Council to Weigh $2M Urban Alchemy Extension

Santa Fe proposes a second $2 million contract extension with the California-based nonprofit Urban Alchemy for homeless outreach and shelter operations.

Updated on Nov. 7, 2026 in City Hall

Council to Weigh $2M Urban Alchemy Extension

Live Poll

Should Santa Fe keep funding Urban Alchemy's homeless outreach and shelter services?

The Santa Fe City Council is scheduled to consider a proposed $2 million contract amendment with Urban Alchemy on Wednesday. The extension would fund six months of street outreach to the homeless and operation of the Agape House shelter.

Why it matters

The proposal follows a prior contract in which Urban Alchemy significantly overspent its original one-year emergency shelter agreement, which the council addressed by retroactively allocating additional funds. The decision will shape how the city funds homeless services through June.

The proposed amendment totals $2 million and would cover six months of services, following $4.5 million in total two-year shelter operations costs. The council's final vote on the amendment has not yet been reported.

The players

Urban Alchemy

A California-based nonprofit that provides street outreach and shelter operations for people experiencing homelessness.

Interfaith Community Services

The former operator of the city's homeless shelter, which received roughly $150,000 annually from the city before Urban Alchemy took over.

The details

The city is proposing a second contract extension with Urban Alchemy, a California-based nonprofit, to continue street outreach to people experiencing homelessness and to run the Agape House shelter at 2801 Cerrillos Road. The council earlier extended the group's services through the end of the year in June and retroactively added money to its original one-year emergency shelter contract after overspending it.

Timeline

  1. June: City Council extended Urban Alchemy's services through year end.

  2. Wednesday: City Council is scheduled to consider the contract amendment.

  3. June of the following year: The proposed extension would fund services through this date.

Legal Context

The proposed extension builds directly on Santa Fe's original one-year emergency shelter contract with Urban Alchemy, which the city later expanded after the nonprofit significantly overspent it. The council's handling of that earlier overrun is the precedent shaping this second amendment.

If approved, the extension would keep street outreach and the Agape House shelter running through June, affecting people who rely on those services. The amendment would also determine how much city money flows to the nonprofit over that period.

The takeaway

Council votes on contract amendments like this one directly determine whether homeless outreach and shelter services continue without interruption. Residents can track the outcome at the Wednesday meeting.

What happens next

The City Council is scheduled to consider the contract amendment on Wednesday.

Further reading

For more on council decisions shaping local services, see City Hall coverage in Santa Fe.

Source note: This article includes information reported by Santa Fe New Mexican.

Live Poll

Should Santa Fe keep funding Urban Alchemy's homeless outreach and shelter services?