According to Docket 871: THE ALVAREZ AND MARSAL (A&M) ASSESSMENT OF LOS ANGELES CITY HOMELESSNESS PROGRAMS (March 06, 2025) finds that:
“As discussed in detail throughout this report, due to the manner in which the City recorded expenditures for homelessness assistance services ($2.3 billion), A&M was unable to completely quantify the total amount spent by the City for each component of the City Programs using the data provided. Multiple funding sources and allocations across various City departments resulted in fragmented accounting records. A&M identified that the City and LAHSA did not initially provide all requested financial data, prompting A&M to make multiple efforts to identify, trace, and reconcile relevant data as it was produced to A&M. Further, A&M relied on the financial data produced by the City and LAHSA, as A&M did not have direct access to the financial information systems. Therefore, since the City and LAHSA were unable to identify and calculate the relevant expenses for all City Programs, A&M was unable to quantify the total amount of money spent to establish the beds and provide associated supportive services.”
J.T.
Unless I’m missing something, “being unable to quantify the total amount of money spent” does not mean “LA has lost at least $2.3 billion.” A lack of good accounting is something to be concerned about, of course, but I do not see any support for your conclusion that $2.3 billion has been lost.
Hi George,
So if you don’t consider the money lost, but an independent auditor is unable to hold either the city or LAHSA as an agency accountable for their expenditures over these fiscal years, then how would you expect someone in need of those services, or smaller, less resourced communities to see just where those dollars have been applied fairly and efficiently?
The argument is that if we don’t have receipts to show for taxpayer money allocated to addressing homelessness in Los Angeles, that money’s as good as lost, and all the more so given the number of people evicted across the city following the pandemic even as we still wait for new shelters and interim or permanent housing and services to come online.
In the words of representatives for the plaintiffs in this case: “Every day that goes by there’s people on the street that are not receiving the services that the city is paying for.”
J.T.
Imo since it’s LA, how can anyone take issue with accountability. Lack of same in CA gov is normal.