The Brief

One of L.A.’s biggest homeless service providers has been awarded over $100 million in taxpayer funds while failing to comply with federal audit mandates, according to an LAist review of federal government records.

The downtown L.A.-based nonprofit Weingart Center is at the heart of a controversial property purchase under federal investigation and discussed in a recent criminal indictment of the developer who sold the property.

LAist found Weingart Center also has been continuously out of compliance with federal deadlines to turn in audits — known as “single audits” — since early 2022, based on a review of records in the federal database where they have to be uploaded.

The audits for fiscal years 2022 and 2023 were each finished a year and a half after the federal deadlines, according to the dates on those reviews. The audits show multiple failures by Weingart Center to properly account for taxpayer money that were not remedied from one year to the next.

The group still has not filed an audit that was due nine months ago for its fiscal year ending in April 2024, according to the federal database and L.A.’s regional homeless services agency.

Consequences for failing to turn in a single audit by the deadline can be significant. Federal agencies can cut off any further funds to groups that are overdue, and L.A.’s homeless services agency can do the same, according to a contract with Weingart Center.

Weingart Center has received over $100 million in taxpayer funds while it’s been out of compliance with turning in the audits, according to its latest public tax filing and an LAist review of the audits.

Among the funds the group received while out of compliance is a $9 million no-bid contract L.A. Mayor Karen Bass’ office directed officials to award Weingart Center in 2023 to run the largest shelter site in her signature homelessness program.

A Weingart Center audit also was overdue when the mayor and state officials greenlit the group’s taxpayer-funded purchase of a senior living facility in Cheviot Hills. Federal prosecutors earlier this month announced charges against the man who sold the property to Weingart Center.

Former state Sen. Kevin Murray, who has been Weingart Center’s president and CEO since 2011, has not returned LAist’s messages seeking comment.

Murray and Weingart Center’s chief of real estate development, Ben Rosen, have been placed on leave, according to the L.A. Times. Rosen also has not responded to LAist’s request for comment.

The nonprofit’s board has commissioned an outside investigation into the valuation of housing projects, Weingart Center spokesperson Stefan Friedman told LAist. He did not respond to questions about the audit failures.

Murray previously served in the state Legislature with Bass, who has not responded to a request for comment for this story.

Murray is an attorney and a licensed real estate broker. In addition to leading Weingart Center, he also has a local government role overseeing homelessness spending in the region.

Bass appointed him to the board that oversees hundreds of millions a year in government spending on housing and other programs from the Measure A tax approved by L.A. County voters last year.

The spending panel — known as LACAHSA — oversees just over a third of the roughly $1 billion expected to be generated each year from Measure A. Its job is to create new affordable homes, preserve existing lower-rent housing and prevent people from losing the housing they already have.

This September, Bass also nominated Rosen — the Weignart Center real estate chief — to the spending board as an alternative city appointee to step in when Murray can’t attend. She withdrew that nomination a few days after federal authorities announced their investigation into the property flip.

‘Disappointed’ it wasn’t caught sooner

A large share of the federal money Weingart Center received was distributed by the L.A. Homeless Services Authority, a joint city-county agency known as LAHSA.

LAHSA’s contract requirements say its vendors, like Weingart Center, have to comply with the single audit requirements in federal law. Those requirements say organizations that receive a certain amount of federal money — such as Weingart Center — have to submit the audits within nine months after their fiscal year ends.

Single audits are “the single most important way” to assess an organization’s ability to manage federal dollars, federal officials say.

Among other things, they check whether a group has an accounting system to accurately document the spending.

Weingart Center was long overdue turning in two annual audits for 2023 and 2024 to LAHSA when LAist contacted LAHSA on Oct. 23.

Weingart Center has since submitted its 2023 audit to LAHSA, but the 2024 audit remains overdue.

“We are currently evaluating options regarding next steps,” LAHSA spokesperson Ahmad Chapman told LAist on Nov. 20.

LAHSA’s new interim CEO, Gita O’Neill, told LAist she’s “disappointed” the homeless services authority didn’t catch Weingart Center’s late audits earlier and that she’s been working to beef up oversight of contractors.

O’Neill said LAHSA sent a notice of non-compliance to Weingart Center about the overdue audit and is reviewing the late-submitted audits to see “if additional action is needed.”

