California has poured billions of taxpayer dollars into addressing homelessness, yet the problem continues to worsen. Despite ambitious spending plans and various state-led initiatives, homelessness numbers remain high, and encampments continue to pose challenges in cities and suburbs alike. The reality is clear: without strong oversight and accountability, these funds risk being funneled into bureaucratic inefficiencies instead of making a real difference in the lives of those who need help the most.
A 2024 state audit exposed a fundamental flaw in California’s approach—a lack of coordination among the multiple state agencies responsible for homelessness programs. At least nine state agencies oversee 41 different programs, yet no single entity is responsible for leading a unified, results-driven strategy. This fragmented system is a recipe for inefficiency, and until the state ensures that funding is distributed based on effectiveness rather than political maneuvering, the crisis will continue to spiral out of control.
This problem was further underscored by the recently released report from the nonpartisan Legislative Analyst’s Office (LAO), which found that California’s homelessness funding lacks sufficient oversight and accountability. The LAO report pointed out that while the state has allocated billions of dollars across various initiatives, there is no clear system in place to measure the success of these investments. Instead of a coordinated strategy, homelessness funding is being managed through a patchwork of agencies and programs with no unified accountability structure. This lack of oversight makes it difficult to determine whether the money is being spent effectively or whether programs are making a meaningful impact.
At the same time, while government programs continue to struggle with inefficiency, numerous nonprofit organizations in our local area are making a real difference with far fewer resources. Groups like Jake’s Journey Home, H.A.R.T. of Folsom, The Gathering Inn, Powerhouse Ministries and so many others are working tirelessly to help people transition out of homelessness in communities like Folsom, across Sacramento County, Placer County and beyond, providing direct aid, mentorship, and resources to those in need. But these organizations cannot do it alone. They rely on donations, volunteers, and community support to sustain their efforts, yet they are often forced to do so with minimal assistance from state or local funding. Money that is currently being wasted or proving to not be effect could be allowed to more of those programs and organization which are, and diligent oversight would help determine those.
Imagine if state homelessness funding was managed with better oversight, transparency, and efficiency. That could translate into more resources for these nonprofit organizations to expand their efforts beyond what they’re already accomplishing with so little. If funding were properly allocated and tracked, it could support the people and programs that are truly making a difference—whether that means increasing transitional housing, providing more job training programs, or offering additional mental health services. Instead of seeing taxpayer dollars disappear into a bureaucratic void, we could see real, measurable results at the community level.
The failure to properly manage funds not only hurts those experiencing homelessness—it also erodes public trust. Californians are being asked to fund multi-billion-dollar homelessness initiatives, yet they see little evidence that these investments are making a meaningful impact. Without transparency and accountability, frustration among taxpayers will continue to grow, making it even harder to build support for future programs that could actually work.
What California needs is stronger oversight mechanisms, including regular independent audits, better tracking of spending outcomes, and clear accountability measures for state and local agencies. Every dollar spent should be traceable, and the success of programs should be measured not by dollars allocated, but by real, tangible results—fewer people living on the streets, increased access to mental health and addiction treatment, and more permanent housing placements.
The Legislative Analyst’s Office report makes it clear: California’s homelessness crisis is not just a funding issue—it’s an accountability issue. By demanding transparency and responsible use of resources, we can not only restore public trust but also empower the very organizations that are already making a difference in our communities. There is no reason why lawmakers, taxpayers, and nonprofit organizations alike should be denied the opportunity to see the results that true oversight can bring.
It these funds are indeed being used in the best possible way, then nobody should be opposed to oversight of it and transparency. Right? On the contrary, if the spending is failing it’s purpose, then such transparency can lead to collaboration and solutions.
For those that want to dive into this deeper and would like to Legislative Analyst’s Office report, it can be found HERE.
Bill Sullivan is the co-founder and managing publisher of Folsom Times, a digital product of All Town Media LLC operated in Folsom, California. Your can read more local news and features and engage in the conversations with our community by following the Folsom Times Facebook page here.