The proposed resolution, known as the Homeless Services Contract Adjustment Emergency Declaration Resolution of 2026, addresses an urgent need to amend the Procurement Practices Reform Act of 2010. It aims to require the Office of Contracting and Procurement to process requests for equitable adjustments to homeless services contracts within 45 days. This amendment is prompted by recent findings that some homeless services subcontractors were not in compliance with the Service Contract Act (SCA), which mandates that service employees receive prevailing wages and benefits. The Department of Human Services (DHS) has communicated these compliance requirements, leading to unexpected financial burdens on service providers, with potential costs exceeding $3.9 million in 2026 alone.

The resolution emphasizes the critical need for immediate financial relief for homeless service providers to prevent further reductions in services that could jeopardize the health and safety of unhoused residents. The rapid increase in wage and benefit rates necessitates a swift equitable adjustment process to help providers manage these costs effectively. The Council of the District of Columbia recognizes the emergency nature of these circumstances and seeks to adopt the necessary amendments promptly to ensure that providers can secure the adjustments they need without delay.