LOS ANGELES, CA – Los Angeles City Controller Kenneth Mejia has reported that over $500 million earmarked for homelessness programs during the 2023-2024 fiscal year went unspent. The city had allocated $1.3 billion for a range of initiatives, but only about $800 million was spent or committed, according to Mejia.
“This is about providing transparency and accountability for tax dollars,” Mejia said, emphasizing the public’s demand for clarity on how funds are being used, particularly after the passage of Measure A, which focused on addressing homelessness.
The unspent funds will likely be rolled into this year’s budget for homelessness programs, city officials said, with much of the money restricted to homelessness-related expenditures. Any discretionary funds, they added, are expected to be reinvested by the City Council.
Mayor Karen Bass’s office defended the city’s strategy, citing progress made under her administration. A spokesperson highlighted her Inside Safe initiative, which aims to provide emergency shelter and reduce street homelessness.
“Mayor Bass has been executing a prudent and comprehensive strategy that brought down homelessness overall for the first time in years and reduced street homelessness by 10%,” said Bass spokesperson Zachary Seidl. “Even before taking office, she warned that the city’s antiquated systems would get in the way, but she has been leading the charge to fix these issues head-on.”
Mejia noted that staffing shortages in city departments have contributed to the difficulty of delivering some services and programs. Tracking the movement and allocation of funds has also been a challenge.
“We know that if we put our money to work effectively, it can lead to tangible, positive results,” Mejia said. “Homelessness remains at record levels, with an estimated 45,000 people unhoused. Half a billion dollars is a lot of money that could make a significant difference.”
The controller’s report underscores the persistent challenges of addressing homelessness in Los Angeles, despite significant funding. Officials and advocates alike are calling for continued investments and more efficient spending to address the city’s pressing homelessness crisis.
