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Humble Home Inc.

521 Humble Bumble St.


West Haven, CT 06513

Date: December 01, 2019


To: Sarah Louis
Chief Development Officer
Humble Home
From: Rose Robles
Jr. Development Officer
Humble Home
Subject: Recommendation Report for Next Program Launch for Humble Home

Attached to this memo is a recommendation report for our upcoming East Haven Project. To
establish an additional program of our choice in the Greater New Haven area, you tasked me to
gather information about Housing First, understand the principles of the Housing First approach,
establish the success rate of the Housing First model, and determine if a Housing First program
would be an economically wiser choice than a traditional shelter. I completed the tasks you
delegated on November 15th, after the announcement of the HUD award.

To complete the first task of understanding the basics of Housing First, I interviewed John
Brooks – an expert in Housing First and traditional housing. He helped me understand the basics
of housing by comparing and contrasting Housing First and traditional shelters. For the second
and third tasks, I searched through government and reputable websites for the success rates of
Housing First and the cost-effectiveness of Housing First programs.

My research revealed that both types of programs are needed to end homelessness. Though
Housing First promises to house people who experience homelessness, shelters provide
temporary housing to individuals on housing waiting lists. During my interview with John
Brooks, Chief Development Officer of Columbus House, he said that traditional shelters can also
provide certain services that Housing First provides, such as case management, employment and
mental help services. However, when referring to cost, I found that Housing First programs are
more sustainable than shelters, and government and private funds now prefer funding Housing
First programs. In one study comparing Housing First and shelters, 68% of participants were
more likely to remain permanently housed with Housing First programs than those who
participated in traditional shelter programs.

I recommend that we proceed to establish a Housing First program in East Haven to supplement
our traditional shelter in West Haven. By developing a Housing First program, I believe that we
will become part of the solution to end homelessness.
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Thank you for allowing me to partake in this research. Please contact me if you have any
additional questions about the recommendation report at 555-255-5525 or at
rrobles@humblehome.org. I look forward to working together to build this new program and
help those experiencing homelessness.
Table of Contents
Executive Summary ....................................................................................................................... 1
Introduction .................................................................................................................................... 2
Research Methods .......................................................................................................................... 4
Task 1: Understanding the Principles of Housing First Approach to Homelessness ....................... 4
Task 2: Establish Numbers of Success Rate in the Housing First Model .......................................... 4
Task 3: Determining if Housing First will be more economic than Shelters .................................... 5
Results............................................................................................................................................. 5
Task 1: Understanding the Principles of Housing First Approach to Homelessness ....................... 5
Task 2: Establish Numbers of Success Rate in the Housing First Model .......................................... 6
Task 3: Determining if Housing First is Economically a Better Choice ............................................ 6
Conclusion ...................................................................................................................................... 8
Recommendation ............................................................................................................................ 9
Glossary ........................................................................................................................................ 10
References .................................................................................................................................... 11
Housing First Program or
Traditional Shelter for Humble
Home’s Next Program:
A Recommendation Report
Prepared for: Sarah Louis
Chief Development Officer
Humble Home
Prepared by: Rose Robles
Jr. Development Officer

December 1, 2019

Humble Home Inc.


521 Humble Bumble St.
West Haven, CT 06513
ii

Abstract
Deciding if Housing First Will be a Better Outcome for Humble Home: A Recommendation
Report

