August 6, 2026
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Palisades Council Demands Homelessness Fund Mismanagement Investigation

Photo: Getty

In a Letter Sent to Multiple Public Officials, the Council Expressed Concern Over the Lack of Accountability and Possible Corruption

The Pacific Palisades Community Council (PPCC) has formally requested federal and state investigations into the mismanagement of funds allocated to address the homelessness crisis in Los Angeles.

Citing recent audits and investigative journalism, the council claims that billions of taxpayer dollars intended to alleviate homelessness have been misused, resulting in little improvement in the region’s homeless population, which exceeded 75,500 people in 2023.

In a letter sent to multiple public officials, including U.S. Senators Alex Padilla and Laphonza Butler, California Governor Gavin Newsom, and Attorney General Rob Bonta, the council expressed concern over the lack of accountability and possible corruption in the handling of federal, state, county, and city funds meant to tackle the issue. They referenced audit findings that revealed systemic failures in tracking spending and outcomes of homelessness programs.

A state audit released earlier this year revealed that the California Interagency Council on Homelessness (Cal ICH) failed to consistently track spending data and program outcomes, making it difficult to assess the effectiveness of billions in state and local funding. 

Programs such as the State Rental Assistance Program and Encampment Resolution Funding Program were flagged for insufficient data, preventing full evaluations of their impact. Additionally, a separate audit of Los Angeles’ spending found inadequate oversight by service providers, with some contracts lacking clear standards for performance and accountability.

“Given the escalating humanitarian crisis in Los Angeles, where individuals continue to live on the streets despite vast sums spent to address the issue, thorough investigations are critical,” said Sue Kohl, PPCC president. 

To see the entire audit report, go to https://information.auditor.ca.gov/reports/2023-102.1/index.html#section3

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