February 2010

A full 2009 report on the activities of the Committee to End Homelessness normally comes out in May, as it takes some time to receive and compile year-end information from our many partners. This memorandum will cover some of the highlights and some of the challenges we faced during 2009.

This update will begin with brief mention of the top five successes in 2009. It will then outline recent developments in federal, state and local funding and thereafter address the key substantive areas of the Ten Year Plan: prevention, re-housing, increasing efficiency of existing programs, building political will and tracking outcomes.

THE TOP FIVE RECENT SUCCESSES

THE TOP FIVE RECENT SUCCESSES

·         Full Implementation of the Funders Group.  In 2009 the Funders Group was officially established.  It created its priorities and work plans and began reporting progress to the Governing Board.  The Funders Group consists of King County, the City of Seattle, suburban cities representation, the Seattle Housing Authority, the King County Housing Authority, Building Changes, the Gates Foundation and United Way.  The funders group coordinates our efforts across the system to ensure that we fully support the programs and system changes we desire and to create system wide accountability.  The level of coordination created by the Funders Group is extremely unusual and has drawn national attention and recognition.  The Funders Group priorities for the coming year are: production of new housing; increasing access to existing housing, coordinated entry for chronically homeless single adults, coordinated entry for families and full implementation of the Safe Harbors data system.

·         Continued Robust Production.  In 2009 we added 329 new construction units and 736 dedicated vouchers for a total of 1,065.  Our cumulative 4,111 units opened or in the pipeline is a very impressive number even as we seek to increase it.

·         Changing How the System Works.  In addition to coordinating our funding through the Funders Group, we are changing the very way the system works.  The Client Care Coordination project has pooled information on all chronically homeless single adults in our system and is matching them to appropriate housing and supports as projects come on line, dramatically changing the old practice of looking to fragmented individual agency wait lists.  Similarly, coordinated entry for families will ensure uniform assessment across the county and agencies taking people off a placement list based on the needs of the families and the services available at the agency, avoiding the endless trip from agency to agency that families experienced and avoiding the placement of families in programs with two much or too little services simply because that was the first open slot.

·         Empirical Proof of Success.  We always postulated that housing with services was much less expensive than leaving people homelessness, and a study published in the April 2009 Journal of the American Medical Association has shown a $4 million cost avoidance in the first year alone of the 1811 Eastlake Project.

·         Making a Difference on the Ground.  We are in the worst recession in 50 years.  Other parts of the country are seeing increases in homelessness of 20% to 30%.  We saw only a 2% increase in the 2009 One Night Count, and a 5% decrease in the 2010 One Night Count of unsheltered persons.  In these economic conditions, our efforts are clearly paying off.

FUNDING DEVELOPMENTS

FEDERAL

The two big developments on the federal front are the passage of the American Recovery and Reinvestment Act (ARRA), also known as the Stimulus Act, and the passage of the McKinney Vento Reauthorization Act, reauthorizing and amending the main federal program that specifically addresses homelessness. 

·         American Recovery and Reinvestment Act (ARRA)

The ARRA contains a number of fund sources that will touch on homelessness.  All fund sources must be spent within three years, generally with at least 60% needing to be spent in the first two years.  These are important additions, but also require careful planning to avoid creating funding “cliffs” that cause challenges when the funding expires.  The most important new funding sources are:  (1) $6.4 million to King County jurisdictions for homelessness prevention and rapid re-housing, which is being distributed primarily through RFPs from the City of Seattle and King County (approximately $4 million for prevention and $2.4 million for rapid re-housing).  (2) Replacements or supports for federal low income housing tax credits that could rise to $100 million in Washington State to address the collapse of the tax credit resale market; (3) over $5 million in Community Development Block Grant money (part of which is being used for additional prevention work); and (4) approximately $95 million statewide in additional Temporary Assistance to Needy Families (TANF) support, which will help address the increasing pressure being felt by families where the wage earner has lost their job.