Prepared by: Rose Robles, Jr. Development Officer

On November 2, 2019, Housing Urban Development (HUD) awarded $1.2 million to Humble
Home to create a new program for its success with its West Haven emergency shelter. To
determine whether Humble Home’s next program will be another short-term shelter program or a
Housing First program, Chief Development Officer, Sarah Louise, requested and authorized that
Rose Robles, Jr. Development Officer, compare and contrast housing-first programs and
traditional shelter programs. Louise requested to establish a basic understanding of Housing
First, determine the success rate of the Housing First model among other nonprofits, and
calculate if a Housing First program would be a better economic choice than a traditional shelter.
Primary research revealed that both traditional shelter programs and Housing First programs are
necessary for helping the homeless, but overtime, Housing First programs are better funded by
private and government funds and provide better results when addressing homelessness. In
contrast shelters are losing money and are having a difficult time maintaining their operational
readiness due to their lack of funds. Secondary research revealed that organizations are urging
the government and private funders to consider funding both types of programs, because neither
one can single-handedly eradicate homelessness. Conversely, in one four-year study, the
Housing First programs were 68% more likely to maintain people who experienced
homelessness housed than shelter programs making the maintenance and funding of shelters less
appealing. I recommend that Humble Home establish a Housing First program to ensure that we
work towards the goal of ending homelessness and to secure funds from the government and the
private sector for our programs.

Keywords: Housing First, Homelessness, Connecticut, Shelter, HUD


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Executive Summary
To determine whether a Housing First or a traditional shelter program is the best option for a
new program at Humble Home, Chief Development Officer (CDO), Sarah Louise, asked that I
research the basics of the Housing First approach to homelessness, verify the Housing First’s
success rate, and determine which program will be an economically safer choice.

In response to our outstanding success at Humble Home’s emergency shelter, we were awarded
$1.2 million from Housing Urban Development (HUD) to create a new project within the
Greater New Haven area. Since we have no prior experience with Housing First programs,
Louise asked that I gather information from both primary and secondary resources to determine
if Housing First is a better option for our next project.

For my primary research, I interviewed John Brooks, an expert at both Housing First and
traditional shelter programs who can answer unbiased questions about Housing First and
traditional shelters. For my secondary research, I read several studies about the effects, costs
and retention rates of housing first and traditional shelters.

My research revealed that both types of programs are needed to end homelessness. Though
Housing First has promising results to permanently house homelessness, shelters are still needed
to temporarily house individuals that are on Housing First waiting lists. During my interview
with John Brooks, the Chief Development Officer of Columbus House, he revealed that
traditional shelters can also provide some Housing First services, such as case management,
employment assistance, and mental help services. I also found that 68% of individuals in
Housing First programs are more likely to remain permanently housed compared to those who
chose to stay in shelter programs.

I recommend that our next project be a Housing First project due to the necessity of affordable
housing for the homeless. By establishing a Housing First program in East Haven, it can
supplement our traditional shelter in West Haven. A Housing First program will be sustainable,
cost-efficient, and successful.
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Introduction
On November 15, 2019 my CDO, Sarah Louise, requested and authorized a research study to
compare and contrast the housing-first program to traditional shelters and determine which
would be the best fit for our next project.

Despite the many efforts homeless shelters have provided over the years, homelessness is still a
crisis in Connecticut. On January 22, 2019, during Connecticut’s Point in Time Count (PIT),
3,033 people were experiencing homelessness (Apotsos 5). Though traditional shelters have
aided people experiencing homelessness by providing a place to eat and sleep temporarily, they
do not provide a permanent solution to homelessness. In contrast, the Housing First method
houses individuals and families in normal communities; however, there is a shortage of
affordable housing for the homeless. As a result, many wait on a long list for housing.

Humble Home Inc. has provided transitional shelter in West Haven for ten years and has
considered establishing either a Housing First program or a traditional shelter in East Haven.
Louise asked me to address the following tasks during my research:
• Determine the success of Housing First projects in other nonprofits that serve the
homeless.
• Verify the implementation process and success rates for Housing First.
• Determine if Housing First is financially feasible.

Through my primary research – an interview with Chief Development Officer of Columbus


House, John Brooks – I learned that nonprofits can effectively use both traditional shelters and
housing to help shelter and rehouse individuals and families, provided that there is enough
money in the budget to maintain these programs.

