HUD Suspends LA Homeless Services Funding
HUD says LAHSA’s controls failed and taxpayers lost $2.1 million to a nonprofit tied to the former CEO’s husband.
- On Thursday, the U.S. Department of Housing and Urban Development suspended funding for the Los Angeles Homeless Services Authority , citing 'repeated false statements' and management failures while launching an investigation.
- The investigation follows years of scandal at LAHSA, including documented failures to meet outreach goals and a court-ordered audit finding that the agency could not account for $2.5 billion in taxpayer funds.
- Overseen by Vice President Vance, the Task Force to Eliminate Fraud initiated the suspension. HUD Secretary Scott Turner stated, "Under President Trump's leadership, HUD will fund results, not corrupt failure."
- This funding pause threatens more than $220 million in Continuum of Care grants for the 2025-2026 operating year. Los Angeles Mayor Karen Bass acknowledged shared concerns but urged HUD to continue essential funding.
- The move signals a broader Trump administration push to eliminate Continuum of Care funding and shift away from a 'housing-first' approach to addressing homelessness, aiming to end federal financing of the local system.
15 Articles
15 Articles
HUD Suspends Funding to Los Angeles Homeless Agency Citing Fraud and Mismanagement
HUD Cuts Funding to LAHSA Amid Fraud Allegations The Department of Housing and Urban Development has suspended federal funding to the Los Angeles Homeless Services Authority (LAHSA) effective immediately, citing “obvious fraud,” “wanton mismanagement,” and a failure to safeguard taxpayer dollars. The suspension, announced June 12, 2026, was conveyed in a letter to LAHSA board […]
‘Gross Misuse Of Federal Funding’: Trump Admin Blocks Payments To ‘Obviously Fraudulent’ Los Angeles Homeless Agency
By Joseph Buff via The Daily Signal | June 12, 2026 The Department of Housing and Urban Development under President Donald Trump announced an “immediate suspension” on all funding to the Los Angeles Homeless Services Authority, citing a “clear pattern of fraud.” “Year after year, hundreds of millions of taxpayer dollars were funneled to LAHSA with little accountability,” HUD Secretary Scott Turner said in a statement Thursday. “Meanwhile, homele…
Trump Administration Suspends Los Angeles Homeless Services Funding
Source: Genaro Molina / Getty The Trump administration’s attacks on the poor and unhoused continued last week after it announced that they cut federal funds from a Los Angeles homelessness agency. The New York Times reports that the Department of Housing and Urban Development (HUD) sent a letter to the Los Angeles Homeless Services Authority (LAHSA) on Thursday informing it that it will immediately suspend the agency’s funding and launch an inv…
HUD Suspends Federal Homeless Funding to Los Angeles in Wake of Fraud Allegations
Los Angeles officials are dismissing the move as political theater. However, the missing tens of millions, unverifiable housing sites, and documented conflicts of interest are not partisan talking points; they are governance failures with real human consequences.
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