Closing Programs at the Lexington Hotel

"Success is not final, failure is not fatal: it is the courage to continue that counts." Winston Churchill

Dear Friends, supporters, donors, partners, colleagues,

I am writing to you today with great sadness because 

We are closing programs at the Lexington Hotel

We must close transitional and permanent supportive housing at the Lexington Hotel on September 30.

Please know that we are helping our tenants find housing as best as we can.  We have referred veterans to the VA for assistance.   Navajo residents are being referred to the Section 8 program at Navajo Housing Authority and to Gallup Housing Authority.

Residents are being encouraged to look for private housing in the community.  

Please pray for us and our tenants because we have a chronic shortage of decent affordable housing in this community.

Why is this happening?

CARE 66 does not have the resources to provide support services, transitional housing and permanent supportive housing.  We have accumulated significant debts and we can no longer pay our expenses.

In short, we ran out of money.

The Lexington Hotel was set up to be a model for a one-stop support services shop with a “Housing First” model of housing at its center.  

We provided case management, connected people to jobs and benefits, and got people into homes.  

All of this takes skilled employees and costs money.  More than $500,000 per year.  Our revenues are less than $80,000/year.

In the long-term, we wanted to add about 80 to 100 units of permanent supportive housing so that we could get closer to self-sufficiency.  We never did find the money.

What will happen to CARE 66?

            CARE 66 will regroup and figure out how it can help address the issues of poverty, affordable housing and jobs in this community.  

            We have accumulated much experience and believe that we can continue to contribute to the future well being of this community.

Achievements:

We are proud of our contributions to this community over the last 14 years.  They include:

• Developing Chuska Apartments
• Establishing a Native American Housing First model that works
• Rehabilitating the Lexington Hotel
• Developing Hooghan Ho’zho

Over the last 14 years, we brought over $20 million in investment to this community.

In addition, in every year:

•       We received 12,000 calls for assistance with housing. 
•       We received about 3000 volunteer hours,
•       Helped our clients get about 12,000 hours of work,
•       Placed about 65% of our transitional housing clients in permanent housing, and had about 20 people stay in transitional housing every night.
•       Helped 5000 caller or walk-ins

We were, and are not, perfect but we did the best we could with what we had.  We are sad that it has come to this.  We would gladly continue operating if we had the money. 

On a personal note,  sad as I am, I would do this all over again because at least we tried to do something about homelessness and poverty.  The work of the Lexington Hotel has been an act of love and perseverance.  We have tried to help people get back on their feet, equip them with the knowledge that they are capable of achieving their dreams, and most importantly, that they are not condemned to the suffering of mental illness, drug abuse and homelessness.

I want to thank all of you: staff, donors, board members, friends far and near who have encouraged us, supported us and made the many miracles of this work happen.  It's been an amazing journey.

We are looking for a buyer for the Lexington Hotel.  Please tell people who might be interested.

You can still help by making a contribution on the Paypal link on this blog, if you want to.

PS: The closing of programs at the Lexington Hotel has very little to do with Hooghan Ho'zho.

9th Mother Road Bicycle Classic

Saturday 

September 8, 2018

CARE 66 is proud to announce its ninth Annual Mother Road Bicycle Classic fundraiser to be held 
Saturday September 8, 2018 

to support affordable housing and support services for homeless people in Gallup. This pledge cycling event features a course through the beautiful areas surrounding Gallup. 

Event Information

Four route alternatives for cyclists of all skill levels are available:

• The Whole Enchilada 66 mile route click here
• Habanero 40 mile route click here
• Green Chili 20 mile route here
• Red Chili 10 mile route here

Entry fee is $66 (plus raised pledges) per rider.  If you bring $150+ in pledges, your entry fee is waived. 

Please click here to download the Registration Packet which includes instructions for collecting and submitting pledges. 

Pledges can be as little as $5 or as much as $100,000.  You’ll be surprised at how the small ones add up.  All gifts are tax deductible. Instructions for collecting pledges are included in the registration packet above.

Registration begins at 8:00 AM at the Lexington Hotel (407 West Highway 66 between 4th and 5th Streets) and all rides begin at 8:30 AM.  Some rides will be supported with food and drink stops as well as basic repair supplies. 

