Sacramento’s New Approach to Homelessness: An Expensive Tent Camp

Sacramento has recently launched a costly initiative to address homelessness. A tent camp established by the government, complete with raised wooden platforms and security around the clock, comes at an estimated price of around $20,000 for each bed.

The new safe campsite in the city’s river district opened this week, accommodating up to 125 individuals, at a cost of $2.5 million.

But the financial implications extend beyond just the initial setup.

Officials anticipate an annual operational cost of about $1.2 million, translating to roughly $9,600 for each bed each year, as reported by ABC10.

Residents will have city-issued tents on platforms, with amenities including a cot, two storage bins, and a lawn chair.

In addition, the facility will provide shared showers, portable restrooms, mental health services, and continuous security.

However, there won’t be a kitchen or air conditioning. Officials plan to add a swamp cooler and electric fans for the summer months.

The opening follows recent scrutiny of Sacramento’s handling of homelessness. A city audit raised questions regarding the effectiveness of taxpayer investments in addressing homelessness.

The audit revealed that Sacramento spent $63.2 million between fiscal years 2024 and 2025 on 14 different shelter programs.

Auditors criticized the city for lacking a clear method to assess the cost-effectiveness of high-priced shelter models or to determine which programs yield the greatest benefit for taxpayers.

In light of limited resources and growing demand, the audit encouraged Sacramento to create a framework for evaluating shelter costs and effectiveness. This would improve the allocation of funds for homelessness assistance.

The report also suggested that the city could evacuate more individuals at a lower cost by increasing occupancy in some existing shelters, rather than investing further in new initiatives.

While outcomes varied by shelter type, auditors found little correlation between services offered and positive results.

Over half of those relocated from city shelters or tiny house villages returned to homelessness or had uncertain outcomes, according to audit findings.

For instance, at the largest tiny house village on Roseville Road, 65% of residents either returned to homelessness or their situations were unclear after exiting the program.

Despite these findings, city leaders maintain that more shelters are urgently needed.

As per the latest count from Sacramento County, over 7,400 individuals were homeless, with nearly 4,000 living without any form of shelter.

Mayor Kevin McCarty acknowledged that while the new campsite only offers basic accommodations, they are still a better option than living on the streets.

“Too many people are suffering on our streets, and some are dying,” McCarty remarked during the unveiling, according to Abridged.

He added, “This isn’t perfect. We don’t have air conditioning or private bathrooms. But I’d still ask, is it better than what’s outside?”

City Manager Malaskesia Smith noted that the campground represents a temporary measure toward providing more permanent housing solutions.

“The long-term goal is securing housing for these individuals, but that’s going to take time,” she explained, mentioning that many need identification and supportive services before they can attain stable housing.

The River District site takes the place of a previously licensed campground in Sacramento, which had been labeled a “failed experiment” in 2024.