A Los Angeles program designed to move homeless individuals into permanent housing has housed only three households despite receiving $62.6 million in taxpayer funds, according to recent figures. The Time Limited Subsidy (TLS) program, introduced by Councilmember Nithya Raman, aimed to provide a more cost-effective alternative to the city's motel-based 'Inside Safe' initiative.
Launched in September, Raman’s TLS program intended to lease apartments and subsidize rents for homeless individuals, with a goal of housing 2,000 households. However, nearly a year later, by late June, only three units were occupied. Raman's office attributed the slow progress to administrative and contracting delays, stating it was "deeply frustrating when critical resources get caught in administrative and contracting processes."
The City Council approved funding for the subsidy model last September as part of a strategy to comply with a court settlement. Resources for a redesigned program targeting 2,000 households were approved in January, with full rollout beginning in March. The July 1 presentation to the Housing and Homelessness Committee revealed the low occupancy rate.
Councilwoman Monica Rodriguez criticized the program's pace, stating, "One household a month is not a solution." She argued that the program "is not working" and highlighted a perceived gap between promises and results, asserting that Raman "says a lot of words but doesn't deliver."
This initiative is not the first homelessness project tied to Raman to face stalled progress and funding concerns. A separate $4 million state grant secured by Raman to address encampments along the Los Angeles River reportedly remained unspent nearly two years after its award. The Encampment Resolution Fund, from which this grant was drawn, is designed to move people from encampments into housing and supportive services.
Raman's office defended the TLS figures, characterizing them as an "early snapshot of the redesigned TLS program." Raman stated that contracts with service providers only began in the spring and that the city would monitor the program closely to identify and address issues early. "That’s exactly why we had the public presentation: to catch issues early," she said.
The TLS program was conceived as a less expensive alternative to the 'Inside Safe' program, which can cost approximately $85,000 per person annually for motel rooms. The 'Inside Safe' program, championed by Mayor Karen Bass, has a higher price tag, costing an estimated $391 million and serving 5,932 people since its 2022 launch. As of early 2026, 1,571 participants were in permanent housing, 1,752 in temporary housing, and 2,866 had exited the program.
Paul Webster, executive director of the Los Angeles Alliance for Human Rights, expressed disappointment, calling the city's response to homelessness "too little, too late, and not enough attention to making sure the most vulnerable are removed from the streets as quickly as possible." He added that reliance on the city for such programs often leads to underwhelming outcomes.
Rodriguez contrasted the TLS program's performance with 'Inside Safe,' remarking, "Based on $62 million and three households, Inside Safe has now been made a freaking rock-bottom bargain." She advised Raman that cost-effectiveness should be improved, not diminished, when critiquing other programs.