Please be advised that roads will not be closed for this event.  Riders will be responsible for following designated rules of the road and will be responsible for his or her safety.

All proceeds will help CARE 66 fulfill its mission “to create opportunities to end homelessness.

To register or to submit pledges, please click on our following secure Paypal link below.  If you register online, please put 4MRBC in the subject line:

Memorial Service for Bernhard Schulze

Bernhard was a resident of the Lexington off and on since 2012.  Prior to that he worked for the City of Gallup and Chuska Apartments. 

He passed away on January 12, 2018.

We will celebrate his life  on Tuesday, January 23, at 2:00 in the Courthouse Plaza.  Following the memorial service we can swap stories over coffee and cookies at the Lexington Hotel.  The Lexington Hotel is at 407 West Highway 66 between 4th and 5th  Streets.

8th Mother Road Bicycle Classic

Saturday 

October 14, 2017

CARE 66 is proud to announce its Sixth Annual Mother Road Bicycle Classic fundraiser to be held Saturday October 14, 2017 to support affordable housing and support services for homeless people in Gallup. This pledge cycling event features a course through historic downtown Gallup, NM and surrounding area. 

Event Information

Four route alternatives for cyclists of all skill levels are available:

• The Whole Enchilada 66 mile route click here
• Habanero 40 mile route click here
• Green Chili 20 mile route here
• Red Chili 10 mile route here

Entry fee is $66 (plus raised pledges) per rider.  If you bring $150+ in pledges, your entry fee is waived. 

Please click here to download the Registration Packet which includes instructions for collecting and submitting pledges. 

Pledges can be as little as $5 or as much as $100,000.  You’ll be surprised at how the small ones add up.  All gifts are tax deductible. Instructions for collecting pledges are posted on our website (www.care66.org) and blog (care66.blogspot.com). 

Riders who raise more than $150 will receive a mug, and all registered riders will receive a commemorative t-shirt. 

Registration begins at 8:00 AM at the Lexington Hotel (407 West Highway 66 between 4th and 5th Streets) and all rides begin at 8:30 AM.  Some rides will be supported with food and drink stops as well as basic repair supplies. 

Please be advised that roads will not be closed for this event.  Riders will be responsible for following designated rules of the road and will be responsible for his or her safety.

All proceeds will help CARE 66 fulfill its mission “to create opportunities to end homelessness.


To register or to submit pledges, please click on our following secure Paypal link below.  If you register online, please put 4MRBC in the subject line:

NAHASDA Saved Lives

&

It Can Save More

It Created Affordable Housing and Services in Gallup

NAHASDA, a HUD funded program (Native American Housing Assistance and Self Determination Act of 1996) administered by Indian tribes, has funded CARE 66 programs that given people a home and a second chance at life. NAHASDA is a very flexible program and when done right could stimulate investment, prosperity and access to opportunity.

In the light of the recent articles in the Arizona Republic and KOB Albuquerque, I would like to offer a few thoughts and some perspective, in no particular order.  I would also like to add that, in my experience, these revelations generally have negative impacts on the program.  NAHASDA has helped save lives in this community.

For the last ten years, CARE 66 has worked with the Navajo tribe to address homelessness and affordable housing in Gallup. 

About a third of the costs of renovating the Lexington Hotel came from the Navajo Nation.  The Lexington Hotel provides shelter, it is also great example of the Housing First model of permanent supportive housing in Gallup.  A majority of our clients are Navajo.

Similarly, the Nation contributed about 68% or $7.1 million of the development costs for Hooghan Ho’zho in downtown Gallup.  Thirty of the units are set aside for Native American families.

·         Leadership: A lot depends upon the capacity and vision of the leadership.  Our projects were correctly perceived to be innovative.  By extension, innovative is difficult.  It requires persistence, engagement and hard work. 

·         Learning: Innovation demands learning.  We had to learn how to work off reservation with rules designed for working on reservations.  We had to learn to trust and to recognize that setbacks would be part of the process. 

·         Partnership: Because the Nation was not providing all of the funding we had to learn to work with USDA, HUD, a private bank, a technical assistance provider and lender, and a religious lender.  In addition, we had to work within city, county and state regulations.