·         The McKinney Vento Reauthorization Act (McKinney Vento)

The McKinney Vento Reauthorization Act combines a number of programs that were previously administered separately, allows a specified percentage of services to people who are “doubled up” (previously excluded from homeless services), creates a greater emphasis on prevention, redefines “chronically homeless” to allow inclusion of families (previously only single adults were included) and makes a number of similar reforms.  The push now will be to get an appropriation of $2.2 billion for McKinney Vento -- an increase of about $500 million nationwide – a process in which Senator Patty Murray will play a key role. 

Additionally, this coming year will see significant efforts to increase the Section 8 appropriation.

·         Homeless Management Information System (HMIS)

There will be an increased emphasis on homeless data information systems.  At all levels, funders and programs are being asked to track in detail the services being provided and clients being served.  In the last McKinney Vento funding round, Seattle/King County was significantly adversely affected by our lack of a fully implemented data system (Safe Harbors) as well as by the amount of McKinney Vento money invested in “services” as opposed to “housing”.  Both issues were the focus of considerable work in recent months. 

 

STATE

A detailed description of state developments is available on the CEH website.  The 2010 session will be discussed under advocacy.  Some highlights (and low points) of the 2009 session were:

 

·         The State Housing Trust Fund (HTF) was cut from $200 million to $100 million, with an increase in the amount of specially allocated set asides.  This leaves much less money for our efforts.  Indeed, without a supplemental appropriation, there will be no HTF projects approved in 2010 and many projects will be backed up.

 

·          In the 2009 legislative session we were able to preserve General Assistance Unemployable (GAU) which is a key support for many of our clients.  Unfortunately, at the same time Basic Health was ordered to cut 40,000 people and the administrators have just announced that they will do so by increasing premiums, which will force off the poorest clients.  As health costs are a leading cost of bankruptcy, and bankruptcy often leads to homelessness, we expect the lack of health care to put many people in jeopardy.  In the 2009 session GAU is once again be at risk.

 

·         Temporary Housing, Operating and Rental Assistance (THOR) had been increased from $5 million to $10 million in the 2008 session.  The Governor revoked the increase.  The 2009 session saw it partially restored to $8.5 million using a new document recording fee discussed below. 

 

·         The state re-instituted a program to grant people exiting prison 90 day housing vouchers.  This was done primarily to speed up discharges as a person cannot be discharged without a housing “plan”.  It remains to be seen whether these persons become homeless after their voucher expires.  Fortunately we obtained some language that requires tracking of housing outcome for persons receiving vouchers.

 

·         The legislature also adopted a new $20 per document recording fee of which 60% goes to the counties for homeless programs.  This will generate approximately $3 million per year in King County.  Some of this money is being used, however, to supplant previously existing general fund investments.

LOCAL

·         The Seattle Low Income Housing Levy of $145 million dollars passed with an impressive 66% of the vote – reflecting what we have seen in our polling - that across the state citizens understand and support the need to invest in affordable housing.  The new Seattle Levy will allow a maintenance of production rates equivalent to the 2002 levy, which created over 1,100 units for our homeless system (in addition to a number of other low income rental and ownership opportunities). 

·         King County continues to struggle to find stable revenue sources for health and human services and will need state legislative support to address its structural funding issues. 

PREVENTION

·         Local prevention programs continue to help thousands with emergency financial assistance (over 5,000 people were helped in 2008).  More than 80 percent of these households were still housed six months after receiving this assistance.  This continues the pace that we achieved last year, but the need is increasing.  The Community Information Line (211) saw its calls for rental assistance increase 29% in 2009 (after a significant increase in 2007 and 2008).  Fortunately there is a portion of the stimulus package that is investing over $6.4 million in King County for a combination of prevention and rapid re-housing beginning in late 2009 and continuing for three years.  Foreclosures continue to increase, with 211 calls for mortgage assistance rising 94% in 2009.

