The Houston City Council approved an extension of its agreement with Covenant House Texas, directing $545,534 in federal and state grant funding to the organization through March 31, 2027.
The fund draws from three funding streams:
- $344,284 in Homeless Housing and Services Program – Youth funds
- $175,000 in Emergency Solutions Grant funds
- $26,250 in Community Development Block Grant funds from the administration
The additional dollars will ensure the continuation of emergency shelter operations for 125 unaccompanied, homeless young adults between the ages of 18 and 24, according to city documents.
Under the agreement, youth will receive shelter and individualized case management services focused on stabilization, including basic needs such as meals, clothing, and mental health support, as well as long-term housing solutions.
The measure was recommended by the Housing and Community Development Department (HCD) and presented to the Quality of Life Committee in February.
Who needs housing in Houston?
According to regional counts conducted by the Coalition for the Homeless of Houston/Harris County, 3,325 people were homeless as of the night of Jan. 27, 2025, in Harris, Fort Bend, and Montgomery counties, an increase of 45 people from the prior year’s count.
Covenant House Texas has been a key node within The Way Home, Houston’s local homeless response system, which is a network of over 100 partners, including nonprofits and local governments, working to make homelessness rare.
Located near Downtown Houston, Covenant House serves young people ages 18 to 24, including parents with children up to age 5. Nearly 70% of its visitors and residents are African American, per staff.
The organization recently completed a $55 million facility build-out designed specifically to prioritize youth.
The renewed city funding will support Covenant House’s multi-stage model, which begins at its Youth Engagement Center, a low-barrier, no-prerequisite drop-in space, and can extend through transitional housing and eventually, independent apartment living.
Felicia Broussard, Chief Philanthropy Officer, said Mayor John Whitmire toured the new facility.
“Covenant House Texas is exceptionally grateful for the continued support of the City of Houston. He [Mayor John Whitmire] also fell in love with the idea of answering homelessness experienced by youth in a very special way. And he can now envision an even better solution to solving or ending homelessness in this city, as we’re addressing
Felicia Broussard, Chief Philanthropy Officer at Covenant House
18 to 24-year-olds.”
“Covenant House Texas is exceptionally grateful for the continued support of the City of Houston,” Broussard told the Defender. “He [Whitmire] also fell in love with the idea of answering homelessness experienced by youth in a very special way. And he can now envision an even better solution to solving or ending homelessness in this city, as we’re addressing 18 to 24-year-olds.”
The grant arrives as Covenant House aims to amass its annual revenue budget of $9.5 million. Next year, per Broussard, the budget is expected to reach nearly $11 million.
“Addressing mental health and physical health in the medical clinic, that’s one huge way in which funding will be used secondarily, and secondarily, then they’re able to work on career and education goals,” she said.
Currently, Covenant House relies on federal and state funding, as well as private investments from foundations and individuals. Broussard added that city grant agreements like this one are a critical piece of its operating budget.
The services funded under the agreement span several areas. On the health side, the organization operates a no-cost clinic offering primary care, including physicals and STD testing, referrals for dental and vision care, and behavioral health support. Partnerships with Baylor help ensure access to therapy, and staff help youth enroll in public health programs so care can continue beyond their time at Covenant House.
Workforce development is also embedded in the model. Chief Workforce Officer Dr. David Sandberg described the goal not as placing youth in any minimum wage position, but as setting them up for careers that can sustain paying rent and the everyday costs of independent living.
Clint Lister, a long-time volunteer at the organization, welcomed the new funding measure.
“The additional funds are consistently needed as the social environment around youth homelessness continues to evolve, and CHT must meet these new needs,” Lister said. “Funds like this help the facility increase its capacity, educational support, counseling, life skills training, programming, as well as support staff initiatives.”
A long-term agreement
Covenant House has received funding from the City of Houston since 2009.
The new funds come as part of a third amendment to an agreement, building on a pattern of successive city investments in the organization.
Per city documents, Covenant House met 177% of its client goal and utilized approximately 76% of its funds as of November 2025.
The vote comes as Houston’s approach to homelessness continues to spark regular debates in council.
In 2025, the Houston City Council expanded a civility ordinance in certain downtown and East Downtown neighborhoods to ban sitting, lying down, or placing personal belongings on sidewalks at any time, with violations subject to fines.
In the following months, the council approved the purchase of an east Houston property at 419 Emancipation Avenue for $16 million, dubbing it a “Super Hub.” It was hailed as Houston’s first centralized “front door” connecting unsheltered residents to healthcare, mental health treatment, and permanent housing. But the move drew backlash from area residents, who voiced concerns about public safety and the impact on property values near the shelter.
Whitmire has pledged to end homelessness in the city and last year launched the Initiative to End Street Homelessness Fund, seeking a $70 million investment. As of May 2025, the city had yet to reach $40 million toward that goal.
