The city will use a combination of COVID relief money and general fund dollars to support the shelter through September 2025, but will then have to find a more permanent solution.
The City of Austin has identified the financing it will use to keep the Marshalling Yard emergency shelter open indefinitely., saying that without alternative places for people to go it would be a move backward in helping get people off the street.City officials said they were able to scrape together a combination of federal COVID relief dollars and general fund money to support the shelter. The City Council approved the $6.75 million at a meeting on Thursday.
She said she hopes a new source of funding through what is called a Tourism Public Improvement District can help close the gap. A Tourism Public Improvement District, or TPID, taxes hotels within a given area to generate money for certain services. Fuentes was one of several council members who expressed concerns about funding the shelter without a permanent funding source and location., approving a one-year, $9.1 million contract through August 2024. It costs $1 million a month to operate the Marshalling Yard. The shelter can house up to 300 people and offers a variety of services like meals and case management.
Fuentes said this is not a perfect solution, but agreed the shelter is an important part of the city’s ability to address homelessness.
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