Officials explain how state funds and city request relate to Holiday Drive plan

Speaker 2 told the council the state appropriation totals $7,000,000 and that staff plan to recommend $3,000,000 for the Salvation Army as a match to the Center of Hope capital campaign. "The remaining $4,000,000 remaining with the city to be used for transitional housing services," the staff member said, adding those funds were appropriated with a limitation for transitional housing and workforce solutions rather than congregate shelter.

Staff clarified that because the Holiday Drive model is a congregate, low‑barrier shelter it does not fit the state's definition of transitional housing. The staff member explained the distinction: transitional housing typically allows households greater independence (cooking, cleaning and private living space), while congregate shelters are shared spaces. Staff framed the $4 million as an opportunity to pursue additional transitional housing options elsewhere in the continuum of care.