Washington Business Closures Fuel Debate Over Homelessness and Crime

Spokane businesses are raising concerns about crime, drug use, homelessness and street disorder as a growing debate develops over Catholic Charities Eastern Washington, Housing First and the impact of homelessness programs on nearby small businesses. Independent journalist Kevin Dahlgren traveled to Spokane, Washington, to investigate why Urbanna Natural Spa, Salon and Wine and other businesses have closed or relocated and whether conditions surrounding nearby homelessness facilities played a role. Urbanna owner Linda Biel has blamed crime and disorder in the area for her decision to close the longtime Spokane business. Biel has specifically raised concerns about the concentration of Catholic Charities Eastern Washington housing facilities near her business. Catholic Charities Eastern Washington disputes allegations connecting its properties and residents to Urbanna's closure. The organization says its housing and supportive services provide vulnerable and low-income residents with safe places to live and has said allegations blaming its operations for the business closure are inaccurate. The debate is part of a larger fight over homelessness policy and the Housing First model. Critics of Housing First argue that providing permanent housing without requiring sobriety, addiction treatment or other preconditions can fail to address the underlying causes of chronic homelessness. Supporters argue that stable housing provides a foundation from which people experiencing homelessness can address behavioral health, addiction, employment and other challenges. Dahlgren's Spokane investigation features local business owners, people experiencing homelessness, former Spokane Mayor Nadine Woodward and homelessness service providers discussing crime, addiction, homelessness and conditions affecting businesses. The investigation also looks at Union Gospel Mission, which takes a different approach to homelessness and emphasizes recovery, accountability and self-sufficiency. The Spokane controversy comes as federal homelessness policy undergoes a significant change. The Trump administration's Department of Health and Human Services and Department of Housing and Urban Development announced a shift toward a “Treatment First” approach in August 2026. The administration says federal homelessness programs will place greater emphasis on treatment, addiction recovery and long-term self-sufficiency rather than relying primarily on Housing First policies. Washington in Focus examines Spokane crime, Spokane homelessness, downtown Spokane businesses, Urbanna Natural Spa, Catholic Charities Eastern Washington, Rob McCann, Kevin Dahlgren, Housing First, Treatment First, drug addiction, homelessness policy, small business closures, public safety and the changing federal approach to homelessness in America. Want the next important update by text? Get the Washington state government and policy developments worth your attention sent straight to your phone. Text TCSWA to 206-944-3016 or sign up here: https://joinsubtext.com/c/thecentersquarewa Msg & data rates may apply. #Spokane #SpokaneWA #Homelessness #HousingFirst #SmallBusiness #Crime #PublicSafety #CatholicCharities #WashingtonState #WashingtonNews #DrugCrisis #TreatmentFirst #TheCenterSquare #WashingtonInFocus