The Los Angeles Homeless Services Authority (LAHSA) announced it is terminating contracts with the nonprofit interim housing provider Home At Last Community Development Corp. This decision follows the nonprofit's notification of closure for two temporary homeless housing sites and the revelation that federal authorities seized cash associated with one of the nonprofit's founders.
LAHSA stated that Home At Last had informed them last month of its intention to close the two sites, citing alleged late payments from LAHSA for operational funding. However, LAHSA countered that sufficient funds had been disbursed to Home At Last. The agency also disclosed that the Internal Revenue Service (IRS) had recently notified LAHSA of a cash seizure at an address linked to Michael Young, a founder of Home At Last. The IRS indicated the seized funds were subject to criminal forfeiture, with LAHSA potentially eligible to reclaim the money.
Michael Young, who according to 2024 tax filings was compensated over $150,000 for working 40 hours weekly at the nonprofit, and Home At Last did not immediately respond to requests for comment. This development occurs amidst increased scrutiny of funds allocated to combat the homelessness crisis, particularly following recent federal fraud cases involving alleged misuse of homeless services money, including instances of purported personal enrichment by nonprofit leaders.
LAHSA cited Home At Last's failure to perform contracted services as grounds for contract termination, which is scheduled to take effect on July 22. In response to the imminent closure of the two facilities, LAHSA stated it has been actively working to rehouse the affected residents, successfully relocating most of the 181 individuals housed at the sites.
Gita O’Neill, LAHSA's interim chief executive, emphasized the agency's commitment to the residents, stating, "Our absolute priority throughout this transition was the safety, stability, and well-being of the unhoused residents living at these sites."
