According to HUD data, LAHSA got $29.8 million in Continuum of Care funding from the program in 2020. HUD awarded the Authority more than $149 million in CoC funding between 2016 and 2020.
LOS ANGELES – A recent audit of the Los Angeles Homeless Services Authority (LAHSA) has come under fire from HUD for not spending money received under its Continuum of Care funding. The report is dated January 20, 2022 and denotes multiple instances of LAHSA not spending the money as HUD intended.
The dispute highlights how federal agencies that regulate housing policy administer resources to those without homes.
The Authority did not fully meet the goals and objectives of the program and did not always follow program requirements. Specifically, it (1) did not use $3.5 million in CoC grant awards and left the funds to expire, (2) did not support Homeless Management Information System and planning grant costs, and (3) did not submit timely annual performance reports (APR). As a result, the unused CoC funds represent a missed opportunity to meet the program’s goals of assisting the homeless, the U.S. Department of Housing and Urban Development (HUD) does not have assurance $879,847 in salary and rent costs were for the CoC grants, and CoC funds may have unnecessarily sat idle and unavailable for future awards.
The report also identified issues with providing supporting documents to justify certain expenditures.
As a result, the unused CoC funds represent a missed opportunity to meet the program’s goals of assisting the homeless, the U.S. Department of Housing and Urban Development (HUD) does not have assurance $879,847 in salary and rent costs were for the CoC grants, and CoC funds may have unnecessarily sat idle and unavailable for future awards.
The Continuum of Care, is a grant program administered by HUD, and is the main source of federal money to help the homeless. Between 2017 and 2019, HUD periodically allocated grants to the L.A. homeless authority, which reports to both L.A.’s city and county government.
The HUD audit contends that during this time LAHSA had “20 expired grants of almost $3.5 million in unused funds.” The inspector general report points to high employee turnover at LAHSA, and difficulty staffing the entity with people who could allocate the money, which typically goes to other local government agencies, housing trusts, nonprofit and charity groups.
HOMELESSNESS INCREASES
According to point-in-time homeless counts reported by the Authority, the homeless population in Los Angeles County generally increased between 2017 and 2020. The sheltered and unsheltered homeless count dropped in 2018, the year after local Measure H funding became available in 2017, but increased in the following years. By 2020 the homeless count was approximately 21 percent higher than in 2017.
According to point-in-time homeless counts reported by the Authority, the homeless population in Los Angeles County generally increased between 2017 and 2020. The sheltered and unsheltered homeless count dropped in 2018, the year after local Measure H funding became available in 2017, but increased in the following years. By 2020 the homeless count was approximately 21 percent higher than in 2017.
The unspent money “primarily impacted spending on leases and rental assistance” or “the activity that directly affects the number of homeless persons on the streets,” the inspector general report stated, adding that LAHSA spent only 41% of the budgeted amount for leases and rental assistance, or $1.5 million out of $3.7 million.
We recommend that the Director of HUD’s Los Angeles Office of Community Planning and Development require the Authority to (1) develop and implement policies and procedures to ensure that grant agreements are executed in a timely manner and effective monitoring is performed to prevent similar occurrences of grant funds going unused, (2) support payroll and rent costs or repay its CoC grants $879,847 from non-Federal funds, and (3) develop policies and procedures to ensure APRs are submitted in a timely manner and personnel are routinely trained on the grant closeout process.
We recommend that the Director of HUD’s Los Angeles Office of Community Planning and Development require the Authority to (1) develop and implement policies and procedures to ensure that grant agreements are executed in a timely manner and effective monitoring is performed to prevent similar occurrences of grant funds going unused, (2) support payroll and rent costs or repay its CoC grants $879,847 from non-Federal funds, and (3) develop policies and procedures to ensure APRs are submitted in a timely manner and personnel are routinely trained on the grant closeout process.
Read the full audit by clicking here.
1 Comment
So much to respond to…
LAHSA employees probably did not go home to their shelters hungry !!
It is true food should be kept at food-safe temperatures in order to keep bacteria from causing illness, however , there is little chance that on a routine basis there is not a great quantity of food which is rejected by some that will not be accepted by others in need.
Yes some homeless may not want some of “this day’s offering” but good golly throwing that food in the trash is completely not acceptable!
How is it that there is not a radio system that teams can say “We have extra does anyone have more people who need.?” And then drive there. ..Or here is a concept- have various locations where prepared food can be stored till the next meal period.? What person over 18 hasn’t pulled last night’s pizza out of the fridge for a quick morning taste treat rather than stopping for the morning donut!
It is beyond crazy that anyone suggest they have trouble getting quality food into the hands of the hungry. These undistributed meals could be added as extras for the Meals on Wheels programs or seniors centers for those who may have homes but whose social security funds leave them with choosing between being uncomfortably cold to save gas and having a full three meal day.
Clearly these employees have hardened hearts with a built-in excuse for disrespecting the concept of seeing donated foods go to those in need, as well as a willingness to not effectively perform to the “spirit of the job” rather than least required mandate of the job.
I wonder if maybe hiring homeless to distribute the food may be a better option?