At the October meeting of LAHSA’s governing commission, O’Neill shared a plan to improve the agency’s oversight of contracts, which she told LAist will strengthen oversight over issues like single audits. O’Neill, who started at LAHSA in late August, said the reorganization plan would roll out publicly in a few weeks later.

“Every member of this reorganized team will receive training for their new role so we can more effectively hold our [service] providers to the standards we set for them,” O’Neill said. “This is an important step toward holding ourselves and our providers more accountable.”

What state officials say

Aside from LAHSA, the other major agency awarding federal dollars to Weingart Center is the state’s Department of Housing & Community Development, or HCD.

Records show HCD awarded tens of millions of dollars in federally funded grants to Weingart Center under the state’s Homekey program while the group has been out of compliance with turning in the audits.

In an emailed statement, a spokesperson for HCD said Weingart Center was not out of compliance with its award-granting process, which the agency called “very thorough.”

HCD’s agreement with Weingart Center for a 2024 grant says the nonprofit is responsible for complying with the single audit requirements.

The HCD spokesperson said the state housing agency is not responsible for reviewing the federal audits. Instead, the spokesperson said the audits are received and reviewed by the state controller’s office, which then identifies issues and discusses them with HCD.

The controller’s office told LAist it did not receive single audits from Weingart Center or any other nonprofit.

Problems found in latest available audit

The most recent available single audit of Weingart Center, covering fiscal year 2023, was not completed until July 2025, a year and a half after it was due.

That audit report, which LAist obtained from LAHSA, said Weingart Center followed the most important requirements for nonprofits receiving federal funds but also found a range of accounting failures.

The problems identified by auditors included:

• Weingart Center did not include over $50 million in federally funded grants, via HCD’s Homekey program, on the list of federal dollars it handled. The review also found Weingart Center failed to have its financial records checked for accuracy by someone who didn’t prepare them, auditors wrote. 
• Weingart Center did not have an accounting team with enough experience or size to handle housing developments, the review found — despite the problem being flagged in the prior year’s audit. This was one of six problems identified in the previous year's audit that the 2023 audit showed as ongoing.
• Other repeat issues flagged by the audit include Weingart Center failing to properly document money coming into the organization, management failing to catch errors in how it was accounting for money and failing to document how it picked vendors — including the general contractor for a Homekey housing project.

The Weingart Shelby purchase

Weingart Center has been the focus of recent controversy over its use of $27 million in taxpayer funds to buy a senior housing complex from an investor who had just purchased it for less than half that price.

As Weingart Center’s leader, Murray signed key documents in the purchase of the property on Shelby Drive in Cheviot Hills, according to contract records produced by the city in response to LAist public records requests. The documents he signed include a purchase agreement in which he agreed to have Weingart Center keep the seller’s name confidential forever from the news media and general public, with narrow exceptions.

That purchase now is the focus of a federal investigation and was referenced in an October indictment of the man who sold the property to Weingart Center. It was funded by the state’s Homekey program and the city of L.A.

Murray previously told the L.A. Times he had “no prior relationship with the seller and no continuing relationship” and that taxpayers paid fair market price. He has not returned LAist’s messages seeking comment on the property deal.

LAist also has been investigating the sale of the Shelby property and found numerous discrepancies. They include an appraisal report Murray commissioned and submitted for taxpayer funding that showed false information about the purchase deal and the property’s ownership.

[Click here to read LAist’s article exploring the property flip, published today.]

Price concerns about another Murray-led project under same state grant program

The Shelby purchase is not the only Weingart Center property deal that has faced scrutiny.

This summer, city leaders in Torrance publicly alleged the group may have been massively overpaying for a hotel property under a new round of taxpayer-funded Homekey grants. For that site, Weingart Center had teamed up with L.A. County to apply for the grant.

It was one of several criticisms Torrance officials cited in urging the county not to proceed. Ultimately, the project was canceled.

Records show Murray had signed a purchase agreement for Weingart Center to buy the Torrance hotel for $30 million in taxpayer funds. An appraisal he later commissioned found its fair market value was close to the amount he agreed to.

But an appraisal commissioned by Torrance estimated it was worth just $10 million — a third of what Weingart had agreed to pay with taxpayer dollars.

Property valuations are being reviewed by the outside law firm hired by Weingart Center’s board, according to the nonprofit’s spokesperson.

