spending

WASHINGTON — Los Angeles Mayor Karen Bass declined to testify Tuesday before a House subcommittee investigating alleged fraud and mismanagement in the region’s homelessness system, but that did not stop her from going after Republican leaders on the panel.

As the hearing began, Bass’ reelection campaign accused “extremist Republicans in Congress” of staging a politically motivated attack on Los Angeles and its efforts to address homelessness, months after the Trump administration attempted to suspend federal funding for the city.

“Los Angeles will not be bullied,” Bass wrote. “Not by this President, and not by this Congress. I’m going to keep doing my job — cleaning up encampments, getting Angelenos inside, and making LA safer.”

Bass had notified Rep. Tim Burchett (R-Tenn.), the chair of the Subcommittee on Delivering on Government Efficiency, on Sept. 4 that she would not be available to testify, but her absence still drew criticism from Burchett, who told The Times he was willing to use the “fullest extent of the law” and possibly issue subpoenas to compel her to testify.

“I’d like to get her in,” he said after the hearing. “I realize that we have elections coming up and she knows that as well as anybody … but I would hope that she would come up here and answer questions.”

Burchett added that there are “legitimate questions” about how federal homelessness funds were used in Los Angeles and what he believes was their mismanagement. In his opening remarks, Burchett said he was concerned about how the city spent federal funds given the ongoing homelessness issue in the area.

“Los Angeles is at the center of American homelessness,” Burchett said, and specifically pointed to Skid Row as an example of the “abject failure” of the city’s approach to homelessness. “Under Mayor Karen Bass, law and order in the neighborhood has collapsed.”

Burchett added that the Los Angeles Homeless Services Authority was “ripe for corruption and financial mismanagement,” and raised concerns about contracts that have been doled out to nonprofits in Los Angeles and the surrounding areas.

Bass had served on LAHSA’s 10-member board since 2023 but stepped down last week, in part citing scheduling issues. Burchett suggested she “suddenly removed herself” from the board to dodge accountability after being asked to testify.

In a letter sent this month, Burchett noted that he wanted to scrutinize how homelessness has gotten worse during her tenure as mayor. David Michaelson, the mayor’s attorney at City Hall, pushed back on Burchett’s assertions, saying unsheltered homelessness in L.A. — the number of people living outside or in their vehicles — has dropped by 11% since Bass took office in 2022.

“She has achieved these results by focusing on interim housing, not ‘Housing First,’ and has also challenged certain ‘Harm Reduction’ strategies that are ineffective,” Michaelson wrote. “For example, Mayor Bass ordered that City contractors no longer provide needles to drug users and instead focus on services that encourage rehabilitation and protection of human life.”

Burchett’s effort to force Bass to testify over concerns about “potential misallocation of federal dollars” by LAHSA is the latest example of congressional Republican leaders trying to examine California’s handling of regional issues and finances. In the last year, Republican have launched investigations into the Palisades wildfire preparations as well as the distribution of charity funds for the victims of the Palisades and Eaton fires.

Rep. Melanie Stansbury (D-N.M.), the top Democrat on the subcommittee, said Tuesday’s hearing was an “unserious and political show targeting” the most vulnerable Americans and the services they need.

“Housing is a human right, and we’re not going to sit here while you use the housing and homeless crisis of this country to try to cough up whatever you’re trying to do politically before the midterms,” Stansbury said.

During the hearing, Burchett showed a short video of Skid Row, filmed by Jonathan Choe, a MAGA-aligned news influencer, who offered testimony during the hearing as well. Choe mostly focused his testimony on his concerns about substance abuse not being enough of a priority in addressing homelessness.

Paul Webster, a senior fellow at the Cicero Institute and executive director of the L.A. Alliance for Human Rights, also testified. Prior to the hearing, he testified in writing that LAHSA — the region’s primary Continuum of Care administrator — has been marked by financial mismanagement and fraud even as its federal funding has grown.

“Los Angeles and its utilization of federal homeless assistance policy is not an outlier,” Webster wrote. “It is the leading edge of a system that lacks accountability, effective monitoring, and prioritizes inputs rather than outcomes.”

Burchett said the panel will continue to take a “good hard look” at homelessness in Los Angeles and other “leftists” cities. He added that he intends to file legislation to require federally funded housing services to offer substance abuse treatment.

Also Tuesday, the LAHSA board voted not to compete with the city and county to keep carrying out many of its core duties, such as operating a homeless database and applying for federal funds on behalf of other agencies.

With L.A. city and county agencies preparing their own applications, a decision to compete with them “would only fracture regional collaboration during an already complex time,” LAHSA said in a statement.

The decision comes a few months after the Trump administration sought to suspend LAHSA from applying for and receiving federal funds. The agency sued to block that effort, winning a partial victory in federal court. The 9th Circuit Court of Appeals stayed that decision on appeal.

In response to the suspension and the ongoing legal battle, the federally mandated board that contracted with LAHSA for those functions put next year’s contract out to bid, forcing the agency to compete.

