The $2.8 million will pay for up to 225 rooms at the downtown hotel from July 1 to the end of September.
Initially, paying the housing costs was set to come from alcohol tax funds, but the Assembly passed a version of the resolution Tuesday that instead takes money from the city’s general fund balance.
Anchorage Assembly member Chris Constant supported the new version, saying that because the homelessness response came during the COVID-19 pandemic, FEMA — the Federal Emergency Management Agency — could reimburse up to 90% of the costs. City health director Joe Gerace was skeptical that would actually happen. At the Assembly meeting, he said funding should instead come from the alcohol tax.
“Clearly, a lot of this sheltering is a direct ramification of people being in some kind of homeless status,” Gerace said. “Nobody currently at the Aviator is there because they are currently dealing with recovery from COVID-19, which convolutes getting reimbursed. I’m not saying it can’t happen, but we have fought this and fought this with FEMA, hence being about $80 million unreimbursed.
The resolution to pay for housing at the Aviator Hotel was approved by an 8-3 vote, with members Jamie Allard, Randy Sulte and Kevin Cross opposed.
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