Skip to main content
File #: 25-0862    Version: 1
Type: resolution Status: Passed
File created: 9/26/2025 In control: City Council
Agenda date: 10/7/2025 Final action: 10/7/2025
Title: Approval of a Resolution Authorizing an Interagency Agreement with the Washington State Department of Commerce for the Encampment Resolution Program - Housing division
Attachments: 1. Interlocal Agreement, 2. Resolution

Title

Approval of a Resolution Authorizing an Interagency Agreement with the Washington State Department of Commerce for the Encampment Resolution Program - Housing division

 

Recommended Action

Committee Recommendation:

Not referred to a committee.

 

City Manager Recommendation:

Move to approve a Resolution Authorizing an Interagency Agreement with the Washington State Department of Commerce for the Encampment Resolution Program - Housing Division

 

Report

Issue:

Whether to approve a Resolution Authorizing an Interagency Agreement with the Washington State Department of Commerce for the Encampment Resolution Program - Housing Division

 

Staff Contact:

Kim Kondrat, Homeless Response Coordinator, 360.742.6448

 

Presenter(s):

None - Consent Calendar Item

 

Background and Analysis:

In 2023, the City created Franz Anderson Tiny Home Village (Franz Anderson) to offer transitional housing for unhoused residents in the community under Governor Inslee’s Rights of Way Safety Initiative. Franz Anderson includes 50 tiny home units, a community space, and hygiene facilities, and the site has been operated by the Olympia Mutual Aid Partners (OlyMAP) since it development. Franz Anderson has served as a low-barrier site, supporting adults transitioning out of homelessness.

 

In the summer of 2023, the Washington State Department of Commerce partnered with City staff to review additional needs within the State’s Rights of Way Safety Initiative. The City’s original tiny home village (which had been established in 2018), Plum Street Village, was identified as a site that could pivot their scope of services to offer both housing, pathways to sobriety and workforce development support for residents exiting encampments along the right-of-way.

 

The City selected Valeo Vocation (Valeo) as the site operator to initiate this program at Plum Street Village.  Valeo had demonstrated success as a partner with the City in offering the Journey2Jobs program, which provided readily applicable job skills and wrap-around support for unhoused people to enter or reenter the workforce. In addition to Plum Street Village, Valeo currently operates shelters in Tacoma,

 

Valeo has been a reliable and successful operator of Plum Street Village, dedicated to creating new pathways for people experiencing homelessness through a balance of compassion and accountability. For Franz Anderson, Valeo Vocation will operate the site providing both low-barrier shelter and the same workforce development model used at Plum Street Village as a voluntary option for residents.

 

Staff is requesting Council approve a Resolution authorizing an interagency agreement with the Washington State Department of Commerce for the Encampment Resolution Program - Housing division. This agreement includes funds for operations of Franz Anderson Tiny Home Village for 2 years, for operations of 30 beds at Quince Street Village for one year, for City of Olympia staff for outreach and administrative costs beginning July 1, 2025.

 

Specifically, the Department of Commerce will fund $1,776,751 towards the Encampment Resolution Program: $330,000 for one year of operations for 30 beds at Quince Street Village; $1,200,000 for operations at Franz Anderson Tiny Home Villages; $126,751 towards City of Olympia outreach staff; and $120,000 towards City of Olympia Administrative costs. 

 

Climate Analysis:

There are no immediate carbon emission impacts that are foreseen in continuing this contract.

 

Equity Analysis:

The continuation of tiny home villages in our community helps prevent further trauma to individuals who are experiencing homelessness by the recurring cycle of sheltered vs unsheltered homelessness. The goal is to have individuals in encampments enter into shelters/tiny home villages where case management and other resources are more readily accessible than in unsheltered homelessness. With support that they need, then hopefully they will sustainably remain out of homelessness.

 

Neighborhood/Community Interests (if known):

The continuation of these funds from Commerce will support individuals experiencing homelessness from entering back into homelessness. If they entered back in, there would be a large negative impact on the surrounding community and the greater City of Olympia. Increased trauma leads to increased crises which will result in a larger burden on the emergency response system (Olympia Police Department and Olympia Fire Department) and undo much of the progress the City has made in the last few years to decrease the number of large encampments in the City of Olympia.

 

Financial Impact:

Department of Commerce will fund $1,776,751 towards the Encampment Resolution Program: $330,000 for one year of operations for 30 beds at Quince Street Village, $1,200,000 for operations at Franz Anderson Tiny Home Villages, $126,751 towards City of Olympia outreach staff and $120,000 towards City of Olympia Administrative costs.

 

Options:

1.                     Approve the Resolution Authorizing an Interagency Agreement with the Washington State Department of Commerce for the Encampment Resolution Program - Housing Division.

2.                     Approval of a Resolution Authorizing an Interagency Agreement with the Washington State Department of Commerce for the Encampment Resolution Program - Housing Division with an amendment.

3.                     Take no action

 

Attachments:

Interlocal Agreement

Resolution