MSPs said they were delighted that the Havilah Project run by St Andrew's Parish Church in Arbroath will continue to have an impact in the community.
The drop-in centre offers free tea, coffee, biscuits and soup lunches between noon and 3pm, five days a week.
People can also access advice that can help to break the destructive cycle of addiction.
A motion congratulating the project, signed by 13 parliamentarians so far, has been lodged at Holyrood by Conservative MSP Liam Kerr.
Rev Martin Fair, minister at St Andrew's Parish Church, said: "I am very pleased that the hard work of more than 20 volunteers who give their time selflessly has been recognised in the Scottish Parliament.
"It is a real encouragement and they will be absolutely delighted.
"None of them do it for reward or recognition but it is nice when people take notice of their hard work."
Fair said the Big Lottery Fund grant will give the programme five years of funding and will make"all the difference in the world."
He added: "The money gives us some longer term security because until now we have managed to get by but it is always one year at a time.
"We were always trying to scratch together the money at the last minute."
