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Federal judge declines receivership in Los Angeles homeless case

A federal judge on Tuesday, June 24, declined to appoint a court-ordered receiver to oversee Los Angeles’ homelessness response, calling it an “extreme” and premature step that should only be used as the last resort.

Instead, U.S. District Judge David O. Carter found the city in violation of its 2022 settlement agreement with the LA Alliance for Human Rights and appointed a court monitor to oversee compliance. The ruling sets several deadlines aimed at bringing the city back into alignment with the agreement.

Unlike a receiver, a monitor does not take control of city functions. Rather, the monitor gathers information and assists the court in supervising the city’s compliance with the agreement.

“We feel fully vindicated by the judge’s decision, we’re very pleased with it,” said Matthew Umhofer, an attorney for LA Alliance for Human Rights. “It makes it clear that the city’s been breaking its promises to us, to the court, and to the city for years under this agreement. It uses very harsh language to describe the city’s failures under the agreement. And it holds the city’s feet to the fire to try to bring the city into compliance.”

Judge Carter cited recent structural changes in the city and county’s approach to homelessness — including the withdrawal of funding from Los Angeles Homeless Services Authority (LAHSA) and the creation of new agencies — as a reason to hold off on appointing a receiver.

“Although democracies can be inefficient and even wasteful,” Carter wrote, “only the voters of Los Angeles have the power to elect representatives to solve these problems.”

The LA Alliance, a coalition of business owners and residents, filed suit in March 2020, accusing the city and county of failing to adequately address the homelessness crisis. In 2022, the city agreed to create 12,915 new shelter beds over five years and to house at least 60% of the unhoused population in each city council district.

But the LA Alliance says the city has failed to meet those terms. A court-ordered audit in March was unable to verify the number of beds the city claims to have created, further fueling the group’s demand for a receiver — someone who could take over core elements of the city’s homelessness response, including oversight of LAHSA and the mayor’s Inside Safe program.

SCNG has reached out to the city for comments.

This is a developing story, please check back for updates

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