The Trump administration has suspended federal funding to the Los Angeles Homeless Services Authority (LAHSA). This move has sparked concern among local officials, who fear the decision could lead to an increase in homelessness.

Scott Turner, the housing secretary, emphasized that the U.S. Department of Housing and Urban Development (HUD) will support effective results, avoiding what he described as the ‘corrupt failure’ of LAHSA’s efforts. Turner’s statement reflects a stance against continuing financial support for an agency accused of prioritizing its own interests over the needs of the homeless population.

“Taxpayers will no longer bankroll an organization that puts itself ahead of the Americans it was created to serve,” Turner stated.

Federal officials have highlighted investigations revealing instances of financial mismanagement within LAHSA. Despite receiving the most federal assistance for homelessness nationwide, Los Angeles remains a central point of the country’s ‘drug-fueled homelessness crisis,’ according to HUD.

For the current fiscal year ending June 30, LAHSA is set to receive $69 million from the federal government. This funding accounts for approximately 8% of the agency’s total budget. Traditionally, LAHSA has depended more heavily on local city and county contributions.

Mayor Karen Bass expressed significant concern, warning that this decision ‘could result in loss of life,’ as funding cuts may impact critical services for the homeless.