City Contractor Urban Alchemy Acknowledges Some Overspending as SF Supervisors Mull Contract Extension
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City Contractor Urban Alchemy Acknowledges Some Overspending as SF Supervisors Mull Contract Extension
"Urban Alchemy, the organization that employs formerly incarcerated people to work as street ambassadors and to staff supportive housing facilities in SF under multiple city contracts, is making the news again this week. At issue is a contract renewal for their management of a homeless shelter at 711 Post Street the Ansonia Hotel, which served as a youth hostel in the last decade before becoming a shelter in 2022."
"The Chronicle reported two weeks ago that Urban Alchemy was put on notice and relegated to "tier 2" status for city contracts, following a warning letter sent by San Francisco Controller Greg Wagner in August. The letter said that the nonprofit was now on a watch list over "serious fiscal or programmatic concerns," due to imadequate and noncompliant tracking of employee hours."
Urban Alchemy faces increased scrutiny from San Francisco leaders over apparent contract violations and misreported employee hours. The nonprofit operates supportive-housing staff and street ambassador programs using formerly incarcerated employees and manages multiple city contracts, including the shelter at 711 Post Street (the Ansonia Hotel). The organization expanded from a 2018 project to operate in seven cities, receiving over $50 million in recent contracts. San Francisco Controller Greg Wagner warned of "serious fiscal or programmatic concerns" and placed the group on a watch list and tier 2 status. BART canceled a contract and Austin moved to terminate one amid misreporting. Contract renewals with HSH are at risk.
Read at sfist.com
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