A poster with information for students on using ChatGPT, an AI platform, in English teacher Jen Roberts' class at Point Loma High School in San Diego on May 3, 2024.
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Adriana Heldiz
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CalMatters
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Topline:
California schools are using more chatbots, and teachers are using them to grade papers and give students feedback.
The benefits ... with a catch: English teachers say AI tools can help them grade papers faster, get students more feedback, and improve their learning experience. But guidelines are vague and adoption by teachers and districts is spotty.
The unknown: The California Department of Education can’t tell you which schools use AI or how much they pay for it. The state doesn’t track AI use by school districts, said Katherine Goyette, computer science coordinator for the California Department of Education.
Read more ... to get more perspective from educators actively using AI.
Your children could be some of a growing number of California kids having their writing graded by software instead of a teacher.
California school districts are signing more contracts for artificial intelligence tools, from automated grading in San Diego to chatbots in central California, Los Angeles, and the San Francisco Bay Area.
English teachers say AI tools can help them grade papers faster, get students more feedback, and improve their learning experience. But guidelines are vague and adoption by teachers and districts is spotty.
The California Department of Education can’t tell you which schools use AI or how much they pay for it. The state doesn’t track AI use by school districts, said Katherine Goyette, computer science coordinator for the California Department of Education.
While Goyette said chatbots are the most common form of AI she’s encountered in schools, more and more California teachers are using AI tools to help grade student work. That’s consistent with surveys that have found teachers use AI as often if not more than students, news that contrasts sharply with headlines about fears of students cheating with AI.
Teachers use AI to do things like personalize reading material, create lesson plans, and other tasks in order to save time and and reduce burnout. A report issued last fall in response to an AI executive order by Gov. Gavin Newsom mentions opportunities to use AI for tutoring, summarization, and personalized content generation, but also labels education a risky use case. Generative AI tools have been known to create convincing but inaccurate answers to questions, and use toxic language or imagery laden with racism or sexism.
California issued guidance for how educators should use the technology last fall, one of seven states to do so. It encourages critical analysis of text and imagery created by AI models and conversations between teachers and students about what amounts to ethical or appropriate use of AI in the classroom.
But no specific mention is made of how teachers should treat AI that grades assignments. Additionally, the California education code states that guidance from the state is “merely exemplary, and that compliance with the guidelines is not mandatory.”
English teacher Jen Roberts uses Writeable, an AI platform, to grade students’ work at Point Loma High School in San Diego on May 3, 2024.
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Adriana Heldiz
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CalMatters
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Goyette said she’s waiting to see if the California Legislature passes Senate Bill 1288, which would require state Superintendent Tony Thurmond to create an AI working group to issue further guidance to local school districts on how to safely use AI. Cosponsored by Thurmond, the bill also calls for an assessment of the current state of AI in education and for the identification of forms of AI that can harm students and educators by 2026.
Nobody tracks what AI tools school districts are adopting or the policy they use to enforce standards, said Alix Gallagher, head of strategic partnerships at the Policy Analysis for California Education center at Stanford University. Since the state does not track curriculum that school districts adopt or software in use, it would be highly unusual for them to track AI contracts, she said.
Amid AI hype, Gallagher thinks people can lose sight of the fact that the technology is just a tool and it will only be as good or problematic as the decisions of the humans using that tool, which is why she repeatedly urges investments in helping teachers understand AI tools and how to be thoughtful about their use and making space for communities are given voice about how to best meet their kid’s needs.
“Some people will probably make some pretty bad decisions that are not in the best interests of kids, and some other people might find ways to use maybe even the same tools to enrich student experiences,” she said.
Teachers use AI to grade English papers
Last summer, Jen Roberts, an English teacher at Point Loma High School in San Diego, went to a training session to learn how to use Writable, an AI tool that automates grading writing assignments and gives students feedback powered by OpenAI. For the past school year, Roberts used Writable and other AI tools in the classroom, and she said it’s been the best year yet of nearly three decades of teaching. Roberts said it has made her students better writers, not because AI did the writing for them, but because automated feedback can tell her students faster than she can how to improve, which in turn allows her to hand out more writing assignments.
“At this point last year, a lot of students were still struggling to write a paragraph, let alone an essay with evidence and claims and reasoning and explanation and elaboration and all of that,” Roberts said. “This year, they’re just getting there faster.”
