3 days ago
Salvation Army to exit three Denver shelters by year's end amid controversy
The Salvation Army on Thursday said it will cease operating three hotel shelters in partnership with the city once contracts expire at the end of this year.
Why it matters: The move marks a major rupture in a longtime partnership strained by safety concerns and criticism of the Salvation Army's shelter management — signaling a deeper rift between the city and one of its largest homeless services providers.
The big picture: The change terminates contracts for the Aspen, Stone Creek and Tamarac shelters, per a statement from the nonprofit, which operates multiple local shelters for people experiencing homelessness and receives millions in city funding.
Between the lines: The Salvation Army reapplied but was not selected for two of its three sites in the city's competitive bidding process, Mayor Mike Johnston's spokesperson Jon Ewing tells Axios.
The nonprofit was rejected for one and "mutually parted ways" on another, Ewing says.
State of play: The decision, the nonprofit contends, will allow the Salvation Army's Intermountain Division — which covers Colorado, Utah, Wyoming and Montana — to better deliver services and save money.
Friction point: The nonprofit said it shouldered $5.2 million in shelter operating costs last year, which it says exceeded funding.
City officials say they can't verify that figure. "I haven't heard it before," Ewing tells us, noting contracts outline funding and eligible expenses.
Zoom out: The severed contracts won't affect the Crossroads Shelter, the 24/7 facility exclusively for men that's among the busiest in the city.
The massive shelter in June received a $4.6 million infusion from the city, which helps serve about 250 men a day.
What they're saying: The Salvation Army said it helped 1,994 people get into permanent and stable housing in connection with Johnston's All In Mile High (AIMH) program.