·         Other parts of the country are seeing steep increases in the number of people who are homeless (Hennepin County, one of the leaders in addressing family homelessness saw a 20% increase in the number of families entering homelessness; Massachusetts saw a 32 % increase in family homelessness, Oregon reported a 37% increase in homelessness overall).  After two years of drops, followed by one year of rapid increase, the January 2009 data for King County showed a very small increase in overall homelessness.  We feel that this is an indication that what we are doing is working but we are very cautious about the continuing effects of the recession.  One interesting piece of data is that even as the calls to 211 for rent assistance and mortgage assistance rose dramatically, the number of people self-identifying as homeless dropped by 14% during 20009and the number of calls for emergency shelter and transitional housing during 2009 dropped by 9% each.  This may just represent people becoming discouraged, but it is a number to keep an eye on.

RE-HOUSING

·         When we speak of the 4,111 new units that have opened or are in the pipeline, we sometimes lose track of the fact that almost 1,000 of those have not yet opened and many are still working to fill remaining capital or service funding needs.  As these projects open they will continue to increase our capacity.

In 2009 we saw openings of Rainier House, Frederic Ozanam House, McDermott Court and Bret Harvey apartments and groundbreakings for Compass Center’s Renton Vets Center, Monica’s Village, A.L. Humphrey House and Canaday House.  Using these new facilities and existing housing and rent support resources, the Ten-Year Plan partners are helping more than 3,600 households exit homelessness into permanent housing each year.

·         The Sophia Way, the first emergency shelter for women in East King County opened December 2008 at First Congregational Church in downtown Bellevue.  The City of Bellevue was the first of the Eastside cities to commit funding for the program whose goal is to move their clients into permanent housing. 

·         DESC and Plymouth Housing Group’s ongoing “housing first” programs for severely disabled homeless adults continued to show massive cost offsets in the use of public services by homeless people who achieve housing stability at these facilities.  1811 Eastlake was the subject of a groundbreaking article in the April Journal of the American Medical Association documenting these cost reductions and showing $4 million in cost avoidance in the first year alone.

·         PACT and FACT programs assisting the most difficult to serve clients (those with mental illness, particularly those involved in the criminal justice systems ), have picked up pace in the number of clients they are housing, thanks in part to acquisition of new dedicated projects.

·         Recent data from the King County Criminal Justice Initiative (KCCJI) found that during the first year of operation of the Housing Voucher Program (serving homeless people with mental illness or co-occurring disorders leaving the justice system), hospitalizations were significantly reduced, representing a reduction of 342 hospital days (a 67% reduction) over the two-year study period.

·         We have also instituted the Forensic Intensive Services and Housing (“FISH”) program to address those people who commit minor offenses and are found to be too mentally ill to stand trial but not ill enough to qualify for involuntary treatment – leaving them walking the streets unaddressed by either system.

INCREASING EFFICIENCY

·         CEH Funders Group

In addition to its coordination of new investments, the Funders Group has been working on a complete inventory of all homelessness related fund sources and their current uses, with the goal of identifying which funds can be reprogrammed or realigned to carry out the work plans. 

Two of the Funders Group’s priorities focus on increasing efficiency by ensuring that clients are assigned to the program that exactly fits their needs – no more and no less.

• The Client Coordination Team addressing chronically homeless single adults is already beginning to function, structuring the way in which programs opening this year will screen and admit residents. 

 

o         The Gates planning effort for their second round of major homeless family investments has engaged in considerable community outreach and has generated general consensus and support for coordinated entry and uniform assessment using a limited number of “hubs” with highly trained screening personnel who will then direct families to the correct programs countywide. 

 

·        Landlord Liaison Project

The Landlord Liaison Project, designed to persuade landlords to waive what have traditionally been barriers to housing (prior evictions, prior bankruptcies, criminal records) has received a very warm welcome with 74 private landlords or property managers signed up representing 160 properties, 35 agencies on board, and 271 people in 147 households were housed in 2009.  71% of the people housed have been chronically homeless, and 19% have been veterans.  The softening rental market indicates that this could be a favorable time to expand use of existing housing.