Roberts feels Writable is “very accurate” when grading her students of average aptitude. But, she said, there’s a downside: It sometimes assigns high-performing students lower grades than merited and struggling students higher grades. She said she routinely checks answers when the AI grades assignments, but only checks the feedback it gives students occasionally.
“In actual practicality, I do not look at the feedback it gives every single student,” she said. “That’s just not a great use of my time. But I do a lot of spot checking and I see what’s going on and if I see a student that I’m worried about get feedback, (I’m like) ‘Let me go look at what his feedback is and then go talk to him about that.’”
First: A student uses Magic School, an AI platform, to help generate ideas for a classroom writing prompt. Last: A student reads their writing out loud. Point Loma High School in San Diego on May 3, 2024.
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Adriana Heldiz
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CalMatters
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Alex Rainey teaches English to fourth graders at Chico Country Day School in northern California. She used GPT-4, a language model made by OpenAI which costs $20 a month, to grade papers and provide feedback. After uploading her grading rubric and examples of her written feedback, she used AI to grade assignments about animal defense mechanisms, allowing GPT-4 to analyze students’ grammar and sentence structure while she focused on assessing creativity.
“I feel like the feedback it gave was very similar to how I grade my kids, like my brain was tapped into it,” she said.
Like Roberts she found that it saves time, transforming work that took hours into less than an hour, but also found that sometimes GPT-4 is a tougher grader than she is. She agrees that quicker feedback and the ability to dole out more writing assignments produces better writers. A teacher can assign more writing before delivering feedback but “then kids have nothing to grow from.”
Rainey said her experience grading with GPT-4 left her in agreement with Roberts, that more feedback and writing more often produces better writers. She feels strongly that teachers still need to oversee grading and feedback by AI, “but I think it’s amazing. I couldn’t go backwards now.”
The cost of using AI in the classroom
Contracts involving artificial intelligence can be lucrative.
To launch a chatbot named Ed, Los Angeles Unified School District signed a $6.2 million contract for two years with the option of renewing for three additional years. Magic School AI is used by educators in Los Angeles and costs $100 per teacher per year.
Despite repeated calls and emails over the span of roughly a month, Writable and the San Diego Unified School District declined to share pricing details with CalMatters. A district spokesperson said teachers got access to Writeable through a contract with Houghton Mifflin Harcourt for English language learners.
QuillBot is an AI-powered writing tool for students in grades 4-12 made by the company Quill. Quill says its tool is currently used at 1,000 schools in California and has more than 13,000 student and educator users in San Diego alone. An annual Quill Premium subscription costs $80 per teacher or $1800 per school.
QuillBot does not generate writing for students like ChatGPT or grade writing assignments, but gives students feedback on their writing. Quill is a nonprofit that’s raised $20 million from groups like Google’s charitable foundation and the Bill and Melinda Gates Foundation over the past 10 years.
English teacher Jen Roberts explains to her students how she uses Magic School, an AI platform, for classroom exercises and grading at Point Loma High School in San Diego on May 3, 2024.
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Adriana Heldiz
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CalMatters
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Even if a teacher or district wants to shell out for an AI tool, guidance for safe and responsible use is still getting worked out.
Governments are placing high-risk labels on forms of AI with the power to make critical decisions about whether a person gets a job or rents an apartment or receives government benefits. California Federation of Teachers President Jeff Freitas said he hasn’t considered whether AI for grading is moderate or high risk, but “it definitely is a risk to use for grading.”
The California Federation of Teachers is a union with 120,000 members. Freitas told CalMatters he’s concerned about AI having a number of consequences in the classroom. He’s worried administrators may use it to justify increasing classroom sizes or adding to teacher workloads; he’s worried about climate change and the amount of energy needed to train and deploy AI models’ he’s worried about protecting students’ privacy, and he’s worried about automation bias.
Regulators around the world wrestling with AI praise approaches where it is used to augment human decision-making instead of replacing it. But it’s difficult for laws to account for automation bias and humans becoming placing too much trust in machines.
The American Federation of Teachers created an AI working group in October 2023 to propose guidance on how educators should use the technology or talk about it in collective bargaining contract negotiations. Freitas said those guidelines are due out in the coming weeks.
“We’re trying to provide guidelines for educators to not solely rely on (AI), he said. “It should be used as a tool, and you should not lose your critical analysis of what it’s producing for you.”