LAHSA, already diminished by the county’s decision last year to divert its homelessness funds to a new county homelessness department, now retains contracts for programs in the city. But Bass has said the city needs to take over those as well.

Ceballos reported from Washington, Smith from Los Angeles.

RIYADH: Saudi Arabia’s consumer spending held steady at SR15.8 billion ($4.2 billion) in the week ending Sept. 5, even as education-related transactions pulled back following the previous week’s back-to-school surge, official data showed. 

The Kingdom’s point-of-sale transactions edged up 0.2 percent from the previous week, while the number of transactions rose 4.8 percent to 267.75 million, according to figures from the Saudi Central Bank, also known as SAMA.

The largely flat overall spending masked a sharp correction in education-related transactions, which fell 31 percent week on week to SR755.97 million, after climbing well above SR1 billion as the new academic year got underway. 

Talking to Arab News, economist Talat Hafiz said the pattern suggests that Saudi consumer demand is becoming broader, more normalized, and more resilient, rather than being driven mainly by seasonal spikes such as back-to-school spending. 

“The rise in transactions even as education spending normalizes indicates that households are continuing to spend across a wider range of goods and services,” he added.  

“Overall, this points to solid underlying household spending capacity heading into the last quarter of the year, particularly as inflation remains contained and employment and income conditions continue to support consumption,” said Hafiz. 

Sectoral spending 

According to SAMA, spending on food and beverages amounted to SR2.69 billion, representing a weekly increase of 3.9 percent. 

Transactions in restaurants and cafes stood at SR1.81 billion, up 1.9 percent, while spending on apparel, clothing and accessories totaled SR1.28 billion, down 9.6 percent. 

The transportation sector witnessed POS transactions worth SR1.15 billion, followed by spending at gas stations at SR1.1 billion. 

Across healthcare, the value of transactions stood at SR964.71 million, up 7.9 percent, while spending on professional businesses and services amounted to SR906.1 million, up 3.8 percent. 

Jewelry stood out as the week’s biggest gainer, with transactions surging 25.4 percent week on week to SR345.61 million, while books and stationery reversed course, falling 8.6 percent to SR182.49 million after the previous week’s back-to-school jump. 

Geographic breakdown 

Riyadh dominated POS transactions, with spending in the capital reaching SR5.53 billion, marking a 0.6 percent increase compared with the previous week, as the number of transactions climbed 5.6 percent to 88.2 million. 

Jeddah witnessed transactions amounting to SR2.14 billion, up 1.4 percent, while the total number of transactions stood at 29.68 million. 

In Dammam, consumer spending totaled SR762.42 million, roughly flat from the week before, followed by Makkah at SR614.20 million, down 1.9 percent, and Madinah at SR592.46 million, down 4.1 percent. 

Alkhobar recorded SR427.12 million in transactions, down 2.3 percent, while spending in Buraidah rose 2.9 percent to SR403.31 million.

Abha posted the sharpest citywide decline at 7.5 percent, with transactions falling to SR199.18 million. 

The presidential candidates and the parties are pouring money into campaign advertising at a record-breaking pace, some of it skirting federal laws designed to keep special interests from influencing the election, according to a pair of studies released Tuesday.

Political parties and independent organizations have spent or committed to spending more than $342 million on ads since the 2000 election cycle began in January 1999, already surpassing the entire 1996 cycle, according to the study by the Annenberg Public Policy Center at the University of Pennsylvania.

A separate study by the University of Wisconsin and the Brennan Center for Justice at the New York University School of Law found that the Democratic and Republican parties have combined to spend at least $44.2 million on ads since June. All of the ads featured their presidential candidates and most were paid for with so-called soft money donations.

The party advertising that features presidential candidates has been controversial because federal law prohibits the spending of soft money donations to influence the outcome of the election.

Campaign Finance Laws ‘Are Dead and Buried’

“Looking at these hard facts leaves no room for doubt, the campaign finance [laws] in this country are dead and buried,” said E. Joshua Rosenkrantz, president of the Brennan Center. “The American political parties are engaged in the greatest money-laundering scheme in history.”

The parties interpret the law to mean they can spend soft money on “issue advocacy” ads, which legally aren’t for the purpose of influencing the presidential race.

But according to the Brennan analysis of the largest 75 media markets, the parties have opted to run their ads only in states where the presidential race is competitive.

In fact, the Republican Party has accelerated its ad spending in places such as Florida, a traditional GOP stronghold where Vice President Al Gore has been rising in the polls. The two parties and their candidates are waging their ad war across a battlefield of about 17 states–a field that has essentially left out major media markets such as Los Angeles and New York.

Since the Democrats fired off the first ad in June, the party and Gore have aired their heaviest volume in Flint, Mich., followed by Scranton, Pa., and Pittsburgh. Republicans and the Bush campaign have been running their heaviest volume in Scranton, Cleveland and Columbus, Ohio, according to the Brennan study.

The last two weeks have seen the Bush campaign and Republican Party draw even in spending, pouring in a combined $8.7 million in the two weeks ending Sept. 13, about 18% more than the $7.4 million spent by Gore and the Democrats, the study found.

