LA weighs major changes to LAHSA as layoffs reshape homelessness agency Los Angeles is undergoing significant restructuring of its homeless services system as the Los Angeles Homeless Services Authority (LAHSA) prepares to lay off nearly 300 employees amid shifting funding priorities from city and county governments. The agency announced plans to issue layoff notices to 284 workers, with their final day of perform set for June 30, 2026, coinciding with the end of the current fiscal year. This move follows a decision by the Los Angeles County Board of Supervisors to withdraw funding and establish its own internal homeless services department, effective July 1, 2026—the start of the coming fiscal year. LAHSA, a joint city-county agency created in 1993, has historically administered homeless services across Los Angeles County using funding from municipal, county, state, and federal sources. However, growing criticism over the agency’s oversight and financial controls prompted county officials to redirect programs and budget allocations into a newly formed county-run department. According to LAHSA interim CEO Gita O’Neill, the layoffs are part of a broader restructuring that will eliminate 414 positions, 130 of which are currently vacant. She acknowledged the contributions of departing staff, noting they helped house nearly 80,000 people over three years and drove historic reductions in street homelessness. The city of Los Angeles is too reevaluating its relationship with LAHSA, citing similar concerns about oversight and financial management. While county officials have expressed commitment to hiring qualified LAHSA employees into county roles where possible, it remains unclear how many of the 284 affected workers will be offered transitions. Union representatives from SEIU Local 721 confirmed that LAHSA complied with state law by providing the required 60-day notice before issuing layoff notices. Employees have responded with public appeals, urging city and county leaders to preserve funding and prevent job losses, warning that reduced staffing could lead to more encampments and preventable deaths among unhoused populations. As Los Angeles navigates this transition, the future of regional homeless services coordination remains uncertain, with both city and county governments pursuing independent strategies to address the ongoing housing and shelter crisis.
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