State AI guidelines for teachers
Goyette, the computer science coordinator for the education department, helped create state AI guidelines and speaks to county offices of education for in-person training on AI for educators. She also helped create an online AI training series for educators. She said the most popular online course is about workflow and efficiency, which shows teachers how to automate lesson planning and grading.
“Teachers have an incredibly important and tough job, and what’s most important is that they’re building relationships with their students,” she said. “There’s decades of research that speaks to the power of that, so if they can save time on mundane tasks so that they can spend more time with their students, that’s a win.”
English teacher Jen Roberts checks her student’s work at Point Loma High School in San Diego on May 3, 2024. Roberts uses AI platforms for classroom exercises and grading. Photo by Adriana Heldiz, CalMatters
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Adriana Heldiz
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CalMatters
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Alex Kotran, chief executive of an education nonprofit that’s supported by Google and OpenAI, said they found that it’s hard to design a language model to predictably match how a teacher grades papers.
He spoke with teachers willing to accept a model that’s accurate 80% of the time in order to reap the reward of time saved, but he thinks it’s probably safe to say that a student or parent would want to make sure an AI model used for grading is even more accurate.
Kotran of the AI Education Project thinks it makes sense for school districts to adopt a policy that says teachers should be wary any time they use AI tools that can have disparate effects on student’s lives.
Even with such a policy, teachers can still fall victim to trusting AI without question. And even if the state kept track of AI used by school districts, there’s still the possibility that teachers will purchase technology for use on their personal computers.
When teachers can’t tell if they’re cheating
Kotran said he routinely speaks with educators across the U.S. and is not aware of any systematic studies to verify the effectiveness and consistency of AI for grading English papers.
Roberts, the Point Loma High School teacher, describes herself as pro technology.
She regularly writes and speaks about AI. Her experiences have led her to the opinion that grading with AI is what’s best for her students, but she didn’t arrive at that conclusion easily.
At first she questioned whether using AI for grading and feedback could hurt her understanding of her students. Today she views using AI like the cross-country coach who rides alongside student athletes in a golf cart, like an aid that helps her assist her students better.
A student scrolls through their laptop during class at Point Loma High School in San Diego on May 3, 2024.
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Adriana Heldiz
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CalMatters
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Roberts says the average high school English teacher in her district has roughly 180 students. Grading and feedback can take between five to 10 minutes per assignment she says, so between teaching, meetings, and other duties, it can take two to three weeks to get feedback back into the hands of students unless a teacher decides to give up large chunks of their weekends. With AI, it takes Roberts a day or two.
Ultimately she concluded that “if my students are growing as writers, then I don’t think I’m cheating.” She says AI reduces her fatigue, giving her more time to focus on struggling students and giving them more detailed feedback.
“My job is to make sure you grow, and that you’re a healthy, happy, literate adult by the time you graduate from high school, and I will use any tool that helps me do that, and I’m not going to get hung up on the moral aspects of that,” she said. “My job is not to spend every Saturday reading essays. Way too many English teachers work way too many hours a week because they are grading students the old-fashioned way.”
Roberts also thinks AI might be a less biased grader in some instances than human teachers who can adjust their grading for students sometimes to give them the benefit of the doubt or be punitive if they were particularly annoying in class recently.
She isn’t worried about students cheating with AI, a concern she characterizes as a moral panic. She points to a Stanford University study released last fall which found that students cheated just as much before the advent of ChatGPT as they did a year after the release of the AI.
Goyette said she understands why students question whether some AI use by teachers is like cheating. Education department AI guidelines encourage teachers and students to use the technology more. What’s essential, Goyette said, is that teachers discuss what ethical use of AI looks like in their classroom, and convey that — like using a calculator in math class — using AI is accepted or encouraged for some assignments and not others.
For the last assignment of the year, Robers has one final experiment to run: Edit an essay written entirely by AI. But they must change at least 50% of the text, make it 25% longer, write their own thesis, and add quotes from classroom reading material. The idea, she said, is to prepare them for a future where AI writes the first draft and humans edit the results to fit their needs.
“It used to be you weren’t allowed to bring a calculator into the SATs and now you’re supposed to bring your calculator so things change,” she said. “It’s just moral panic. Things change and people freak out and that’s what’s happening.”
