the original and revised spend plans and for documentation of community outreach tied to specific shelter projects. Vice Chair Therese requested staff post an updated presentation to the public record to correct earlier confusion in public materials.

Staff said they will continue to monitor spending and may return later in the fiscal year with budget adjustments tied to capital project timelines and updated revenue results. The briefing included notices of upcoming local ribbon‑cuttings and groundbreaking events tied to the shelter and access‑center projects.