·        Community Resource Exchange

On September 11, 2009, United Way of King County hosted a Community Resource Exchange (CRE).  Thanks to the hard work of 85 onsite service providers and over 400 volunteers, over 1,000 guests were connected to the services they needed.   

BUILDING POLITICAL WILL

·         Homelessness continues to be high on the list of public concerns – perhaps more than ever given the current economic crisis.  Several organizations, including the Washington Low Income Housing Alliance, the Gates Foundation and Building Changes have been conducting intensive research on public attitudes, and have discovered that the public is very well informed about homelessness and the factors that create homelessness.  Somewhat to our surprise, the public is much less clear about the issue of “affordable housing” and the general housing crisis.  We are working across advocacy organizations to develop common messages and to coordinate public awareness work and legislative advocacy.

·         Both United Way of King County and the Bill and Melinda Gates Foundation continue with major initiatives around ending homelessness.  As leaders in generating public will, these partners keep the issue at the forefront. 

·         Speaking engagements before city councils, community groups and businesses continue to be in demand, and several video segments have been taped by news organizations to continue that educational process. 

MEASURING RESULTS

·        Safe Harbors recently issued its 2008 report.  Records collected increased over 2007 and more complete data was reflected in the report. 

 

·        Safe Harbors has implemented a new generation software system for data collection and outcomes reporting in 2009.  Agencies are beginning to utilize this tool as a means not only for data collection, but for reporting outcomes tracking and case management.  It is anticipated that we will see significant improvement in the information we are able to report as agencies embrace the new system and it’s potential.  Nevertheless much work remains to be done both at the system and the agency level.

CHALLENGES

·         The Economy

The first challenge is posed by the recession, which has put many more people at risk of homelessness.  For example: 

• The number of requests to 2-1-1 for rent assistance in third quarter 2009 (4,176) was double the number in third quarter 2007 (2,151) with the big increases starting in the third quarter 2008. 

• Applications for financial assistance through the Temporary Assistance for Needy Families (TANF) program rose 25% from an average 1,900 per month to over 2,300 during 2009.  Caseloads rose even more sharply than applications and continue to rise because people are staying in the program longer. 

• In September, 2007 the number of households receiving food stamps in East King County was 7,075. By September 2009, that number grew to 14,392. 

• Hopelink, with offices in East and north King County, provides families with emergency assistance, eviction prevention funds, and general housing assistance.  In the period just completed, from October 2008 through the end of September 2009, 725 people required emergency appointments. By comparison, from October 2006 through September 2007, less than half that amount, 335 people, sought emergency appointments.  Since January 2009, 703 unduplicated families have been turned away without shelter from Hopelink -  102 of them in September alone.

·        State and Local Funding Cuts

The cuts described earlier in this paper are significant, and additional cuts look likely unless new revenue sources are found or the economy rebounds.

·        The Natural Challenges of Revising a System

A number of our efforts focus on substantial changes to our existing system, which always creates challenges.  For example, revising our McKinney investments to make our application for funding more competitive and bringing about the changes in intake and services necessary to achieve the goals of the new Gates Sound Families II initiative will require both funders and providers to change the way they do business in substantial ways.

·        Starting the Fifth Year of a Ten Year Effort

Social efforts traditionally have short life spans.  We are in the fourth year of a Ten Year Plan.  It is very encouraging that public support remains strong.  The leadership of the Governing Board and our key partners is essential to keep that momentum. 

OPPORTUNITIES

We are beginning to capitalize on the opportunities created by the Stimulus Bill and by the Funders Group.  In this economic crisis, we have the opportunity to truly link to mainstream program to ensure that everyone in our community gets the help they need.  We need to capitalize on the increasing awareness and concern over homelessness that is being created as the risk becomes more real for all of us and our acquaintances.  We must create a general consensus that a first world nation simply does not allow homelessness; and we must convert that consensus into support for the investments that we know can and will end homelessness.

Bill Block, CEH Project Director
Bill.Block@kingcounty.gov
Phone: 206-263-9001