The City of Los Angeles faces a critical delay in distributing $177 million allocated for tenant support programs.
Despite approval from Mayor Karen Bass and the City Council, the funds have not reached Stay Housed L.A., a key organization providing eviction prevention services. This delay puts hundreds of tenants at risk of losing access to vital legal aid each month.
The Los Angeles City Council approved the budget in March, yet City Attorney Hydee Feldstein Soto has not finalized the contracts. Feldstein Soto has expressed concerns about the $106 million designated for the Legal Aid Foundation of Los Angeles (LAFLA), which has previously sued the city. In response, LAFLA’s Barbara J. Schultz reported that her organization has been operating without funding for three months, leading to potential layoffs.
Councilmember Ysabel Jurado filed a motion questioning the delay, emphasizing the urgency as $17 million in emergency rental assistance remains unused. If the motion passes, Feldstein Soto must explain the delay within 30 days. The delay stems from Feldstein Soto’s insistence on a competitive bidding process, which the city ultimately conducted, selecting LAFLA and other groups for funding.
The funding, primarily sourced from the city’s Measure ULA, aims to prevent homelessness by providing free legal aid to tenants. However, the delay threatens the sustainability of these services. Feldstein Soto’s tenure as city attorney is nearing its end, complicating the situation further. Without swift action, organizations like the Eviction Defense Network may have to reduce services.
Mayor Bass continues to push for the release of funds to address the city’s homelessness crisis. Meanwhile, the Mayor’s Fund for Los Angeles and other initiatives work to connect Angelenos with resources to prevent eviction.
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