L.A. County Takes Over Homelessness Funding Oversight

Los Angeles County has officially assumed control of hundreds of millions of dollars in homelessness funding, marking a significant change in how services are managed throughout the region. Effective this week, the county’s newly established Homeless Services and Housing (HSH) department has taken over responsibilities previously handled by the Los Angeles Homeless Services Authority (LAHSA). The transition follows years of financial audits and criticism over LAHSA’s inability to adequately track spending and manage billions in public funds. HSH, led by Sarah Mahin, will oversee an $843 million budget with a renewed focus on transparency, accountability and improved service delivery.

County officials reported early signs of progress under the new system. Response times to encampments have dropped from as long as six to nine months to an average of 45 days, while 97% of service provider invoices are now being paid on time. The county also reported strong housing retention rates, with 91% of people placed into permanent housing one year ago remaining housed today. In addition, most county-funded LAHSA employees have been hired by HSH, helping preserve experienced outreach teams and continuity of care.

Despite the positive outlook, county leaders expressed concern over the potential loss of federal homelessness funding, which currently helps house more than 11,000 people across Los Angeles County. Officials warned that any reduction in federal support could jeopardize housing stability for thousands of residents and slow progress toward reducing homelessness. Meanwhile, the Los Angeles City Council continues to evaluate whether some city-managed homelessness programs should also transition away from LAHSA in the future.

For organizations like the Los Angeles House of Ruth, the county’s new approach could bring meaningful benefits, including faster contract payments, improved coordination with county agencies and greater accountability in the distribution of homelessness funding. If HSH delivers on its goals of efficiency and outcome-based management, nonprofit service providers may be better positioned to focus resources on serving individuals and families experiencing homelessness rather than navigating administrative delays.

Read the full article on the LAist website.