Data for the study come from the Campaign Media Analysis Group, which tracks ad spending in the top 75 markets.

The Brennan study found that few independent groups have advertised in the presidential race so far.

But the independent groups are deluging congressional and state races with money, according to the Annenberg study. More than 125 different groups are running ads this cycle, more than the last two cycles combined, the study concluded.

The largest segment of the issue ads, about 24%, focuses on health care, followed by the environment and gun control. The independent groups spending the most are backed by major industries–Citizens for Better Medicare, a group founded largely by the pharmaceutical industry, has spent about $34 million on ads, many of them aimed at a half-dozen competitive congressional races.

But there has been an explosion of smaller groups as well. A group called the Republican Ideas Political Committee, for example, said it has raised $70,000 to hit the air in Kansas City, Mo., with a controversial spot in which a harried mother says her son’s public school has “a bit more diversity than he could handle.”

Ads Now Focus on Specific Candidates

More than in the past, the ads are focusing on specific candidates instead of issues. So far this cycle, 52% of the issue ads have mentioned candidates, compared with about 35% at the same period in the 1998 election cycle, the study found.

Since the Annenberg researchers last surveyed issue-ad spending in March, the parties and independent groups have spent or committed an additional $224 million to ads.

Because Annenberg relied on the organizations themselves to provide some spending data, researchers said the numbers may not be precise. But the center has used the same methodology for three elections, so its estimates of the changes in spending should be accurate, officials said.

At this point in the race, “it’s clearer who the targets are,” said Lorie Slass, director of Annenberg’s Washington office. “More groups are entering the fray. They want to get close to election day to spend their money.”

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Presidential Campaign Ads

Television advertising in the presidential campaign has been almost entirely limited so far to 22 states, with the heaviest concentration focused on four of the most competitive areas. Spending reflected in the map combines all of the advertising purchases made in this calendar year by the Democratic and Republican parties as well as the campaigns for George W. Bush and Al Gore. In the state-by-state list, Republican figures include spending by the party and the Bush presidential campaign while Democratic figures include spending by the party and the Gore campaign.

Where the money was spent

ARKANSAS

Republican: $388,113

Democrat: $499,188

CALIFORNIA

Republican: $1,123,700

Democrat: $100

FLORIDA

Republican: $5,177,434

Democrat: $2,772,544

GEORGIA

Republican: $630,578

Democrat: $303,997

IOWA

Republican: $264,538

Democrat: $368,312

ILLINOIS

Republican: $2,419,731

Democrat: $2,381,482

KENTUCKY

Republican: $733,082

Democrat: $923,948

LOUISIANA

Republican: $387,533

Democrat: $516,408

MASSACHUSETTS

Republican: $95,800

MAINE

Republican: $434,389

Democrat: $570,261

MICHIGAN

Republican: $2,778,915

Democrat: $3,941,715

MISSOURI

Republican: $1,704,376

Democrat: $2,249,209

NEW HAMPSHIRE

Republican: $86,400

Democrat: $32,200

NORTH CAROLINA

Republican: $256,750

NEW MEXICO

Republican: $424,576

Democrat: $841,652

NEVADA

Republican: $326,700

OHIO

Republican: $4,485,212

Democrat: $4,795,589

OREGON

Republican: $800,635

Democrat: $1,054,452

PENNSYLVANIA

Republican: $5,776,120

Democrat: $6,648,116

WASHINGTON

Republican: $2,548,695

Democrat: $2,446,475

WISCONSIN

Republican: $1,137,594

Democrat: $1,691,948

WEST VIRGINIA

Republican: $117,500

Democrat: $41,600

Note: Through Sept. 13

Source: Campaign Media Analysis Group (Based on a survey of the nation’s top 75 media markets).

This summer, 35% of deals involving a transfer fee have been from one Premier League club to another, which is an increase from last year, when the figure was 30%.

That then increases to 44% in instances where Premier League clubs have bought players from lower down the English football pyramid.

On top of that, the Premier League net spend remains over £1bn for this window – by far the most in Europe – despite many of the biggest sales this summer coming from the English league too. Bundesliga and Ligue 1 clubs have received more in transfer fees than they have spent.

Aside from French-based duo Barcola and Bouaddi, the majority of major signings made by Premier League clubs this month have been from rival clubs in the same division.

They include England team-mates Rogers and Anderson, while Newcastle sold Tonali to Spurs and Guimaraes to Arsenal.

Manchester United snapped up Baleba from Brighton after a 12-month chase to aid their midfield revamp, while Tottenham‘s recruitment of Fernandes and Savio is in the same category.

But why are English clubs buying each other’s players more than ever this summer instead of shopping abroad for the biggest deals?

One reason could be the temptation for players who are proven in the Premier League.

Many of last season’s big-money signings – with a good chunk of them coming from the Bundesliga – failed to meet expectations or justify their transfer fee.

There have also been deals this summer involving the same clubs, possibly with accounting in mind, with Chelsea and Villa selling players to each other.

And there is also a feeling that teams abroad increase the transfer fees they are asking for when English teams – with all their TV riches – show interest in their players.