Low-Barrier Shelter Beds
Recommendation
Stockton City Council
June 14, 2022
Agenda Item 15.6
Timeline and Process
September 2021
• Council approved American Rescue Plan Act (ARPA) funding distribution • $12.15 million for Homelessness/Housing
• $3.6 was approved for Low Barrier Shelter Beds
December 2021
• Council directed the City Manager to pursue $6.5 million of capital grant funds from San Joaquin County
January 2022
• Rane Community Development was contracted to assist with ARPA Homelessness Projects
March 2022
• A Notice of Request for Project Concepts and Funding Availability for Low Barrier Shelter Beds was issued.
Timeline and Process
April 2022
• Four submissions were received and reviewed
• Two were deemed incomplete
• A panel of four individuals reviewed and scored the proposals (1) current county Health Care Services Agency employee (1) current Continuum of Care board member
(1) retired SJ County Behavioral Health Services’ Executive Team member (1) City’s consultant to the Economic Development Department • Interviews were conducted with Gospel Center Rescue Mission and Salvation Army
May 2022
• Additional information was requested from Salvation Army regarding site control and operational budget
Present Situation
800-900
Individuals are sleeping outdoors
554
Homeless shelter beds in Stockton
61%
Average occupancy rate
Survey Results
Safety
Welcoming
Pets
Partners
180
Beds under construction
Salvation Army Proposal
•One-time capital grant will be sought from
San Joaquin County
•Property location: 1188 S. Airport Way,
Stockton CA 95205
• Zoned light / limited industrial (IL).
• Permitted use, per Stockton municipal code.
• GBM Realty, LLC -- June Chen -- Managing Partner
• 10-year lease with an optional five-year
renewal.
• Large-paved area, a warehouse, and several
smaller buildings for storage.
•Development Team
• RPM Team (a construction management
team) and G&G Builders (LGC) licensed
general contractor.
Capital Budget
Estimated Costs Amount
10-year lease
(Paid up front) - 120 months at $19,000/mo.
$ 2,280,000
Construction and Renovations $ 4,951,785
Additional Costs (11%)
(permitting, fees, design, demolition, abatement,
landscaping, insurance, and overhead)
$ 884,844
Total $8,116,629
Operational Budget
Estimated Expenses Annual Cost
Salaries and Benefits $ 1,624,275
Supplies, Utilities, Trainings, Food,
Hygiene, etc. $ 635,475
Administrative Overhead $ 225,975
Total $ 2,485,725
Recommendations
1. Authorize the City Manager to submit a request for, and accept, a one‐time capital grant through the County of San Joaquin in the amount of $8,116,629 to support the creation of a low‐barrier shelter program for homeless individuals;
2. Authorize an additional request to the County of San Joaquin of $1,371,450 to support the gap in operational funding for the first two years of operation;
3. Upon approval from the County, authorize the appropriation of $3,600,000 of American Rescue Plan Act funds, and total County grant funds, to the Salvation Army of Stockton for daily costs associated with operating a 125‐bed shelter and capital project needs; and,
4. Authorize the City Manager, or designee, to take appropriate and necessary actions to carry out the purpose and intent of this resolution.