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Council reviews proposed human services grant policy: $300,000 annual pool, new priorities and caps
Summary
Staff recommended keeping a $300,000 annual human services grant program while narrowing priority areas to homelessness prevention, youth services and behavioral health; the human services commission recommended a $30,000 maximum service award, $50,000 capital cap, increased points for Lacey-resident service counts, and continued reimbursement and reporting requirements.
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Michelle Chavez, the city’s human services coordinator, presented the proposed 2026 human services grant policy and timeline. The program is entering its third year with an annual allocation of $300,000 and a competitive application process that includes in‑person presentations to the human services commission.
The commission recommended several changes to the rubric and policy: no administrative-cost cap within an agency’s request (the commission determined flexibility helps smaller nonprofits cover staffing), a maximum service award of $30,000, a $50,000 cap for capital requests (no capital requests were received previously), and additional scoring points for projects that serve larger numbers of Lacey residents and for the three priority areas (homelessness prevention, youth services and behavioral health).
Chavez said applicants are required to submit a line-item budget and quarterly/annual reports; the program is reimbursement-based, meaning agencies receive funds for invoiced work. Council members asked how outcomes are tracked and whether prior grantees must show past outcomes; staff confirmed reporting requirements and said the city highlights grantee outcomes in its Lacey Weekly newsletter.
Staff recommended bringing a final policy and rubric back for council action in early June, opening applications in June, holding presentations in July and returning awards recommendations in August with a program year intended to run Sept. 1–Aug. 31.

