Monday, May 4, 2015

The Chicken or the Egg?

Sometimes timing and location are everything. I was sitting in my living room working on an article for this week when one of the national news programs featured am intriguing report on homelessness. Normally, I don't work from my living room and it is extremely rare that I work with background noise. How fortuitous that the abandonment of 2 of my preferences put me in the position to hear some interesting news.

There has long been debate about a concept in social services that focuses on providing housing for homeless people before they have a job. Proponents of this idea say it will lay a foundation for pride and responsibility that will propel people to work hard to find employment so they can get their lives back on track. Opponents believe this incentivizes laziness and a person should have a job prior to having a place to live. It is the proverbial homeless "chicken or the egg." Which needs to come first?

This particular report focused on Utah and that state's decision to house chronically homeless people before they had a job. People were given a place to live, usually a small apartment for singles and a larger (2-3 bedroom) apartment for single parents or families. The only stipulation was the commitment on the part of the homeless person to pay either 30% of their monthly income, or $50 per month. Over time, Utah saw a 91% decline in the number of chronically homeless living there. Most people were rejuvenated by this process and kept steady employment.

Of course the financial impact of this decision needed to be weighed. On average, chronically homeless people in Utah racked up nearly $20,000 a year on hospital and medical charges that went unpaid. By comparison, the state found it spent just under $8,000 a year for each housed person. This amount also included state-provided case management. The state actually saved money by going to a housing-first philosophy.

This idea is often contentious and advocates on both sides have valid points to support their position. But at least different communities are having this discussion as to which should come first.

No comments: