L.A. County supervisors voted 4-0 Tuesday to move funding and personnel out of the Los Angeles Homeless Services Authority (LAHSA) and form a standalone county agency for the unhoused. The vote marks a pivotal shift in homelessness policies in L.A. County. It’s also the biggest sign yet that local officials are fed up with LAHSA.
The vote coincides with a new half-percent sales tax increase which took effect Tuesday. Passed by voters in November, Measure A is expected to generate over $1 billion per year. Approximately 60% will go to county homeless services. Individual cities, councils of government, and unincorporated areas will receive around 15%.
By July of 2026, county supervisors plan to move some $300 million in Measure A funds out of LAHSA and redirect them toward the new county agency. By January 1, hundreds of county workers would be transferred as well.
“This moment is about the county taking the dollars that taxpayers have entrusted to us and investing them in what works,” said Supervisor Lindsey Horvath, who championed the proposal.
LAHSA has been accused of opacity and mismanagement for years. Lately, the criticisms have reached a fever pitch. A recent audit found a lack of oversight and clarity in LAHSA’s contracts with vendors, making the agency vulnerable to waste, fraud, and abuse. The probe found “a high level of noncompliance" among contracts. It also found problems with the agency’s collection and maintenance of data, which has jeopardized equitable distribution of services. Due to the lack of information collected and provided by LAHSA, the auditors were unable to track progress for approximately $2.3 billion in spending.
The county’s move has received pushback from L.A. Mayor Karen Bass and several members of the L.A. City Council, however. In a letter, they warned that shifting funds away from LAHSA “would create a monumental disruption in the progress we are making and runs the serious risk of worsening our homelessness crisis, not ending it.”
One county supervisor, Holly Mitchell, was skeptical enough that she abstained from Tuesday’s vote. Mitchell expressed concerns that the county was moving too quickly and needed to develop a more comprehensive plan. The rest of the board was in favor of the change.
Read more about Tuesday’s vote here.