LOS ANGELES, CA (Thechieftainspear) – A recent audit has raised serious concerns about the financial oversight of billions of dollars allocated to homeless services in Los Angeles. Conducted by Alvarez & Marsal Public Sector Services (A&M), the court-ordered review revealed significant gaps in tracking how funds were spent, highlighting inefficiencies within the Los Angeles Homeless Services Authority (LAHSA).
The audit, submitted to U.S. District Judge David O. Carter, analyzed three major city-funded initiatives—Inside Safe, the Roadmap Program, and the Alliance Settlement Program—between June 2020 and June 2024. While approximately $2.3 billion was designated for these programs, the assessment found that due to disorganized data management, inconsistent financial reporting, and lack of coordination among city and county agencies, much of the spending remains untraceable.
The findings indicate widespread mismanagement, with auditors unable to determine exactly how much money went toward actual services or whether those services were effective. The report noted that nearly half of those who sought help from LAHSA remained homeless, while only 22% successfully transitioned into permanent housing.
Also Read – FBI Posts $10M Reward for Ex-Olympic Snowboarder Accused of Drug Trafficking
In addition to concerns over missing funds, LAHSA has faced previous scrutiny over financial dealings. Recent reports highlighted a $2.1 million contract awarded to a nonprofit organization where LAHSA CEO Va Lecia Adams Kellum’s husband holds a leadership role, raising questions about potential conflicts of interest.
LAHSA’s funding is partially derived from sales tax revenue, including money from Measure A, a tax increase approved by voters to support homeless services. In light of the audit, L.A. County Supervisors Lindsey Horvath and Kathryn Barger have suggested the county should assume greater control over homelessness programs, citing the need for stronger accountability measures.
With billions of taxpayer dollars at stake, the findings of the audit are expected to fuel further debate over how Los Angeles manages its homelessness crisis and whether major reforms are needed to ensure funds are used effectively.
