A San Francisco-Based Nonprofit to Operate Denver’s Homeless Shelter
After City Council’s approval of a $30 million contract with Urban Alchemy, a San Francisco-based nonprofit, the organization will begin operating one of Denver’s homeless shelters. Despite concerns raised about fiscal and data mismanagement, the contract was approved by nine out of the 13 council members.
Councilwoman Amanda Sawyer justified her “yes” vote by stating, “The other option appears to be putting people back out on the street in the middle of winter.”
Jeff Kositsky, the deputy director of shelter and stability, warned that rejecting the contract would lead to the shutdown of the shelter as there was no alternative provider available. Urban Alchemy will take over the Aspen shelter in Central Park from 2026 to 2028.
Denver officials decided to replace The Salvation Army with Urban Alchemy following safety concerns and incidents at the former shelters. The Salvation Army will continue to manage other facilities in the city.
Urban Alchemy, known for providing job opportunities to formerly incarcerated individuals, faced criticism in San Francisco and Austin for data misrepresentation. The nonprofit assured accountability and transparency in their operations.
The council also discussed a $3 million contract with Urban Alchemy for community ambassador services during the meeting.
Cole Chandler from Johnston’s All In Mile High initiative emphasized the new accountability measures in the contract to ensure performance.
Representatives from Urban Alchemy defended their record and commitment to addressing past issues, emphasizing accountability and transparency in their work.
Council members expressed frustration with the administration, highlighting concerns about the group’s track record and transparency.
