Minneapolis Council Members Propose $1.5M Grant To Keep Homeless Shelter Open

Minneapolis City Council members are proposing a $1.5 million grant to save a downtown homeless shelter that houses more than 80 people from closure.

Council members Jason Chavez, Jamal Osman, and Council President Elliott Payne are proposing the rehabilitation grant after the Agate Housing and Services board of directors announced it would close its 42-bed shelter program and 95-bed and lodge program at 510 South 8th St.

The announcement was made on August 15, with the building scheduled to close on October 9. Agate cited increased financial pressure on nonprofits and the need for more than $3 million in repairs to operate the 100-year-old building safely. The closure will displace more than 80 residents and lay off 23 employees.

Even if the grant is approved, Agate Housing would still need at least $1.5 million in additional funds for the rehabilitation project by December 31, 2025. The budget committee will discuss the proposed rehabilitation project at its meeting on September 16 at 1:30 p.m.

The grant agreement between the city and Agate would require an operations plan acceptable to the city’s Department of Community Planning and Economic Development director.

“We hope that other governmental partners step up, join the Minneapolis City Council, and prevent the permanent closure of these needed services," said council member Jason Chavez. "As encampments continue to be shuffled around our city, we cannot afford to lose critical transitional housing and shelter services. We need to do everything in our power to create more capacity, not less.”

Building repairs will take six to 12 months, so even with these funds, the building is still slated for closure in October. If Agate secures the additional funds, it hopes to reopen the building as soon as repairs are complete.

Agate is working with local partners to ensure that every resident of the Minneapolis building is placed in another safe shelter facility before it closes. Agate Executive Director Kyle Hanson expressed appreciation for the city's support.

“When we made the announcement, it was the hardest day of my professional career,” Hanson said. “Not only did we have to tell residents and shelter guests that they would need to be housed elsewhere, we had to announce employee layoffs. This grant gives us hope to reopen the 510 quickly and continue to offer a safe and stable environment for future residents.”

SOURCE: Bring Me The News