Posted originally on Apr 24, 2025 by Martin Armstrong
California’s homeless crisis presents the public sector with a valuable political opportunity to expand its resources. The state and cities continually increase spending to combat the homeless epidemic without producing any results. Funding vanishes into the coffers of the public sector, with the number of people on the streets continuing to rise. Continuing their path of greed, Los Angeles has announced it will raise its sales tax to 11.25% to assist the unhoused.
The California State Auditor released a report last year that revealed California’s programs to combat homelessness have been utterly ineffective. Nine agencies funded by the state have received billions from 2018 to 2023, but homelessness is rapidly rising, and California hosts the largest homeless population in the nation. What have these public agencies done with the $24 BILLION they were awarded to combat homelessness?
As for Los Angeles, the city voted in 2016 and 2017 to raise taxes, collecting $4.6 billion to support the unhoused. Measure HHH provided a $1.2 billion bond to build 10,000 low or no-income housing units. Los Angeles County Supervisor Mark Ridley-Thomas championed this program, but was later arrested for bribery and corruption, found guilty, and sentenced to 42 months in prison. He continued to make public appearances with Mayor Karen Bass during the appeal process.
Va Lecia Adams Kellum, former chief executive of the Los Angeles Homeless Services Authority (LAHSA), signed a $2.1 million contract for Upward Bound House to use taxpayer funds to house the homeless. She attempted to funnel those funds through her husband’s business but was caught in the process. LA Mayor Karen Bass, again, was in full support of Adams Kellum. The Los Angeles County Board of Supervisors forced Adams Kellum to resign earlier this month after millions of dollars went unaccounted.
Councilman Jose Huizar, again, promised to reduce the number of people living on the streets and was one of the architects of Measure HHH. Huizar was found guilty and sentenced to 13 years imprisonment for accepting $1.5 billion in bribes from developers, spending some of the funds in his possession on prostitutes as well. He paid a $600,000 bribe to a Chinese real estate developer to clear himself of a sexual harassment lawsuit using public funds.
Mayor Bass maintains that homelessness is a result of greedy residents. Measure A passed this month, which is a half-cent countywide sales tax that is expected to generate $1 billion annually. Approximately 33.75% of those funds will go to the corrupt LA County Affordable Housing Solutions Agency (LACAHSA). Measure H is also in effect, which is a quarter-cent countywide sales tax set to expire in 2027. Again, they expect this measure to generate $1 billion annually. Measure ULA is also in place to require those purchasing luxury real estate to contribute to addressing the homeless epidemic. This measure includes a 4% property tax on sales over $5 million and a 5.5% tax on sales over $10 million. This third program is also expected to generate $1 billion in annual revenue.
Los Angeles and the entire state of California are openly looting taxpayers. Read the state’s plan to cover its budget deficits – endless taxes. Even residents who choose or are forced to leave the state will incur taxes to cover government thievery. Los Angeles is one of countless examples of how the public sector will virtue signal to rob Peter, not to pay Paul, but to pay themselves, as they are not hiding the corruption. We saw it on a national level with USAID after the DOGE audit. Expanding the public sector only benefits the government, but the government slowly expands its power by proclaiming it can solve all problems and exploiting empathy. Give to us so we can give to others. If you vote against aiding your neighbor through taxation, you are greedy, as Chuck Schumer boldly proclaimed. Social justice policies teetering on socialism simply ensure that everyone is equal in poverty, aside from those at the very top.
Centinel2012 