Hundreds gather in the Rhode Island State House to restore funding for homelessness and shelter beds
"These cuts will impact a lot more than the shelter beds we have currently. Over 1000 of them stand to be lost. Additionally, we’re losing resources that prevent people from becoming homeless."
Rhode Island is facing the potential closure of 1,000 shelter beds starting this fall due to a budget cut of 44% to 61% to the Department of Housing. On Tuesday, in the Rhode Island State House rotunda, around 200 people, including those experiencing homelessness, advocates, and allies, held a rally to demand an additional $17.8 million in funding to prevent budget cuts to homelessness support services and prevent a homelessness catastrophe.
“We need shelter beds to stay open while we build affordable housing for all,” said Amos House CEO Eileen Hayes. Amos House has served the homeless, unemployed, and those living in poverty for nearly 50 years. “If we had enough housing, we would be thankful to close shelters. But right now, we do not have enough housing, and we are at risk of losing a thousand shelter beds in the current budget. That is a shame.”
“Amos House operates a shelter for families,” continued Hayes. “57 families and 150 children. Unfortunately, many of those children now consider the shelter their home because they've been there for too long, not through any fault of their own. Their families cannot find housing they can afford, and the longer they stay, the more difficult it becomes for them to find a place to live.
“Amos House operates a shelter for men and women who are over 55 because men and women over 55 have been discharged from hospitals and nursing homes to the street. We had an 81-year-old man who had open heart surgery six months before coming to our shelter. He received no follow-up medical care and no medication until he got to our shelter. We had a 65-year-old woman who was sleeping on a park bench in Kennedy Plaza, who had recently had hip replacement surgery. She received no physical therapy and no follow-up until she arrived at our shelter.
“We would be thrilled to be put out of a job,” said Hayes. “I would like to retire, I’m getting old. But seriously, this is a life-or-death situation. Every human being deserves a home, bed, and a place to call their own - where they can have a key to their door, lights in their name, and a place to be treated with dignity and respect.
“I recognize that we’re in a challenging budget year. We were able to expand shelter beds with the money during COVID and open more shelters. Unfortunately, there isn’t enough money for everything that needs to happen in our state. But people whose lives are at risk should not be the ones who have to forfeit their needs. We have to raise taxes on those who can afford to pay, and we have to treat homelessness and folks who are unhoused as a public health crisis. If we’re treating a public health crisis with effective care, we should involve key stakeholders, including BHDDH (Behavioral Healthcare, Developmental Disabilities, and Hospitals), EOHHS (Executive Office of Health and Human Services), DOC (Department of Corrections), and DCYF (Department of Children, Youth, and Families).
“I ask you to stand up, be proud, be bold, and be fearless,” concluded Hayes, “because that’s what we need more now than ever.”
Here’s the video:
The budget deficit is partially due to the expiration of federal ARPA funds, which had funded the bulk of Rhode Island’s shelter system. Rhode Island is currently budgeting none of its funds in the 2026 budget.
Rhode Island Governor Daniel McKee has proposed two new funding streams in his proposed FY2026 budget to support efforts to combat homelessness:
Applying the 5 percent hotel tax to whole-home short-term rentals to close a loophole. The hotel tax applies to hotels, motels, and partial home short-term rentals (i.e., renting a home in a house) – but not whole-home short-term rentals. The proposal is projected to generate $2.1 million over the last six months of Fiscal Year 2026 and $4.7 million in FY 2027.
Increasing the real estate conveyance tax for properties above $800,000 from 0.92 percent to 1.25 percent. This change is projected to generate an additional $2.3 million in Fiscal Year 2026 and $3.4 million in FY 2027.
Even if the Governor’s revenue estimates are accurate, the money generated is insufficient to compensate for the cuts in homelessness services and shelter beds.
The current best-case scenario is that the Governor’s budget amendments pass and there are no further federal cuts. This will result in a $13.5 million funding deficit, or a 44% reduction. The worst-case scenario is that the two tax amendments do not pass, and there are additional federal funding cuts. This will result in a $20.2 million funding deficit, or a 61% reduction.
“We are here to fight for our shelters, our warming and cooling centers, and everything else that’s going to help us on this journey,” said Donn King with Voices of the Homeless, who emceed the event. “Some of you in here know my story. Until two months ago, I was in a tent behind Trader Joe’s, and I want to thank all of you for helping me through. I went through some medical treatment, which was not pleasant, but less so in a tent. Chemotherapy is not a pretty thing, but it was even less pleasant in a tent. All of you helped me through, whether you know it or not. If people think I grew up wanting to be up here talking about one of the lowest points of my life, it’s not pleasant. I’m here at the State House trying to do what little I can to help move all of you into housing.”
