News and Tribune

March 7, 2010

Only meager donations to save Haven House

Homeless shelter set to be auctioned Tuesday

By DAVID A. MANN
David.Mann@newsandtribune.com

NEW ALBANY — There’s been many small donations.

According to Haven House Services Inc. Executive Director

Barbara Anderson, “regular people” have been stepping up every day, offering $5, $10, $20 bills.

However, she admits, there’s been no substantial donations made to help pay off the organization’s about $300,000 in federal tax debt.

Those are coming in as the organization’s homeless shelter, on Green Street in Jeffersonville, is scheduled to be auctioned by the U.S. Internal Revenue Service at 10 a.m. Tuesday at the Clark County Building, 501 E. Court Ave. in Jeffersonville.

The IRS seizure comes after Anderson went about three years without paying the 501(c)3 nonprofit’s payroll taxes. Initially, it owed about $400,000.

It sold some of its transitional housing units, along Colonial Park Drive in Jeffersonville, for about $185,000 to pay debt. However, compounding interest and penalties have brought the total back up.

“There’s been a lot of good inquiry from people wanting to help out,” Anderson said.

However, she believes that local government should provide more support for the homeless population in the area.

“If it means that I have to step aside for the city and the county to step up, than so be it,” she said. “I would love to close the shelter — but because we were out of people to help, not because we were out of money.”

There also has been confusion about a fund started by Indiana Avenue Christian Church.

Drumondo Simpson, pastor at the church, declined to comment for this article. However, he made it clear during an interview this week that donations made to the fund will go to help homeless people, not pay off Haven House’s tax debt.

Leaders from other organizations — including New Hope Services Inc., Volunteers of America, The Salvation Army and Louisville’s Coalition for the Homeless — announced plans last week to house Haven House residents at Louisville shelters if the shelter does close.

“To me, sending our people to Louisville isn’t a fair option because we have Indiana homelessness,” Anderson said, questioning how long such services could be offered to the affected.

New Hope Chief Executive Officer Jim Bosley said new homeless shelters — for both families and single residents — would eventually need to be opened in Southern Indiana. “I feel sorry for anyone who tries to do it in a real way, because it’s hard,” Anderson said, adding that it will be difficult for shelters to open until funding is available at the state level.

The Southern Indiana Housing Initiative, of which New Hope is a part, has commissioned a study purposed to find funding sources.