Audit finds slow housing, oversight gaps in California CONREP; lawmakers press for reforms

SACRAMENTO — State auditors and legislators on Tuesday described lengthy housing delays, inconsistent local participation and vendor oversight problems in California’s Conditional Release Program (CONREP) for individuals designated as sexually violent predators (SVPs), even as the audit found lower conviction rates among CONREP participants than among SVPs unconditionally released to the community.

“The SVPs participating in the con rep program were convicted of new offenses less frequently than SVPs who were unconditionally released by the courts and did not participate in con rep,” State Auditor Grant Parks told the Joint Legislative Audit Committee during an oversight hearing. But Parks and several lawmakers said the program nonetheless faces serious operational problems that pose risks to affected communities.

The 2024 audit, released by the California State Auditor, reported that since CONREP’s inception through April 2024, 56 SVPs had been placed in the community under CONREP and 125 SVPs had been unconditionally released by courts. Of the 56 CONREP participants, auditors found two were later convicted of new offenses; courts had revoked and returned 18 participants to state hospitals for violations. Auditors said those returns, combined with the two convictions, represent a substantial share of participants who did not complete CONREP successfully.

Auditors said DSH and Liberty Healthcare took a long time to find court‑approved housing: among participants who ultimately received housing the audit measured an average of about 17 months between the court’s approval to participate and the court’s approval of a housing location. For the group awaiting placement at the time of the audit the measured wait averaged 20 months; one person had waited about four and a half years. “It takes a long time for the Department of State Hospitals and Liberty to find suitable housing for SVPs in the community,” Parks said.

Parks also reported program costs tied to the placement process: Liberty Healthcare charged up to $2,800 per month for pre-placement services for each SVP awaiting housing; auditors identified about $485,000 in housing-search costs and $415,000 in costs to hold housing under consideration in fiscal year 2022–23. Parks said courts sometimes require leases or holds that continue while placements are contested or when judges order pauses in the process.

Lawmakers from rural and High Desert districts said their communities have borne the brunt of placements and urged changes to reduce delays and lessen local impact. “The con rep system is broken, and we need serious reforms,” Senator Scott (Senator Jones in the hearing transcript) said, calling for a more active DSH role in placement, expanded placement strategies and exploration of transitional housing.

Assemblymember Eduardo Carrillo, whose district includes parts of the High Desert, said he had three CONREP placements in his area and questioned why the state contracts out placement work to an out‑of‑state company. “It’s unclear to me how we in California selected a company out of Florida to manage this program,” Carrillo said. Liberty Healthcare’s senior vice president, Ken Carabello, said Liberty has operated the CONREP contract in California since 2003 and defended the company’s work. “Liberty is proud of its work as a partner to the state of California for these last 22 years and proud of the successful program we’ve operated together in partnership,” Carabello said.

Department of State Hospitals (DSH) Director Stephanie Clendenin told the committee DSH has implemented four of five audit recommendations and formalized periodic program reviews and tracking. “All have been fully implemented in accordance with the timelines that were identified in the report,” Clendenin said. DSH said it disagreed with the auditor’s recommendation to explore state‑owned transitional housing, arguing such facilities would not necessarily reduce placement delays, could face the same residency restrictions and would likely draw strong local opposition where they were sited.

Auditors also identified problems with the local housing committee process established by state law: committees of local officials sometimes lacked clarity about their advisory role, and DSH had not provided consistent guidance on how committees should assist. Auditors said DSH convened 15 committee meetings in 10 counties between January 2023 and April 2024, but meeting minutes often lacked detail about placement deliberations.

Several legislators called for more far‑reaching fixes. Assemblymember (Senator) DeMello urged Governor Gavin Newsom and the Legislature to pause placements and pursue transitional housing, saying the program had “become a boondoggle” and warning of continuing risk to communities. “Stop placing sexually violent predators in residential communities,” DeMello said. Others said they would pursue statutory changes to ease establishment of transitional or centralized facilities and to require more proactive department engagement in placements.

DSH and Liberty officials defended the program’s oversight and supervision model, noting CONREP participants receive intensive supervision, GPS monitoring and clinical services in the community and that courts set terms of release. Officials said some placements are returned to the hospital before new crimes occur because the system is intended to detect and act on declining behavior before reoffense.

Committee members pressed DSH and Liberty on transparency, vendor accountability for lease and hold costs, and outreach to affected communities. Auditors told the committee they could not always obtain or publish detailed court records because some orders and documents were confidential. Lawmakers from districts repeatedly used for placements urged statutory changes and closer executive oversight; one lawmaker urged an emergency executive order to halt placements until reforms are made.

The committee did not take formal votes at the hearing. Members said they will continue oversight and pursue legislation and other remedies. DSH said it will continue to work with the Legislature and the auditor’s office and that DSH has changed internal review processes and tracking to address several audit findings.

The hearing included testimony from State Auditor Grant Parks and audit principal Ben Ward; Department of State Hospitals Director Stephanie Clendenin and Chief Deputy Director Chris Edens; and Liberty Healthcare Senior Vice President Ken Carabello. Public comment was reserved but none of the public speakers were on the record at the hearing’s close. The committee adjourned after a multihour discussion.

Ending: The audit and the hearing did not produce a single path forward; lawmakers signaled interest in legislation and executive action to change how CONREP placements are identified and overseen. DSH said it has implemented four of five audit recommendations but continues to oppose establishing state transitional housing, and legislators vowed continued oversight and possible statutory change.