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Home My WebLink About2026-02-26; Update on La Posada de Guadalupe Shelter Bed Reallocation (District 2); Murphy, JeffCouncil Memorandum February 26, 2026 To: From: Via: Re: Honorable Mayor Blackburn and Members of the City Council Jeff Murphy, Deputy City Manager, Community Services Mandy Mills, Director of Housing and Homele7' Services Sheila Cobian, Assistant City Manager ~~\..._,.1 Update on La Posada de Guadalupe Sh~er Bed Reallocation (District 2) {city of Carlsbad Memo ID# 2026007 This memorandum provides an update on recent regulatory actions by the California Department of Housing and Community Development {HCD) related to the use of farmworker-designated shelter beds at La Posada de Guadalupe, owned by Catholic Charities Diocese of San Diego, and outlines the next steps necessary to increase utilization of the facility to serve individuals (males) experiencing homelessness. Background Catholic Charities Diocese of San Diego (Catholic Charities) owns and operates La Posada de Guadalupe (La Posada) in the City of Carlsbad as an emergency and transitional shelter. The facility provides up to 100 shelter beds, with 50 beds historically restricted for use by farmworkers pursuant to state funding requirements tied to the Joe Serna Farmworker Housing Program. As previously reported to the City Council, changes in regional agricultural activity over time have significantly reduced demand for year-round farmworker shelter in the North County Coastal area. As a result, a substantial portion of the farmworker-designated beds at La Posada have remained vacant for extended periods, while demand for homeless shelter beds in Carlsbad and the broader North County region has remained high. Catholic Charities and city staff have worked collaboratively over several years to identify options to better align the use of the facility with current community needs while remaining compliant with state regulatory requirements. Discussion Catholic Charities and city staff previously explored a physical expansion of La Posada to increase shelter capacity and potentially serve women and families. That effort included conceptual design work funded through Community Development Block Grant resources and pursuit of external capital funding. However, as detailed in the Council Memorandum (Memo ID# 2025026) dated March 27, 2025, the expansion project was ultimately unable to move forward due to a combination of funding limitations and HCD's unwillingness to approve demolition or reconstruction of existing structures subject to an existing regulatory agreement and deed restriction. Given those constraints, the focus shifted from physical expansion to regulatory flexibility that could allow the existing facility to be more fully utilized. Community Services Branch Housing & Homeless Services Department 1200 Carlsbad Village Drive I Carlsbad, CA 92008 I 442-339-2810 t Update on La Posada de Guadalupe Shelter Bed Reallocation (District 2) February 26, 2026 Page 2 Following the pause of the expansion effort, Catholic Charities and city staff engaged in ongoing discussions with HCD to explore whether regulatory relief could be granted to allow a portion of the farmworker-designated beds to be used to serve individuals experiencing homelessness. As part of this process, HCD required consultation with agricultural stakeholders, including the San Diego County Farm Bureau and the County Agricultural Commissioner. While the Farm Bureau and Agricultural Commissioner were unable to provide formal letters of support, the County of San Diego Housing and Community Development Director submitted correspondence supporting the proposed approach as consistent with countywide homelessness priorities. Occupancy data provided by Catholic Charities demonstrated persistently low utilization of the farmworker-designated beds. Even during peak agricultural seasons, farmworker occupancy remained well below capacity, with many beds vacant for most of the year. In contrast, unmet demand for shelter among individuals experiencing homelessness in Carlsbad and North County remained steady. Regulatory Resolution and Current Status Following continued coordination and submission of supporting documentation, Catholic Charities received formal regulatory authorization from HCD in mid-January 2026 to reallocate the priority use of up to 40 of the 50 farmworker-designated beds at La Posada for use by individuals experiencing homelessness. Under the approved framework, farmworker placements will continue to be prioritized when verifiable need exists. When farmworker demand is not present, the authorized beds may be used to serve homeless individuals, allowing the facility to operate at higher overall occupancy and better respond to current community needs. With that said, the operational costs to serve individuals experiencing homelessness are a significant increase to the current model. Operational support for shelter beds is very limited and Catholic Charities has verbally expressed the need to secure funding for the operational gap before being able to hire the staff necessary to increase capacity. City staff have sent the attached letter requesting an implementation plan outlining projected staffing, safety protocols, operating costs, and identified funding sources that will be needed. Such information will allow city staff to better understand the scope of need and plans to meet that need. Once city staff have that, they can explore potential avenues for additional support based on available resources and City Council priorities. Next Steps City staff will continue to coordinate with Catholic Charities to monitor funding and resource support in order to utilize the approved bed reallocation. City staff will advise the City Council as appropriate on progress. Separately, staff will also continue to explore additional strategies to expand shelter options for women and families, consistent with City Council priorities and available funding. Attachment: A. Letter to Catholic Charities Diocese of San Diego cc: Geoff Patnoe, City Manager Cindie McMahon, City Attorney Paz Gomez, Deputy City Manager, Public Works Laura Rocha, Deputy City Manager, Administrative Services Zach Korach, Finance Director Jason Haber, Intergovernmental Affairs Director February 23, 2026 Catholic Charities Appaswamy "Vino" Pajanor, CEO 3888 Paducah Drive San Diego, CA 92117 Attachment A {city of Carlsbad CALIFORNIA DEPARTMENT OF HOUSING & COMMUNITY DEVELOPMENT REALLOCATION Dear Vino Pajanor, The City of Carlsbad extends its sincere appreciation to Catholic Charities Diocese of San Diego on receiving regulatory authorization from the California Department of Housing and Community Development to reallocate the priority use of up to 40 farmworker designated beds at La Posada de Guadalupe for individuals experiencing homelessness, which would increase the available bed count for general homeless men at the facility from SO to 90 beds. This authorization marks a significant milestone and ensures that La Posada de Guadalupe is positioned to best serve community needs. We recognize that activating the newly authorized capacity will require thoughtful planning, additional staffing, operational adjustments, and identification of sustainable funding sources. We understand that securing financial commitments and required resources necessary to support the increased level of service will take some time. As you know, the City of Carlsbad has long supported La Posada de Guadalupe and your organization's efforts to increase capacity to serve more people in need of shelter. To best determine how best the city can assist you going forward, we will need to review an implementation plan outlining projected staffing, safety protocols, operating costs, and identified funding sources. Such information will allow city staff to better understand the scope of need and plans to meet that need. Once we have that, city staff can explore potential avenues for additional support based on available resources and City Council priorities. We remain thankful for our longstanding partnership and look forward to continued collaboration to maximize the community impact of La Posada de Guadalupe. Please feel free to contact me at (442) 339-2907 to discuss further. Sincerely, Mandy Mills Director Community Services Branch Housing & Homeless Services Department 1200 Carlsbad Village Drive I Carlsbad, CA 92008 I 442-339-2810 t