Bay Area Homelessness Nonprofit, Downtown Streets Team, to Cease Operations After Two Decades - fundsforNGOs

The Downtown Streets Team, a prominent Bay Area nonprofit dedicated to assisting the homeless population, has announced it will close its doors by the end of October. After nearly 20 years of service, the organization cited a significant loss of funding, attributed to the current political and financial climate, as the primary reason for its closure.

Key Takeaways

The Downtown Streets Team will close by the end of October after 20 years of operation.
The closure is due to a substantial loss of grants and contracts, impacting financial sustainability.
The organization has helped over 2,200 individuals find stable housing and secured employment for many.
The nonprofit’s work involved homeless individuals volunteering to clean city streets in exchange for services.

Impact and Reach

The Downtown Streets Team has made a significant impact across the Bay Area, operating in at least 16 communities, including San Jose, Marin, Berkeley, Sunnyvale, and Palo Alto. The organization’s model provided essential services such as job placement and housing assistance to individuals experiencing homelessness. In return, participants volunteered their time to clean up local streets, removing an estimated 33 million gallons of trash over its operational history.

Reasons for Closure

Leadership from the Downtown Streets Team stated that the "current political and financial environment has significantly impacted the organization’s ability to continue sustainable programs." This includes a loss of millions of dollars in grants and contracts, with nearly 90% of its funding coming from government sources. Rising operational costs and other unspecified factors also contributed to the difficult decision. The organization’s CEO, Julie Gardner, described the closure as "heartbreaking" and a result of exploring "every possible path forward."

Community Reaction

The announcement came as a surprise to many in the communities served by the Downtown Streets Team. Local partners, such as the Downtown Food Closet in Palo Alto, expressed shock and concern about the impact on the individuals they serve. Many clients rely on the services provided by the nonprofit and are now facing uncertainty about continued support.

Broader Context

The closure of the Downtown Streets Team occurs amidst broader challenges faced by homelessness service providers. Local governments are grappling with budget deficits, and state and federal funding for homelessness initiatives has seen reductions or proposed cuts. These financial pressures, coupled with shifting priorities in homelessness solutions, have created a difficult landscape for nonprofits in the sector. The organization is reportedly working with other providers to ensure a transition of services for those who depend on them.