homelessness

Task Force to Focus on Los Angeles County and Six Other Southern California Counties

U.S. Attorney Bill Essayli announced a new Homelessness Fraud and Corruption Task Force to investigate misuse of funds intended to fight homelessness in seven California counties: Los Angeles, Orange, Riverside, San Bernardino, San Luis Obispo, Santa Barbara, and Ventura.

The task force includes federal prosecutors from the Major Frauds, Public Corruption and Civil Rights, and Civil Fraud sections of the U.S. Attorney’s Office for the Central District of California. Federal partners include the FBI, the Department of Housing and Urban Development’s Inspector General, and the IRS Criminal Investigation division.

Los Angeles County alone has more than 75,000 people experiencing homelessness, including over 45,000 in the city of Los Angeles. The other six counties combined have more than 20,000.

Essayli said voters have supported large funding efforts, but billions in spending have failed to solve the crisis. A recent audit found serious problems with how Los Angeles City and County manage homelessness services, including bad data and weak financial oversight.

“California has spent more than $24 billion over the past five years to address homelessness,” Essayli said. “But officials have been unable to account for all the expenditures and outcomes, and the homeless crisis has only gotten worse. Taxpayers deserve answers.”

Los Angeles officials have started pulling away from LAHSA, the joint city-county agency overseeing homeless services. LAHSA has faced repeated criticism over waste, inefficiency, and lack of transparency (Daily News).

Federal support continues despite the concerns. During the pandemic, $100 million in emergency funds went to Los Angeles County. Last month, HUD awarded more than $200 million to address homelessness in the region.

The new task force will prioritize reviewing federal, state, and local programs that receive federal funding. It will also investigate fraud involving private donations meant to help unhoused people.

“Any exploitation of the homelessness crisis via the theft of funds intended to improve conditions cannot and will not be tolerated,” said Akil Davis of the FBI’s Los Angeles Field Office.

Tyler Hatcher of IRS Criminal Investigation added, “We’re uniquely poised to track any funds granted through federal programs and will help ensure money is spent properly.”

Essayli became U.S. attorney for the Central District of California on April 2 (Daily News). He previously served two terms in the California State Assembly.

Los Angeles Mayor Karen Bass expressed concern about the task force, saying she only learned about it on Tuesday. In a radio interview, she warned against what she called a “fishing expedition.”

“Our purpose is to end homelessness, and especially street homelessness. We do not need to be distracted from our number one mission,” she said.

Bass’s press secretary, Clara Karger, pointed to a 10% drop in street homelessness in 2024 as proof that current efforts are working.

“We’ll continue to focus on saving lives and disrupting the status quo,” Karger said.

After debate and multiple amendments, the Los Angeles County Board of Supervisors unanimously approved a $637 million budget for homelessness services on Tuesday, March 25.

The approved funds include:

• Over $535 million from the 2025–26 Measure A Comprehensive Homelessness Services budget

• $59 million in one-time carryover from Measure H

• $42 million from the State’s Homeless Housing, Assistance and Prevention Program

More than $96 million from the Local Solutions Fund will go to cities and unincorporated areas. The board had six funding formulas to choose from. Senior Manager Carter Hewgley said Formula No. 6 best encouraged local progress, but the board ultimately adopted Formula No. 4 after an amendment from Supervisor Janice Hahn. She said this formula offered a fairer distribution.

Some city leaders disagreed with the board’s approach. Palmdale Mayor Richard Loa said the plan would reduce funds for communities that need them most. A representative from Councilmember Nithya Raman’s office echoed that concern, noting both Raman and Mayor Karen Bass opposed the new funding metrics.

Several residents also voiced concerns during public comment, especially about a $7 million reduction for new programs and youth homelessness services. Speakers urged the board to prioritize support for youth and immigrant communities who are unhoused or at risk.

Supervisor Lindsey Horvath said Formula No. 4 helped most cities but agreed more prevention efforts were needed. She proposed amendments to restore funding for housing navigation, transitional housing, and youth services.

Supervisor Holly Mitchell opposed that reallocation, explaining she supported prevention but did not want to reduce funding for the Pathway Home Program. The board reached a compromise and adjusted the funding accordingly.

Some commenters asked the board to delay the vote, but Mitchell emphasized the need to act quickly. The board voted 5–0 to approve the funding plan.

Supervisor Janice Hahn said:

“Thanks to voters, our county’s 88 cities will finally have direct, reliable funding to address the unique homeless crises facing their communities with the solutions that work best for their residents. But just because this is new, doesn’t mean we should start small. I want to get our cities the most amount of funding possible so they can start strong, make a difference in unsheltered homelessness, and be real partners in this work with us.”

After the vote, Supervisor Lindsey Horvath released this statement:

“Our communities are tired of the status quo. They are frustrated with sharing their voices only for them to be ignored in the process. The days of rubber stamping are over. It’s time for outcome-based budgeting, where we invest in programs that house the most people with our limited dollars, and standardize care across our system.

“We must ensure every dollar invested in homeless services is used wisely and leads to real results. Cutting funds for our transition-age youth is both cruel and irresponsible, and sacrificing our prevention services cuts our most cost-effective way to keep people housed and risks increasing flow into homelessness. We need more transparency and to genuinely listen to those who are directly impacted.

“This budget underscores the urgent need to consolidate homelessness services into one department, allowing us to better track investments and outcomes, and standardize services to maximize every dollar spent.”

On Tuesday, the Board of Supervisors unanimously approved the establishment of year-round emergency homelessness shelters that will operate 24 hours a day, seven days a week. This decision marks a significant step in addressing the growing homeless crisis in Los Angeles County.

Under a motion proposed by Supervisors Kathryn Barger and Lindsey Horvath, the board has directed the county CEO to develop a strategy for creating eight round-the-clock shelters, one in each of the county’s Service Planning Areas. Barger and Horvath emphasized the urgency of providing shelter and emergency care for unhoused individuals amid an ongoing climate crisis.

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