Through my various sources of secondary research, which include journals, articles, and
government websites, I found that both traditional shelters and Housing First programs are
currently used to battle homelessness, but Housing First programs produce better outcomes.
However, both types of assistance have their pros and cons. Traditional shelters pose several
issues to repeat users, such as finding affordable housing without assistance, recovering from
addiction, and finding a job or applying for disability without a permanent address. Though
traditional shelters offer food, beds, and showers, they do not provide a permanent solution to the
problem of homelessness – housing the person. While Housing First programs immediately
alleviate homelessness by providing a home, affordable housing is limited and many wait months
before housing becomes available.

To further understand the success of Housing First through those who experienced homelessness,
I contacted the National Alliance to End Homelessness and requested if I could disperse a survey
to those who are in the system or who have exited the system. Unfortunately, surveys of any kind
are not authorized due to HIPAA and Homeless Management Information Systems (HMIS)
privacy laws. However, John Brooks directed me to the anecdotal stories on Columbus House of
people who have experienced homelessness and are willing to tell their stories. I chose not to
include this anecdotal evidence since success stories directly from the Columbus House website
can be portrayed as bias.
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Based on my primary and secondary research, I recommend that our next project be a Housing
First project since there is a demand for more Housing First programs. Establishing a Housing
First program in East Haven will also supplement our traditional shelter in West Haven. In
conclusion, a Housing First program will be sustainable, cost-efficient, and successful.
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Research Methods
My research began after I booked an appointment with Columbus House’s Chief Development
Officer, John Brooks. Part of my research was finding the right questions to ask for this
interview. I made sure to include wording from my tasks about Housing First which were to

• Understand the principles of the Housing First approach to homelessness


• Verify the implementation process and success rates for Housing First
• Determine if Housing First or a shelter will be economically safer

Task 1: Understanding the Principles of Housing First Approach to Homelessness


To answer my first task, I used both primary and secondary research. My primary research was
an interview with John Brooks, and my secondary research was literature about Housing First’s
approach to homelessness.

To understand the Housing First approach to homelessness, I interviewed the Chief Development
Officer from Columbus House, John Brooks. Brooks has served as the Columbus House Chief
Development Officer for over fifteen years. I chose to interview Brooks because he serves in an
organization that has both Housing First and traditional shelters programs. To ensure that Brooks
would qualify as an expert in the field, I verified his credentials and years of service via LinkedIn
before our interview.

I also did in-depth research on the Columbus House website to verify how many years has the
organization served the public and what programs the organization runs. After gathering
substantial information about the organization and about John Brooks, I prepared the following
questions to be answered:

1. When was the first Housing First program established at Columbus House?
2. How difficult was it to implement a Housing First program?
3. What are some of the challenges that a Housing First program faces that a traditional
shelter does not?
4. Were additional staff members needed to maintain the Housing First program?
5. Did the program run smoothly on the first run or were there any hiccups that delayed the
program?
6. In what ways does the traditional shelter program differ from the Housing First program?

Note: These questions will be answered throughout all tasks

Asking open-ended questions to Mr. Brooks allowed for conversational answers that helped
understand a complex subject that only an expert in the mission of eradicating homelessness
could answer.

Task 2: Establish Numbers of Success Rate in the Housing First Model


To understand the success rate of the Housing First model, I searched online to find studies and
other relevant information that could depict the success of Housing First. I found information on
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fact-driven websites, such as National Alliance to End Homelessness – a website that is


dedicated to ending homelessness and Housing and Urban Development (HUD) – a government-
owned website. I also collected information from The Chronicles of Social Change, a reputable
opinion-based website. Finally, I asked Brooks to answer questions about program
implementation.

Task 3: Determining if Housing First will be more economic than Shelters


In order to determine if Housing First programs are more cost-effective than shelter programs, I
researched the general costs that are essential to program success via government websites, and
researched literature about the cost of Housing First programs per individual. I also searched
government funding and privately-owned funding trends to see which of these two are more
likely fund Housing First programs.

