Funding Will Help Successful Pilot Program Grow to Address Housing Need in Six New Communities Across Michigan

Lansing, Mich. –  The Michigan State Housing Development Authority (MSHDA) today announced the expansion of its Shelter Diversion Program, committing an additional $1 million from the Housing and Community Development Fund (HCDF) to support six new communities. This one-year increase aims to help more Michiganders facing housing crises by providing safe alternatives to emergency shelter.

Grants of $165,000 each will fund activities such as short-term rental assistance, flexible spending, staffing, and other essential resources. The expansion builds on the success of the original $3 million Shelter Diversion Pilot Program, which served over 1,000 households with an impressive 40% diversion rate into positive housing solutions.

“Shelter diversion works because it meets people where they are, with community-based solutions that address immediate needs while preventing long-term instability,” said Amy Hovey, MSHDA Chief Executive Officer and Executive Director. “Expanding this program to more communities is another step toward reducing homelessness statewide. By fostering strong local partnerships, we’re creating a more responsive and effective safety net for Michiganders.”

The following communities and organizations will receive Shelter Diversion grants for next year:

Portage Kalamazoo City and County Continuum of Care (CoC)

• Housing Resources Inc (HRI) (fiduciary and service provider)
• Integrated Services of Kalamazoo - ISK (service provider)

St. Clair Shores, Warren/Macomb County CoC

• Macomb Community Action Agency (fiduciary and service provider)

Thumb Local Planning Body serving Huron, Lapeer, Sanilac, and Tuscola Counties

• Human Development Commission (fiduciary and service provider)

Eaton County CoC in collaboration with Clinton County Housing and Homeless Coalition Local Planning Body (LPB)

• Housing Services Mid-Michigan (fiduciary and service provider)

Saginaw County CoC

• United Way of Saginaw County (fiduciary and service provider)

Northeast Michigan Coalition Against Homelessness (NEMCAH) serving Cheboygan, Presque Ile, Otsego, Montmorency, Alpena, Crawford, Oscoda, Alcona, Roscommon, Ogemaw and Iosco Counties

• Northeast Michigan Community Service Agency (NEMSCA) (fiduciary and service provider)

These new partners will form a collaborative cohort while leveraging the insights and successes of the original pilot communities, which include Greater Grand Traverse Area, Ottawa, Wayne, Ingham, Washtenaw, and Calhoun Counties.

The Shelter Diversion Program is designed to alleviate strain on emergency shelter resources by addressing housing crises before they escalate. Through this expansion, agencies will continue to demonstrate the program’s effectiveness in reducing homelessness and improving outcomes for at-risk households.

All participating agencies will engage in a learning cohort, collaborating regularly with MSHDA staff, agency peers, and technical assistance providers. This shared knowledge will enhance the effectiveness of shelter diversion strategies and further MSHDA’s mission of ending homelessness in Michigan.

For more information about MSHDA’s Shelter Diversion Program and its impact, visit www.michigan.gov/mshda.

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About MSHDA
The Michigan State Housing Development Authority (MSHDA), established in 1966, provides financial and technical assistance through public and private partnerships to create and preserve safe and decent affordable housing, engage in community economic development activities, develop vibrant cities, towns and villages, and address homeless issues.