·         Flexibility: NAHASDA can be very flexible.  However, this flexibility needs to be implemented in a consensus across a range of departments and perspectives.  This takes a lot of meetings.

In the City of Gallup, our market study show that approximately 1000 Native American families are in need and able to afford some kind of affordable housing.  This is almost half the Native population of Gallup.

In conclusion, NAHASDA can work very well if all parties are willing to work together towards common goals.  

Hare Brained Idea?

Another Hare Brained Idea

The purpose of the CARE 66 is to end homelessness by providing homes that people can afford to rent or buy.

I am going to try to walk through some of the big picture thinking that we go through in the development of affordable housing.

What does affordability mean?

Affordability generally means that no more than 30% of a family’s income is spent on rent/mortgage, utilities and repairs.

For a family of four making less than $25,000 per year that would mean that they would pay about $7500 a year or $625 per month, for rent/mortgage, utilities, and repairs.  Think about that.

This family would have a monthly income of $2083 before taxes.  After deductions for taxes (17%) they would have $1729 to spend on groceries, transportation, rent/mortgage, utilities and repairs, shoes, clothes and other necessities of life.

Assume that utilities are $100 per month for gas, electricity, water, sewer, and garbage collection. And that repairs are about $50 a month.  That means their rent/mortgage should be $475. 

If this family has a girl, a boy and two parents, they should have a three-bedroom house with 1.75 bathrooms.  It would be possible to build a house with 800 square feet to accommodate this family.  The cost of building such a zoning-compliant house would be ideally around $135 per square foot plus the cost of land and taxes.

There is no garage and space is tight.

Total cost would be around $140,000.

A 30-year mortgage at 5% would be $676 including taxes and insurance after a 10% down payment of $14,000.  Think about that.  A family of four living in poverty having savings of $14,000 to spend on housing.  Extremely unlikely.

The question is: could a developer build and sell a house for $140,000 and make a profit? Or even cover the costs of the house?

            If they were renting from an affordable housing provider in Gallup.  They would be required to pay at least $500 for rent and to pay their own utilities.

            Using the numbers above this means that the developer would not be able to cover development costs or operating costs for the apartment from day one.

So how do we house families living in poverty?

            So what does this mean for people who have an income that is less than poverty? 

How do they afford a home? 

Can they buy a home or could they rent something?

What could they rent on an income of less than $12,000 per year? For $237 per month? Plus utilities.

            What we have here is a housing crisis.  And what is the solution to this problem?  A little more money into underfunded housing assistance programs that are overwhelmed with desperate families seeking homes?            

They can’t afford the security of a decent home.  Poverty is not good for health and education outcomes and there is not much hope for improved incomes.  As the generational poverty in this area proves.

The problem in Gallup?

            About 25% of the population in Gallup live in poverty.  That means more than 1600 families live in poverty.  A majority of these families are Native American in this town.

            Housing them at the ideal cost of $140,000 per unit would cost about $225 million.  No wonder nobody wants to do anything about this.  The problem is huge. Overwhelming.  More than ten times the city budget.  The real cost of a housing unit is between $175,000 and $200,000.

            I haven’t even got around to talking about operating costs, maintenance, rent collection, repairs, upgrades, insurance, taxes, personnel, and support services.  For a rental unit these costs are about $6800 per unit per year.  1600 units will cost about $10.8 million per year to operate.

The solution for Gallup

            There are resources out there.  Very few grants.  But a creative patching together of state, city and county money, tribal money and other affordable housing funding mechanisms, like tax credits could bring this money into town over a period of time.

            What do we need to make this work? 

1.      Political will.  As a community we are better at tearing down other people’s hard work than working towards a common goal.

2.      Commitment to housing all our citizens regardless of administration or political leadership changes at City Hall.

3.      A willingness to learn and implement housing ideas that are not your uncle’s 1950s ideal suburban dream.  In other words, repopulate downtown.  Build dense housing.  Create communities. Find alternatives to parking.  We need places i.e. homes for people to live not parking lots for cars.  In other words, we need to change our zoning code.

