The City is seeking proposals from non-profit organizations interested in participating in a two-year pilot to operate a micro shelter site.
Applicants must:
Applications are due on Thursday, February 5, 2026 by 11:59 p.m. Details on the requirements and how to apply can be found in the tabs below.
Background
In June 2024, Toronto City Council directed the City to prioritize the development of rapid shelter program models for individuals living in encampments, including piloting micro shelters.
Micro shelters – also known as tiny shelters, sleeping cabins, or pallet shelters – are small, purpose-built structures that offer private, temporary accommodations and wrap-around support services to individuals experiencing homelessness as they work toward permanent housing.
The micro shelter pilot will invite proponents to provide a proposal that includes a comprehensive service and support model, as well as land and construction partner options to support a pilot that will operate for two years.
The micro shelter pilot will be developed as part of the City’s Homelessness Services Capital Infrastructure Strategy, a 10-year plan to stabilize the shelter system and be more responsive to the needs of people experiencing homelessness.
Eligibility Requirements
Proponents must meet the following requirements to be eligible for this Expression of Interest (EOI):
- Be incorporated as a non-profit organization with a financial statement audited within the last 23 months (or apply with a trustee).
- Be primarily located and provide services in the Greater Toronto Area (Toronto, York, Durham and Peel Regions).
- Be in good standing with the City.
- Organization shall not be indebted to the City or in default of terms and conditions of any agreement in the opinion of the division head, with any division, organization, board, and/or commission of the City of Toronto.
- Be able to commit to and abide by the building and service delivery expectations outlined in the Micro Shelter Operator Expression of Interest Guidelines, Toronto Shelter Standards, and other standards as defined in the Operating Agreement.
- Commit to operating a micro shelter pilot project for a minimum of two years.
- Commit to intaking new/returning clients through the City’s defined referral processes (e.g., Central Intake, Streets to Homes, the Encampment Office).
- Commit to taking all reasonable measures to accommodate clients accompanied by their pet, including service animals.
- Commit to paying all front-line staff employed by the shelter an appropriate wage consistent with the existing sector average of $59,000 annual or higher.
- Commit to the terms that administrative costs (overhead expenses) will be capped at 10 per cent of project expenses.
Toronto Shelter & Support Services is seeking operators with experience operating emergency shelters. Organizations will be scored according to their depth and length of experience in delivering programs and services for individuals experiencing homelessness, as well as experience in the operation of a municipal emergency shelter.
Joint Applications
The City welcomes joint applications from non-profit organizations interested in operating a site together, so long as one organization is identified as the lead and responsible for executing all agreements with the City. Joint applicants will be required to submit a proposed governance and decision-making model to clarify the relationship.
Land Requirement
An approved land option is required to be selected as a Successful Proponent for the Micro shelter pilot. If proposed land does not meet inspection or compliance requirements, the Proponent will not be selected but may be added to the Qualified Proponents List for future opportunities.
Land proposed by the Proponent will undergo a review by the City’s Toronto Shelter & Support Services (TSSS) Division, Corporate Real Estate Management Division and CreateTO during which the City will:
- Verify that the address complies with all applicable zoning and bylaw conditions
- Verify that the address complies with all applicable standards to function as an Emergency Shelter
- Conduct a site visit to verify the information provided in the Application
- Review the lease or deed information confirming the Proponent’s access to the site and any conditions on their use of the site
- Conduct additional reviews and inspections, as necessary
TSSS reserves the right to request additional documentation and conduct further review, as needed, including but not limited to confirmation from a consultant on any proposed plans/changes to the property, including obtaining necessary change of use permits.
Service Delivery Requirements
Successful applicants will be required to provide the scope of work listed below. Please note this is a high-level description of requirements detailed in the Toronto Shelter Standards. Applicants should familiarize themselves with the Toronto Shelter Standard as it sets clear guidelines and minimum requirements that all emergency and transitional shelters funded or operated by the City of Toronto are expected to meet.
Operational Requirements
- Commit to operating a micro shelter pilot program for a maximum of two (2) years, from the date of the execution of the Operating Agreement, subject to:
- the availability of funds, the necessary appropriations of the Applicable Funder, and where applicable, the payment of those funds to the City
- City Council approval of Toronto Shelter & Support Services’ (TSSS) operating budgets
- Operate the micro shelter for 24 hours a day, 7 days a week, 365 days a year.
- Commit to regular site visits, audits, and/or reviews by TSSS or other City accountability officers (e.g., Toronto Auditor General, Ombudsman Toronto), as deemed necessary by the City.
- Use TSSS’s Shelter Management Information System (SMIS) to record all relevant client-related information (e.g., intake/discharge, case management, incident reports, complaints, etc).
- Participate in an annual program evaluation by TSSS, including an assessment against performance indicators, as outlined in an Operating Agreement.
- Prioritize and receive referrals for all new/returning clients through the City’s defined referral processes (e.g., Central Intake, Streets to Homes, the Encampment Office, and/or other urgent priorities as directed by TSSS).
