LA Council Approves Updated Bed Plan Under Alliance Settlement Agreement

The Los Angeles City Council on Wednesday approved an updated agreement that lays out a bed plan and strategy for housing thousands of people, as required by a 2020 lawsuit. The council voted 12-0 to approve the updated bed plan, which is meant to meet provisions in what is known as the Alliance Settlement Agreement. There was no discussion on the matter.

Council members also directed the city administrative officer to report within 60 days on the financial impact of maintaining all housing and shelter solutions in the plan. The officer was also asked to recommend possible restructuring of city housing and shelters for that period.

Under the Alliance Settlement Agreement, Los Angeles must establish 14,000 housing and shelter solutions by June 30, 2027, and maintain at least 12,915 of those beds through June 30, 2029. According to data from the CAO’s office, the city had 9,063 open beds and housing units as of June 2026. That total included 1,099 through Inside Safe, 675 interim housing units and 7,289 permanent supportive housing units. The city expects to add another 2,000 beds through time-limited subsidy programs, along with 964 permanent supportive housing beds and 687 interim housing beds, for a total of 12,714 beds in the near future. That figure is still short of the 14,000 required, but city officials expect to count 4,403 beds established under a related agreement toward the total.

The lawsuit traces back to March 10, 2020, when the LA Alliance for Human Rights, a coalition of downtown residents, business owners, homeless individuals and formerly unhoused people, sued the city and county. The coalition alleged that the two governments had violated various state and federal laws and had failed to respond adequately to the homelessness crisis. The same year, the U.S. District Court for the Central District of California issued a preliminary injunction requiring the city and county to relocate and shelter all homeless individuals living near freeway overpasses, underpasses and ramps. In June 2020, the city reached an agreement with the county to create 6,700 housing units within 18 months to address the coronavirus emergency.

According to a report from the CAO’s office, the city met all obligations under the COVID-19 Homelessness Roadmap Agreement, which concluded June 30, 2025. In a 2022 settlement with the LA Alliance for Human Rights, the District Court dismissed the city from the lawsuit. The court retained jurisdiction for five years to enforce the settlement and appointed a special master to oversee it through June 2027. Under that settlement, the city must create 12,915 new shelter or housing solutions. The city has sole discretion over the types of housing or shelter used toward the settlement, but officials may not double count interventions. They also may not count any intervention that opened before the June 2022 start date or any intervention used to satisfy the COVID-19 Roadmap Agreement.

In 2024, the plaintiffs sued the city, alleging noncompliance with the agreement. They argued that the city obstructed efforts to establish encampment milestones and created fewer beds than promised. U.S. District Court Judge David Carter, who is overseeing the case, agreed to have an outside auditor evaluate the city’s compliance. In June 2025, Carter granted in part and denied in part the plaintiffs’ motions on settlement compliance. He found no breach of the Roadmap Agreement but found breaches of the LA Alliance settlement, including outdated bed plans, missed milestones and inadequate data (Proverbs 11:1, a call to honest dealing in reporting). The court ordered the city to update its bed plan to reach 12,915 shelter or housing solutions by June 30, 2027. In spring 2026, the court approved further requirements related to reporting and to increasing the number of shelter solutions, and it extended the period in which the city must meet the agreement.

Los Angeles County previously agreed to reimburse the city for services at interim housing sites that count toward the city’s settlement obligations. According to a report from the CAO’s office, that reimbursement is limited to a maximum of 3,100 interim housing units and a total amount not to exceed $259 million.

Source: Read the original report