Federal judge rips into LA officials over lack of oversight on $2.4 billion spent on homelessness: ‘I am your worst nightmare’

A federal judge excoriated officials who were unable to account for $2.4 billion in taxpayer funds meant to go toward solving homelessness in Los Angeles.

U.S. District Court Judge David Carter threatened to appoint a court-ordered receiver if officials didn’t improve their efforts to account for the money spent, according to an LAist report.

‘We pay your bills. Figure this out.’

The city leaders who faced Carter’s wrath at a hearing in downtown Los Angeles included Democrat Mayor Karen Bass, L.A. County Board of Supervisors Chair Kathryn Barger, City Controller Kenneth Mejia, and City Council President Marqueece Harris-Dawson.

Carter’s criticism focused on the Los Angeles Homeless Services Agency, which he said failed to track the money for years and did not hold contractors accountable for the funds they received, despite numerous audits over more than a decade.

“This is a slow train wreck,” he told them.

“Nobody is asking our providers what they did or what services they performed. We may have providers who committed fraud, and we may never know. We may have providers that provided excellent services, and we’ll never know,” said Carter.

“If we’re so short on money, why aren’t these providers being sued?” he asked. “These parties owe you that money. Are they waiting for us to get senile or die? Go and get that money.”

Mayor Bass was also criticized for refusing to allow an audit of her “Inside Safe” initiative by the city controller. The city attorney argued that it was improper for the controller to audit the mayor’s program without her consent.

The controller cited the city charter to say that an audit was fully within the power of his office.

“Folks, you’ve got to solve this, or else the court is going to step in,” Carter warned.

Bass tried to argue that more needed to be done about homelessness but that those efforts needed to be focused on the needs of the people rather than focusing “on the administration.”

“We pay your bills. Figure this out,” Carter responded.

The judge gave them until May to fulfill their responsibilities or have a receiver take over the spending. While he acknowledged that they had inherited a “mess” from former officials, Carter demanded that they take accountibility.

“I am your worst nightmare,” Carter told them. “I can make your lives miserable.”

Officials are considering ending the LAHSA, but the mayor has said she opposes the suggestion.

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