By Glenn Rolfe

GEORGETOWN — A pallet village to provide homeless individuals a springboard to self-sufficiency has been endorsed by town officials.

However, some Town Council members have reservations about earmarking $500,000 of American Rescue Plan Act money for the initiative, as requested by Springboard Collaborative executive director Judson Malone.

Mr. Malone said the funding would be used for the purchase of 40 pallet cabins for the 411 N. Kimmey St. property owned by nearby First State Community Action Agency.

During council’s April 25 meeting, Councilman Penuel Barrett explained his hesitation about approving the request.

“I just have a hard time approving $500,000 tonight and then raising the taxes for this year. Georgetown is in a deficit. We’ve got to look at all our dollars and cents,” he said.

Mr. Malone replied, “There is no doubt that (there) are needs that the town has. But there is also no doubt that the homeless population is impacting the town, as well. There is a huge human cost. There is also an economic cost.”

Councilwoman Angela Townsend said she’d like to hear more from residents.

“I would like to get more input from our constituents, our residents in town. I see where there is a need. I think about the $500,000. That’s a big chunk of money to give that could perhaps be used for something else as far as the town goes,” she said. “From comments I have heard, they are not for (the pallet housing). I am hoping you can do another presentation.”

Town manager Eugene Dvornick offered another option.

“One thing I will point out is we are the recipient of a $500,000 grant from Sussex County to be matched with our ARPA money, so we could use that, instead of leveraging it with the existing $4 million that we are getting,” he said.

The first $100,000 of the county grant is match-free; anything over is matched dollar for dollar.

Following the debate about the Springboard Collaborative project, council voted to table the matter until its next meeting, taking place May 9.

The organizers’ hope is that the pallet village will be operational in August. The collaborative also has been approved for $1 million of state ARPA funds for site improvements and capital costs, Mr. Malone said.

“If we are not successful in getting the $500,000 from the town, then very likely we may not make the … schedule because we’ll have to scramble for other funding, and we may go through another winter.

“This project will make a name for Georgetown, as solving a problem that nowhere else in the state will be they solving to this degree,” he added.

Councilwoman Sue Barlow said she believes the pallet village is “a great idea” and asked Mr. Dvornick to come back to council with “every possible way we can spend the federal money and still have the $500,000 left.”

“We have to do something about our homeless. The problem is not going to go away. Talking about it is not going to make it go away,” she said. “This is our opportunity because we do have this big chunk of federal money. I realize it is taxpayer money. At some point, that money is going to go away, and we’re still going to have this enormous homeless problem.”

Georgetown’s homeless population has established several encampments, including in a wooded area off Douglas Street and behind Walmart.

“Nobody has liked this situation that we are in with the homeless being out on the streets and setting up camps behind Walmart,” said Mayor Bill West.

“We didn’t bring this problem on ourselves. It was brought here because they followed the businesses that come to help people like this — the ACE Center, The Shepherd’s (Office), things like that. It wasn’t brought on by us, but it’s something we’ve got to look into to try to correct. It’s going to help them to be better people, and it’s going to help us as a better community. I think it is a win-win for the town of Georgetown.”

In October 2021, the town’s mayor and council unanimously approved Mr. Malone’s two-year initiative for a modular pallet village.

The resolution — which noted there has been a 35% increase in the number of people experiencing homelessness in Delaware since 2018 and a decrease in homeless resources — authorized sponsoring nonprofits to use property owned by them for temporary shelters, while preventing harmful effects, such as use of open flames; impediments to emergency services; environmental degradation; use of improper sanitary facilities; and any other factors that would be considered a nuisance under applicable laws.

“I think over the past few years in the state of Delaware, it’s no longer an issue to debate. We do have a crisis in homelessness. The question becomes, what to do about it?” said Mr. Malone, husband of Councilwoman Christina Diaz-Malone.

Springboard Collaborative, whose main mission is to help marginalized Delawareans who are unsheltered, is proposing a pallet village that will include communal bathrooms, a community room and offices for services.

There would be staff at the village, as well, plus 24-hour security, a fence and a single entry point.

“This is the basic pattern of pallet shelter villages that has (been) proven across the country. To date, there (are) 63 shelter villages,” said Mr. Malone. “They started on the West Coast. They are moving more to east. We would be the first state on the East Coast. In other words, we are innovating a solution in Delaware, but we are learning from a proven solution across the country.”

A lease agreement is being finalized with First State Community Action Agency, Mr. Malone said.

Cabins, 10 feet apart, would be assembled by a crew from the pallet company in about a week. Further, an existing building on the site would be renovated into a community center, Mr. Malone said.

He also addressed concern that the village will attract homeless people from other towns.

“Some people are concerned that, because the pallet village is here, it will cause more homeless to move in. My response is we are not going to let that happen. Our experience with other pallet villages is that doesn’t happen,” he said. “It isn’t what you think, that it is going to be a magnet for other people coming in. … We’re going to know who’s here and who is not here. This is going to be a solution to end homelessness, not grow it.”

Mr. Dvornick spoke about visiting a similar community on the West Coast.

“In visiting one of these in Everett, Washington, when the folks were out on the street and homeless, the participation in services was next to nothing. When they relocated the population into the pallet village, it was 100% participation in services,” he said.

Mr. Malone noted that alcohol, illegal drugs and drug paraphernalia would be prohibited.

The collaborative’s plan for operating expenses is to start with private sources, such as banks, and the Longwood Foundation.

“For the first two years, our goal is to demonstrate that this project works through private finding,” said Mr. Malone. “In years three and four, we are going to be talking to the state about stepping up and providing the state funding that they should be.”

He added that the majority of pallet villages are supported by state funding.