Austin Cuts Ties with Homeless Shelter operator Urban alchemy Over data Misreporting
Austin, TX – The City of Austin is ending its contract with Urban Alchemy, the nonprofit operating two key downtown emergency shelters, following revelations that five employees falsified records related to individuals experiencing homelessness. The decision, announced today by David Gray, Director of Austin’s Homeless Strategy Office, will see a transition in shelter management by the end of September.
Urban Alchemy has managed the Austin Resource Center for the homeless (ARCH) since 2022, taking over after the city ended a previous agreement. They were also selected to operate the Eighth Street shelter when it reopened in 2023.
The issue centers around misrepresented exit dates and other data points within the city’s Homeless Management Information System (HMIS). This system is crucial for tracking individuals’ progress toward permanent housing and evaluating the effectiveness of city-funded programs.
“Having accurate data is significant both for the public to be able to know which programs are producing high results,where we are getting strong returns on investment for our taxpayer dollars,but also important for all the service providers in the system too,” Gray explained.
While acknowledging Urban alchemy’s positive contributions – including providing medical care, food, and safe shelter – Gray stated the data integrity breach was “not excusable.”
Urban alchemy confirmed the discrepancies, stating they discovered the issue through internal controls and promptly terminated the responsible employees. “We notified the City after our internal controls discovered the issue and terminated the employees that we identified as responsible,” a spokesperson said in a written statement. “We hold our entire team to the highest possible standards, and will never hesitate to take appropriate action when we fall short of those standards.” The nonprofit has since corrected the data and will submit a review of misreported records in their next quarterly report.
To ensure uninterrupted service at the ARCH and Eighth Street Shelter, the Austin City Council is scheduled to approve a one-year emergency contract with Endeavors at its October 9th meeting. Endeavors currently operates the Marshalling Yard and Northbridge Shelters, both of which have demonstrated positive outcomes in assisting individuals experiencing homelessness.
Key takeaways:
* Contract Termination: Austin is ending its contract with urban Alchemy due to data misreporting by five employees.
* Data Integrity: The falsified data concerned exit dates and other information within the city’s HMIS, vital for tracking progress and evaluating program effectiveness.
* Smooth Transition: The city is moving to a one-year emergency contract with Endeavors to maintain shelter operations.
* Accountability: Urban Alchemy has taken responsibility, terminated the employees involved, and corrected the data.
Related Coverage:
* KUT: The ARCH will soon be under new management, folks have concerns about the new manager
* KUT: Austin reopens former Salvation Army shelter for homeless women and transgender residents
* KUT: Austin City Council approves nearly $7 million to keep Marshalling Yard shelter open