Federal judge orders LA to pay $1.8M in settlement
Makenna Sievertson
has been covering the case and attending federal hearings in downtown L.A. since at least March 2024.
Published January 9, 2026 5:02 PM
A view of L.A. City Hall in downtown.
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Makenna Sievertson
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LAist
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Topline:
A federal judge has ordered Los Angeles to pay more than $1.8 million in attorneys’ fees and costs to the L.A. Alliance for Human Rights and other organizations that sued the city over what it deemed an inadequate response to the homelessness crisis.
The details: In addition to $1.6 million in attorneys’ fees and $5,000 in costs to L.A. Alliance, the judge awarded about $200,000 in fees and $160 in costs to the Los Angeles Catholic Worker and Los Angeles Community Action Network.
Why now: The city is appealing the decision.
Why it matters: In his order, released Tuesday, the judge compared the recent award to the millions of taxpayer dollars city officials agreed to pay an outside law firm representing L.A.in the settlement.
Read on ... for more about this week's order.
A federal judge has ordered Los Angeles to pay more than $1.8 million in attorneys’ fees and costs to the L.A. Alliance for Human Rights and other organizations that sued the city over what it deemed an inadequate response to the homelessness crisis.
The city is appealing the decision.
The details
L.A. Alliance is a group of business owners and residents who sued the city and county of Los Angeles in 2020 in an effort to push both governments to provide more shelter to unhoused people in the region.
The city of L.A. settled with the plaintiffs in 2022, and U.S. District Judge David O. Carter is overseeing the city’s progress in keeping up with the terms of that agreement. The judge found the city breached its agreement in multiple ways in a ruling last summer.
Specifically, the judge found that the city did not provide a plan for how it intends to create 12,915 shelter beds, as promised, by 2027. The court also found the city “flouted” its responsibilities by failing to provide accurate, comprehensive data when requested and did not provide evidence to support the numbers it was reporting, according to court documents.
In addition to $1.6 million in attorneys’ fees and $5,000 in costs to L.A. Alliance, Carter awarded about $200,000 in fees and $160 in costs to the Los Angeles Catholic Worker and Los Angeles Community Action Network.
The organizations are considered “intervenors” in the suit, representing people experiencing homelessness on Skid Row. Their attorneys include those from the Legal Aid Foundation of Los Angeles.
Why it matters
In his order, released Tuesday, Carter compared the recent award to the millions of taxpayer dollars city officials agreed to pay an outside law firm representing L.A. in the settlement.
“It has fallen to plaintiff, intervenors, and journalists to point out the deficiencies in the city’s reporting,” Carter wrote, referring to data the city is required to report to the court as part of the settlement.
“Plaintiff and intervenors must be compensated for this,” he said.
The city’s response
Attorneys representing the city filed a notice of appeal with the U.S. District Court in Los Angeles on Thursday.
L.A. City Attorney Hydee Feldstein-Soto’s office did not respond to LAist’s requests for comment by phone or email.
Shayla Myers, senior attorney with the Unhoused People's Justice Project at the Legal Aid Foundation of Los Angeles, told LAist the intervenors participated in the case without compensation “because it's incredibly important given what is at stake in these proceedings that unhoused folks have a voice.”
Matthew Umhofer, an attorney for L.A. Alliance, told LAist he’s thrilled the court is imposing accountability on the city, including sanctions for violating the settlement agreement. But Umhofer said he’s saddened that L.A. Alliance is going to have to keep fighting to hold the city to its promises.
“The obvious city strategy here is hire a big, good law firm to fight on absolutely every front in hopes that the plaintiffs, the intervenors or the court will ultimately give up trying to hold the city accountable,” he said.
What's next
The parties are scheduled to appear in federal court in downtown L.A. on Monday, when a hearing will resume to determine whether the judge will hold the city of Los Angeles in contempt of court.
Carter has said in documents that he’s concerned “the city has demonstrated a continuous pattern of delay” in meeting its obligations with court orders under the settlement and that the “delay continues to this day.”
Gab Chabrán
covers what's happening in food and culture for LAist.
Published January 9, 2026 3:52 PM
Asha Stark's Hot Grease specializes in Black fish fry with a side of social justice.
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Gab Chabrán
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LAist
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Topline:
Smorgasburg L.A. reopens this Sunday with 13 new food vendors joining the downtown market's annual grand reopening at the Row.
