Esther Foundation replacement announced

A Perth-based alcohol and drug treatment service will take over the former Esther Foundation facility in a two-year deal with the state government funding more than $4 million.

The Esther Foundation, a faith-based residential treatment facility for women and teenagers, entered voluntary administration on April 20.

The state government announced today that Cyrenian House will be providing support to the remaining Esther Foundation residents of 19 women and seven children.

Community Services Minister Simone McGurk said the state government and Cyrenian House agreed to an interim service of two years, while exploring long-term options.

The state government will fund Cyrenian Housen for the two-year period at a projected $2.2 million per year.

“The immediate priority is the wellbeing of the Esther Foundation’s existing clients, and the new provider will support them, as well as provide an ongoing service to young women in crisis,” Ms McGurk said.

“The assistance provided will transition over time, moving to a holistic model that enables young women to be supported with a range of complex needs, including family violence, homelessness, substance misuse and mental health concerns.

“This interim service will support the state government’s commitment to earlier interventions that enable children to stay safe and together with their mother or caregiver.”

Cyrenian House is based on Fitzgerald Street, Perth, and operates services around WA including Milliya Rumurra Outreach Service in Broome, North Metro Community Alcohol and Drug Service Joondalup and Wandoo Rehabilitation Prison Therapeutic Community in Murdoch.

Mental Health Minister Amber-Jade Sanderson said the mental health commission's relationship with Cyrenian was longstanding.

The state government referred the Esther Foundation to a committee for review over allegations of abuse and mistreatment in early April.

The inquiry into the foundation’s complaint handling processes is ongoing, with submissions closing on June 3 and the committee expected to report back by December.

The Esther Foundation released a statement on its website the day it entered voluntary administration.

“The recent media campaign has caused significant reputational damage to the foundation, such that our funding base has reduced to the extent that we are likely become insolvent in the very near future, and accordingly under law we cannot continue to operate in this event,” the statement said.