N.S. ended Out of the Cold contract over safety, security concerns

Nova Scotia has ended a contract with Out of the Cold, citing safety and security concerns.

Nova Scotia ended its contract with Out of the Cold due to a lack of confidence in leadership to deliver services, according to an executive director with the Department of Opportunities and Social Development.

On July 8, the province ended its contract with the housing association, which ran modular sites on Cogswell Street in Halifax and Church Street in Dartmouth. Earlier this month Out of the Cold told CTV News Atlantic it provided supportive housing to 63 adults.

Suzanne Ley, executive director of employment support and income assistance with the department, said they ended the contract over “ongoing and significant challenges” at the sites.

“We’ve learned the conditions are worse than we anticipated when we made the decision to end the contract,” Ley said. “We knew there were challenges with safety and security.”

In an open letter, Out of the Cold, which focuses on harm reduction services, said it was “shocked and devastated” by the decision to end the contract.

“The representatives from the Department of Opportunities and Social Development provided us with a letter that outlines several ‘critical concerns’ that ‘have not been addressed,’ or have been ‘inconsistently or insufficiently addressed,’” Out of the Cold said in a written statement. “We are deeply concerned that the way this has transpired, and a potential change in model with have severe consequences for the population OTC has been honoured to serve for almost two decades.”

Ley said some issues included the improper disposal of sharps, exposed wires and a lack of training of staff on protocols and policies. She said the department also found the Out of the Cold board lacked transparency on addressing problems.

“We felt optimistic in early 2024 and we saw positive engagement from the board,” Ley said. “That lasted a short period of time.”

The province has contracted the Atlantic Community Shelter Society to take over the modular sites. Ley said they did not have a public tender bidding process because they did not want Out of the Cold leadership to know about the transition ahead of time.

“We understand it was a shock for folks, particularly staff,” she said. “We wouldn’t have been able to give more notice.”

Ley said no residents have been removed from the sites.

Rally in support of Out of the Cold workers

The Service Employees International Union (SEIU) Local 2, which organized a rally outside Nova Scotia Province House on Tuesday in support of Out of the Cold workers, said the closure of the sites left 42 employees without jobs.

“The workers are not refuting concerns around mismanagement, but say that if mismanagement was the concern, this is not the way to go about fixing the situation,” SEIU said in a news release.

At Tuesday’s rally, it called on the provincial government to meet with the workers to plan a transition to keep the community safe and require a new service provider to offer employment to experienced workers who have “fostered relationships with residents.”

Out of the Cold said it would ensure employees are fully paid for hours worked, vacation and severance. SEIU said workers have not received “concrete information” about pay.

Ley said the Atlantic Community Shelter Society’s contract on the sites will last until the end of March 2026. She said the modular homes will continue to focus on harm reduction and will not transition to dry sites.

-With files from CTV News Atlantic’s Callum Smith

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