City Proposes $4 Million Funding for Temporary Shelter Village

THUNDER BAY – The City Administration has proposed a $4 million project to construct 100 temporary shelters, featuring prefabricated insulation, lockable doors, heating, electricity, and a fixed address for case management. The shelters would also provide 24/7 support services. This initiative is part of a larger ten-point Human Rights-Based Community Action Plan aimed at addressing homelessness and managing encampments, which was presented during the city council meeting on Monday, October 7.

While no vote has been taken yet, as the plan is still in its draft stage, it outlines long-term strategies to reduce homelessness. These include collaboration with community partners, enhanced sanitation, designated encampment sites, and city-approved temporary shelter villages equipped with comprehensive support services.

The $4 million price tag for the proposed temporary village has sparked debate. While construction costs were presented, operational costs will be discussed at the next council meeting.

“This is not just another encampment. It’s a structured community designed to offer stable and dignified temporary shelter,” said Cynthia Olsen, Director of Strategy & Engagement.

City Manager Collin emphasized that the municipality does not expect to bear the full cost. “We plan to front the money through reserves and then seek reimbursement from higher levels of government,” he explained.

Councillor Shelby Ch’ng expressed confidence in the city’s ability to fund the shelters, stating that ongoing expenses prove the city can afford it. However, Councillor Rajni Agarwal voiced concerns, calling for more permanent solutions to be explored.

The administration, which projects the number of people living in encampments could rise by summer 2025 without immediate action, believes their plan offers the best chance of success. At its peak this year, the city saw 200 unhoused individuals living in encampments.

If approved, the plan would allocate approximately $450,000 for outreach workers, health and safety responses, garbage collection, and sanitation for on-site washroom facilities. These outreach efforts would be supported by community partners, though specific organizations were not named in the report.

The temporary village project, along with broader support services, is part of a multi-agency approach to provide healthcare, food, transitional housing, and employment services, with a target implementation date of next summer.