Los Angeles is spending up to $837,000 to house a single homeless person

[DKW 86 7,419]

Los Angeles is spending up to $837,000 to house a single homeless person | KTLA

This is just one of the reports that Maher is referring to:

 

A $1.2 billion program intended to quickly build housing for Los Angeles’ sprawling homeless population is moving too slowly while costs are spiking, with one project under development expected to hit as much as $837,000 for each housing unit, a city audit disclosed Wednesday.

About 1,200 units have been completed since voters approved the spending in 2016, which was then a centerpiece in a strategy intended to get thousands of people off the streets. But the tally of units built so far is “wholly inadequate” in the context of the homeless crisis, said the audit issued by city Controller Ron Galperin.

In recent years, homeless encampments have spread into virtually every neighborhood, while the population has climbed to an estimated 41,000 people. Many are drug addicted or mentally ill, and violence is commonplace.

The program “is still unable to meet the demands of the homelessness crisis,” Galperin said in a letter accompanying the 31-page report. The pace of development is sluggish, he said, while the cost of each unit continues to rise — in some cases to “staggering heights.”

Most of the units are studios or one-bedroom apartments. The audit found 14% of the units build exceeded $700,000 each, and one project in pre-development is estimated to cost almost $837,000 per unit.

The audit noted that higher prices for construction materials during the pandemic, including lumber, along with labor shortages could be contributing to rising costs.

In a tweet, Democratic Mayor Eric Garcetti appeared to dispute any suggestion that the program – formally known by its title on the 2016 ballot, Proposition HHH – was off track.

The program “is producing more units than promised, at a lower cost than expected,” Garcetti wrote. “There are already 1,200 units online providing critical housing and services. And HHH will deliver over 10,300 units of supportive and affordable housing by 2026.”

John Maceri, chief executive of the People Concern, one of L.A.’s largest nonprofits serving the homeless, agreed with the overall finding that the city needs to build housing faster and cheaper. But he warned the program, while a step in the right direction, represents only a small fraction of the money needed to complete projects.

The solution, he said, is innovative financing, slashing red tape that slows projects and incentives for developers to aggregate funding to speed up construction. “Housing has not kept pace with the urgency of the unsheltered homelessness crisis,” Maceri said.

The audit arrives at a time when homelessness is a dominant issue in the city’s mayoral election, with a large field of candidates promising to do more on an issue that has placed Los Angeles in an unwelcome national spotlight. Sagging tents, rusting RVs and makeshift structures used by homeless people have become familiar sights from Hollywood to Venice Beach and even in the shadow of City Hall.

Garcetti, who was nominated last year by President Joe Biden to become ambassador to India, is in the final year of his second term. He is barred by term limits from running for re-election.

Democratic Gov. Gavin Newsom, facing re-election this year, has budgeted record sums to combat homelessness that pervades all of the state’s major cities and many smaller communities as well. The state is providing roughly $12 billion on homelessness programs over two years.

The scope of the expanding problem can be seen in the city budget: When Garcetti took office in 2013, the city was spending about $10 million treating homelessness. The budget he signed last year included about $1 billion.

Still, government’s inability to clear encampments from streets, parks and sidewalks has left voters angry and frustrated. In 2019, then-President Donald Trump threatened to intercede, though he never acted on the threat. San Francisco’s progressive mayor, London Breed, last month declared a state of emergency in the city’s Tenderloin district after becoming fed up with the homelessness and open drug-peddling there.

In LA, the audit said the HHH project includes 8,091 housing units — most with connected services for mental health and substance abuse treatment — spread across 125 projects. About 4,200 are in construction. Other funds outside the HHH program are being used for another 2,369 units.

The audit signaled that a fresh approach – and billions more in spending — would be needed in the future.

“While future plans have not been finalized, building tens of thousands of additional units using the same model will likely cost billions of dollars and will take far too long to match the urgency of the ongoing homeless emergency,” the audit concluded. It urged the city to “find ways to scale up faster and cheaper projects.”

 

 

[bigbird 60,498]

Rather than understanding and fixing the problems, Californian's are running from them.  Hopefully the ideas that created the failure don't travel well.

[jj3jordan 2,051]

They used to say closed military base housing areas could be used for homeless or section 8. But the they decided they were SUBSTANDARD. So they did not use them.  Hey wait didn't I just live there 3 years ago on active duty???  Good enough for active duty military but not good enough for homeless or low income. 

[AU9377 4,925]

I'm certain Habitat for Humanity could build them for less than $100,000.  You can't build anything and expect reasonable costs when you give a blank check to contractors and accept any cost as simply being what it is.  Costs can be driven down for building anywhere, but it takes cooperation and people not expecting to become wealthy at the first sign of a government contract.  A project can be profitable without the need for it to generate generational wealth.

