New operator takes over downtown Austin homeless shelters

AUSTIN (KXAN) — Starting Tuesday, the city of Austin is changing operators at its two downtown homeless shelters, the ARCH and the 8th Street women’s shelter.

The city let its contract with Urban Alchemy — who was previously operating those facilities — run out, after they say some staff members were falsifying data.

“And although we caught and corrected the problem, it’s the type of thing that we can’t simply turn a blind eye too,” Austin’s Homeless Strategy Officer David Gray said.

Endeavors, a group that runs the city’s Marshalling Yard and Northbridge shelters already, will expand and take on the downtown locations.

“Endeavors operates our Marshalling Yard shelter and our Northbridge shelter and they have great outcomes at both of those shelters. Endeavors also has the staffing model to scale up to meet the need,” Gray said.

Austin’s contract with Urban Alchemy expired Sept. 30. Austin City Council will vote on an emergency contract with Endeavors next week — which will run through Sept. 30, 2026.

“In 2026, HSO will issue a competitive solicitation for shelter operations to begin on October 1, 2026,” a previous memo from Gray said.

What are people staying at the shelters saying?

When we stopped by the shelters Tuesday, people staying at them knew about the transition. Some had concerns, others — like Ricardo — were optimistic.

“I hope to see how it goes with the new people,” he told us.

Mike Oaks, who has stayed at the Marshalling Yard as well, was more concerned about the transition.

“The thing about this one [the ARCH now], is they just have wonderful food and they can handle the people that come in from the street,” Oaks said.