LA County defunds LA Homeless Services Authority, creates its own department

LOS ANGELES - On the day a new local tax took effect to combat homelessness, Los Angeles County officials voted to create a new department to coordinate regional homeless services, effectively defunding the Los Angeles Homeless Services Authority (LAHSA). 

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What we know:

Under the plan approved Tuesday on a 4-0 vote, with Supervisor Holly Mitchell abstaining, the new county agency is expected to be in place by Jan. 1, with all funding pulled from the Los Angeles Homeless Services Authority and transferred to the new county department by July 1, 2026.

The backstory:

The LAHSA is a joint county-city agency that has long overseen such programs but has come under fire due to the persistent crisis of people living on the streets.

LAHSA has faced criticism for its handling of homelessness services, with concerns about contract delays and unaccounted funds. 

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Supervisor Lindsey Horvath emphasized the urgency of change, citing the daily deaths of individuals on the streets. 

The Blue Ribbon Commission on Homelessness previously recommended reforms to the system.

What they're saying:

Supervisor Janice Hahn said concerns about the operations of LAHSA and the accounting of millions of dollars in anti-homelessness funding signaled a need for a course change.

"We need to treat homelessness like the crisis it is -- but problems with LAHSA (like contract delays & unaccounted funds) have been roadblocks," she said in a statement. "It's time to make a change. That is why I am voting to redirect county funding from LAHSA and create a county Homeless Services Department.

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Horvath, who championed the motion along with Supervisor Kathryn Barger, said the county's urgency is warranted, saying, "Seven people a day die on our streets in Los Angeles County."

"We have studied the homeless service system to death," Horvath said. "Three years ago, the Blue Ribbon Commission on Homelessness conducted an exhaustive study of our complex system and offered common-sense reforms. Today, we're discussing implementing two of the (commission's) recommendations, at long last."

Horvath insisted that the current system of homeless services is "siloed and accountability is diffuse."

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The other side:

Mayor Karen Bass and Councilwoman Nithya Raman opposed the move, arguing it would disrupt progress and essential resources.

In their letter to the board, however, Bass and Raman said the county's action represents a step backward, with the county branching out on its own and away from coordination with the city.

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"Dismantling LAHSA will deprive the city of Los Angeles of essential resources, including recent voter-approved Measure A funding, and would severely stunt the city's ability to oversee existing programs that provide holistic solutions to individuals with complex needs," they wrote. "Real people rely on these resources every day and this move puts that life-saving care in jeopardy. This action would create a monumental disruption in the progress we are making and runs the serious risk of worsening our homelessness crisis, not ending it. It will signal a surrender that street homelessness is a permanent fixture in Los Angeles -- and as leaders here in the city, we disagree with that assumption."

LA City Council members Bob Blumenfield, Katy Yaroslavsky, Tim McOsker and Ysabel Jurado also addressed the board expressing concerns about de-funding LAHSA, saying it would hinder progress on curbing homelessness. 

The council members stressed that the shared goal was being overlooked in the move.

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"LAHSA desperately needs more transparency and accountability. However, the speed at which the county is moving raises serious concerns about service disruptions," Jurado said in a statement. "As the council member representing the district with the highest density of unhoused people, I know that any delay in services can be a matter of life or death. We need to balance accountability with stability. Even a divorce doesn't happen overnight."

LAHSA Responds:

Dr. Va Lecia Adams Kellum, CEO of the Los Angeles Homeless Services Authority, released the following statement after the BOS vote on its relationship with LAHSA: 

"Over the last two years, with unprecedented alignment and collaboration, we’ve made unprecedented progress in reducing unsheltered homelessness in two consecutive years and creating a more efficient rehousing system. We could not have achieved this progress without the dedication and sacrifice of the team at LAHSA."

"LAHSA will work to ensure a smooth transition, allowing our clients to continue on their path to permanent housing as seamlessly as possible. We urge the County to hire as many of LAHSA’s dedicated staff as possible while remaining committed to pursuing the coordination and alignment that have led to two consecutive years of decreases in unsheltered homelessness."

Why you should care:

The decision has sparked debate over the future of homelessness services in the region, with concerns about the impact on existing programs and resources.

What's next:

The county's decision coincides with the implementation of a new quarter-cent sales tax to fund anti-homelessness programs, approved by voters through Measure A. 

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The tax aims to provide additional resources for addressing homelessness, replacing a previous tax set to expire in 2027.

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