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LRCA to transition out of operating Ladysmith emergency shelter amid rising costs
LRCA says rising operating costs and funding gaps forced the move, while BC Housing seeks a new operator for the shelter.
The Ladysmith Resources Centre Association will end its role operating the emergency shelter at 631 First Ave on Dec. 13, citing rising operation costs not covered by its funding agreement with BC Housing.
Executive Director Nancy McIntyre said the LRCA experienced "significant short-term cash-flow pressures" from increased payroll and operating expenses, while staff noted expected funding "didn't come to fruition."
During a recent meeting, the LRCA requested permission from the Town to withdraw $75,000 from funds held in trust, as rising shelter costs contributed to the financial situation.
BC Housing will lead the transition to a new operator, though it remains unclear if a replacement will be ready by Dec. 13; shelter employees have received notice of the change.
LRCA Board President Sandra Reder stated the decision was necessary to protect the association's financial sustainability, while BC Housing is currently working to identify a replacement operator.