A dispute over the city of Los Angeles’ eviction defense program came to an end Tuesday when the City Council approved millions of dollars in funding for the next 15 months.
The program, Stay Housed L.A., started in 2021 and provides thousands of renters with legal representation in eviction proceedings as well as other services.
Tenant advocates feared that the new contract, which passed 12 to 1 and funds an initial portion of a three-year, $177-million contract, was under threat after City Atty. Hydee Feldstein Soto urged the council to reconsider it in a confidential memo last week.
Feldstein Soto said she had concerns about awarding such a large contract to Legal Aid Foundation of Los Angeles, which frequently sues the city over homelessness issues.
Legal Aid is the main legal service provider under the Stay Housed L.A. contract, which also funds Southern California Housing Rights Center for short-term emergency rental assistance, Liberty Hill Foundation for tenant outreach and Strategic Actions for a Just Economy to protect tenants from harassment.
The city’s Housing Department had recommended a three-year contract, but the council opted for a shorter period that can be extended.
Legal Aid has argued that its lawsuits against the city are unrelated to its eviction defense work under the Stay Housed L.A. contract.
“We are very relieved that our services can continue uninterrupted,” said Barbara Schultz, director of housing justice for Legal Aid, in an interview after the vote.
Feldstein Soto, who is running for reelection, said in a statement that her office wanted to make sure the city wasn’t giving a “blank check” to Legal Aid without requiring detailed reporting of finances and outcomes.
“The eviction defense program is a city program and is in zero jeopardy,” she said. “What is in question is a $177-million blank check to [Legal Aid] and its partners without the reports and invoice review that is required by law. That is an amount that exceeds the budget of numerous city departments.”
On Tuesday, the City Council added a requirement that the nonprofits in the program provide “performance metrics” including the number of tenants served, case outcomes and demographic data.
Schultz said that Legal Aid already provides monthly data to the city.
John Lee was the only councilmember who voted against the new contract, saying he was not comfortable with the new “transparency requirements.”
Since its inception, Stay Housed L.A. has opened about 26,000 cases overall, providing full representation for 6,150 cases and working on nearly 20,000 “limited scope” cases, according to data from Legal Aid. The original contract, which is set to lapse at the end of the month, was for about $90 million.
The program is funded by Measure ULA, the “mansion tax” passed by city voters in 2022. On Tuesday, the council included a provision that would allow it to cease funding the eviction defense program if Measure ULA were overturned.