The homelessness rate in Rhode Island has more than doubled in the last five years. In 2020, there were 1,104 Rhode Islanders experiencing homelessness. At the last count, there were 2,442. The number of people living outside without shelter has increased by 394%, from 108 people in 2020 to 534 in 2024.
As of February 2025, there are 1750 winter and permanent shelter beds. In April, there were 1446. An analysis of Department of Housing projects by Open Doors concludes that there will likely be sufficient funding to operate around 815 permanent shelter beds, unless further funding is allocated. This means a reduction of 631 beds being eliminated.
“I want to talk about how the government shouldn’t be cutting budgets for homeless shelters,” said Camille, a student at Nathan Bishop Middle School in Providence. “The government shouldn’t be cutting the budgets for homeless shelters because these shelters provide critical support for people in crisis. There are many reasons why budget cuts to homeless shelters are harmful.
“Homeless shelters offer people a safe space to sleep during extreme weather. Without them, people are exposed to elements that can lead to serious illnesses or even death. Many shelters provide more than a bed. They offer job training, recovery programs, mental health services, and housing support. Cutting funds means cutting the tools that help people become independent again. Without shelters, more people end up in emergency rooms, jails, or on the streets, which costs the government more money than supporting shelters would.
“Communities suffer when people have nowhere to go,” continued Camille. “It can also affect cities. It may increase public health issues, crime, and strain emergency services. Helping the homeless helps keep the community safe and healthy. It’s a moral responsibility. Everybody deserves a basic level of dignity and care, and turning our backs on homeless shelters is turning our backs on humanity.
“Cutting the homeless shelter budget can also affect kids. The issue with kids is that it has a big impact on their emotional and physical [wellbeing]. Too many children feel anxious, sad, or stressed because of the pressure they’re experiencing while trying to find a stable life. It can also affect how they see themselves and how they interact with others. Some kids have trouble sleeping, concentrating in school, or making friends over time. This can lead to lower self-esteem and mental health problems. Parents, teachers, and kids must understand these effects so they can find healthy ways to cope and be safe.”
In January 2024, at least 534 people had to sleep outside. If 1,000 shelter beds are forced to close due to a lack of funding, the number of people sleeping outside will triple.
“We know there are a number of big systems in the State of Rhode Island that are in crisis right now,” said Senator Jacob Bissaillon. “We know our healthcare system is in crisis, and we know we have a housing crisis. We are entering the home stretch here in the State House, and over the next three to four weeks, every interaction you have up here could make a difference. This is crunch time. This is when budgets are being negotiated. This is when bills that could resolve issues and alleviate heartache for many are being debated, and everything is on the table. It is essential to be present, active, and ensure that this issue, which affects an increasing number of Rhode Islanders each year, remains at the forefront.
“It’s particularly important with respect to the state’s budget. I know there are several bills we’re discussing advancing, but I can also tell you that the best offense is sometimes a good defense. Right now, Rhode Island is facing a devastating rollback in our homelessness response. That’s not okay. It means that we could lose over 900 shelter beds. We hear people talk about closing a structural deficit. I believe that Governor McKee should be commended for proposing two permanent funding streams for this issue, for the first time in my memory. We must work to protect those funding streams in the state budget proposal, because over the next three to four weeks, we will hear from individuals who don’t want those funding streams included in the budget.
“More and more individuals are driven into that downward cycle of despair because of increased housing costs in Rhode Island. Every day, this is an unfortunate reality that an increasing number of our neighbors must face. We cannot allow the cuts to those two funding streams to happen because homelessness could triple, not just double. That’s not a policy issue. That would be a moral failure. This isn’t just about shelter beds, it’s about dignity, safety, and survival.
“The budget is more than a financial statement. It’s a statement of our values. When people ask me about what I support or would like to see in the budget, it’s about making sure that we stand up for our values. We’re not choosing between compassion and fiscal responsibility. These funding streams can do both. Let’s not retreat in the face of this rising need.