Let’s start with 500 units of apartments or condos

If we build 500 units of affordable housing that serves families with a wide spectrum of incomes in the next five years in the downtown, we will need an investment of more than $105 million.  That’s a lot of money. 

The operating costs for 500 units would be about $4 million per year plus debt service, assuming debt service to be about 25% of the development costs.

We could do 500 units if we had a guarantee for 10 years of operating costs. 

Because.

It’s the operating costs that make or break the sustainability of an affordable housing project.  Once capital costs have been incurred they are sunk costs that look good on a balance sheet.  And since the weakness of affordable housing is its lack of cash flow because of low rents because of low incomes, a check for operating costs would provide the missing link to sustainability and prosperity in this town.

I am not going to turn down a check for development costs.  But a guarantee of operating costs means that I can do a $10 to $12 million every year.  

More importantly, a guarantee of operating costs means that rents can be reduced to much less than 30% of a family’s income.  This has the benefit of increasing a families spending, increasing stability, improving health and education outcomes, reduction in the use of police and emergency rooms.

The other big beneficiary is the city.  A $105 million of investment in the downtown will improve our housing stock, get rid of eyesore buildings, and make the downtown the center of this community once again.  This investment will also attract private investors to develop non-affordable housing in the area.  The impact on retail and restaurants in the downtown will be significant.

Second, McKinley County and the City of Gallup will both share about $10 million in gross receipt taxes from construction. 

Third, more than 100 jobs will be created just by the construction. 

To Summarize

Affordable housing development has many components.  Two key cost areas are design/construction and operations.  Resources for design/construction would be more easily accessible if were a guarantee for operational costs with which pay the loans, maintain and repair the project, collect rents and ensure that housing goes to those who need it.

      The advantage to apartments is that there is reduced cost for land and it is possible to build a much higher density than suburban development.  Building apartments are more cost efficient than single-family homes.

In general, affordable housing improves property values in an area and housing low-income families puts more money into the local economy, while reducing the crime and improving health and wellbeing.

A ten-year $4million guarantee for annual operating costs and debt service would enable us to raise most of the money needed to develop 500 apartments.  

Mixed income developments prevent the concentration of poor families in an area, and contribute to the revitalization and prosperity of the downtown.

So who’s in? 

Send a check to CARE 66 at PO Box 4298, Gallup, NM 87305

7th Mother Road Bicycle Classic

September 24th 2016

It was cold on Saturday.  About 15 people raised money and rode to end homelessness.  Andy Stravers had the most pledges. People rode in two groups - the forty mile group and the 62 mile group.  Juliana and Tia helped fuel riders with water and food.

Waiting for the start

A brief talk about what we are going to do

Registration

Don might be the oldest rider.  

Almost all of us in this picture.

Kris and Anna.  It was Anna's first time

Sanjay and Tim

7th Annual Mother Road Bicycle Classic

7th Annual Mother Road Bicycle Classic: 

Saturday September 24, 2016

CARE 66 is proud to announce its Sixth Annual Mother Road Bicycle Classic fundraiser to be held Saturday September 24 2016 to support affordable housing and support services for homeless people in Gallup. This pledge cycling event features a course through historic downtown Gallup, NM and surrounding area. 

Event Information

Four route alternatives for cyclists of all skill levels are available:

• The Whole Enchilada 66 mile route click here
• Habanero 40 mile route click here
• Green Chili 20 mile route here
• Red Chili 10 mile route here

Entry fee is $66 (plus raised pledges) per rider.  If you bring $150+ in pledges, your entry fee is waived. 

Please click here to download the Registration Packet which includes instructions for collecting and submitting pledges. 

Pledges can be as little as $5 or as much as $100,000.  You’ll be surprised at how the small ones add up.  All gifts are tax deductible. Instructions for collecting pledges are posted on our website (www.care66.org) and blog (care66.blogspot.com). 

Riders who raise more than $150 will receive a mug, and all registered riders will receive a commemorative t-shirt. 

Registration begins at 8:00 AM at the Lexington Hotel (407 West Highway 66 between 4th and 5th Streets) and all rides begin at 8:30 AM.  Some rides will be supported with food and drink stops as well as basic repair supplies. 

Please be advised that roads will not be closed for this event.  Riders will be responsible for following designated rules of the road and will be responsible for his or her safety.

