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CAO: Amended Alliance agreement raises target to 14,000; city reports 13,114 beds open or in process
Summary
The City Administrative Officer told the Housing and Homelessness Committee the Alliance settlement target rose from 12,915 to 14,000 and that, as of Dec. 31, 2025, 8,530 beds are open and 4,584 are in process (13,114 total); an updated bed plan and revised quarterly reporting are forthcoming.
Megan Falconee, a representative of the Office of the City Administrative Officer, briefed the Housing and Homelessness Committee on the city’s progress under the Alliance settlement.
Falconee said the settlement amendment increased the city’s required number of housing or shelter solutions to 14,000 from 12,915 and that “the city will keep open no fewer than 12,915 beds or units through June 30, 2029.” She reported that as of Dec. 31, 2025, “8,530 beds or units are open and 4,584 beds or units are in process for a total of 13,114.”
The update, filed as the quarterly report to the district court, reflects an amended agreement that allows the city to count housing and shelter solutions originally created under the earlier roadmap agreement toward the new obligation. Falconee said an updated bed plan that incorporates the amended terms is forthcoming and will be included in a more detailed report to the council (Council File 23-1022-S33).
Committee members asked how county reimbursements and time-limited subsidy (TLS) funds are being applied. Kendra Sentelin of the CAO’s office said staff are preparing an allocation report for TLS leasing slots and that the city has received a total of $53.7 million from the county for services at Alliance interim housing sites, including about $52 million in fiscal year 25–26. She said reimbursements for eligible sites are expected to support ongoing service costs that count toward settlement obligations.
Members also sought clarity about projects that were removed from the original pipeline because they could not meet the earlier June 2027 deadline. Falconee said those pipeline references concern eligibility lists rather than actual funding status: projects that later open prior to June 30, 2029, can be eligible to count toward the obligation. She added that county reimbursement for newly added beds can only be requested for the quarter in which the beds appear on the district court quarterly report, with the earliest possible quarter being the one ending June 30, 2026.
After questions, the committee voted to note and file the CAO Alliance settlement progress report. The committee requested the CAO report back with an updated bed plan and additional detail on allocations and timing.