Additional legislation that could provide necessary funding:
Commercial Real Estate Conveyance Tax - Handy (H6257)
Tax on income above $625,000: Alzate (H5473), Murray (S0329)
“These cuts will impact a lot more than the shelter beds we have currently,” said Representative Teresa Tanzi. “Over 1000 of them stand to be lost. Additionally, we’re losing resources that prevent people from becoming homeless. It’s not just the beds; it’s the support people receive to prevent them from entering the shelter as well as exiting it. We heard from our young Camille about all the different services that are provided to people while they’re in the shelter.
“Being homeless is deeply impactful to the individuals experiencing it as well as their family members and the children that are involved in this. We must consider the long-term impacts this has on an entire generation. Currently, I represent South Kingstown and Narragansett, and we’re closing a family shelter. Is it because there’s no more need for family shelters in Kingstown? No. Do we need more shelters? Yes, absolutely.
“We’re putting nine families out of shelter right now,” continued Representative Tanzi. “The school year is not over. How do you think this will impact the students in the shelter who have to attend school Monday through Friday? Will that help those kids achieve better outcomes? This is the kind of impact we’re talking about when we cut these beds. It’s more than just a four-letter word. It’s hope, resources, and showing that they’re not left behind. We need to show people in our state that they are not being forgotten. As rents and evictions continue to rise, it will become increasingly complex for people to find a place they can afford. This problem is not going away. If we don’t add this money to our budget, the problem won’t magically disappear. Folks who are experiencing homelessness are not going to fade away.
“We are here. We demand Justice. We demand to be honored. We demand to be acknowledged,” concluded Representative Tanzi. “We’ll continue to fight for shelter, homelessness supports, and prevention. I want to thank you all for being here and sharing your passion and concerns. You have the right to be angry, and we’re not going away.”
Rhode Island’s budget for FY2026 includes cuts to homelessness services by 44% to 61%. To maintain current funding levels and prevent a homelessness catastrophe, the Department of Housing needs at least $17.8 million more in funding.
To do that, advocates say the General Assembly could:
Pass the Governor’s budget amendments on the Real Estate Conveyance tax and Short Term Rental tax ($4.3 million); and,
Allot an additional $13.5 million to maintain current funding levels.
“There’s nothing to be peaceful about,” said Julio Berroa, founder and executive director of House of Codec. “I’m from one of the smallest shelters in town. I serve young people ages 18 to 24. Every legislator likes to say they are our future, but if they don’t have a home, what is our future? If they don’t have a place to live where they can have a hot meal, make friends, build some roots, get mail delivered, get a job, and get their vital records, what is our future?
“A lot of the young people I serve show up at my door without an ID. They don’t know where their Social Security card is. They don’t know where their vital records are. Most of the time, it takes months to get them any services. If they don’t have housing, they can’t get any of that. They will continue to be on the streets. They will continue not to progress, and they will not be our future.
“House of Codec also serves and prioritizes working with LGBTQ youth in Rhode Island,” said Berroa. “But as you can see in this country with the goddamn Cheeto in DC, that shit might not happen. I might have to tell all my kids, ‘Hey, fuck, I don’t know what to do.’
“I’m 27 years old and I started House of Codec when I was 24. I was homeless at one point in my life. Without the support of the adults in my life, I would not be standing here in front of you today. I want you all to go into the Senate and House chambers and talk to them. Be abrasive. Don’t hold back. There’s nothing to be peaceful about. Absolutely fucking nothing. They will let us all die on the street if we don’t tell them what we fucking need - They like to pretend they don’t hear us. They want to pretend that they don’t see us. How many of you have seen Governor Daniel McKee’s 2030 Plan? There is one page in the plan dedicated to housing. Only one page. We need more than one page to solve this housing crisis.
“Without housing, people won’t survive,” said Berroa. “Without housing, people can’t get the care they fucking need. People need to survive. We are dying. People are going hungry. We need the money. We need Rhode Island to allocate an additional $17.8 million to the budget for housing services. We need more funding to ensure that our people are adequately cared for. Don’t cut our money.
“We wake up every day to make sure that people have what they need. Without this money, we can’t give them anything. We are their hope. Our legislators are here to make a difference in people’s lives and ensure that they have access to housing, not just apartments that cost $2,400 in the West End. That’s not what we need at all.”
Thank you Steve -- it's great to see this turnout -- which I hope turns into increased funding. Great to see Rep Morales and others there too.
Thank you all who showed up and spoke up. It is delusional to think that our homeless crisis of last year will improve without more funding. It will be worse with these cuts and people will die!