The move also signals the start of a new request-for-proposal process to determine whether Volunteers of America (VOA) or Catholic Charities of Northern Nevada (CCNN) will run the shelter in the years to come.
In late May, a multi-jurisdictional committee of Washoe County, Sparks, Reno and Reno Area Assistance representatives voted 4-2 to award an operations contract to CCNN based on a number of criteria, including references and available funding. But officials with VOA, the nonprofit that currently operates the shelter, protested and the process stalled.
A decision was further delayed when the U.S. Department of Housing and Urban Development (HUD) announced it was implementing a shift in its homeless services policy.
HUD’s new regulations reflect a shift of resources away from indefinite sheltering of the homeless toward finding rapid, permanent housing assistance.
Failure to comply with these changes could jeopardize nearly $5 million in federal funding for local homelessness and housing programs, including community development block grants and continuity-of-care grants.
The Washoe County Commission and Sparks City Council have now extended a cooperative agreement with VOA to continue operating the shelter until Jan. 31, 2012. The Reno City Council is expected to do the same today.
A transitional governing board has been formed to oversee the new bidding war and is expected to make a decision in December.