Why now: The January grand reopening with new vendors is a longstanding tradition that kicks off the year ahead. Vendors apply through Smorgasburg's website, and the team meets with every applicant to taste their food before acceptance. Competition remains fierce, with many more applicants than available spots. This year marks the market's 10th anniversary celebration in June.
Why it matters: The new vendor class demonstrates the resilience of L.A.'s independent food scene, following a challenging year for the restaurant industry, with concepts ranging from a Grammy-nominated producer's Persian-influenced pizza to Southern fried fish honoring Black migration history.
Every January, the open-air downtown food fair reopens after its winter break and announces new additions to its carefully selected group of regular vendors.
This year’s new vendor class demonstrates the resilience of L.A.'s independent food scene, ranging from a Grammy-nominated producer's Persian-influenced pizza to Southern fried fish celebrating Black American culinary traditions, to an LAist 2025 Tournament of Cheeseburger heavyweight contender.
The reopening also marks the start of Smorgasburg LA's 10th anniversary year, and will feature 41 returning vendors, who've helped build the regular event into a fun, family-friendly opportunity to try new, often cutting-edge food you may not be familiar with.
Doors open from 10 a.m. to 4 p.m. at DTLA’s The Row, with free entry and free parking for the first two hours.
A new year
General manager Zach Brooks said this is his favorite time of year. "We add the new vendors at the beginning of the new year, everyone's excited."
Vendors apply through Smorgasburg's website, and the team meets with every applicant to taste their food before acceptance. Brooks said it's not a vetting process like "Shark Tank" but rather a matter of seeing if it's a good fit. Competition remains fierce, with many more applicants than available spots.
"I think it's just a testament to L.A. and the resilience of people who love this business and have a passion for it, and are going to continue to persevere and start their businesses and want to be out there selling food," Brooks said.
Here are a few highlights:
Viral orange chicken sandwich
Long Beach-based Terrible Burger becomes Smorgasburg's new permanent burger vendor after standout appearances at LAist's Tournament of Cheeseburgers and the market's rotating Smorgasburger Stand. The smashburger pop-up, run by husband-and-wife team Nicole and Ryan Ramirez, specializes in burgers that draw from pop culture and global influences. They've made waves with a Korean barbecue burger topped with bulgogi barbecue sauce and a viral orange chicken sandwich, previously available only at their Tuesday night residency at Long Beach's Midnight Oil, making its L.A. debut Sunday.
Terrible Burger's viral orange chicken sandwich makes its LA debut at Smorgasburg after being available only in Long Beach.
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Courtesy Terrible Burger
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"We have been big Smorgasburg fans for a really long time before we even started Terrible Burger. We would go to Smorgasburg on dates, just eat and hang out. And it was just always a little dream of, "oh, what if we ever sold food here?" Nicole Ramirez said.
Crispy fried snapper and thick-cut fries
Orange County-based Hot Grease, run by Asha Starks, is among four vendors graduating from residencies to permanent status. The Southern fried fish pop-up celebrates Black American history through food that honors Starks' family heritage.
"Folks often forget that there are Black folks in Orange County. My family came to Orange County during the second wave of the Great Migration, and they settled in Santa Ana... my food is very cultural. And the story, I feel like, is just as important to highlight," Starks said.
Hot Grease's crispy buttermilk fried snapper with thick-cut fries and "Ill Dill" tartar sauce.
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Courtesy Hot Grease
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Hot Grease serves crispy buttermilk fried snapper with thick-cut fries and small-batch sauces like "Ill Dill" tartar. Honoring the fish fry's history as a site of mutual aid, Starks directs 3% of sales to the Potlikker Line, Hot Grease's reproductive justice mutual aid fund. For January, she's added fish and grits, black-eyed peas and collard greens.
Pizza with a Persian twist
Mamani Pizza brings studio-born energy to Smorgasburg LA with pies featuring Persian-inspired creativity.
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Courtesy Mamani Pizza
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Mamani Pizza, from the Grammy-nominated producer Farsi, part of the music production team Wallis Lane, started making Neapolitan-style pizzas at his West L.A. recording studio a year ago. What began as late-night pies for friends and artists became an underground hit. Most pizzas are traditional, but Farsi adds Persian touches like The Mamani, topped with ground wagyu koobideh, roasted Anaheim chilis, Persian herbs and pomegranate molasses.
