Burchett Investigates Fraud-Plagued Los Angeles Homelessness Funding

Calls on Mayor Karen Bass to testify at an upcoming hearing

WASHINGTON—Subcommittee on Delivering on Government Efficiency (DOGE) Chairman Tim Burchett (R-Tenn.) today launched an investigation into waste, fraud, and abuse of federal funds perpetrated by the Los Angeles Homeless Services Authority (LAHSA). In a letter to Los Angeles Mayor Karen Bass, Subcommittee Chairman Burchett calls on her testify at a subcommittee hearing on September 15, 2026, and to produce documents and communications related to corrupt contracting and grant-making by LAHSA, as well as its facilitation of self-enrichment among nonprofits to whom it has awarded funds. 

“The Subcommittee on Delivering on Government Efficiency is investigating potential waste, fraud, and abuse of federal grant funding intended to address homelessness. Specifically, the Subcommittee is concerned about the potential misallocation of federal dollars by the Los Angeles Homeless Services Authority (LAHSA) to nonprofits in Los Angeles and the surrounding area,” wrote Subcommittee Chairman Burchett. “Because Los Angeles officials have not adequately protected federal taxpayer dollars, it appears that many nonprofits to which those funds have been allocated are not using them for their intended purpose. To understand the extent of the problem and the steps being taken to safeguard federal funds, we request certain documents and information from your office, and your testimony at a public hearing before the Subcommittee on September 15, 2026.”

According to annual data from the U.S. Department of Housing and Urban Development (HUD), California has nearly 182,000 homeless people. Los Angeles County alone has 73,000 homeless people, and the City of Los Angeles has more than 45,000 homeless people, an increase of 3.4 percent from the year prior. LAHSA has received over $1 billion in federal funds since 2021, including $220 million in 2024 alone. The HUD Inspector General is investigating LAHSA’s use of federal funds because of evidence of “repeated false statements and its irresponsible actions and failures, including its lack of financial management, internal controls, and safeguards against conflicts of interest.” In June 2026, HUD suspended further federal funding to LAHSA until officials can show adequate safeguards are in place to protect taxpayer dollars.

Recent reports expose blatant corruption in LAHSA’s contracting and grant process, as well as self-enrichment schemes. In February 2025, Los Angeles local news reported that former LAHSA CEO Va Lecia Adams Kellum signed a $2.1 million contract with her husband’s employer, Upward Bound House, an L.A. County homelessness assistance provider. Public records reveal that she personally authorized the contract with the organization. 1736 Family Crisis Center has received more than $36 million in federal grants since 2008, including at least $25 million in grants from LAHSA since 2021. Between 2023-2024, 1736 FCC paid CEO Carol Adelkoff $1.6 million in total compensation, while she lived in Hawaii. This compensation is significantly higher than other CEOs who lead much larger non-profit organizations with similar missions in the Los Angeles area. 

“Homelessness has grown worse during your tenure as mayor. Yet, your administration continues to pursue policies that fail to address the mental health and drug abuse crises perpetuating the cycle of homelessness in Los Angeles. The result is deteriorating public health, increased lawlessness and a bleak environment for small businesses,” wrote Subcommittee Chairman Burchett.

Read the letter to Mayor Bass here

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