A proposal to develop a permanent residence for chronically homeless and addicted individuals in the Traverse City community is moving forward.

The project – known as Dann’s House – is not a temporary residence and not a treatment program, says Jane Hayes, board chair of StonesHouse, Inc., the local nonprofit spearheading the effort. It is also not a place where individuals will be required to abstain from alcohol or mandated to receive services (some have called it a "wet house").

What it is, Hayes says, is a home – with a roof, food, heat, companionship and support. The Ticker talked to Hayes about where the project stands, its estimated cost, and the benefits to both its residents and the community at large.

Ticker: The organization recently received a $35,000 health innovation grant from the Michigan Department of Community Health. How does that money change/speed up the plan?
Hayes: The money is to be directed to the cost of renting, furnishing and maintaining a residence. The StonesHouse board has been working over the last year to expand its membership and provide the organizational structure needed to sustain the project. [The grant] motivates us to design and implement a facility plan to open Dann’s House.

Ticker: Describe the vision for the residence.
Hayes: In Michigan, 100 percent of the chronically homeless are identified as experiencing a disability of long duration such as substance abuse, physical health and mental health conditions. Reports also indicate that homeless individuals living in a rural region report dramatically higher rates of alcohol use than those who live in urban areas. The Dann’s House model is intended to provide residences for 6-12 of these individuals.

Ticker: Is there an example of a community similar to Traverse City where something like this has worked?
Hayes: There is no research specific to a Dann’s House in a community like Traverse City. However, research on the urban model [and its findings] can be generalized. I believe it is safe to say there can be a decrease of alcohol use for those who will live in Dann’s House and a savings to our community related to a decrease in criminal justice, health care and social services provided to this group while on the streets.

Ticker: You are looking for a location. What is the ideal housing situation and where do things stand at this point?
Hayes: Dann’s House is to be staffed on a 24-hour basis. Board members, along with Greg Stone (director of StonesHouse) and several individuals from the homeless community, are involved in identifying a location … one that offers space and privacy and is easily accessible to a BATA route.

Ticker: How could life change for Dann’s House residents, compared to how they are currently living in our community?
Hayes: Life will change significantly in that they are off the streets with a roof over their heads, heat, a place to eat, a bed to sleep in and a place to take a shower. It is hoped that their health will improve and that the social support of their peers and staff will contribute to their overall well-being.

Ticker: It has been stated that similar programs have costs of $14,000 per individual, but that they will be "significantly less" in Traverse City. What are those costs and how will they be funded?
Hayes: We are projecting a yearly budget of approximately $150,000 to operate Dann’s House … $12,500 a year per resident based on an occupancy of 12. Revenue streams include state grants, local foundations, individual contributions and fundraising events. Clients are also responsible for rent using housing vouchers, Social Security benefits and/or earned income.

Ticker: What about potential savings in terms of emergency services or jail time?
Hayes: According to the research, the cost of such a house is typically less than half of what a city spends on people experiencing homelessness. Based on this information, if the yearly budget for Dann’s House is $150,000, current services (law enforcement, emergency services, prosecutions, jail time, hospital-based medical services, alcohol and drug programs) to the chronically homeless may be costing the city as much as $300,000 a year.

* Dann’s House is named for Dann McCarthy, a Traverse City resident who suffered from alcoholism and often experienced homelessness, yet helped many people in the community. He died in 2012.