Overview
- On Monday, Aug. 31, Mayor Daniel Lurie announced a multi‑year plan to competitively reprocure all homelessness service contracts and shift payments to measurable client outcomes.
- The Department of Homelessness and Supportive Housing says the change affects about $500 million a year in contracts and will phase new awards through May 2029 while specifics on metrics remain under development.
- Officials point to audits, investigative reporting and criminal charges involving some nonprofits as reasons to link pay to results and increase oversight after years of expense‑based reimbursements.
- Service providers and advocates reacted with surprise and worry, saying the sudden competitive rebids risk losing housing units or shrinking service capacity unless contracts protect existing inventory and funding levels.
- City leaders are seeking feedback from providers, advocates and people with lived experience, with the RESET sobering center pilot cited as an early example of performance‑linked contracting that the city may expand.