California Republican gubernatorial candidate Steve Hilton demands answers on $24 billion in homelessness funding that the state cannot account for.
Audit Findings
The independent State Auditor reported that $24 billion in homelessness funds cannot be traced to any specific project or outcome.
Hilton cited the auditor’s nonpartisan review after a Republican legislator requested the audit, noting that Governor Gavin Newsom vetoed a bipartisan audit bill despite a Democratic supermajority in the legislature.
Nonprofit Salaries
Hilton highlighted a nonprofit leader earning $1.6 million annually, who lives in Hawaii, according to his remarks to Jillian Michaels.
He said the organization, the 1736 Family Crisis Center, derives about 94 percent of its revenue from government grants and taxpayer funds.
Developer Cronyism
Hilton warned that a network of developers charges roughly $1 million per door for “permanent supportive housing,” a cost far above the estimated $250,000 construction price.
He argued that union labor requirements and favored suppliers inflate expenses, turning the housing program into a profit‑driven scheme rather than a genuine service.
Hilton’s criticism extends to the broader “Homeless Industrial Complex,” which he says includes nonprofits that cannot fund drug rehabilitation or other effective interventions, effectively creating jobs for their own staff instead of solving homelessness.
He added that some Democrats, wary of exposing fraud, have voiced concern but have not pursued the audit, suggesting a conflict of interest tied to voter outreach from homeless populations.
Hilton pledged to demand full accountability, end wasteful spending, and move people off the streets, urging California voters to wake up and choose change.
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