[{"_1":2,"_87":-5,"_88":-5},"loaderData",{"_3":4,"_26":27},"root",{"_5":6,"_17":10,"_18":19,"_20":21,"_22":10,"_23":-5,"_24":-5,"_25":10},"user",{"_7":8,"_9":10,"_11":10,"_12":-5,"_13":-5,"_14":15,"_16":-5},"roles",[],"isAuthenticated",false,"isPremium","planName","subscriptionStatus","featureFlags",{},"insightsBudget","isDevelopmentHost","userPreferences",{},"recaptchaSiteKey","6LcvOJcUAAAAAHsB-gPGfGktcRlKpH7OTIU_dMTD","isImpersonating","impersonation","affiliateStatus","isFreedomPortal","routes/v2/article/layout",{"_28":29,"_30":31},"notFound",true,"relatedArticles",[32,75],{"_33":34,"_35":36,"_37":38,"_39":40,"_41":42,"_43":44,"_45":46,"_47":48,"_49":50,"_51":52,"_53":54,"_55":56,"_57":58,"_59":60,"_61":62,"_63":64,"_65":66,"_67":68,"_69":70,"_71":68,"_72":73,"_74":73},"mediaId",5979217,"mediaKeyId","5772306-5efe2ce34501b40478efca47bf2b0491","parentId",5772306,"title","CAO proposes 2,130‑unit compliance plan, incl. 2,000 TLS slots; warns of three‑year $488 million funding gap","audioSeconds",2487,"startMs",3834000,"endMs",6321000,"viewUrl","/Search/View?dp=1&key=5772306-5efe2ce34501b40478efca47bf2b0491&start=3834&end=6321","thumbnailUrl","https://assets.pipeline.soar.com/5772306-5efe2ce34501b40478efca47bf2b0491/thumbnail_3834000.jpg","articleUrl","/articles/5979217/Los-Angeles-City/Los-Angeles-County/California/CAO-proposes-2130unit-compliance-plan-incl-2000-TLS-slots-warns-of-threeyear-488-million-funding-gap","mediaUrl","https://secure.pipeline.soar.com/5979217-6aa7adb86ae7f439ed1baef48ff3ac82/orig.mp4?Expires=1771174695&Signature=MYt9OOi75YRObVn9cidEtZPZTFCAhKACRxNlOP~KEe291o2t25mn3LwVBGi7B4HjvLNk-uTYBlT1lQU8RhqMMkgv11Y0Q1-dmv9hNh4mtdzlXUhkHYwCgC-5u-1Vvg8mbviq6lhicKWIjjKC0eKjXUdFpKB1n4BeA249JTb~s~jgRtXoQBbRcpI~e7P3jXqR0Db5RBrs73cvabGv5b~rHnT8u5PcgV9sAYMNAYw5x4U1fj9xgXCtCI2SdB0dzotkH~435q~OP~5LNwTTlGhXZr8NUrNz5djp-uGuF9m-eeMMWjXSV7TdcQupNlVn9AYedLLV0V9ff9NeOox~YFgHSQ__&Key-Pair-Id=KUT5TJCACFTXG","author","Los Angeles City, CA","date","2025-09-18T11:37:52Z","article","City Administrative Officer Matt Zabo told the Housing and Homelessness Committee on Sept. 17 that the city must submit an updated bed plan to the court overseeing the Alliance settlement by Oct. 3 and recommended a mix of non‑congregate units, permanent supportive housing and 2,000 time‑limited subsidies to close the remaining compliance gap.

“The gap, the requirement, of course, is 12,915 beds,” Zabo said. He reported the city currently has 7,440 open beds or units and another 3,776 beds in process, for a total of 11,216 open or in‑process units. Zabo said 394 of the in‑process permanent supportive housing units are at risk of delay beyond the June 2027 compliance date; excluding those units, his office calculated a conservative gap of about 2,093 units to meet the 12,915 target.

Zabo recommended the city close the gap with a package that already has some funding identified — 130 non‑congregate beds, 17 PSH units at Jordan Downs, 53 interim congregate beds at Union Rescue Mission and 60 non‑congregate interim beds in Council District 5 — plus a proposed 2,000 time‑limited subsidies (TLS) to reach a total of 2,130 units in the plan.

Why this matters: The CAO framed TLS as a cost‑efficient, effective intervention and proposed it as the fastest practicable way to increase the bed count within the compliance window. Zabo told the committee the three‑year cost of the plan is “just over $112,000,000,” and that if the city continued all existing beds and services at current funding levels it would confront a combined three‑year budget gap of roughly $488,000,000.

