Fort Smith cuts funds to homeless aid group

FORT SMITH -- Fort Smith city directors have voted to cut off funding for a local organization that helps the homeless because its services will duplicate those of a proposed homeless campus the city is backing.

The directors passed a resolution Tuesday that will cut nearly $17,000 in funding to the Next Step Homeless Services. Directors Don Hutchings, George Catsavis and Tracy Pennartz voted against the resolution.

Next Step is receiving from the city this year $12,000 in federal Community Development Block Grant funds, $4,950 in outside agency funding and $1,500 in transit system vouchers.

The directors allowed Next Step to continue to receive the transit vouchers on the recommendation of City Administrator Ray Gosack.

"In the interest of avoiding duplication of services, thereby maximizing the benefit of public funds that support services to homeless persons, the board determines the city of Fort Smith shall not provide funding to any organization whose services to homeless persons are being provided in a manner or method inconsistent with the goals of Resolution No. R-91-10, the city's comprehensive plan, or the principle of efficient and effective use of public resources," a portion of the resolution stated.

The directors passed Resolution R-91-10 in 2010, stating the city's support for development of a campus to put homeless services in one location.

The Old Fort Homeless Coalition is finalizing the purchase of a vacant factory just south of the downtown area. It will be renovated into a homeless shelter and space for providing a variety of services to the homeless. City homeless program coordinator Debbie Everly said she anticipated the campus would open in the fall of 2016.

On Tuesday, Next Step board Chairman Kim Wohlford pointed out to directors that as of Tuesday, the homeless campus -- called the Riverview Hope Campus -- is not in operation and there is now no other agency in the city that provides the services that Next Step provides for the homeless.

She said Next Step rescinded its memorandum of understanding to move to the Riverview Hope Campus last year because of the unknown cost to Next Step to operate at the campus and the lack of an adequate business plan.

Next Step rents its building at 123 North Sixth St. from St. John's Episcopal Church for $1 a year, she said. She also said the location is close to other organizations downtown with which Next Step works: the Salvation Army, Community Rescue Mission and the Good Samaritan Clinic.

Next Step Executive Director Amy Sherrill said organization's annual budget is about $450,000, raised mostly from private contributions.

NW News on 06/04/2015

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