Shepherd's Rest set to close

JONATHAN CAMERON

SHUTTING: Shepherd's Rest manager Hohepa Taiaroa reflects on the home's impending closure.

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Forty of Palmerston North's most vulnerable residents could be out on the street within weeks after an announcement Shepherd's Rest boarding house is to close.

The central city hostel – set up to give homeless people a place to stay – will shut on January 28, residents were told yesterday.

The emergency housing initiative has fallen victim to rising costs, as well as reduced funding, and the building became increasingly unsuitable.

Shepherd's Rest co-ordinator Lew Findlay said the Shepherd's Rest Trust had done all it could to keep the service open, without success.

Some residents didn't take yesterday's announcement well, he said. "It's one of the hardest decisions I've been involved in in my life."

Trustees decided the facility shouldn't run at a loss. All its bills would be paid, chairman Grant McCullough said.

Housing New Zealand spokeswoman Michelle Williams said the agency would meet the trust and Social Development Ministry today to see what could be done for residents.

Mr Findlay said they were a mix of unwanted people, drug and alcohol addicts, and people with mental health issues.

A few residents would be relocated to the Ferguson House rehabilitation centre, but 40 would need accommodation elsewhere, he said.

He predicted some residents would end up in prison.

Police area commander Inspector Pat Handcock said police could become involved in finding a solution – they wanted to ensure there was no increased risk of people being victimised.

Occupancy at the boarding house was above 90 per cent throughout the eight years it was open. In its first month, there were 20 residents and numbers swelled to 64 at one stage.

Mr McCullough said Shepherd's Rest was a boarding house of last resort. Residents paid $120 a week for board, which included breakfasts and changes of linen.

The building wasn't at a suitable standard and the trust couldn't charge residents more rent because they couldn't afford it, he said.

Palmerston North MP Iain Lees-Galloway said the trust worked quietly and housed people whom "often no-one else is prepared to work with". He hoped a way could be found for the trust to carry on.

Trustee David Scott, former police area commander, said the trust was trying to "navigate the road between caring and integrity" but it wouldn't put itself in a position where it couldn't pay its bills.

Mr McCullough said he hoped another site would become available.

"We actually want to continue this work. It just can't be here any more."

Work and Income regional commissioner Penny Rounthwaite said the closure would have a considerable effect on residents and the community.

"We are deeply concerned for those affected."

The agency would work with other organisations to help find alternative accommodation, she said.

Costs

Shepherd's Rest cost $318,157 to run in the past financial year.

Electricity has increased from $20,000 a year to more than $27,000.

Toilet paper cost $800 a month.

Commercial cleaning cost more than $1000 a month.

- © Fairfax NZ News