Source: Fox News
Summary
The Department of Housing and Urban Development (HUD) has suspended funding to the Los Angeles Homeless Services Authority (LAHSA) due to allegations of “obvious fraud,” “wanton mismanagement,” and failure to safeguard taxpayer dollars. The suspension comes after years of criticism that billions of dollars in homelessness spending in Los Angeles have not led to significant improvements. LAHSA’s former top executive resigned last year after being found to have directed federal funds to her husband’s nonprofit employer. HUD says a federal judge concluded that LAHSA had committed “obvious fraud” and that the agency’s inability to verify the existence of nearly 2,300 housing sites is another issue. Public audits have also found a pattern of poor record keeping and late payment to service providers.
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As expected, the matter has reached another stage.
The Department of Housing and Urban Development (HUD) has suspended funding to the Los Angeles Homeless Services Authority (LAHSA) due to allegations of “obvious fraud” and “wanton mismanagement.” The suspension comes after years of criticism that billions of dollars in homelessness spending in Los Angeles have not led to significant improvements. HUD says a federal judge concluded that LAHSA had committed “obvious fraud” and that the agency’s inability to verify the existence of nearly 2,300 housing sites is another issue. The move puts one of the country’s biggest homelessness bureaucracies under direct federal scrutiny. It’s a familiar pattern: criticism, audits, and now, a suspension of funding.
Author: Evan Null
