HUD Pulls Federal Funding From Los Angeles County Homeless Services Authority

CBS LA

June 12, 2026

The U.S. Department of Housing and Urban Development on Thursday suspended federal funding for the Los Angeles Homeless Services Authority after investigators claimed the local agency "abused hundreds of millions of tax dollars per year."

In a letter to LAHSA executives, HUD staff said they "uncovered evidence" that LAHSA lacked financial management, internal controls and safeguards against conflicts of interest for the $944 million it has received since 2021.

"Year after year, hundreds of millions of taxpayer dollars were funneled to LAHSA with little accountability," Housing Secretary Scott Turner said. Meanwhile, homelessness skyrocketed. Taxpayers will no longer bankroll an organization that puts its own self-interests ahead of the Americans it was created to serve."

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