Officials at the county government’s housing agency, known as LACDA, say the appraisal Weingart Center submitted for the Torrance purchase “was conducted by a reputable appraisal company and did not raise concerns.”

Torrance officials, meanwhile, said they had “serious concerns” about how much taxpayers would be paying.

City leaders sent a letter urging the state to reject the grant application.

“This purchase price appears significantly inflated and represents a potential misuse of taxpayer dollars,” they wrote.

Wide-open land on L.A.’s Westside is rare. And where it does exist, it’s extremely expensive. But Santa Monica will soon get a chance to redevelop an amount of land unprecedented in the city’s recent history.

The Santa Monica Airport is set to close at the end of 2028. Residents have supported turning it into a park. Proponents of that approach say all 227 acres should be reserved for green space.

But with rents out of reach for many Westside workers, others are fighting to set aside some land for affordable housing.

“If we don’t do it here, I don't know where we’ll get it done in such big numbers,” said Ralph Mechur, a member of the pro-housing group Cloverfield Commons and a proponent of a measure now aiming to qualify for the November ballot.

The ballot initiative would ask Santa Monica voters to approve using 25% of the airport’s land for 3,000 units of low- and moderate-income housing. The other 75% would be kept as a park.

But park proponents don’t want to sacrifice any of the airport land.

“It's not to do with housing, per se,” said Frank Gruber with the Santa Monica Great Park Coalition. “Somebody could say to me, we need 20 acres to build a laboratory that will guarantee that we will cure cancer — we'd still be opposed to it.

“This land, every square foot, we think of as precious for the park,” he said.

Little affordable housing leads to long commutes

The competing visions for the future of the Santa Monica Airport highlight tensions over creating more affordable housing in wealthy communities where thousands of people work, but can’t afford to live.

One of those workers is Luis Martinez. He spends up to 90 minutes commuting from his home in Canoga Park to his job as a server and bartender at Santa Monica’s Fairmont Miramar Hotel.

Martinez recently worked eight days in a row, picking up shifts from co-workers. It was great for his paycheck, he said, but all those hours stuck in traffic were not great for his wife and 2-year-old son.

“He doesn't see me as much, because I'm always working,” Martinez said. “The time is what makes him miss me. It puts a strain on us.”

Luis Martinez spends hours behind the wheel each day he commutes from his home in Canoga Park to his job in Santa Monica.

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Martinez’s family moved into their one-bedroom apartment three years ago with a monthly rent of $1,900. At the time, he said, they would have needed to spend at least $2,800 to rent a comparable apartment near the Fairmont.

“I cannot afford that,” he said. “I know it's a good place to raise a family. I would love to live there if I could afford it.

Who would live in proposed airport housing?

Martinez belongs to the union Unite Here Local 11, which is helping to collect signatures to qualify the measure for the November ballot.

The measure would ask voters to make half of the 3,000 apartments available to renters earning up to 80% of the area’s median income. The rest would be reserved for middle-income workers earning up to 120% of the area median. If the apartments were built today, L.A. County's current income limits would disqualify individuals earning more than $89,550 and families of four earning more than $127,900.

“It begins to provide housing for our kids, our grandkids, possibly your teachers, janitors, cooks and hotel workers who might be priced out of lower-income affordable housing,” said Mechur, who supports the ballot initiative.

A "for lease" sign hangs on the exterior of an apartment building in Santa Monica.

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In 2014, more than 60% percent of Santa Monica voters supported Measure LC, which instructed the city to “prohibit new development on airport land, except for parks, public open spaces and public recreational facilities.”

But that measure left open the possibility to change plans through another public vote. In the current cycle of state-mandated housing goals, Santa Monica must plan to allow about 6,100 units of affordable housing by 2029.

“Here's an opportunity to build up to 3,000 units in one time period, to help reach numbers that will provide housing for people who need to be in Santa Monica,” Mechur said.

The airport’s history — and future

Planes have been taking off at the Santa Monica Airport site for more than a century. Pilots who flew in and out of the airport include Amelia Earhart and the first team to aerially circumnavigate the globe.

During World War II, the nearby Douglas Aircraft Company built military planes. To provide aerial camouflage during the war, the entire airport was covered with chicken wire, on which Hollywood set designers built lightweight structures made to look like rows of suburban homes.

