LAHSA Notes Key Changes Addressing LA City Controller Audit Findings

Contact: 
Lucas Yen: lyen@lahsa.org  

LAHSA Notes Key Changes Already in Progress that Address LA City Controller Audit Findings 

Video on LAHSA’s new Bed Occupancy Tracking System.  

LOS ANGELES, CA – The Los Angeles Homeless Services Authority (LAHSA) emphasized today that many of the findings from the Los Angeles City Controller's audit on interim housing occurred before the current leadership came to LAHSA and are being addressed as part of the agency’s ongoing commitment to change and transformation. 

"Many of the findings affirm the areas my team and I have prioritized for improvement since day one," said LAHSA CEO Dr. Va Lecia Adams Kellum. “We came here to change things for the better, and I appreciate that the issues the Controller identified largely align with system improvements we have been implementing since my arrival.” 

The audit period covers a time of rapid expansion for the City of Los Angeles’ interim bed portfolio, which was driven by the COVID-19 pandemic as well as the Alliance lawsuit’s Freeway Agreement and Settlement. This rapid expansion contributed to some of the challenges identified in the audit because these urgent situations demanded that lifesaving shelters be made available very quickly. 

LAHSA already has several key initiatives underway that are helping to address the concerns raised in the audit: 

• Occupancy Tracking: LAHSA recently announced its new, revolutionary system for tracking occupancy and bed availability, which has been in the pilot phase since early 2024 and will come online more broadly starting in January 2025. This new system will provide real-time data on occupied, available, and offline beds at interim housing sites. In March 2025, this information will become publicly available through LAHSA’s data dashboards, which launched earlier this fall. 

• Provider Performance and Accountability: A new monthly monitoring system implemented by LAHSA in July 2024 strengthens oversight of providers, monitoring both programmatic performance and financial metrics. 

• Connections to Permanent Housing: Since Dr. Adams Kellum’s arrival, LAHSA has focused on improving system throughput to speed up transitions to permanent housing. This includes innovative strategies like master leasing of entire apartment buildings to expedite occupancy and implementing batch matching of eligible clients to accelerate housing placements in new buildings. 

LAHSA also noted a significant systemwide achievement indicative of some of these changes that were implemented early in Dr. Adams Kellum’s tenure: a record 18% increase in permanent housing placements in 2023, with nearly 28,000 individuals housed. 

Along with the initiatives noted above that will directly address many of the audit’s concerns, LAHSA made a range of additional changes in the last 18 months to improve the rehousing system, including: 

• Enhanced Data Transparency: Publicly available dashboards provide unprecedented insights into system and provider performance, empowering stakeholders to monitor progress and hold LAHSA accountable. 

• Timely Contract Execution: LAHSA has successfully executed 80% of its contracts with providers by July 1st for each of the last two years, ensuring timely access to critical services for people experiencing homelessness; this compares to less than 10% just two years prior. 

• Active Contract Management: A new approach integrates financial monitoring with program performance monitoring, ensuring comprehensive oversight of provider contracts. 

• Accountability for Financial Irregularities: LAHSA is committed to holding providers accountable for financial irregularities. When such issues are identified, LAHSA takes decisive action, including contract termination, to protect public funds. 

• Revised RFP for Interim Housing Programs: A new Request for Proposals (RFP) for Interim Housing programs includes a significantly revised Scope of Required Services, setting clearer programmatic standards and strengthening accountability measures. 

• Faster Provider Reimbursement: A new advance payment model expedites reimbursements to providers, improving their financial stability and enabling them to focus on delivering quality services. 

• Hired a new Chief Financial Officer: Janine Trejo was named LAHSA’s Acting CFO in March 2024 and hired permanently in July after a nationwide search. Among other vital contributions, Janine was instrumental in developing the new advance payment model that ensures contracted providers are paid timely for their services. 

• Staff Reshaping: In November, LAHSA completed a strategic reshaping of its workforce to improve efficiency and accountability. This restructuring will streamline workflows, enhance communication, and help ensure that programs are meeting their objectives more effectively. 

“LAHSA is deeply committed to continuous improvement and collaboration with all our stakeholders to continue making significant changes. We must be vigilant in optimizing the interim housing system to maximize its effectiveness for people experiencing homelessness in Los Angeles, who are counting on us to do better for them,” stated Dr. Adams Kellum. 

On Friday, LAHSA added a progress tracker to the front page of its website to show the public the status of some of the significant changes the agency has made to improve the effectiveness and efficiency of the rehousing system.