DEPARTMENT: Social Services-Housing & Community Resources
FILE TYPE: Consent Action
TITLE
title
Authorization To Execute Contract With Dakota Woodlands For Emergency Shelter Services
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PURPOSE/ACTION REQUESTED
Authorize execution of a contract with Dakota Woodlands for emergency shelter services.
SUMMARY
The Social Services Department manages a continuum of housing services. Services are operated through direct service delivery, contracts and joint powers agreements. Contracted services include street outreach, emergency shelter, permanent supportive housing, apartment services and services at eviction court. Dakota County conducts a Request for Proposal (RFP) process every four years for contracted housing services. Housing continuum services are funded by various funding sources including levy, state grants, federal grants, and Affordable Housing Aid (AHA).
In 2025, staff issued an RFP for emergency shelter services. A review committee from Social Services reviewed and scored proposals. See attached for service descriptions and determination of success for each contractor (Attachment: Solicitation Summary - Emergency Shelter Services).
Dakota Woodlands currently receives funding from three Dakota County sources: Emergency Assistance through Dakota County Employment and Economic Assistance, a pass-through grant from the Minnesota Department of Human Services, and county levy through Dakota County Social Services.
Dakota County leadership received a request from Dakota Woodlands for additional operating funding. Ehlers Public Finance Advisors completed an analysis of the Dakota Woodlands finances and determined that it costs $213 per family per day for Dakota Woodlands to provide shelter in additional to transportation, childcare, food, etc. The annual revenues support $166 per family per day. Providing an additional $300,000 per year from Local Affordable Housing Aid (LAHA) will help fill that gap while Dakota Woodlands pursues additional foundation support.
Dakota County staff recommend executing a contract with Dakota Woodlands for emergency shelter services for the term and amount listed below:
• Term of contract: January 1, 2026 through December 31, 2027
• Not to exceed amount $915,000 (190% increase from previous contract period)
• Funding Source: $315,000 from County Levy and $600,000 from LAHA
• In 2024, served 69 households
Staff will continue to review Dakota Woodlands services and their funding situation on an ongoing basis to ensure they are providing the support requested and are on stable financial footing.
OUTCOMES
All Contractors will report the following information to Dakota County on a quarterly basis, based on the specific requirements of the contract:
1. How much? Number of households served
2. How well? Demographics of households served
3. Is anyone better off? Number of households exited to permanent housing
RECOMMENDATION
recommendation
Staff recommends that the Board of Commissioners authorizes the Community Services Director to execute a contract with Dakota Woodlands for emergency shelter services in a not to exceed amount of $915,000 for the period January 1, 2026 through December 31, 2027.
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EXPLANATION OF FISCAL/FTE IMPACTS
This contract is a General Fund expenditure and is funded by levy and Local Affordable Housing Aid and will be included in the 2026 and 2027 County Manager’s Recommended Budgets. The contract shall contain a provision that allows the County to immediately terminate the contract in the event sufficient funds from county, state, or federal sources are not appropriated at a level sufficient to allow payment of the amounts due.
☐ None ☐ Current budget ☒ Other
☐ Amendment Requested ☐ New FTE(s) requested
RESOLUTION
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WHEREAS, the Social Services Department manages a continuum of housing services; and
WHEREAS, Services are operated through direct service delivery, contracts and joint powers agreements; and
WHEREAS, contracted services include street outreach, emergency shelter, permanent supportive housing, apartment services and services at eviction court; and
WHEREAS, services are funded by various funding sources; and
WHEREAS, to ensure continued high-quality services, Dakota County conducts a routine Request for Proposal (RFP) process every four years; and
WHEREAS, in 2025, staff issued an RFP for emergency shelter services; and
WHEREAS, a review committee from Social Services reviewed and scored proposals; and
WHEREAS, Dakota Woodlands currently receives funding from three Dakota County sources: Emergency Assistance through Dakota County Employment and Economic Assistance, a pass-through grant from the Minnesota Department of Human Services, and county levy through Dakota County Social Services; and
WHEREAS, Dakota County leadership received a request from Dakota Woodlands for additional operating funding; and
WHEREAS, Ehlers Public Finance Advisors completed an analysis of the Dakota Woodlands finances and determined that it costs $213 per family per day for Dakota Woodlands to provide shelter in additional to transportation, childcare, food, etc.; and
WHEREAs, the annual revenues support $166 per family per day; and
WHEREAS, providing an additional $300,000 per year from Local Affordable Housing Aid (LAHA) will help fill that gap while Dakota Woodlands pursues additional foundation support; and
WHEREAS, staff recommends executing a contract with Dakota Woodlands for emergency shelter services for the term and amount listed below:
• Term of contract: January 1, 2026 through December 31, 2027
• Not to exceed amount $915,000 (190% increase from previous contract period)
• Funding Source: $315,000 from County Levy and $600,000 from LAHA
• In 2024, served 69 households
; and
WHEREAS, staff will continue to review Dakota Woodlands services and their funding situation on an ongoing basis to ensure they are providing the support requested and are on stable financial footing.
NOW, THEREFORE, BE IT RESOLVED, That the Dakota County Board of Commissioners hereby authorizes the Community Services Director to execute a contract for emergency shelter services with Dakota Woodlands in a not to exceed amount of $915,000 for the period of January 1, 2026 through December 31, 2027, subject to approval by the County Attorney’s Office as to form; and
BE IT FURTHER RESOLVED, That the Community Services Director is hereby authorized to amend said contract, consistent with the amount budgeted, to alter the contract amount and the contract term up to one year after initial expiration date, consistent with County contracting policies, subject to approval by the County Attorney’s Office as to form; and
BE IT FURTHER RESOLVED, That the contract shall contain a provision that allows the County to immediately terminate the contract in the event sufficient funds from county, state, or federal sources are not appropriated at a level sufficient to allow payment of the amounts due.
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PREVIOUS BOARD ACTION
None.
ATTACHMENTS
Attachment: Solicitation Summary - Emergency Shelter Services
BOARD GOALS
☒ Thriving People ☐ A Healthy Environment with Quality Natural Resources
☐ A Successful Place for Business and Jobs ☐ Excellence in Public Service
CONTACTS
Department Head: Emily Schug
Author: Madeline Kastler