Trump officials cut federal funds to LA homeless services agency
Summary
The Trump administration has stopped federal funding to the Los Angeles Homeless Services Authority (LAHSA) due to allegations of fraud and misuse of funds. LAHSA and local officials say the agency is working to fix problems, and they want the federal government to cooperate with the city to continue helping homeless people.Key Facts
- The U.S. Department of Housing and Urban Development (HUD) suspended federal funds to LAHSA pending an investigation into fraud allegations.
- HUD Secretary Scott Turner criticized LAHSA for putting its interests ahead of homeless Americans.
- LAHSA received nearly $1 billion in federal funds over the past five years, making up about 8% of its current budget.
- Los Angeles had an estimated homeless population of about 72,308 in 2025, down from 75,518 in 2023.
- LA County redirected $300 million from LAHSA to start a new county homeless services department earlier this year.
- Local leaders, including LA County Supervisor Lindsey Horvath and Mayor Karen Bass, want accountability but say cutting federal funds hurts homelessness reduction efforts.
- HUD alleges LAHSA violated conflict-of-interest rules, misused funds on empty hotel rooms, and failed to document housing sites.
- LAHSA claims it has made reforms and improved oversight, showing progress in reducing homelessness in recent years.
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