The CAO’s fiscal breakdown: Zabo said the plan’s incremental cost over three years is about $112 million (approximately $29 million in the current year, $54 million in fiscal 2027 and $29 million in fiscal 2028), while the broader set of current city programs and projected carry‑forward expenses generate a larger structural shortfall. For the current fiscal year the CAO reported an $8 million gap; for fiscal 2027 an estimated $166 million shortfall before adding the $54 million plan cost; combined, the three‑year gap (current year + FY27 + FY28) totaled roughly $488 million under the CAO’s assumptions.

Zabo identified three possible sources or strategies to close the gap: (1) fully commit the La Casa portion of Measure A (a locally controlled Measure A housing allocation that includes an estimated $133 million in the renter‑protection category) to time‑limited rental assistance; (2) advocate for the maximum feasible share of state HAP (HAP 7) funding to come to Los Angeles; and (3) seek more efficient use of existing dollars by examining higher‑cost interim beds and potential program consolidations.

Council members pushed back on timing and analysis. Council member Corrado said she was uncomfortable approving a bed plan without a systemwide cost‑per‑bed analysis across interventions and a full inventory of beds and funding sources the city has brought online since the settlement. Corrado asked for a detailed accounting of beds (including DV/IPV beds, PSH units and all sites where city dollars flowed) and the CAO and city attorney were asked to return with a report clarifying the legal flexibility to alter the plan after submission.

LAHSA staff and others answered operational questions: Nathaniel Vergau of LAHSA said tenant‑based voucher turnover is limited because housing authorities are in shortfall and that LAHSA has been matching some TLS participants to newly secured federal vouchers, but that the number of vouchers covered only a small share of need. CAO staff Ed Gibson told the committee that most LAHSA master‑lease units already are counted toward Alliance compliance and that, in the CAO’s view, there is limited immediate potential to bolt on additional master‑lease units beyond what has already been accounted for.

The committee continued the item without a vote and asked staff to return with additional analyses, including: a full inventory of beds and funding sources the city has counted toward Alliance compliance; a per‑bed cost comparison across interim, TLS and PSH interventions; clarification on the availability and legal use of Measure A/La Casa funds for TLS; and guidance on the consequences of changing the plan after submission to the court.

Ending: The CAO’s recommended plan would use a sizable TLS component for near‑term compliance and place substantial pressure on the city budget in coming fiscal years. Committee members asked for more data and legal analysis before endorsing a submission to the court; the item was continued to a future meeting so staff can produce the requested information.","mediaType","Video","parentTitle","Housing and Homelessness Committee - Sep 17, 2025 02:30 PM","oneSentenceSummary","City Administrative Officer Matt Zabo presented a recommended bed plan to meet the Alliance settlement obligation, proposing a mix of PSH, interim beds and 2,000 time‑limited subsidies and identifying a potential $488 million funding shortfall over three fiscal years if current spending continues.","taxTitle","Los Angeles City, Los Angeles County, California","taxId",4025,"location","headline","","shortSummary",{"_33":76,"_35":36,"_37":38,"_39":77,"_41":78,"_43":79,"_45":80,"_47":81,"_49":82,"_51":83,"_53":84,"_55":56,"_57":58,"_59":85,"_61":62,"_63":64,"_65":86,"_67":68,"_69":70,"_71":68,"_72":73,"_74":73},5979223,"Officials warn cuts to time-limited rental subsidies could put thousands at risk of returning to homelessness",1967,842000,2809000,"/Search/View?dp=1&key=5772306-5efe2ce34501b40478efca47bf2b0491&start=842&end=2809","https://assets.pipeline.soar.com/5772306-5efe2ce34501b40478efca47bf2b0491/thumbnail_842000.jpg","/articles/5979223/Los-Angeles-City/Los-Angeles-County/California/Officials-warn-cuts-to-time-limited-rental-subsidies-could-put-thousands-at-risk-of-returning-to-homelessness","https://secure.pipeline.soar.com/5979223-3cb271ea441262a88ca976c88353c3e3/orig.mp4?Expires=1771174695&Signature=lDTpxSEvoN93u8dNfWVvi2rQk2JvaXLRhxvtny-HJF4flbPHcv9M~r5-A8C8tXIaFn~Re7nOqbA0xgszO19ewzioSmujdPfN3PDH-wqXKlBgq5koE2hoHTWbH-whYTsunrYVYkhMq7n1trMi58s44nUlp~CjbnJnGjSi68zLKIhOwLRYhiduACZrC~TBj5Zq9Z2gujnbpeBaTV8Irysw6dfawWGicwb3vB97rrynFMhybvZFt6U4OWFxHuHOmCzYlSlM5GvPzwsmud9EybI8oINxHt4DVxag6zldW0U~yk9lkjHRYDVdUtb7uUD-QEtPnXX6jIx3vjBB6NTVLUprJQ__&Key-Pair-Id=KUT5TJCACFTXG","At a Sept. 17 Housing and Homelessness Committee meeting, city and regional homelessness officials reported that sharp funding reductions are forcing reconsideration of the time-limited subsidy (TLS) program that provides two years of rental assistance plus case management. Regina Joy Alcazar of the Los Angeles Housing Department told the committee the program was “one of our most successful programs” but that “the program had $240,000,000 in funding last fiscal year and is now operating with $123,000,000 in the current fiscal year.”