All proceeds will help CARE 66 fulfill its mission “to create opportunities to end homelessness.


To register or to submit pledges, please click on our following secure Paypal link below.  If you register online, please put 4MRBC in the subject line:

 

Please get and submit an application below:

Renee Otero, HCM-R, HCM-HF
Assistant Site-Manager
Hooghan Hozho Apartments
601 Dani Drive
Gallup, NM 87301
(505) 258-1547

6th Annual Mother Road Bicycle Classic

6th Annual Mother Road Bicycle Classic: 

Saturday October 3, 2015

CARE 66 is proud to announce its Sixth Annual Mother Road Bicycle Classic fundraiser to be held Saturday October 3 2015 to support affordable housing and support services for homeless people in Gallup. This pledge cycling event features a course through historic downtown Gallup, NM and surrounding area. 

Event Information

Four route alternatives for cyclists of all skill levels are available:

• The Whole Enchilada 66 mile route click here
• Habanero 40 mile route click here
• Green Chili 20 mile route here
• Red Chili 10 mile route here

Entry fee is $66 (plus raised pledges) per rider.  If you bring $150+ in pledges, your entry fee is waived. 

Please click here to download the Registration Packet which includes instructions for collecting and submitting pledges. 

Pledges can be as little as $5 or as much as $100,000.  You’ll be surprised at how the small ones add up.  All gifts are tax deductible. Instructions for collecting pledges are posted on our website (www.care66.org) and blog (care66.blogspot.com). 

Riders who raise more than $150 will receive a mug, and all registered riders will receive a commemorative t-shirt. 

Registration begins at 8:00 AM at the Lexington Hotel (407 West Highway 66 between 4th and 5th Streets) and all rides begin at 9:00 AM.  Some rides will be supported with food and drink stops as well as basic repair supplies. 

Please be advised that roads will not be closed for this event.  Riders will be responsible for following designated rules of the road and will be responsible for his or her safety.

All proceeds will help CARE 66 fulfill its mission “to create opportunities to end homelessness.


To register or to submit pledges, please click on our following secure Paypal link below.  If you register online, please put 4MRBC in the subject line:

 

James and Ernie perform benefit for CARE 66 at the El Morro Theater

Come join James and Ernie in a benefit performance for CARE 66 on Friday, April 4^th at 7 PM at the El Morro Theater.

Advance tickets are $10.00 and are available for pick up at the Lexington Hotel (407 W. Historic Highway 66).  Tickets at the door will be $15.00. Bring the whole family and help end homelessness. 

Half of the proceeds will support CARE 66 and its mission of “Creating Opportunities to Help End Homelessness” right here in Gallup.

For further information, call Carl at (505) 722-0066 or visit www.care66.org.

 

CARE 66's ViRo Community Planning Meeting: Feb. 5, 2014 | 9:00 AM | Gallup's Central High School

CARE 66 welcomes the community to its ViRo Community Planning Meeting to be held on Wednesday February 5th at Gallup's Central High School from 9:00 AM - 12:30 PM.

We wish to thank: Enterprise Community Partners; Atkin Olshin Schade Architects; 7 Directions Architects; JL Gray; our Board of Directors, staff and of course, all of our wonderful community supporters.

Please refer to our flyer for more details, and please email us at events@care66.org or call us at 505.722.0066 if you have any questions.

Happy Holidays from CARE 66!

 

We want to thank all you for your support.  We are very grateful for the donations, the ideas, the support we have received from you.  We are proud to serve the people of this City and County.  We hope 2014 will be a year of success and prosperity for you.

Until next month stay well and do good!

Finalist Chosen for CARE 66 Design Competition

GALLUP, NM—CARE 66 is pleased to announce that an architectural team from Atkins Olshin Schade (AOS) and 7 Directions has produced a winning design for a new mixed income development on the west side of Gallup.   Architects Daniel Glenn of 7 Directions and Jamie Blosser of AOS won over CARE 66 Board Members and Stakeholders with their design to transform 7 acres in the Stagecoach Neighborhood into small groupings of townhouses and apartments with common areas to promote both connectivity and safety.   Glenn and Blosser were one of three architectural teams invited to compete in a design competition sponsored by Enterprise Community Partners.  Daniel Glenn, AIA, is an MIT educated architect with 27 years of experience in sustainable building design and is recognized as a national leader in sustainable housing design for Native American Communities.  Jamie Blosser, resource member for the Sustainable Cities Design Academy and founder of the Sustainable Native Communities Collaborative, has been practicing architecture in New Mexico for fifteen years.  CARE 66 plans to move forward with the new team for additional planning in 2014.

