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Spirit of Santa Paula warns Harvard navigation center may miss payroll amid county reimbursement timing
Summary
Spirit of Santa Paula leaders told the Santa Paula City Council the Harvard Navigation Center is operating on a razor-thin cash reserve after county reimbursements arrived quarterly rather than up-front; the council asked staff to pursue short-term options, including asking the county to float funds or using ARPA reserves.
Spirit of Santa Paula leaders told the Santa Paula City Council on Wednesday that the nonprofit shelter that runs the Harvard Navigation Center is operating with very limited cash and faces an imminent payroll strain.
"As of today we have $5,008.97 in the bank. We do not have enough money for the September 15 payroll," Kaye, the shelter founder, said during a presentation on the group’s operations and finances. Board president Jenny Cooksey and Executive Director Veronica Canava provided program statistics and described the center’s case-management and food-rescue operations.
Canava said the navigation center provided 13,457 shelter nights this year and has served 101 people, including 26 children. Kaye said the shelter placed 34 people into permanent supportive housing this year but that funding shortfalls and grant awards smaller than requested have strained reserves.
Kaye and staff told council members the shelter’s MOU with the county and partner cities assumed a reimbursement model that proved difficult in practice: the county has paid on a quarterly basis, requiring Spirit to front operating expenses. Staff estimated prior-year shortfalls of roughly $18,000 for FY 2023–24 and about $60,000 for FY 2024–25.
Council members pressed for immediate remedies. Councilmember Juarez asked whether the city could temporarily increase an existing budget line or use ARPA funds; staff said ARPA will return to council in October for review. City staff also said they have asked the county to reconsider disbursing funds earlier or tapping a county reserve fund to float payments until the MOU schedule is corrected.
The council asked staff to return with recommended administrative options and said they could convene a special meeting if necessary to prevent an interruption in shelter operations. The council also asked Spirit’s leaders to contact the county supervisor and asked staff to coordinate with county representatives to resolve timing and ensure payroll can be met.
Why it matters: The Harvard Navigation Center is the only local shelter that accommodates children, staff said, and an interruption in its operations would reduce family-centered shelter options in the region. The city will consider short-term financial moves while pressing county partners about reimbursement timing.