- Participate in collecting and reporting on TSSS performance indicator metrics.
Program Requirements
- Provide individual and housing-focused case management and system navigation to clients (e.g., housing, health, employment, recreation, etc.).
- Connect clients with appropriate community services, if the required resources are not available on site and/or if additional supports are required.
- Accommodate clients within the applicable sector, regardless of their identity and support needs (e.g., ability, gender, age, sexual orientation, race, substance use, mental health state).
- Work with clients to find and secure permanent housing (e.g., subsidized or supportive housing, long-term care, etc.), using a “Housing First” approach (as outlined in sections 5.3 and 8.5.5 of the Toronto Shelter Standards).
- Provide services to clients in a manner that is client-centered, strengths-focused, human-rights focused, trauma-informed, equity-focused, and supportive to accommodate individuals with a variety of needs.
- Operate with a harm reduction approach, in alignment with TSSS’ Harm Reduction Framework.
- Accept pets and develop related policies and procedures.
- Conduct regular case management team meetings.
- Conduct work, volunteer, and skills development programs, if applicable.
- Participate in a peer support program, if applicable.
- Develop a process to engage clients in identifying program priorities.
Partnership and Community Engagement
- Develop and maintain partnerships with community-based homeless service agencies and health service providers.
- Work with TSSS and with other funders (e.g., local health integration networks, private sector, other levels of government, public sector) to access additional resources.
- Work closely with the community surrounding the micro shelter to maintain a positive relationship
Asset Management Requirements
- Develop and implement a facility management plan for maintaining cleanliness, pest management, security, and maintenance policies and plans.
- Conduct facility maintenance and repairs as necessary, utilizing licensed trades.
- Ensure the operator, its contractors, and any designated agents adhere to all applicable bylaws and regulations and obtain all required permits and approvals prior to commencing any construction work.
- Participate in regular audits building condition audits.
- Support TSSS in conducting state of good repair work, as required.
Staffing Requirements
- Staffing model (minimum requirement):
- Manager: Minimum 1 full-time equivalent (FTE) for the site.
- Supervisor(s): Minimum 1 FTE for case workers, in addition to other supervision for other staff and operations, as required.
- Frontline staff: On site for all operating hours (24 hours a day, 7 days a week, 365 days a year).
- Community Relations & Client Programming: Minimum 1 FTE.
- Housing workers/caseworkers: FTE depends on program size.
- Maintenance staff: Minimum 1 FTE.
- The following may be part of the staff complement, or subcontracted:
- Cleaning staff
- Catering or food preparation staff
Selected Proponents will be required to provide details on these roles as part of Phase 4 of the Evaluation (see section 7.2, (d) of the Guidelines).
- Staff must be adequately trained in a broad range of client service approaches and methods, including, but not limited to:
- anti-racism/anti-oppression approaches
- cultural competence (e.g., on how to provide services and supports to people who are Indigenous, racialized, 2SLGBTQI+, newcomers, disabled, or have experienced trauma)
- Housing-first and harm reduction strategies and approaches
- customer service standards
- health and safety regulations
- All staff, whether directly employed or subcontracted, must be paid a fair living wage consistent with the existing sector average of $59,000 annually.
Funding
The City will provide successful applicants with the funds needed to deliver the micro shelter program, as required, within a reasonable range of comparable municipally funded shelter operations. Successful applicants are required to enter into an Operating Agreement with the City’s Toronto Shelter & Support Services division, prior to receiving funding. Operational funding is subject to annual review and contingent on City Council’s annual budget approval.
How to Apply & the Evaluation Process
Applications are due on Thursday, February 5, 2026 by 11:59 p.m.
Submit an Application
Prior to submitting an application, applicants should ensure they:
Applications will not be accepted for any of the following reasons:
- Applications that are submitted later than the posted deadline.
- Applications that are incomplete and/or deemed ineligible.
- Applications that are not completed via the electronic application listed above (e.g., email, fax, physical copy).
Evaluation Process
Eligible applications will be evaluated and scored by an Evaluation Committee made up staff from across the City’s Toronto Shelter & Support Services Division. Complete details on evaluation criteria and scoring can be found in the Micro Shelter Operator Expression of Interest Guidelines.
Selected Proponents will be invited to participate in the second stage application, which will include due diligence, assessment of the land option, further detail related to the financial health of the organization, and opportunity for the selected Proponent(s) to meet with the City to develop a budget for the proposed program, discuss the proposed program model and program partnerships. This stage will also involve evaluating any construction partners, if applicable.
Should an organization successfully complete stage 2 and agree to move forward, the Evaluation Committee will make a recommendation to the General Manager of Toronto Shelter & Support Services for final selection.
Qualified List
Applicants that achieve a score of at least 60 out of 100 will be added to a ‘Qualified List’ to be considered for upcoming opportunities.