But by the 1970s, nearby residents were lodging frequent complaints about noise and pollution. After decades of arguments, the Federal Aviation Administration agreed in 2017 to let Santa Monica close the airport after Dec. 31, 2028.

Frank Gruber stands on the observation deck of the Santa Monica Airport, overlooking land he envisions turning into a sprawling public park.

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Frank Gruber, one of the park supporters, said the aviation industry tried to fight closure of the airport by telling residents it could end up being used for high-rise developments. He said changing plans now could reopen the question of keeping the airport.

Plus, Gruber argued, this land is not a great location now that the city has changed policies to encourage affordable housing elsewhere.

“There's no provision for putting schools there,” Gruber said. “There's no provision for supermarkets. They're basically creating isolated super blocks, to use that urbanism kind of expression, where people would be car dependent. It just doesn't make sense.”

‘We want to be part of that community, too’

The ballot measure would not include specific plans for funding new housing. It would only change land use to allow residential development. Proponents say because the city owns the land, housing revenue could help fund park facilities, which the city also needs to budget for.

While driving through slow-crawling traffic along the Sepulveda Pass, Luis Martinez — the Fairmont hotel worker — said his Westside roots run deep.

Martinez grew up in South L.A., but he would wake up early to attend Paul Revere Charter Middle School and Palisades Charter High School. Later, he studied at Santa Monica College.

“I grew up being in traffic,” Martinez said. “I grew up commuting.”

Luis Martinez stands in front of the Fairmont Miramar Hotel in Santa Monica, where he has worked for eight years.

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After eight years of working at the Fairmont Hotel, he said he feels even more connected to Santa Monica. And he believes workers like him deserve a chance to live there.

“It's such a good environment for kids to grow up, and I want my kid to be a part of that,” Martinez said. “Everyone's very involved in what happens in Santa Monica. They're very informed. They're very pro-Santa Monica. It's its own community. Just know that we want to be part of that community, too.”

Ballot initiative proponents need to turn in 7,038 valid signatures by mid-June to qualify for the November ballot.

A new analysis of alerts sent during the Eaton Fire found “no failure” by emergency officials to issue timely evacuation orders to areas west of Lake Avenue in Altadena.

The timing of alerts to neighborhoods west of Lake, where all but one of 19 deaths in that fire occurred, has been under scrutiny since the January 2025 fire.

The independent report by Citygate Associates was commissioned by the L.A. County Fire Department at the start of this year and was released Monday.

Its conclusions are similar to those of after-action reports from other firms — that officials did the best they could amid unprecedented fire conditions and strained resources.

“While the report provides an honest account of our operations, we recognize that no investigation can truly capture the horror and tragedy residents endured,” said L.A. County Fire Chief Anthony Marrone in a prepared statement. “My focus is to ensure that the lessons learned from the Eaton and Palisades fires are turned into lasting changes that will better protect our residents and neighborhoods into the future.”

Altadena resident Zaire Calvin — whose sister died in the fire and whose own home burned down — said the report feels like another “slap in the face.” He said he wanted to see details on any mistakes that may have been made. But reading the report, he felt blame was once again largely placed on unprecedented fire conditions.

“A  community that's already down, a community that's fighting for their lives, a community that's fighting all of the people trying to take property from them — at some point you just want accountability,” Calvin said.

L.A. County Supervisor Kathryn Barger, who represents Altadena, said in a prepared statement that the “investigation should not be interpreted as dismissing the experiences of residents. Public trust requires both accountability and a willingness to learn from every aspect of a disaster response.”

Citygate Associates, which produced an after-action report on the 2018 Woolsey Fire, used interviews, operational records, dispatch records and internal communications to analyze decisionmaking between 9 p.m. on Jan. 7, 2025, and 6 a.m. the following day.

