Los Angeles Delays Takeover of Homeless Services Authority Amid Funding Concerns

City officials in Los Angeles missed the July 1 deadline to begin a takeover of the Los Angeles Homeless Services Authority (LAHSA). The Homelessness and Housing Committee, chaired by Councilmember Nithya Raman, was to hire an outside consultant for roughly $450,000 to evaluate how the city could assume LAHSA’s programs, but no consultant was selected, pushing the completion date to December 2027.

LAHSA has been under intense scrutiny after audits revealed financial mismanagement, a federal hold on nearly $200 million in homelessness aid, and failures to monitor thousands of housing sites. Despite these issues, the city budget added $358 million to LAHSA this year. Mayor Karen Bass set a series of 30‑, 45‑, 60‑ and 90‑day timelines for reforms, but progress has stalled, drawing criticism from council members and raising concerns about oversight of homelessness services ahead of the 2028 Olympics.