[wdefromtx 3,159]

1 hour ago, AU9377 said:

I'm certain Habitat for Humanity could build them for less than $100,000.  You can't build anything and expect reasonable costs when you give a blank check to contractors and accept any cost as simply being what it is.  Costs can be driven down for building anywhere, but it takes cooperation and people not expecting to become wealthy at the first sign of a government contract.  A project can be profitable without the need for it to generate generational wealth.

Most likely the ones picking the contractors are getting a kickback, just more government corruption. 

[AU9377 4,925]

1 hour ago, wdefromtx said:

Most likely the ones picking the contractors are getting a kickback, just more government corruption. 

That def would not surprise me either.

Kind of a different subject, but the cost of building supplies, from lumber to shingles etc is completely unhinged right now.  The reasons behind it don't support the price increases, especially the amount of price increase.  The way it should work is that more lumber yards would open and result in prices going down as supply increases.  The problem right now is that the larger providers are working together to prevent that from happening.

[SaltyTiger 7,789]

7 hours ago, AU9377 said:

I'm certain Habitat for Humanity could build them for less than $100,000.  You can't build anything and expect reasonable costs when you give a blank check to contractors and accept any cost as simply being what it is.  Costs can be driven down for building anywhere, but it takes cooperation and people not expecting to become wealthy at the first sign of a government contract.  A project can be profitable without the need for it to generate generational wealth.

Showing your ignorance. Habitat is not capable of executing a government contract. Be interesting to see a “Total Project” breakdown cost analysis on these units. You would be probably be shocked at “blank check” to contractors and “ generational wealth” percentages.

 

Edited March 27, 2022 by SaltyTiger

[SaltyTiger 7,789]

4 hours ago, AU9377 said:

That def would not surprise me either.

Kind of a different subject, but the cost of building supplies, from lumber to shingles etc is completely unhinged right now.  The reasons behind it don't support the price increases, especially the amount of price increase.  The way it should work is that more lumber yards would open and result in prices going down as supply increases.  The problem right now is that the larger providers are working together to prevent that from happening.

Lumber supplies, etc…have been unhinged for a while, meaning pre covid. Why open more lumber yards without additional mills? Mills take years to build and staff.

[AU9377 4,925]

7 minutes ago, SaltyTiger said:

Showing your ignorance. Habitat is not capable of executing a government contract. Be interesting to see a “Total Project” breakdown cost analysis on these units. You would be probably be shocked at “blank check” to contractors and “ generational wealth” percentages.

 

Right, I'm the one that is "ignorant"...........  You can slice it any way you want, but when you break it down it is still preposterous to argue that spending that much per unit is remotely reasonable.

I realize what Habitat is and isn't.  That has nothing to do with my statement.  The problem may be that it is a government contract, but you know who can change that problem?  The government.  We don't have to blindly accept that the nature of something justifies throwing money into a burn pit.

[SaltyTiger 7,789]

15 minutes ago, AU9377 said:

Right, I'm the one that is "ignorant"...........  You can slice it any way you want, but when you break it down it is still preposterous to argue that spending that much per unit is remotely reasonable.

I realize what Habitat is and isn't.  That has nothing to do with my statement.  The problem may be that it is a government contract, but you know who can change that problem?  The government.  We don't have to blindly accept that the nature of something justifies throwing money into a burn pit.

It is preposterous. You are the one that sliced into blank checks to contractors and generational wealth from a project. 

[AU9377 4,925]

1 minute ago, SaltyTiger said:

Lumber supplies, etc…have been unhinged for a while, meaning pre covid. Why open more lumber yards without additional mills? Mills take years to build and staff.

I know three that are sitting idle right now and have been for 5 years or more.  Do you believe that the cost of lumber today is reasonable?  If you do, why hasn't the cost of saw timber and pulp wood also risen drastically?  The cost of sheet plywood has increased more than 300% in most places. 

I sold 50 acres of Pines 4 years ago.  If I sold that same tract today, it would sell for more, but only slightly more.  I have a neighbor that is building a house and he has now purchased his own equipment and is milling the pine himself.  It may take him a year to get it done, but I do admire the effort.  In fact, I gave him permission to cut some on my property just to help him out.  Most people just don't have the knowledge or ability to do that.

[SaltyTiger 7,789]

Lumber prices are ridiculous and from my understanding increases are not being realized by the grower or end supplier. Some good information in Forbes and updates since this.

https://www.forbes.com/sites/billconerly/2021/05/22/why-lumber-and-plywood-prices-are-so-high-and-when-they-will-come-down/?sh=40bc2ae94b71

[SaltyTiger 7,789]

44 minutes ago, AU9377 said:

The cost of sheet plywood has increased more than 300% in most places. 

