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MSHDA unveils two - year Shelter Diversion Pilot Program, awards grants to six community partners

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MSHDA unveils two-year Shelter Diversion Pilot Program, awards grants to six community partners

$3 million in grants will be distributed from Housing Community Development Fund

Lansing, Mich. – The Michigan State Housing Development Authority (MSHDA) today announced a two-year Shelter Diversion Pilot Program to help Michiganders facing housing crises access safe alternatives to emergency shelter. Grants funded by the Housing Community Development Fund (HCDF) will be awarded to six community partners around the state based on proposed need, supporting short term rental assistance, flexible spending, staffing and more.

MSHDA invested $3 million of a $50 million state budget allocation for the HCDF into the pilot program, soliciting proposals to implement or expand effective shelter diversion models through a competitive Request for Proposals (RFP) process. The partners selected and allocations made are as follows:

  • Greater Grand Traverse Area: $500,000
    • Northwest Michigan Community Action Agency
    • Goodwill of Northern Michigan
  • Ottawa County: $500,000
    • Good Samaritan
  • Wayne County: $500,000
    • Wayne Metropolitan Community Action Agency
  • Ingham County: $500,000
    • Advent House
    • Child and Family Charities
    • City of Lansing Economic Development and Planning Department
  • Washtenaw County: $500,000
    • SoS Community Services
    • Shelter Association of Washtenaw County
  • Calhoun County: $500,000
    • Neighborhoods Inc.

“Just as addressing Michigan’s affordable housing crisis with the Statewide Housing Plan began with organizing at the community-level, shelter diversion is also most effective when implemented through partnerships with those fully ingrained within the communities they’re seeking to support,” said Amy Hovey, executive director at MSHDA. “We’re pleased to be working alongside these six partners and are optimistic this collaboration will result in better support for families facing housing crises, less stress on our emergency shelter resources and far fewer Michiganders experiencing unsheltered living.”

This pilot program will demonstrate the impact of effective shelter diversion on homeless crisis response systems and, more importantly, the impact on households at risk of or experiencing homelessness. All selected agencies will be part of a learning cohort that will engage regularly with agency peers, MSHDA project staff, and selected training and technical assistance throughout the course of the project.



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.