Results
In my first task, I expand on what I discussed with John Brook during our interview and on my
findings as I examined Housing First literature.

Task 1: Understanding the Principles of Housing First Approach to Homelessness

During my interview with John Brooks, he pointed out that Columbus House began as Humble
Home did – a traditional shelter – and has expanded to have several Housing First programs.
Columbus House was established in 1982 and began as an emergency shelter. The non-profit has
since then expanded and has many programs, including a Housing First programs like rapid
rehousing. Based on the organization’s Housing First history, people who are directed to one of
their Housing First programs, 88% of program users successfully remained in permanent
housing after exiting their programs. Columbus House follows up with the individuals and
families that have passed through their system one year later. Though the Housing First
programs have high success rates, Brooks believes that both Housing First and traditional
shelters do different jobs that help people experiencing homelessness and are needed to
successfully achieve “functional zero.”

Housing First programs, Mr. Brooks explained, allow people who are experiencing homelessness
to be housed first and then work with a specialist to resolve other issues after they have moved
into their house – whether it be unemployment, drug abuse, or mental instability. Housing First is
not a program in itself, it is a general term for any program that offers a home first and the option
of assistance with other life issues. For example, at Columbus House, under Housing First, they
offer rapid rehousing, permanent housing, coordinated entry, and Housing Opportunity for
Persons with Aids (HOPWA). The downside of these programs is that there do not provide
enough homes for the amount of people that experience homelessness in Connecticut. As a
result, many remain unhoused and may have to wait some time before they can be housed.

On the other hand, traditional shelters (this could range from one night to months), provide a
temporary shelter to those who are in need of a warm bed and a place to eat. The most beneficial
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advantage of temporary shelters is that they are also used when Housing First programs are at
capacity and people have no other place to stay. However, many of those who stay in overnight
shelters, emergency shelters, and warming centers are usually there for the night and leave
without any assistance. Brooks added that “traditional shelters can also provide certain services
that Housing First also serves, such as case management, employment assistance, and mental
help services for those willing to take it.” He also mentioned that not all Housing First and
shelters are created equal. Each program is different and can provide as much or as little as the
programmer wants.

My secondary research concurred with Mr. Brooks’ belief about how both types of programs can
benefit the mission to end homelessness. In the article “Housing First Versus Transitional
Housing: Neither Alone is the Answer,” reporter Maddie Keating interviewed Kerry Morrison,
the Co-Founder of Heart Forward LA. Morrison said that shelters are given a bad reputation
because they are expensive to run, yet they are needed for those who have no place else to go;
she believes that both Housing First and transitional (traditional) shelters are essential services
for those who experience homelessness. Rather than abandon the idea of shelters, Morrison says
that the government should have them combined.

In the study “Housing First for Long-Term Shelter Dwellers with Psychiatric Disabilities in a
Suburban County: A Four-Year Study of Housing Access and Retention,” authors Stafancic and
Tsemberis define Housing First as a program that provides “immediate access to permanent
independent housing” (267). These programs allow individuals to reintegrate into the community
by allowing them to move into normal neighborhoods with subsidized help. In most cases, the
individuals enter a subsidized lease until they could afford to pay the rent on their own, but for
many, this help is permanent.

Task 2: Establish Numbers of Success Rate in the Housing First Model

The Housing First success rates of people remaining permanently housed are promising across
the board. At Columbus House, success rate of permanent housing, as mentioned before, were at
88%. Similar to Columbus House, in a four-year study about housing access and retention, the
chronically homeless (those who suffered from severe mental illness and have been homeless
for more than a year) were 68% more likely to remain in permanent housing through the
Housing First program (Stefancic & Tsemberis). The National Alliance to End Homelessness
website also reports high yielding numbers: 75% and 91 % remained housed in Housing First
programs.