Different animal 

[wdefromtx 3,159]

New home sales fell in February according to some. If the trend continues I expect to see some lumber prices fall. 

[homersapien 11,366]

15 hours ago, SaltyTiger said:

Showing your ignorance. Habitat is not capable of executing a government contract. Be interesting to see a “Total Project” breakdown cost analysis on these units. You would be probably be shocked at “blank check” to contractors and “ generational wealth” percentages.

 

He's not "showing his ignorance" Salty for the simple reason he didn't say or imply that using Habitat was a choice for the government.

You totally misinterpreted what he said.

[SaltyTiger 7,789]

1 hour ago, homersapien said:

He's not "showing his ignorance" Salty for the simple reason he didn't say or imply that using Habitat was a choice for the government.

You totally misinterpreted what he said.

He pretty well stated as much. Have seen some craziness in government contracts but never “blank checks” on building contracts. Be interesting to see where the cost are. Understand that California is different but sounds outrageous.

[homersapien 11,366]

47 minutes ago, SaltyTiger said:

He pretty well stated as much. Have seen some craziness in government contracts but never “blank checks” on building contracts. Be interesting to see where the cost are. Understand that California is different mbut sounds outrageous.

Wrong.  He did not. 

He was simply using Habitat as a standard of comparison for what reasonable costs would be.  He neither said or implied the California state government should have contracted with them.

 

[SaltyTiger 7,789]

46 minutes ago, homersapien said:

Wrong.  He did not. 

He was simply using Habitat as a standard of comparison for what reasonable costs would be.  He neither said or implied the California state government should have contracted with them.

 

I was agreeing that he pretty well stated what you are trying to say. Obviously you are just wanting to be argumentative this afternoon while I am trying to enjoy Auburn/A&M baseball. Been a great series with rubber game turning into a typical Sunday slugfest. 8 -7 us top of 6th. Have a beer and watch it.

[homersapien 11,366]

7 minutes ago, SaltyTiger said:

I was agreeing that he pretty well stated what you are trying to say. Obviously you are just wanting to be argumentative this afternoon while I am trying to enjoy Auburn/A&M baseball. Been a great series with rubber game turning into a typical Sunday slugfest. 8 -7 us top of 6th. Have a beer and watch it.

No actually I was simply responding to your post:

1 hour ago, SaltyTiger said:

He pretty well stated as much. Have seen some craziness in government contracts but never “blank checks” on building contracts. Be interesting to see where the cost are. Understand that California is different but sounds outrageous.

 

[augolf1716 21,106]

1 hour ago, SaltyTiger said:

I was agreeing that he pretty well stated what you are trying to say. Obviously you are just wanting to be argumentative this afternoon while I am trying to enjoy Auburn/A&M baseball. Been a great series with rubber game turning into a typical Sunday slugfest. 8 -7 us top of 6th. Have a beer and watch it.

13-8 AU for now

[SaltyTiger 7,789]

1 hour ago, homersapien said:

No actually I was simply responding to your post:

 

I understand and accept the apology

[homersapien 11,366]

18 hours ago, SaltyTiger said:

I understand and accept the apology

No, you don't understand. I was not apologizing.  (For what?? )

[homersapien 11,366]

On 3/26/2022 at 9:05 PM, SaltyTiger said:

Showing your ignorance. Habitat is not capable of executing a government contract. Be interesting to see a “Total Project” breakdown cost analysis on these units. You would be probably be shocked at “blank check” to contractors and “ generational wealth” percentages.

 

Did I misunderstand this post Salty?

[SaltyTiger 7,789]

58 minutes ago, homersapien said:

Did I misunderstand this post Salty?

I told you that 93 said he knows what Habitat is capable of. The post means I would like to the cost breakdown. You are above average intelligence and can understand that.

[homersapien 11,366]

On 3/28/2022 at 11:44 AM, SaltyTiger said:

I told you that 93 said he knows what Habitat is capable of. The post means I would like to the cost breakdown. You are above average intelligence and can understand that.

Well apparently, I must have misinterpreted your first two sentences, even with  my "above average" intelligence.

 

On 3/26/2022 at 9:05 PM, SaltyTiger said:

Showing your ignorance. Habitat is not capable of executing a government contract. Be interesting to see a “Total Project” breakdown cost analysis on these units. You would be probably be shocked at “blank check” to contractors and “ generational wealth” percentages.

 

 

Edited March 29, 2022 by homersapien