Billion-Dollar Bombshell: Mayor Skips Grilling

Los Angeles Mayor Karen Bass has told a House subcommittee she won’t show up to answer questions about more than $1 billion in federal homelessness money now under fraud investigation.

Quick Take

  • A House subcommittee summoned Bass to testify September 15 about alleged waste, fraud and abuse in federal homelessness funding.
  • Bass’s attorney told lawmakers she is “not available on that date” and will not appear.
  • The Los Angeles Homeless Services Authority has already lost its federal funding after a federal housing investigation found major mismanagement.
  • Bass’s allies call the House probe partisan, while the housing agency denies any fraud took place.

House Panel Demands Answers on $1 Billion in Homeless Funds

The House Subcommittee on Delivering on Government Efficiency sent Bass a letter on September 3, 2026, asking her to testify at a public hearing on September 15. Chairman Tim Burchett wants documents and communications tied to contracting and grant-making at the Los Angeles Homeless Services Authority, the agency that has handled federal homelessness money for the city since 2021.

Burchett’s letter says the panel is looking into whether taxpayer money meant to help people off the streets instead enriched insiders connected to the agency. Lawmakers point to more than $1 billion sent to the Los Angeles Homeless Services Authority since 2021, money meant to fund shelters, housing programs and outreach across one of the nation’s largest homeless populations.

Mayor Cites Scheduling Conflict, Skips Hearing

Bass will not travel to Washington for the hearing. Her city attorney, David Michaelson, wrote to Burchett saying the mayor was “not available on that date”. The mayor’s office says the city is still cooperating with the subcommittee’s request for records, even though Bass herself won’t sit for questions in person.

For frustrated taxpayers watching billions in federal aid move through layers of city and county agencies with little public accounting, a mayor declining to testify in person raises an obvious question: who is actually answerable when public money disappears into a system built for confusion instead of transparency?

HUD Freeze Adds Pressure Amid Fraud Probe

The refusal comes months after the U.S. Department of Housing and Urban Development suspended all federal funding to the Los Angeles Homeless Services Authority. Housing officials accused the agency of “wanton mismanagement” and pointed to weak financial controls and conflicts of interest uncovered by an inspector general investigation opened in June.

That freeze followed reports that the agency left apartments meant for homeless residents sitting empty while federal dollars kept flowing. The Department of Housing and Urban Development’s inspector general is still examining whether the agency broke federal law in how it managed those grant agreements.

Democrats and LAHSA Push Back

The Los Angeles Homeless Services Authority disputes the fraud claims outright. The agency says it welcomes outside audits and has found no proof of fraud or corruption inside its operations. Bass’s political allies and other Democrats describe the House investigation as a partisan effort tied to broader Republican pushes to shrink homelessness funding nationwide.

Bass has previously said her administration holds “zero tolerance for corruption” and is working with federal prosecutors on fraud cases tied to city housing programs. Whether that stance squares with her decision to skip a congressional hearing on the same subject is now central to the standoff, especially for voters on both sides tired of officials avoiding direct accountability for how tax dollars get spent.

An unanswered summons is not proof of wrongdoing, and Bass’s team says the city remains willing to hand over records even without her testimony. But with over a billion federal dollars, a frozen funding stream, and an open inspector general probe all converging at once, the pressure on Los Angeles City Hall to explain itself in public is unlikely to fade.

Sources:

abc7.com, oversight.house.gov, nypost.com, youtube.com, foxbaltimore.com, realtor.com