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Sacramento County to spend $40M launching homeless shelter—before operational costs

The approved 4837 Watt Ave. location set to house 160 unhoused residents in 140 cabins of transitional sheltering comes after some state homeless funding was paused.

SACRAMENTO COUNTY, Calif. — Sacramento County Supervisors recently approved $17 million in improvement costs for a recently-purchased industrial building they plan to launch as a Safe Stay Community site to shelter unhoused residents.

A Safe Stay Community, also known as a sanctioned encampment, is a temporary shelter intended to be a transitional solution between living on the street and permanent housing.

Including the about $23 million used to purchase the property, renovations bring the total funds county officials invested in the 4837 Watt Avenue location to $40 million.

But beyond these initial launch costs, county homeless initiative officials said more funding would be needed to operate the 140 indoor sleeping cabins and 50 outdoor safe parking spots.

Unhoused residents in nearby encampments will be given priority.

A slide show presentation led by Sacramento County General Services Director Jeff Gasaway and Homeless Initiative Director Emily Halcon showed the $17 million would cover initial operations at the shelter.

However, when Board of Supervisors Chair Patrick Kennedy asked for clarification during Tuesday's meeting, Gasaway said initial operations would not be covered.

"We'll have to adjust the resolution," Gasaway said. "I noticed that this morning when I got home from vacation. But yes, we'll adjust the resolution and get it to float."

Annual operational costs are estimated to be $5.8 million, according to county officials. This includes on-site staff, services, security, food, laundry and transportation.

The transitional shelter will be funded with COVID-19 recovery funds from the American Rescue Act. Facilities will include:

  • Vehicles for guests staying in sleeping cabins
  • Indoor, fully plumed restrooms and showers
  • Office, indoor and outdoor meeting spaces for program operations
  • On-site storage for personal property
  • 24/7 onsite security

Sacramento County officials heard from local community members on Nov. 1 who expressed mixed feelings over the coming project.

WATCH MORE: Sacramento County leaders weigh concerns for 'Safe Stay' site on Watt Avenue

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