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City proposes shifting HOME‑ARP funds to rental assistance and services to keep ~80 households housed
Summary
Staff proposed a substantial amendment to HOME‑ARP allocations to move funds away from non‑congregate shelter and larger development toward tenant‑based rental assistance, housing navigation and case management to prevent ~80 households from losing emergency housing vouchers and returning to homelessness.
City staff presented a proposed substantial amendment to the HOME‑ARP allocation plan at the May 11 work session, recommending a reallocation of funds to prioritize tenant‑based rental assistance (TBRA) and case management for households at immediate risk of losing emergency housing vouchers.
The staff presenter (Amy) said the city received approximately $5.75 million in HOME‑ARP funds as an entitlement under the American Rescue Plan and that circumstances have changed since the original plan was adopted: some federal programs that once extended support are phasing out and the city faces short timelines for expenditure (projects must be closed by Sept. 30, 2030). Staff said they currently identify about 80 households at risk of losing emergency housing vouchers and proposed $2.4 million in rental assistance to support roughly those 80 households over two years, plus additional case management funding (estimated $400,000–$500,000) and an allowance for direct awards to Colorado Springs Housing Authority to administer TBRA.
The amendment would reduce the allocation for new affordable‑rental development and non‑congregate shelter—staff said they found limited partner capacity to develop fully funded new projects under the original allocation—and instead increase funding for supportive services and nonprofit operating support tied to a transitional housing conversion project led by Family Life Services (a 9‑to‑19 unit conversion focused on survivors of domestic violence). Staff emphasized the need to update selection methods to allow direct awards to CSHA because of the operational capacity to deliver TBRA quickly before the 2030 expenditure deadline.
Council members asked for context on scale and outcomes; staff and members noted this reallocation addresses an urgent, short‑term need and does not solve long‑term homelessness but seeks measurable outcomes and improved regional coordination. Members suggested bringing CSHA and other partners to a future work session so council can evaluate performance metrics and partnership roles.
Why it matters: The proposed amendments reorient scarce HOME‑ARP funds to immediate prevention of voucher loss and to intensive case management—interventions staff said are more likely to yield near‑term housing stability for households at documented risk.
What’s next: The amendment is out for public comment and staff will return for a public hearing and council vote; staff said they will work with CSHA and local nonprofit partners to operationalize TBRA and supportive services.
