BID Provides Testimony on Federal City Shelter

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The D.C. Council Committee on Human Services held a public oversight hearing on June 27 about the “Present and Future Services, Facility Management, and Governance of the Community for Creative Non-Violence (CCNV) Shelter for the Homeless,” also known as Federal City Shelter. It’s the city’s largest homeless shelter—and one of the largest in the U.S.—with more than 1,300 homeless residents. Shelter residents and others, including the DowntownDC BID, testified at the hearing.

Thirty years after the shelter moved into the Federal City building at 425 2nd Street, conditions at the 195,000 square foot (SF) facility have deteriorated. At the hearing, Rick Reinhard, the BID’s deputy executive director, testified that the BID has long had an interest in improving conditions at the shelter, particularly public safety concerns. “But even more important than these concerns is our belief in the goals of Housing First—permanent, supportive housing for all,” he said.

“Just as the city should prefer to fund individuals to live in permanent, supportive housing, instead of living on the street, we believe that the city should prefer to fund new, well-managed, state-of-the-art structures instead of funding a crumbling, city-owned, temporary World War II structure with few supportive services,” Reinhard added.

He noted a win-win situation is possible: city estimates show a new building on the adjacent parking lot built up to the full building envelope could be constructed for $95 million, paid for by selling the existing building for $65 million to $75 million and using $47. 5 million of tax credit financing. The remaining $17.5 million to $27.5 million could be used to help fund scattered-site housing or operating expenses, or both.

While  it could take up to three years to build new facilities, Reinhard said, “the city has an obligation to take positive steps” and can invest a significant amount of money now on building standards, professional management, public safety and security and a plan for a new structure. After all, the BID and Golden Triangle BID areas produce $1 billion more in city revenues than the city spends in both areas. Plus, city revenues are expected to be $86 million more than expected, and $92 million more next year.

“We can think of no better use of a small portion of those dollars than to improve the situation at the Federal City Shelter, both short-term implementation and long-term planning,” said Reinhard, noting that Mayor Gray and his deputies have indicated they’re ready to tackle this issue.

The BID has a 16-year history of funding direct services to help homeless individuals in Downtown DC. For the past five years, in cooperation with Pathways to Housing DC, the BID has fully funded a Downtown Homeless Services Team, which works in concert with city agencies to perform services such as placing homeless people in permanent, supportive housing; providing relocation and reunification assistance; and providing benefit or entitlement assistance.

Click here (PDF) for a copy of the written testimony submitted to the committee.