The committee heard that the TLS program — designed to provide 24 months of rental assistance, rent-reasonableness checks and progressive tapering of subsidies — helped thousands move indoors during the pandemic funding surge but now faces a funding cliff. “By the end of our current fiscal year, it is expected that 2,700 TLS subsidies will not continue,” Alcazar said. Committee members and staff said that without other housing options, affected households could fall back into homelessness.

Why this matters: TLS has produced higher rates of exits to permanent housing than other interim interventions, and local officials said the program is relatively cost-efficient. But that success has increased demand for long-term housing options that are now scarce: fewer Section 8 vouchers, a shallow-subsidy program at full utilization, and interim housing running at near capacity.

Officials from LAHSA, the Los Angeles Homeless Services Authority, and HR&A Advisors delivered the program review and recommendations. Sarah Solon of HR&A summarized the three core problems revealed by the analysis: (1) fewer follow-on housing options exist now that federal and state one‑time funds have ended, (2) TLS program design and fiscal sustainability issues, and (3) variable case management intensity and capacity across providers.

LAHSA data presented at the meeting showed roughly 4,700 TLS households that will need subsidy or other arrangements next July if no new funding is identified; LAHSA-administered TLS currently serves roughly 2,822 adults and 1,395 families, with at least 60% of LAHSA-administered slots allocated to people within Los Angeles city limits. Staff described three subpopulations in TLS: households that could increase income over time (and may need short “shallow” subsidies), fixed‑income households (for whom shallow subsidies plus benefits enrollment is the likely path), and a third group — about 60% of TLS participants in the LAHSA sample — who are assessed as likely to need long‑term services and supports and therefore permanent supportive housing (PSH).

To reduce the risk of returns to homelessness, staff proposed several near-term and system changes: (1) ask the Continuum of Care (CES) Policy Council to temporarily prioritize TLS households assessed as PSH‑eligible for available project‑based PSH units (the CES policy council was scheduled to consider that option on Sept. 24); (2) launch a pilot to test whether more consistent or intensive case management and supportive employment services increase rent contribution and housing stability; (3) explore ramping up shallow subsidy capacity; (4) improve data collection (including documenting in‑person case management frequency) and expand participation in a centralized fiscal agent to streamline rent payments and reporting.

LAHSA’s Nathaniel Vergau described the referral pipeline to PSH and the constraints: turnover of tenant‑based vouchers has fallen as housing authorities are in shortfall, and new federal vouchers secured through the Continuum have been small relative to need. Vergau said that matching TLS participants to newly obtained tenant‑based vouchers is underway but covers only a small share of need.

Committee members sought additional data and clarity before committing new city funds. Council member Corrado pressed staff for a detailed inventory of one‑time funding that has expired or will expire, and for an accounting of case‑management capacity and vacancies. Alcazar and HR&A staff said they would share an itemized funding spreadsheet and recommended a pilot to assess whether improved, adequately staffed case management affects outcomes.

No formal action was taken. Committee members requested follow-up materials, expressed support for further regional coordination, and asked LAHSA and city staff to return with more detailed funding and program design options.

Ending: Staff left the committee with three near-term steps: pursue CES prioritization for PSH‑eligible TLS households, scope a case‑management pilot, and improve data collection and fiscal infrastructure to better monitor rent share and vacancy/caseload issues. The committee did not vote and asked staff to return with the requested materials.","City and county staff told the Housing and Homelessness Committee that sharp reductions in federal, state and county homelessness funding have halved available TLS funding and could end about 2,700 time-limited subsidies by next June unless new resources or program changes are found.","actionData","errors"]

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CAO proposes 2,130‑unit compliance plan, incl. 2,000 TLS slots; warns of three‑year $488 million funding gap

Officials warn cuts to time-limited rental subsidies could put thousands at risk of returning to homelessness