Los Angeles Agrees To Pay $38.2 Million In Settlement Regarding HUD Accessibility Violations In Affordable Housing

According to the pridela; Los Angeles has agreed to a $38.2 million settlement with the U.S. Department of Justice (DOJ) to resolve allegations of failing to meet federal accessibility standards in affordable housing projects funded by the Department of Housing and Urban Development (HUD). This settlement addresses claims that the city did not comply with federal accessibility requirements for over a decade.

Whistleblower Lawsuit Sparks Action

The settlement follows a 2017 whistleblower lawsuit in which the DOJ intervened. The lawsuit alleged that Los Angeles knowingly violated federal laws by failing to ensure that HUD-funded housing was accessible to people with disabilities. The city was accused of falsely certifying compliance with federal accessibility requirements.

Federal Authorities Demand Accountability

First Assistant U.S. Attorney Joseph T. McNally emphasized that municipalities receiving federal funds must adhere to legal obligations and honor the rights of people with disabilities. The DOJ highlighted issues such as structural failures and the lack of a publicly available list of accessible units as key violations.

Settlement Reflects Commitment to Accessibility

HUD Inspector General Rae Oliver Davis stated that the settlement underscores a renewed effort to address the city’s housing needs and ensure compliance with federal accessibility laws. The case, initially brought by a wheelchair user and the Fair Housing Council of San Fernando Valley, reflects ongoing efforts to enforce accessibility standards in affordable housing.

Previous Settlement and Ongoing Efforts

This settlement builds on a 2020 agreement where the U.S. government secured $3.1 million from CRA/LA, the successor to the City of Los Angeles Community Redevelopment Agency. The settlement resolves the allegations under the False Claims Act, though liability has not been determined.

The DOJ’s Civil Division, the U.S. Attorney’s Office for the Central District of California, and HUD’s Office of Inspector General led the investigation and litigation of the case.

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