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Audit: California Is Poorly Monitoring Homelessness Spending

California has failed to monitor state spending and evaluate the outcomes of homelessness programs, according to a report issued last week by the California State Auditor’s Office. California State Auditor Grant Parks urged Governor Gavin Newsom to continue to hold local governments accountable in an open letter dated April 9. The audit highlighted that tracking programs and collecting accurate data could help the state save money.

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By California Black Media

California has failed to monitor state spending and evaluate the outcomes of homelessness programs, according to a report issued last week by the California State Auditor’s Office.

California State Auditor Grant Parks urged Governor Gavin Newsom to continue to hold local governments accountable in an open letter dated April 9. The audit highlighted that tracking programs and collecting accurate data could help the state save money.

“The state must do more to assess the cost-effectiveness of its homelessness programs,” Parks said.

The report showed that California spent approximately $20 billion on programs and initiatives addressing homelessness in the past five years. Although state funds were allocated to fund shelters and subsidized rent, homelessness in the state increased by 65 during the last year.

In 2021, Gov. Newsom signed a law that required organizations that received state funds to collect data and evaluate the progress of programs they implement.

California auditors revealed that only two out of five action plans were cost-effective. One was Project Homekey, which converted hotels into housing during COVID-19, and CalWORKS, a housing support that offered financial assistance to low-income residents.

Lawmakers on both sides of the aisle expressed concern after the report was released.

“The biggest conclusion that the auditors came back with is there’s just inadequate transparency and data and information available,” said Sen. Dave Cortese (D-San Jose) in a statement.

Republican Sen. Roger Niello (R-Roseville) said, “These audit results are a wake-up call for a shift towards solutions that prioritize self-sufficiency and cost-effectiveness.”

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