 

####

 

 

CARE 66’s 3K and 5K Turkey Trot and Cranberry Walk

CARE 66’s “Turkey Trot and Cranberry Walk” will be held on Thursday November 28th at the Lexington Hotel located at 407 W. Historic Highway 66.

Registration starts at 8 AM.

Adult entries are $10.00; youth 12 & up; under are $5.00, but sign up the whole family for $20.00 and show your support for ending homelessness in our area.  If you can’t run or walk, stand and volunteer!

All proceeds go to CARE 66 to support of our mission of creating opportunities to help end homelessness right here in Gallup.  Rain or shine event, no refunds please.

For further information, call Marlon at (505) 722-0066. To register and make a payment,  please click here.    

 

 

It's here again!  CARE 66 announces its costume “Boo Run for Your Life” to be held on Saturday October 26th at the Lexington Hotel located at 407 W. Historic Highway 66. All proceeds go to CARE 66 in support of our mission to create opportunities to help end homelessness right here in Gallup.

When: Registration starts at 2:00 PM and ends at 2:45 PM.

Where: 407 W. Historic Highway 66.

Registration:  Adults $10 | Youth (12 & under) $5 | Family $20

How:  Please visit the following link to fill out registration and to pay: CARE 66 Event Registration

Prizes will be awarded in male and female youth and adult categories.

Rain or shine event, no refunds please.

For more information, call Marlon at (505) 722-0066 or visit www.care66.org or email events@care66.org. We look forward to seeing all the fun and wonderful costumes!

Dear Friends,

I am writing to you a few weeks before the 4th Annual Mother Road Bicycle Classic.  We hope that your and/or your friends will take the time to ride in this event.  This year’s event is raising tax-deductible gifts for CARE 66.  We hope to use this year’s event to raise money for Hooghan Hózhó, a 44-unit downtown affordable housing project that will be completed next year. Due to funding constraints, we have had to remove the Early Childhood Development Center from the project.  The building is as originally envisioned with patios, open spaces and sunlight.  Our intention is that this will be a space where working families will find a home and the support they need to thrive.

If it is not possible for you to ride in this event please consider sponsoring a rider.  You can sponsor by the mile or as a lump sum.   Or you can just make a donation to CARE 66.  This year we are adding a BBQ in the evening following the ride for riders and their families.  Next year we will do the ride during the Gallup Indian Ceremonial weekend.  

We are excited about this event.  We have Board members and volunteers who help support riders with water, food, and emergency repair supplies.  It has been a great way to spend the day in and around Gallup.

Sincerely,

Sanjay Choudhrie, Executive Director 

Please read our Fall Newsletter after the jump:

4th Annual CARE 66 MOTHER ROAD BICYCLE CLASSIC

Please visit our "Upcoming Events" section on our blog (http://tinyurl.com/mnjtxsf) or the "Upcoming Events" section of our website (http://tinyurl.com/kaqgxlb) to get registration and pledge information.

We look forward to seeing you on the "Mother Road!"

Invitation to Attend CARE 66 Film Premier at Native Film Series

Dear Friends of CARE 66,

Please join CARE 66 as we screen our film, Together We Can, at the Native Film Series in Gallup, NM.

This short documentary film explores some of the struggles of and solutions to homelessness in the Gallup, NM area. film tells the history of CARE 66 and the efforts of community building and restoring humanity—of how “Together We Can.”

The film will be screened at the 7 PM show time at El Morro Theater on Friday August 9^th.  Tickets are $3 at the door. Youth, 12 and under, are free, as well as Veterans.  For more information on purchasing tickets, please visit our Facebook page and the Gallup Chamber of Commerce event listing here.

We look forward to sharing our story with you.