Iowa City partnering with Shelter House on housing stability pilot program

IOWA CITY — The Iowa City Council has agreed to spend $1.1 million in pandemic relief funds on a program that aims to prevent homelessness.

“I really believe housing is a human right, and we need this partnership with Shelter House to get us to a different level, and this will be just one avenue that will help combat this complex challenge that we have,” Mayor Bruce Teague said at the Tuesday council meeting.

The housing stability pilot program, proposed by Shelter House, aims to strengthen eviction prevention and diversion and improve housing retention.

The program will receive ARPA funding for three years, from 2023 to 2025, and serve individuals in Johnson and Washington counties. When the ARPA dollars run out, the project will need funding from other sources to continue service, the city memo stated.

Iowa City received $18.3 million in American Rescue Plan Act funds and has approved $6.4 million in projects to date.

The funds to Shelter House will be used to hire five full-time positions: one coordinated entry specialist, two housing stability support specialists and two eviction prevention and housing stabilization specialists.

Since the start of the COVID-19 pandemic, Shelter House has prevented the eviction of 583 households — nearly 1,000 people — and disbursed $1.16 million in emergency rental assistance, according to the project proposal submitted by the nonprofit.

“The potential for long-term impact here should not be understated,” Shelter House said in its proposal.

Coordinated entry

Coordinated entry is the “first point of contact for homeless individuals and families,” according to a city memo explaining the program.

Shelter House will use $204,350 through fiscal 2026 to hire a coordinated entry specialist and also pay for a translation service. The specialist will answer phone calls and meet with people in person to determine what they need.

The specialist will hold biweekly meetings with housing providers.

Housing stabilization

Shelter House will hire spend $394,740 through fiscal 2026 on housing stabilization.

The two people working in this area will expand housing search and location services, arrange apartment viewings and continue relationship building with local landlords and property managers.

The specialists also will support households through the lease process when eviction is imminent.

Shelter House will restart an eight-course, tenant education series called RentWise to inform clients about the rental process.

A landlord risk mitigation fund will be established in Iowa City and funded by the city’s affordable housing fund. It will provide incentives to landlords to rent to households with limited income, poor rental or credit histories or a criminal background.

Tracy Hightshoe, the city’s neighborhood and development services director, said the landlord risk mitigation fund has been in the city’s plan since 2016 and will now become a reality.

The city is budgeting $30,000 for the program, which will help cover any excessive damages, lost rent or legal fees.

Eligibility will initially be limited to landlords renting to households engaged in Rapid Rehousing, households using emergency housing vouchers, permanent supportive housing providers and other nonprofits offering supported housing to low-income households.

Eviction prevention

Additionally, two employees will focus on eviction prevention and housing stabilization. Shelter House will spend $391,740 on this effort through fiscal 2026.

The specialists will assist with applying for financial assistance, educating tenants and building relationships, educating landlords on eviction prevention and using rapid rehousing funds as needed to relocate households when other avenues have been exhausted.

Shelter House will work with Iowa Legal Aid to provide a clinic at the Johnson County Courthouse and hold quarterly expungement clinics. The budget for those efforts is $90,000 through fiscal 2026.

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