Cost of Homelessness Exceeds $73 Million in Indianapolis for 2016

CHIP has released the “Estimated Costs of Homelessness in Indianapolis in 2016 Report.” The study, conducted by the Indiana University Public Policy Institute, found the estimated cost of homelessness in the Indianapolis area for 2016 was $73,677,641, including $65,355,598 in direct expenses and in-kind donations valued at $7,025,475.

In 2016, 8,176 individuals were experiencing homelessness. Eleven percent of those, or 879 people, were chronically homeless. The average yearly spending in 2016 for a chronically homeless person was calculated at $20,571, and the annual system cost for those individuals totaled $18,081,993. If the community increased investments in Permanent Supportive Housing for chronic homelessness, the estimated cost per individual in the Permanent Supportive Housing
program would be $12,315. This saves $4,733 per individual with a total estimated savings of $4.1 million.

We will continue to work with the City of Indianapolis and policy makers to add investments for rapid re-housing and Permanent Supportive Housing that can lead to cost savings and better outcomes for families and chronically homeless individuals.
- Alan Witchey