If you're enjoying this article, you'll love our daily newsletter, The LA Report. Each weekday, catch up on the 5 most pressing stories to start your morning in 3 minutes or less.
Cato Hernández
covers important issues that affect the everyday lives of Southern Californians.
Published January 9, 2026 3:48 PM
Potholes pop up after rain because water seeps into the road's crevices and weakens the foundation. Cars driving over it exacerbates the damage, leading to more cracks.
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Cato Hernández
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LAist
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Topline:
All that rain didn’t just flood L.A. County streets, it chewed up our roads. You’re likely driving over more potholes than usual, so what do you do if your car gets damaged from one? You could get the government to pay for it.
How it works: You’ll want to take pictures of the pothole and your car. Then, submit a claim form. Personal property damage claims have a six-month filing period, and you’ll have to pay out-of-pocket first.
Unincorporated L.A. County: If the damage happened in an unincorporated area, you’ll have to print and mail this claim form.
Highway/freeways in L.A. or Ventura counties: For Caltrans damage claims, follow the filing directions here.
Manage your expectations: Keep in mind, this isn’t a quick way to cash. Claims can take months. You’ll also have to prove the agency was aware of the problem before your incident, such as by looking at street maintenance records for your area. Here are tips from the now-defunct site LAPotholes.com.
What’s next: Potholes continue to plague the city of L.A., and that’s probably not ending soon. In the next budget, StreetsLA (aka Bureau of Street Services) is proposing to prioritize funding for “large asphalt repair,” which means patching over sections rather than fully repaving streets, which some argue will lead to worse roads.
Nick Gerda
is an accountability reporter who has covered local government in Southern California for more than a decade.
Published January 9, 2026 3:25 PM
President Donald Trump signed an executive order in February that was designed to limit the power of independent agencies, including the NRC.
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Roberto Schmidt
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AP
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Topline:
In halting childcare and welfare benefits to hundreds of thousands of low-income Californians, the Trump Administration says “recent federal prosecutions” are driving concerns for “the potential for extensive and systemic fraud.” But when pressed for details about what specific prosecutions justify the freeze in California, administration officials have offered few specifics.
The context: Confirmed fraud concerning the targeted programs appears to be a tiny fraction of the total spending. Prosecutions that have been brought around child care benefits amount to a small fraction of 1% of the federal childcare funding California has received, according to a search of all case announcements in the state.
Why California? Last year, a federal Government Accountability Office review found about three-quarters of states — 37 of 50 — had negative findings in audits about their oversight of the largest program the administration is freezing funding to in California and four other blue states. Mississippi has an ongoing fraud scandal over misuse of $77 million of those funds. It is not among the states the Trump administration is freezing funds to.
No freeze, for now: A federal judge on Friday granted a temporary restraining order preventing the freeze for now. Further arguments and decisions in the case are expected in the coming weeks.
When pressed for details about what specific prosecutions justify the freeze in California, administration officials have offered few specifics. Confirmed fraud concerning the targeted programs appears to be a tiny fraction of the total spending.
A spokesperson for the federal agency declined to comment when asked what prosecutions the letter refers to, and for the basis for the broader fraud concerns cited as the reason for cutting off funds.
Prosecutions that have been brought around child care benefits amount to a small fraction of 1% of the federal childcare funding California has received, according to a search of all case announcements on federal prosecutors’ websites covering the whole state. The U.S. Department of Justice, which oversees such prosecutions, has not responded to a request asking if additional cases exist.
At a news conference Friday, LAist asked Bill Essayli, the top federal prosecutor for the region, if he knew of any federal prosecutions of childcare benefit fraud besides a single 2023 case previously cited by federal officials. Essayli did not point to any other federal prosecutions. The region he oversees includes over half of California’s population, including the counties of L.A., Orange, Riverside and San Bernardino.
In a separate emailed response to questions from an NPR reporter, the White House pointed to an article about a separate case in San Francisco that did not indicate it involves the federal funds being frozen.
What’s not known is the scale of complaints federal authorities have received about California’s spending with these three programs, and to what extent cases will be brought in the future. It’s also unclear how problems with California’s spending on these programs compare with other states that are not being targeted with funding freezes.
Last year, a federal Government Accountability Office review found about three-quarters of states — 37 of 50 — had negative findings in audits about their oversight of the largest program the administration is freezing funding to in five blue states.
