WATSONVILLE - A place serving the needy is now in its own crisis.
Three salvation army shelters in Watsonville announced their closing up shop, leaving 50 people on the central coast without a home.
It's all part of the economy that won't seem to make a full recovery.
This year, the Salvation Army in Watsonville is facing a $202,000 deficit.
Over the past 10 years, the deficit is about $1 million.
Despite months of trying to crunch numbers, the shelters will have to shut its doors on Aug. 15.
Carol Schwartz has no where to go and no where to turn when the shelters close.
She spent the day reading at the Watsonville Public Library trying to take her mind off the fact she must find a new home in less than 60 days.
"I knew that something was going to come up, but I didn't think they were going to do this this soon. I kind of felt things were wrong. I didn't know what to say or do," she said.
After living on the streets, she spent the last eight months living at the Watsonville Salvation Army.
Now, she and about 50 other people are worried that's where they'll be again.
"I was hurt, but I guess that's the way it goes, but I just put up the boot straps and said, 'Well, we gotta do what we gotta,'" Schwartz said.
The Salvation Army said it wasn't an easy decision.
"it was not easy to do this, but it was the last thing to do and we have to do it because the finances of this place," said Demetrio Villareal, captain for the Watsonville Salvation Army.
Villareal said the Salvation Army's deficit grows every year and finally reached a point where it couldn't divert any more money into the shelters, or would have to stop other basic services.
"A little hard, but I'm dealing with it," Schwartz said.
One shelter at the Watsonville Salvation Army isn't closing.
It houses women in drug and alcohol rehab and their kids.
