DANVILLE, Va. – House of Hope, a Danville nonprofit that provides shelter and support services for people experiencing homelessness, is consolidating some of its operations as rising costs and reductions in government funding strain its budget.
The organization recently closed its standalone women’s shelter and moved those services into its main facility, a decision Executive Director Matthew Fowler said was necessary to maintain long-term sustainability.
“There has been a tremendous amount of dollars that we no longer have,” Fowler said. “And so now we have to make some adjustments.”
House of Hope has relied heavily on state and federal grants in recent years, with Fowler estimating that government funding accounted for roughly 40% of the organization’s budget. As some of those funding sources have declined and inflation has driven up operating costs, the nonprofit has been forced to look for ways to reduce expenses.
The women’s shelter was originally established to provide a separate space for female clients but maintaining a second facility significantly increased costs, Fowler said.
“When we established that particular part of the shelter, it basically doubled our budget because we had to add staff and then also with utilities and other expenses that go along with managing the facility,” Fowler said.
By consolidating services into one location, House of Hope has been able to reduce expenditures by about 40%, according to Fowler.
“It has allowed us to be able to cut expenditures by 40% and also has allowed us to be able to not have to worry about the upkeep in terms of the facility itself, the utilities and those type things,” he said.
Fowler said women staying at the shelter will continue to have separate accommodations and safety measures despite the move. The organization is now working to diversify its revenue streams and become less dependent on government grants.
“It’s about sustainability for us,” Fowler said. “For our organization, we really don’t have the time to be invested in trying to figure out how we tap into this fund or that fund because that takes away from the reality of us helping people.”
Among those helped by House of Hope is Thomas McIntyre Jr., who credits the organization with helping him overcome addiction after the death of his wife.
“When my late wife passed away, I went through a bad addiction issue,” McIntyre said. “House of Hope helped me in so many ways that nobody else could. It helped me get clean and keep on with my sobriety.”
Asked where he believes he would be without the nonprofit’s assistance, McIntyre said, “I probably would have been ripping and running again.”
Despite the financial challenges, Fowler said House of Hope remains committed to serving the community and is asking residents and donors to support its mission.
“Behind every dollar is a story, and it’s a real individual,” Fowler said. “We’re not closing our doors. That’s why this is a call to action.”