Los Angeles, California – President Donald Trump's administration is suspending funding for the Los Angeles Homeless Services Authority (LAHSA), potentially forcing thousands back onto the streets.
The US Department of Housing and Urban Development (HUD) announced the funding suspension via an official letter, accusing the LAHSA of widespread fraud and the misspending of government money.
"HUD cannot ignore LAHSA's wanton mismanagement of public funds," the letter read. "HUD's mission is to reduce the plague of homelessness in America."
"Turning over billions of dollars from American taxpayers to an organization under investigation and suspected of gross misuse of federal funding and 'obvious fraud' does nothing to reduce homelessness."
Doubling down on accusations of fraud and misuse, Housing Secretary Scott Turner said in a statement: "HUD will fund results, not corrupt failure or the homeless industrial complex."
The LAHSA has received almost $1 billion in federal money over the past half-decade, and was set to receive about $69 million from Washington this fiscal year.
Traditionally, the authority has been focused on helping people find housing and other services to keep them out of homeless encampments across the city.
Trump disagrees with this approach, instead arguing that homeless people should be forced to enter drug treatment or find work.
"This stunt is for publicity, not for results," said LA County Board of Supervisors member Lindsey Horvath in a statement cited by the New York Times (NYT).
"I have been calling for change and accountability at LAHSA, but if this administration desires accountability, too, they should work with LA County."
LA Mayor Karen Bass was particularly critical of the move, her office saying in a statement to the NYT that "ultimately, people will lose their lives."