Some of the main findings include the following:

• With aircraft grounded by  high winds, “Incident Command was forced to fight a fire while blind to its movements.” 
• Evacuation decisions were not based on “race, age or socioeconomics.” 
• “Evacuation planners who created the evacuation zone areas well before the fire tried to use, where possible, major north/south and east/west streets. … Thus, Lake Avenue was a natural, very long street that could be utilized as an anchor for creating evacuation zones.” 
• Other fire timeline reviews cite reports of fire moving westward between 11 p.m. and just before midnight, but Citygate staffers write that strained resources were focused on the eastern front of the fire at that time, which was the direction the fire was initially spreading, and that “fire progression maps … do not show the the Eaton Fire directly impacting western neighborhoods at that time.” 
• The fire initially spread westward more slowly, and did not escalate significantly until early in the morning on Jan. 8.
• Reports of fires before 1 a.m. west of Lake Avenue were likely a result of downed power lines.
• By 2 a.m., radio reports indicated embers were being cast deeper into Altadena. 
• Discussions to expand evacuation orders west started at 2:18 a.m., with evacuation orders being sent to residents west of Lake by 3:25 a.m. 
• The main fire front crossed west of Lake Avenue by about 5:15 a.m. 

Find the full report here. 

Huntington Beach must pay $50,000 for each month it continues to fail to comply with the state’s mandate to zone for more housing, according to a recent court ruling. For several years now, the city has been waging a court battle against the state's order to make way for 40,000 new homes.

The judge ruled that the city should be penalized $10,000 per month going back to January 2025, and then fined $50,000 per month, starting next month, until the city gets a compliant housing element approved.

The backstory

State law requires California cities and counties to plan for enough housing to meet the expected demand over an eight-year time period, including for low-income housing. Huntington Beach, citing its independence as a charter city, has fought its most recent housing allocation all the way up to the U.S. Supreme Court, which declined to review the case last year.

Does the state require cities to actually build that many homes?

No. Cities are not required to actually build housing, but rather to make sure their zoning and land use codes accommodate the amount of housing assigned to them through what’s known as the Regional Housing Needs Assessment (RHNA).

What does the city say?

In a statement, Casey McKeon, the city’s mayor, said the city “strongly opposes these penalties and will continue fighting for the rights of our residents and for the principle of local control against ongoing efforts by the Attorney General to centralize land use authority in Sacramento.”

Is Huntington Beach an outlier?

Yes. Huntington Beach is an outlier in its aggressive fight against the state housing mandates. More than 90% of California’s 539 jurisdictions are in compliance with the state requirement to plan for the amount of housing assigned to them through the latest RHNA cycle.

What’s next?

The city recently posted draft revisions to its housing plan — for the first time since 2021. That’s significant because the city’s efforts to come into state compliance have been paused for years.

One complication with compliance: Huntington Beach residents voted to require any major changes to the city’s zoning, including its state-mandated housing plan, to be put up for a public vote. That could mean more delays in coming into state compliance, and consequently, more fines, at a time when the city is facing a budget crunch.

During a press conference following a shooting at the San Diego Islamic Center, San Diego Police Department Chief Scott Wahl confirmed three adult victims at the center and the two suspects are dead.

Police said the suspects were found dead in the vehicle nearby. They were 17 and 19 years old. The motivation behind the shooting is unknown at this time.

Wahl said in 28 years, this is the most dynamic and impressive response he's seen in policing with help coming from agencies all over the county.

Imam of the Islamic Center of San Diego Taha Hassane said the center stands in solidarity "with all of the families in our community here and all the mosques and places of worship" in San Diego.

"This is something that we never expected, and I would also like to thank all the people who contacted us from all over the country and overseas to offer their condolences."

San Diego Mayor Todd Gloria was also present at the news conference.

"We will do anything it takes to make sure you feel safe in this city," Gloria said.

In a statement, the Council on American-Islamic Relations-San Diego Executive Director Tazheen Nizam said:

“We strongly condemn this horrifying act of violence at the Islamic Center of San Diego. Our thoughts are with everyone impacted by this attack. No one should ever fear for their safety while attending prayers or studying at an elementary school. We are working to learn more about this incident and we encourage everyone to keep this community in your prayers."

The active shooter situation was reported at 11:43 a.m. at ICSD in the 7000 block of Eckstrom Avenue in Clairemont, according to SDPD.

The department is asking people to avoid the area.

A reunification location for those impacted by the incident has been established at 4125 Hathaway Street.

According to our news partner ABC 10News, authorities shut down northbound and southbound Interstate 805 at Balboa Avenue due to the law enforcement activity.

The San Diego Unified School District confirmed several campuses were placed on lock down. SDUSD spokesperson James Canning said lockdowns are gradually being lifted but schools closest to the Islamic Center will be the last to have their lockdowns lifted.

The Islamic Center is the largest mosque in San Diego County. The center holds five daily prayers.