In Keaton’s article, Morrison points out that since the federal government has shifted their focus
to the Housing First model, transitional shelters have suffered a significant lack of funding as a
result. Shelters now struggle to continue operations, leading to shutdowns and poorly maintained
facilities. Additionally, private funders are noticing the Housing First success rates, too and have
started shifting their donations to Housing First programs.

Task 3: Determine if Housing First is an Economically Better Choice


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In a study conducted by the United States Interagency Council on Homelessness, the progress of
families that were in housing or shelter programs from 12 states were monitored for three years.
Within the study, the cost of housing, shelter and supportive costs from different participating
organizations were recorded. In Figure 1, I list the average cost of each program reported and a
three-year average of Humble Home’s emergency shelter from 2013- 2016. In this graph, rental
cost, shelter space, housing quarters, facility maintenance and operation cost, along with
supportive costs, case management, administrative costs, overhead costs, and salaries are taken
into account.

Average Cost of Housing and Shelter Programs per family

6000
AVERAGE MONTHLY COST PER FAMILY

5,100
5000 4819
CBRR = Community-based
4000 Rapid Re-housing (Priority
Access)
PBTH = Priority Access to
3000 2706 Project-based Transitional
Housing.
2000 ES = Emergency Shelter

1000 800
Humble Home ES

0
Housing and Shelter Programs

Figure 1 Average Cost of housing and shelter programs per family

In this study, PBTH programs spent 47% of their budgets on supportive services, while
Emergency Shelters spent 63% of their budgets on supportive services. Similarly, Humble
Home’s support services account for 64% of the budget, making it close to the average.
Supportive Services are the “…cost of any services other than housing or shelter provided as an
integral part of the program, including case management and any cash or in-kind assistance,”
such as shelter meals (Gubits 110). Since Humble Home’s program runs in Connecticut – a state
that has one of the highest tax rates in the U.S., according to the Tax Foundation – there is no
question that an organization’s cost in Connecticut will be higher than the average. This
discovery is taken into consideration when deciding what project should be chosen.

Similar to the Gubits findings, in Stephanic and Tsemberis’ study, about Housing First, the cost
of traditional shelters outweighs the cost of Housing First programs. In 2002, the annual cost
per diem for supportive housing (Housing First) was $20,410, while the cost of transitional
shelters (traditional shelters) ranged from $24,269 – $43,530. This amount includers staff
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salaries, operational costs, property management, and rent funds. Though this information may
seem outdated, it demonstrates that from early in its inception, Housing First programs were
more economically feasible than shelters.

Conclusion
A clear finding in the recommendation report is that traditional shelters are the most expensive
and time-consuming programs to run for homelessness. A comparison between the average cost
of Humble Home’s program and the rest of the shelter programs in the US shows that our shelter
program costs higher than the average for all shelter programs; this is due to Connecticut’s
higher taxes. Humble Home expends 64% of its budget to supportive services, and the other 56%
on brick and mortar expenses, such as rent, repairs, utilities, administration, and janitorial
services. Conversely, all Housing First program expenses are less costly than shelter programs
because they require less supportive services. Furthermore, the program participants pay their
own rent, utilities, etc.

Housing First program success rates for permanently housing those who have experienced
homelessness are positive throughout the board, making the program reputable and promising to
help with the homeless crisis. In contrast – traditional shelters – though useful, have acquired a
bad reputation due to studies that demonstrate that shelter programs are expensive to run and
yield little positive results to permanently house individuals. However, shelters are essential to
provide a temporary stay for those who have no place to go and are on a long waiting line for
affordable housing.

Housing First programs are flexible and program details are at the mercy of the programmer.
With these programs, organizations are only required to provide an affordable home for anyone
experiencing homelessness. A good example of this minimalist program is the community-based
rapid re-housing program.

To determine whether traditional shelters or Housing First would be a better fit for our next
project, I created a decision matrix (Table 1) that weighed the importance of internal expenses,
government funding, private funding, and success rate. Four holds the heaviest weight (most
important), and one holds the lightest weight (less important).