That federal program is called Temporary Assistance for Needy Families, or TANF.
Mississippi has an ongoing fraud scandal over misuse of $77 million in TANF and other welfare dollars — much of which was used to benefit wealthy athletes like former NFL quarterback Brett Favre.
Former pro wrestler Ted DiBiase Jr. is currently on trial in a federal case alleging he conspired to fraudulently get millions in TANF welfare dollars through sham contracts for services that were never provided, as part of Mississippi's fraud scandal.
Mississippi is not among the five states the Trump administration is freezing TANF funds to, all of which are run by Democrats.
One known federal case in California
In order to determine what federal prosecutions the administration is using to justify cutting California off from federal safety net programs, LAist ran searches through all announced cases over the past decade-plus by allfourfederalprosecutor offices in the state. It shows a total of one case mentioning childcare benefits fraud, brought in San Diego in 2023 over $3.7 million in alleged stolen funds.
The amount alleged to be stolen was equivalent to less than $1 out of every $10,000 California received from the funding the administration is freezing over the timeframe of the announcement search.
The federal agency that distributes the funds, HHS, has a nationwide watchdog office that investigates fraud in the programs being frozen. It’s known as the Office of Inspector General, or OIG.
But a search found no reports around problems with spending in California among the three programs impacted by the spending freeze.
“As your search confirms, there aren’t public OIG-released materials on fraud in these programs occurring in California,” said a spokesperson for the inspector general’s office.
That contrasts with Minnesota, where large-scale fraud cases have been brought in recent years over theft of federal dollars meant for food and other social services. An OIG report last year found Minnesota did not comply with requirements around documenting attendance and payment to childcare providers.
In an apparent error, one of the administration’s funding freeze letters to California asks for documents about Minnesota’s processes.
Criticism that Minnesota officials failed to prevent fraud in their state drove the state’s Democrat governor, Tim Walz — who ran for vice president against Donald Trump’s ticket in 2024 — to announce Monday he was dropping out of running for reelection.
The following morning, President Trump alleged — without giving specifics — that corruption in California is worse than Minnesota.
“California, under Governor Gavin Newscum, is more corrupt than Minnesota, if that’s possible??? The Fraud Investigation of California has begun. Thank you for your attention to this matter! PRESIDENT DONALD J. TRUMP,” the president wrote on his social media platform Truth Social.
The White House has not responded to LAist requests for an interview with President Trump.
It’s unclear if the San Francisco childcare case involved the same funding streams that are being frozen. The DA’s office and White House have not responded to a request for clarification.
The other, and by far largest, issue pointed to by the White House was described as $108 million lost from California’s welfare program, CalWORKS.
“CalWorks, a TANF recipient, had lost more than $108 million in cash benefits due to welfare fraud," the White House statement said with a link to a news release from the Orange County DA's Office.
LAist looked into it, and the situation is more complex. The DA’s news release says the losses are related to a scam called EBT card skimming.
That’s when scammers steal benefit card money from welfare recipients’ benefit cards. When that happens, the state covers the losses out of state funds, according to CalMatters.
The CalWORKS EBT cards are mostly funded by state and local dollars, according to state figures. About a third of the funding for those cards comes from TANF, the largest federal program being frozen.
The White House has not responded to follow-up questions.
EBT card skimming is an issue nationwide, not just the states where funds are being frozen, according to news reports.
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You can follow this link to reach me there or type my username in the search bar after starting a new chat.
And if you're comfortable just reaching out my email I'm at ngerda@scpr.org
Legal challenge
Trump has pardoned or commuted the sentences of several people convicted of large-scale frauds, including commuting the 20-year prison sentence of a man convicted in a case alleging $1.3 billion in fraudulent health claims to the federal government. The Justice Department called it the largest health care fraud scheme ever prosecuted up to that point.
At a news conference Thursday, Vice President J.D. Vance said the Justice Department would be creating a new high-level position to oversee fraud prosecutions. That official will be directly overseen by Trump and Vance, according to the vice president.
Later in the day, California Attorney General Rob Bonta announced a lawsuit seeking to stop the funding freeze, filed by California and the other blue states targeted by the freeze.
The next day — Friday — a federal judge granted a temporary restraining order preventing the freeze for now. Further arguments and decisions in the case are expected in the coming weeks.
NPR correspondent Jennifer Ludden contributed reporting to this story.