Denver’s proposed $26.2 million contract to purchase a halfway house for people with addictions and criminal records will go before the City Council again on Monday.

Denver’s purchase agreement with Denver 44th Avenue, LLC, is for a residential re-entry facility at 570 W. 44th Ave.

The proposed purchase is part of an ongoing city effort to move away from national, for-profit institutions. The 44th Avenue facility already caters to individuals with criminal records struggling with drug addiction.

The city has closed five such facilities since October 2019, which has reduced the overall availability of community correction options.

The city wants to have 550 slots for individuals but currently only has about 270.

In addition to the halfway house up for purchase Monday, the city plans to open another by September of 2025. That would increase the total capacity to 373 slots but still be short of the goal.

Currently, the 44th Avenue facility, also known as the MOORE Center, has a capacity of 100 beds, according to the contract agreement.

The purchase of the MOORE facility would be financed with Certificates of Participation (COPs), requiring City Council approval in a separate action. The annual COP payment is proposed to start at $1.8 million and increase to $2.5 million over 15 years, according to the proposed agreement.

In the agreement, city officials described the COP approach as “cost-neutral to the city budget.”

In other action Monday, the council will consider:

24-1229: A $1.9 million contract with Regional Transportation District for the Denver Human Services Department to provide eligibility determination and enrollment in RTD’s LiVE program, a fare discount for low-income individuals.

24-1221: A $1.5 million master purchase order with Herc Rentals for equipment rentals citywide.

24-1215, 24-1214, 24-1213: Three $2 million contracts with three third-party contractors for project management services including design oversight, design and construction services procurement, construction inspection services, and project management implementation oversight throughout Denver.

22-1230: A contract with Denver County Court adding $674,605 to a contract that expands services for those in the city’s justice system suffering from substance use disorder and other behavioral needs. The contract now totals $1.08 million.

Denver Gazette reporter Alex Edwards contributed to this report.