OCEANSIDE — Interfaith Community Services is set to take over the Oceanside Navigation Center in October from current operator San Diego Rescue Mission, with plans to boost the number of beds from 50 to 75.
The City Council narrowly approved the decision to make Interfaith, an Escondido-based nonprofit, in charge of its first and only homeless shelter on Aug. 6. The professional services agreement includes paying Interfaith just over $2 million annually to fully operate the shelter for a 21-month period, beginning on Oct. 1 and ending June 30, 2027, with two optional one-year extensions.
In addition to increasing the number of shelter beds, Interfaith will provide 24/7 staffing, security, case management, and behavioral health services.
Because the city will rely on Measure X funds to pay Interfaith to operate the shelter, City Manager Jonathan Borrego noted Interfaith plans to stay within the $1.25 million amount already allotted for homeless shelter services in the 2025-2026 operating budget until next fiscal year.
Tameka Tates, the city’s new homeless service manager, explained that Interfaith also plans to pursue CalAIM reimbursement funding — a Department of Health Care Services initiative meant to improve the quality of life and health outcomes for individuals on Medi-Cal — to potentially reduce long-term costs for the city.
Additionally, the council approved a property use agreement that authorizes Interfaith to use city-owned property for the shelter.
Estimated maintenance costs for the shelter are approximately $284,464 for the current fiscal year. Maintenance responsibilities will be shared; Interfaith will be in charge of routine daily cleaning, while the city will maintain and repair major systems including plumbing, HVAC, roofing, parking lots, and landscaping.
The city will also cover utility expenses to include electricity, gas, water, sewer, trash, recycling, and routine pest control while Interfaith assumes responsibility for internet, cable, and telephone services. The responsibilities fall under the same structure as the current operating agreement with San Diego Rescue Mission, which has operated the shelter for the last two years.
Oceanside approved a three-year property use agreement with the Rescue Mission in late 2021. The shelter officially opened in 2023.
Interfaith and San Diego Rescue Mission were two of six applicants that submitted proposals to the city to run the shelter earlier this year. Other candidates included the Brother Benno Foundation, Hope the Mission, Equitable Social Solutions, and Father Joe’s Villages.
In the end, staff recommended Interfaith, which has a longstanding presence in Oceanside and other North County cities.
Tates said Interfaith has a “strong track record” of successfully operating its own shelter in Escondido and other services. She noted that the organization’s proposal stood out with its deep, trauma-informed care and Housing First experience, plus its emphasis on behavioral health integration, real-time data tracking, diversion strategies, ability to leverage CalAIM reimbursement, and its alignment with the city’s strategic goals.
Interfaith also “demonstrated operational readiness and sound financial planning,” and “represents a significant enhancement to the current level of support offered to shelter clients,” according to staff.
The shelter will target primarily Oceanside residents, including those who are chronically homeless as well as veterans. The shelter only takes referrals from the Homeless Outreach Team, Housing Authority or other approved partners, with no walk-ins accepted.
Interfaith plans to track housing outcomes and extend the length of stay for its occupants.
According to Interfaith Chief Executive Officer Greg Anglea, last year, the organization served 20,523 clients, with 1,493 adults and children prevented from falling into homelessness, 1,094 adults and children placed in stable housing, and 1,194 people who slept in an Interfaith bed.
Interfaith has been in the community for over 45 years, and has had a presence in Oceanside for at least 20 years.
“We’re a regional leader when it comes to addressing homelessness,” Anglea said.
Tates will ensure a “smooth handoff” between San Diego Rescue Mission and Interfaith while continuing shelter operations.
Discussions about changing the shelter operator stemmed from a February homelessness workshop, during which staff indicated that it planned to issue requests for proposals in the spring for the shelter’s operations.
Paul Armstrong, chief of staff and senior vice president of programs for San Diego Rescue Mission, said his organization was surprised by the decision, noting there were no contract violations, reported discrimination, or other complaints or concerns shared with them prior to the city’s decision to look for a new operator.
San Diego Rescue Mission has paid for its annual operating costs since it took over and once again offered to do so in its new proposal.
The Rescue Mission also asked for an extension of its contract; however, when it became clear they were not going to be selected, they pulled out and gave their 90-day notice to leave, which ends in October.
“The ones who are hurt the most by what is happening are the 22 staff members, many of whom have lived through homelessness,” Armstrong said. “We’re very disappointed. The city never shared any concerns about our performance.”
Anglea noted that Interfaith plans to open up its hiring process, which would allow the current San Diego Rescue Mission staff at the shelter to apply as well.
Earlier this year, during a discussion between the San Diego Rescue Mission leaders, the city manager and Mayor Esther Sanchez, the Rescue Mission indicated a desire to use the shelter as a regional facility.
Armstrong pointed out the shelter used “regional money” from the county and federal governments to refurbish the building and operate the shelter. The San Diego Rescue Mission relied on private donors to pay for operations.
“We could have had a meaningful discussion with the city, but we did not,” he said.
In response, Sanchez explained she took issue with the shelter being operated as a “regional center,” which to her meant Oceanside residents were not a priority.
“Homelessness is the number one issue in the city. We need to prioritize our residents,” she said.
Several public speakers voiced their support for both Interfaith and the San Diego Rescue Mission.
In the end, City Council voted 3-2 in favor of Interfaith, with Councilmember Rick Robinson and Peter Weiss opposed due to the operating costs. Robinson and Weiss said they did not have any personal issues with how Interfaith is run, and plan to support the shelter’s success in the long-run.
“We’re essentially getting rid of a service provider that costs nothing and replacing them with one that’s going to cost us eventually $2 million a year. To me, that is a fiscally irresponsible recommendation,” Weiss said.
Deputy Mayor Eric Joyce, who favored Interfaith as the operator, indicated he was excited for Interfaith to provide longer stays to its clients.
“The longer stays are going to equal recuperative care and longer-term service that gets us out of a treadmill of people going in and out,” Joyce said.
He also noted there were other issues with San Diego Rescue Mission and that he didn’t want to air out, and added that the city paid for the Rescue Mission’s outreach work, which “is not cheap.”
