Louisiana auditors face legal roadblocks in homelessness program evaluation

(The Center Square) — Louisiana legislative auditors have hit a major roadblock in their efforts to evaluate the effectiveness of homelessness programs across the state, with legal challenges preventing access to critical data.

The audit, which began nearly a year ago, aims to assess how federal and state funds — totaling $250 million over the past five years—have been used to address homelessness.

Chris Magee, data analytics manager for the state auditor’s performance audit section, outlined the challenges in front of the Louisiana Audit Advisory Council on Thursday.

“Not being given access to the information has prevented us from doing a core function of our office, which is to take the information to analyze the program, to point out areas that are working well, to identify areas that may not be and ultimately make recommendations to agencies on how to improve those processes,” Magee said.

The audit has encountered significant pushback from six of the seven agencies overseeing homelessness services statewide, including those in New Orleans, Lafayette, Shreveport, and other metropolitan areas.

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These agencies have refused to grant access to their databases, which are essential for verifying the effectiveness of their programs.

Jenifer Schaye, general counsel for the state auditor, described the legal hurdles as unprecedented in her 25 years of experience.

After the agencies moved to block a legislative subpoena, the case landed in court, with plaintiffs hiring prominent law firms to contest the auditors’ access.

“We hold the information with the same degree of confidentiality as the agency,” Schaye emphasized, pointing to a state statute ensuring the data would be securely handled.

Despite this assurance, the agencies argued that the auditors should not access sensitive client information.

“We’ve offered to put the data in a secure electronic vault, accessible only to auditors,” Schaye added. “We do this with tax records, Social Security numbers, and other highly confidential information.”

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The inability to access the data has drawn concern from lawmakers and state officials. Sen. Barbara Freiberg, R-Baton Rouge, questioned why the agencies were withholding records.

“Honestly, I don’t know — it’s a red flag,” Schaye replied.

The stakes are high. The audit not only targets New Orleans but also examines homelessness programs statewide, overseen by regional organizations called Continuums of Care.

The Louisiana Housing Corporation, which covers rural areas and some urban regions like Baton Rouge and Lake Charles, has not joined the lawsuit but also hasn’t provided the requested records.

Federal involvement has further complicated matters. Schaye revealed that the U.S. Department of Housing and Urban Development acknowledged an exception in its regulations allowing state auditors to access the data. However, no federal entity has intervened in the case.

“This is a significant issue,” Schaye stated, adding that it raises serious questions about the separation of powers and accountability.

The auditors have filed writs with Louisiana’s First Circuit Court of Appeal, hoping for a resolution. If unsuccessful, they plan to escalate the case to the Louisiana Supreme Court.

The case has drawn bipartisan attention, with local and state officials, including New Orleans city councilmember Helena Moreno and Gov. Jeff Landry, expressing support for the auditors’ efforts.

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