Options
Criteria and Weight
Traditional Shelter Housing First
Criterion Weight Score Total Score Total
Internal
1 2 2 4 4
Expenses
Government
4 3 12 4 16
Funding
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Private Funding 3 2 6 3 9

Success Rate 2 1 4 2 4

Score: 28 33
Table 1: Traditional Shelter vs Housing First Decision Matrix

The most important criterion to me was government funding, as the biggest funder for homeless
programs is HUD. Although private funds are not as sizeable as government grants, they play a
crucial role in keeping programs operational. Since government and private funders are
providing less funds to traditional shelters and more funds to Housing First programs, I weighted
the Housing First program heavier for these criterions. Though the success rate is important, it
will not be the overall determining factor for choosing the new program and therefore, was the
lowest weighed. The overall winner is Housing First because it will keep our expenses low and
funding high.

Recommendation
I recommend that our next project be a Housing First program. As mentioned by the Tax
Foundation, Connecticut has one of the highest tax rates in the US; therefore, establishing
another shelter will certainly exhaust our funds faster. By creating a Housing First program in
Connecticut, we will help reduce the number of individuals and families experiencing
homelessness and reduce the waiting list for affordable housing. By opening a Housing First
program, it demonstrates that, in addition to aiding the homeless with our shelter, we are joining
forces with other organizations to eliminate homelessness.

Moreover, a Housing First program will allow us the flexibility to include as many or as little
supportive services we need. To create a program that will bring in a minimal amount of new
personnel, I recommend that we establish a PBTH program. A PBTH program will require only
two additional staff for property inspections and one for property management.
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Glossary
Coordinated Entry: To allow an individual housing despite any drug related issues.

Functional Zero: An efficient way to ensure that homelessness is rare, brief and non-recurring
event in an individual’s life.

Homeless Management Information Systems (HMIS): a database for nonprofits funded by


Housing and Urban Development.

Housing Opportunity for Persons with Aids (HOPWA): Rehousing for people who have Aids
or are HIV positive.

Permanent Housing: The process of acquiring a permanent home without needing to move out
after a certain time.

Rapid Rehousing: The process of acquiring housing shortly after entering the HMIS system.
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References
Apotsos, Mike, et al. “Connecticut Counts: Annual Point in Time Count and Youth Outreach”
Connecticut Coalition to end Homelessness June. 2019 https://cceh.org/wp-
content/uploads/2019/06/PIT_2019.pdf
“Fact Sheet: Housing First.” National Alliance to End Homelessness, Apr. 2016,
www.cceh.org/wp-content/uploads/2018/06/housingfirst-fact-sheet-NAEH.pdf.
Gubits, Daniel, et al. “Family Options Study: 3-Year Impacts of Housing and Services
Interventions for Homeless Families” United States Interagency Council on
Homelessness, Oct. 2016, www.huduser.gov/portal/sites/default/files/pdf/Family-
Options-Study-Full-Report.pdf
Keating, Maddie. “Housing First Versus Transitional Housing: Neither Alone is the Answer.”4,
Journalism for Social Change, 26 Apr. 2016, chronicleofsocialchange.org/journalism-for-
social-change/housingfirst-versus-transitional-housingneither-alone-answer/17636
Pleace, Nicholas. “The history of Housing First.” Housing First Europe Hub, Feb. 2016
https://housingfirsteurope.eu/guide/what-is-housingfirst/history-housingfirst/
Stephanic, Ana & Tsemberis, Sam “Housing First for Long-Term Shelter Dwellers with
Psychiatric Disabilities in a Suburban County: A Four-Year Study of Housing Access
and Retention” The Journal of Primary Prevention July 2007, Volume 28, Issue 3–
4, pp 265–279 doi.org/10.1007/s10935-007-0093-9
“Taxes in Connecticut.” Tax Foundation, https://taxfoundation.org/state/connecticut/

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