Thursday, October 1, 2026
Amid ongoing friction over Encampment Resolution Program (ERP) grant shelter exclusions, Thurston County leaders authorized separate housing contracts for the upcoming service cycle.
The Thurston County Board of County Commissioners (BOCC) approved a $25,313,372 interagency agreement with Washington State Department of Commerce to fund homeless services. A separate $14.7 million package, sourced from state and local funds, was also approved to support 49 local housing projects managed by 17 nonprofits.
Public Health and Social Services Director Jennifer Freiheit said during the board’s regular meeting on July 15 that under the $25.3 million state contract, providers will receive allocations based on prior recommendations issued by the Regional Housing Council (RHC).
She said the the $25.3 million state contract will run from July 1, 2025, to June 30, 2027. It pools several state budget sources into a single interagency agreement, including the Consolidated Homeless Grant, the Homeless Prevention Emergency Housing Fund, Housing and Essential Needs (HEN), eviction prevention allocations, and state document recording fees. A portion of the contract was earmarked to cover inflation-driven expenses.
Meanwhile, the $14.7 million housing service contract package was developed through a public request for proposals issued on Jan. 17 and closed on Feb. 28.
“These are, in a lot of ways, not new programs. These are kind of legacy homeless services that we’ve been funding,” Senior Program Manager Thomas Webster said.
The service contracts cover service costs at the Interfaith Works’ Unity Commons, Community Youth Services’ Rosie’s Place and Family Support Center shelters. They also carry rental assistance and support services administered by the county.
According to Webster, funding comes from five sources namely HEN, document fee revenue under House Bill 5386, the county’s Human Services Fund, a rental assistance pool, and a service portion of the county’s HOME Fund.
“This one I have more reservations with,” said BOCC Vice Chair Wayne Fournier during the meeting, referring to the use of local dollars under the one-year housing service contracts.
Fournier opposed fully committing to the HOME Fund services share that makes up roughly $1.5 million of the $14.7 million contract. He said money from local sales tax revenue was the county’s only discretionary reserve available to respond to funding gaps caused by ERP changes.
“There has been a request from some of the other local jurisdictions … that we look for ways to help support their ongoing operations,” said Fournier, citing Unity Commons, Quince Street Village and Plum Street Village as programs at risk.
The HOME Fund, enabled under state of Washington law RCW 82.14.530, was approved by the Board of Health in 2022. Thurston County began collecting the revenue in early 2023.
As stated by the county officials, state law requires 60% of the fund be used for capital housing, 10% for administrative expenses and 30%, estimated at $1.5 million annually, for services.
“I have concerns that after today, we won't be able to help those people,” Fournier said.
Commissioner Rachel Grant then reiterated the decision to move forward was based on prior planning and immediate service needs.
She said nonprofit providers had prepared their upcoming service schedules on the expectation that reimbursements would begin on July 1, and delaying approval would directly impact placements.
Webster confirmed providers had begun service operations in good faith. He said if the board had declined to approve the contracts and instead returned them to the RHC for changes, it would likely take time for the RHC to issue new recommendations.
“So, it puts those nonprofits at real financial burden to carry those costs for the future without a surety of reimbursement,” Webster said.
County Manager Leonard Hernandez said the $14.7 million in housing contracts already accounted for the known $4 million gap from the state’s ERP. He said the funding recommendations had been planned with that deficit in mind.
Commissioner Emily Clouse said the decision did not violate the board’s prior guidance. In January, the county issued a letter asking local governments to refrain from launching new homelessness spending until a regional contingency plan could be finalized.
Clouse then proposed the board create a finance subcommittee to track how discretionary funds, like the HOME allocation, are handled across interwoven contracts.
Chair Tye Menser said the board had limited discretion under the current RHC model. Most contract details originate from interagency processes, and the board generally ratifies recommendations.
Menser called it “a weird year,” as he elaborated on the last-minute state changes that disrupted the county’s earlier plans. Simultaneously, the county was under increasing pressure to keep shelters open amid an unstable budget backdrop.
The board unanimously approved the $25.3 million state contract and the $14.7 million nonprofit service package.
6 comments on this item Please log in to comment by clicking here
Claire
The homeless problem will persists long as municipalities approve funding for programs that have so far proven failures. Perpetuated by myriad grant-grifters. Amazing that Thurston County has $25+ million to pour down this rathole
Tuesday, July 22, 2025 Report this
jgreen
It’s the Local Home Fund, not the HOME fund, that funds homeless services contracts. The HOME fund are federal dollars that fund affordable housing projects.
Tuesday, July 22, 2025 Report this
Boatyarddog
Sorry @claire, funding homelessness is NOT a Rathole, but that is the MINDSET of those against helping others... WHAT Is Your solution? Starve them out, Jail them into purpetualitily at Tax payers expense, shove them onto buses like Immigrants and dump them elsewhere? Causing issues onto our Countries cities. Geeeze! How novel.
Wednesday, July 23, 2025 Report this
Boatyarddog
GOOD Job Commissioners, thanks for Careing! About Humanity.
Wednesday, July 23, 2025 Report this
Southsoundguy
Boatyard, the mountain of evidence does not support your claim. Billions spent on homelessness and it’s as bad as ever. But you don’t care, youre delusional.
Thursday, July 24, 2025 Report this
LindaD
Those who oppose homeless funding are not making suggestions to resolve the problem. Solutions are complex and challenging. Even so, let's talk about it.
Thursday, July 24, 2025 Report this