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Alberta Government to drop funding for umbrella organizations seeking to end homelessness

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The Government of Alberta has announced a sweeping change to the decades-long way that Albert has waged the fight against homelessness.

Minister of Seniors, Community and Social Services Jason Nixon announced on Dec. 20 that grant funding from the province that would have previously gone to organizations like the Calgary Homeless Foundation will now be provided directly to service providers like the Calgary Drop In Centre.

Speaking in Calgary on Friday, he said that the change was necessary to provide a province-wide model to addressing homelessness in Alberta.

“The focus was on a structure that was focused on the seven largest cities. Since then, we are now needing to build funding structures that are able to accommodate all of the province,” he said.

“The reality is that now we’re making other funding decisions that need to take into context what is taking place with that money that is flowing through the grants. At the end of the day, those grants are going to remain fully funded. They are going to go to frontline services. This money will not be reabsorbed into our department.”

Minister Nixon said that at times his ministry felt that funding provided by umbrella organizations to service provides had been done inappropriately.

Three examples he provided of that were when grant funding had been provided to organizations that gave out tents to unhoused individuals, funding for Alberta Health Services to provide mobile outreach services, and grants that provided pet food for the pets of unhoused individuals.

“I think we’ve dealt with that over the last year or so, but that would be a great example of where our government is focused on shelter and housing, not on providing encampments. We want people in warm, safe shelters,” he said.

“I think it’s very important that we care for animals, but at the end of the day, that’d be a priority, more on the SPCA side, not on me, who’s trying to tackle homelessness. Those are just a couple examples off the top of my head, at the end of the day, though, this is not about trying to take money away from the front-line organizations. It’s the opposite.”

In 2024, the Calgary Homeless Foundation received the majority of its $63 million in government funding from the Government of Alberta, with $41.6 million. The Government of Canada provided $21.6 million.

The City of Calgary provided $3.1 million to the organization in 2023, but not in 2024.

The Calgary Homeless Foundation said that they were notified of the change to funding on Dec. 20.

“CHF remains first and foremost dedicated to supporting the ongoing efforts to fight homelessness across Alberta and to ensuring that the people we serve receive the very best from our system of care,” read a statement from the organization.

“Currently, CHF has no further details beyond what has been shared publicly.”

They said that they have been invited to serve on a panel to be created in 2025, to advise on a province-wide redesign of how homelessness is addressed in Alberta.

“Calgary Homeless Foundation has been invited to serve on this panel, and we look forward to working closely with the Government of Alberta as they implement these new policy changes,” the statement read.

Supports for more than just shelter have been used to get people into housing

In November, LWC spoke to Patrica Jones, CEO of the Calgary Homeless Foundation, about how providing support through warming centres including medical outreach and wrap-around services, was helping to get unhoused individuals more access to housing and shelter.

“The key, always, is the warming centre is just a tool for engagement—to invite people to other services because we know nobody actually wants to live outside. As much as people might think that is, that’s not true,” she said.

Minister Nixon, in justifying the change, said that there would be more funding put towards front line services across the province and less red tape for those same service providers.

“Our goal in Alberta, as always, is to ensure supports and services are available to those who need them. We are confident that the changes we are announcing today will have a positive impact on Albertans experiencing homelessness,” he said.

Sandra Clarkson, CEO of the Calgary Drop-In Centre, said that she was appreciative of the province taking a more active role in funding and coordinating the emergency shelter system in Alberta.

“Today, we see increasing complexity in mental health and addiction challenges, as well as seeing the need for specialized supports for women, families and Indigenous people that are experiencing homelessness. I appreciate the work that the province has already done to acknowledge these needs,” Clarkson said.

“Having that partnership with the province as a coordinator of the whole shelter system has meant that we’ve been able to make sure the right services are in place, when and where they are needed. I’ve had the benefit of developing this partnership with government as well as other front-line providers, and I’ve seen the positive impact that this support has had on our sector, and particularly for those that we serve.”

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