The Housing Authority of the City of Los Angeles (HACLA) has announced a pause on accepting new Housing Choice Vouchers (HCVs), also known as Section 8 vouchers, which could leave thousands of residents at risk for homelessness, CBS News reported Tuesday.
Bigger. Better. Bolder. Inman Connect is heading to San Diego. Join thousands of real estate pros, connect with the power of the Inman Community, and gain insights from hundreds of leading minds shaping the industry. If you’re ready to grow your business and invest in yourself, this is where you need to be. Go BIG in San Diego!
The Housing Authority of the City of Los Angeles (HACLA) has announced a pause on accepting new Housing Choice Vouchers (HCVs), also known as Section 8 vouchers, which could leave thousands of residents at risk for homelessness, CBS News reported Tuesday.
The Section 8 program, which provides rental assistance to 60,000 low-income households, seniors and individuals with disabilities in the city, suspended voucher applications last week due to federal funding reductions.
Lourdes Castro Ramírez | HACLA President and CEO
“Due to funding reductions in the Section 8 program, HACLA has announced the need to pause housing application processing for 3,300 families, a decision made with great difficulty and careful consideration of all possible alternatives,” HACLA President and CEO Lourdes Castro Ramírez said in a statement. “HACLA is working tirelessly to ensure that current voucher holders remain supported and families receiving housing assistance remain housed regardless of uncertainties in federal funding.”
The program is funded by the U.S. Department of Housing and Urban Development (HUD), one of the many federal agencies that have endured funding cuts or downsizing under Trump’s current administration.
While Section 8 beneficiaries will not be affected by the changes, new applicants and those hoping to get on the waiting list — now closed — will be unable to proceed until further notice.
The Veterans Affairs Supportive Housing (VASH) program, which provides assistance to unhoused veterans, will also continue without interruption.
HACLA HCV Director Carlos Van Natter revealed to CBS News that funding shortfalls first became apparent in December 2024, with estimated cuts ranging between $48 million and $114 million. He warned that these reductions could devastate the city by increasing the risk of homelessness.
With over 45,200 people already experiencing homelessness, according to the LA Homeless Services Authority’s latest estimate, further cuts could deepen the crisis.
“That is the sad reality, [the] step we have to take at the moment,” Van Natter said. “There could be others that come. We have families that have vouchers on the street looking for units. At this time, families can continue to search for units, but it could come to pass in the future that we have to suspend those as well.”
The city’s ongoing housing crisis has been exacerbated by the devastating wildfires that erupted earlier in the year. Many individuals who had recently transitioned out of homelessness and secured homes were displaced once again, adding to an already overwhelmed homeless response system, CBS News reported.
Jennifer Hark Dietz, the CEO of People Assisting The Homeless (PATH), which provides housing and services for homeless individuals, informed the outlet about the growing competition for resources.
Jennifer Hark Dietz | CEO of PATH
“Many of the people we work with have already lost everything and they’re trying to rebuild their lives, and now there’s a whole other group of people doing the same thing and competing for the same resources,” Dietz said.
With limited affordable housing options, many have sought refuge in vacant second homes and accessory dwelling units (ADUs), while others have taken advantage of temporary housing resources provided by local organizations and companies.
The potential for a federal government shutdown on March 14 continues to add to uncertainty across the country. Senate Democrats rejected a House-passed funding plan Wednesday that makes the possibility of a shutdown more likely. If Congress fails to reach an agreement by March 14, additional cuts could follow.
Email Richelle Hammiel
Credit: Source link
