The Los Angeles Homeless Services Authority (LAHSA), the city's primary agency for addressing homelessness, is facing criticism for its choice of headquarters. The agency operates from the AON Center on Wilshire Boulevard, a high-rise building offering amenities such as helicopter rides to LAX, Maybach car service, a private helipad, valet parking, and a tenant fitness center with a cold plunge and infrared sauna.
This revelation comes as Los Angeles grapples with a persistent and growing homeless population. According to the latest official count, the city has 45,194 homeless residents, a 3.4% increase from the previous year, despite billions of dollars allocated to address the issue. The agency itself is under scrutiny for alleged financial mismanagement, with federal authorities reportedly investigating.
LAHSA receives 73% of its funding from city taxpayers. Mayor Karen Bass and the City Council have continued to allocate significant funds to the agency, even as it has faced criticism and its effectiveness has been questioned. LA County reportedly shunned the agency in 2025, and the city has been urged to explore alternatives, though no substantial steps have been taken.
The article highlights instances of other homeless service providers' executives reportedly earning substantial salaries and living in luxury. Carol Adelkoff, CEO of 1736 Family Crisis Center, reportedly collected over $1.6 million in pay over two years while residing in Hawaii. Albert Senella, CEO of Tarzana Treatment Centers, reportedly earned $2.36 million in salary last year and owns a multi-million dollar home in Simi Valley.
Critics argue that such practices create a "homeless industrial complex" that incentivizes the perpetuation of homelessness to ensure continued funding, benefiting agency leaders rather than the homeless population. The city's approach, including the "Housing First" policy, has been described as a costly failure, with critics stating that placing individuals in temporary housing without sobriety requirements depletes public funds and enriches service providers.
Despite the mounting criticism and the visible increase in homelessness, including encampments in public spaces, City Council members have recently voted to allow homeless encampments in more parks and public areas in Hollywood and Silver Lake. This move has been criticized as indicative of the city moving in the wrong direction on homelessness. Meanwhile, questions remain about the oversight of taxpayer funds allocated to agencies tasked with solving the crisis.
