The Los Angeles County Board of Supervisors has approved a significant plan that will shift a large amount of funding away from the region’s homeless services agency, the Los Angeles Homeless Services Authority (LAHSA). This decision, made on Tuesday with a 4-0 vote, comes despite concerns raised by L.A. Mayor Karen Bass about the potential disruption to efforts aimed at combating homelessness in the area.
Under the new strategy, the supervisors will create a separate county department dedicated to homelessness, which is expected to have a budget exceeding $1 billion. By July 2026, over $300 million from the recently enacted Measure A, a half-percent sales tax intended for housing and homelessness services, will be redirected from LAHSA to this new agency. Additionally, more than 700 county employees will be transferred to the new department by early January 2026, with hundreds more expected to follow.
Supervisors believe that this restructuring will enhance oversight and accountability regarding how taxpayer dollars are spent on homelessness services. They cited recommendations from a blue-ribbon commission that called for a new organization to streamline LAHSA’s responsibilities and address ongoing frustrations regarding its management. Recent audits have criticized LAHSA for its lack of financial oversight and accountability.
However, the move has sparked a heated debate. Mayor Bass and several city council members voiced their concerns before the vote, warning that this change could lead to a "monumental disruption" in the progress made to tackle homelessness. They fear that the city will lose essential resources and that the overall situation may worsen as a result of the funding shift.
LAHSA, which has been under scrutiny for its management of funds and services, currently relies heavily on county support, making up about 40% of its annual budget. The board’s decision raises questions about the future of LAHSA and its ability to continue its work amid such a significant budget cut.
Supporters of the plan, including Supervisor Lindsey Horvath, argue that the county needs to take decisive action to ensure that the funds generated by Measure A are effectively utilized. They point to successful programs, like the county’s Housing for Health initiative, as models for the new agency.
Critics, however, worry that the rapid pace of these changes, without a clear strategy, could lead to further complications in addressing homelessness. Some council members have called for a delay in the implementation of the new agency, emphasizing the need for a more thoughtful approach.
As the county moves forward with its plan, the implications for LAHSA and the broader fight against homelessness in Los Angeles remain to be seen. The board’s decision marks a pivotal moment in the ongoing struggle to address one of the city’s most pressing issues.