The City Council on July 14 approved a one-year extension and funding increase for its agreement with Path of Life Ministries, an Riverside-based emergency shelter that offers 90 beds to individuals and families in crisis.
The extension adds $362,900 to continue operating emergency shelter beds for people experiencing homelessness through June 30, 2027 — raising the total contract value from $1.96 million to about $2.32 million using state Homeless Housing, Assistance and Prevention (HHAP) grant funds.
Path of Life has partnered with the city since 2005, according to the staff report, and currently operates a 90-bed community shelter that provides meals, case management and around-the-clock services. Under the HHAP-funded agreement approved last year, the nonprofit operates 53 beds dedicated specifically to Riverside residents experiencing homelessness.
City staff said the additional funding reflects rising operating costs and will increase the reimbursement rate from $100 to $120 per occupied bed-night.
According to the staff report, inflation has driven up expenses for transportation, cybersecurity, legal compliance, security improvements and other operational needs. Officials noted that the new rate remains competitive with emergency shelter programs across Southern California, where bed-night costs generally range from about $80 to more than $160.
Chris Oberg, CEO of Path of Life Ministries, told the Gazette that the increased funding from the city "assists us in keeping pace with escalating costs of goods and services."
"From trash service, to groceries, to cleaning supplies, to service and repair of equipment for commercial space – just about everything you need to own and operate a home, we must provide at the emergency shelter," Oberg said. "The increased funding gets us closer to our expenses, and our donor-friends make up the difference, so Path of Life continues to be an option in Riverside. We are grateful for the long-term partnership with the City of Riverside and are committed to solving the experience of unsheltered homelessness in our city."
Oberg said a variety of services are needed for people experiencing homelessness. The emergency shelter offers a safe space to coordinate that care, with food, showers, shelter, sleep and skilled helpers among the first and urgent needs.
"Connecting people to medical, behavioral health, and addiction recovery providers happens at the emergency shelter," she said. "Identifying workforce training and job placement is also a priority. And what everyone needs most urgently, connection to affordable year-round housing, is the most challenging need of all."
Between July 1, 2025, and May 31, 2026, the shelter served 394 people, with 343 leaving the program during that period, according to the report. Twenty-one people, or about 6 percent of those exits, moved into permanent housing. Most exits — roughly 75 percent — returned to places not meant for human habitation.
Officials said the shelter continues to provide critical stabilization services, including housing navigation, behavioral health referrals, healthcare connections and assistance securing income and benefits.
With the extension, the city expects the shelter to serve at least 270 single adults and 48 transitional-aged youth over the next year, assuming an average stay of 60 days.
City staff also said Path of Life remains the only emergency shelter provider within Riverside serving single adults and the only organization able to guarantee dedicated shelter beds reserved for Riverside residents. Because the nonprofit owns and operates its facility, the city avoids the capital, leasing and maintenance costs associated with operating a comparable shelter itself, according to the report.
The $362,900 increase will be paid through existing HHAP Round 4 grant funding, with sufficient funds already budgeted in the city's Development Grants Fund, according to the staff report.
