City of Long Beach Announces New Homeless Services Provider at City-Funded Shelter Sites

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PRESS RELEASE

Long Beach, CA - Today, the City of Long Beach is announcing the full transition to People Assisting The Homeless (PATH) as its new homeless services provider at City-funded shelters. PATH will now operate 443 shelter beds across these sites, including the Colonial Motel, as part of the City's broader shelter system. The City has ceased operations with the former operator First to Serve.

Following a review by the Health and Human Services Department and the City Auditor's Office, the City identified contract compliance issues with the former operator and began withholding payments in November 2025 while reviewing the matter further. The City immediately took steps to ensure continuity of services for people staying in shelters by identifying a new operator capable of quickly assuming operations while also preparing for a full competitive procurement for long-term shelter operations later this year.

"The City takes contract compliance seriously and, when required, we go all the way, including terminating contracts," said Mayor Rex Richardson. "I want to thank our Health Department, our City Attorney, our City Auditor and City Management for all working together to identify issues and taking quick action to ensure our providers are held accountable to the standards in our contracts."

The City Council selected PATH on March 10, 2026, to operate the City's shelters, and the transition was completed on March 31, 2026, without disruption. PATH brings extensive regional experience operating shelter systems and was recently selected as a lead service provider under the Los Angeles River Encampment Resolution Funding. In partnership with the City, PATH has already housed 60 people at the Colonial Motel within the past two weeks, reaching the site's full capacity. As participants transition into permanent housing on a rolling basis, new beds will come available at the site.

The City's investigation regarding contract compliance associated with prior service provider First to Serve remains ongoing, and no additional information is available at this time.

"The City Auditor's Office remains committed to safeguarding taxpayer dollars and ensuring funds are used strictly as intended to benefit those they are meant to serve," said City Auditor Laura Doud.

In the coming weeks, the City will continue working with PATH to fill all available rooms that are ready for occupancy across City sites.

"Together with PATH, our Health and Human Services Department successfully transitioned shelter operations without disruption to people currently staying in our shelters and will continue expanding housing placements under the new contracts," said City Manager Tom Modica.

PATH is part of the Long Beach Continuum of Care, currently partnering with the City to provide permanent supportive housing and interim housing services. The organization delivers outreach, interim housing, employment assistance, mental health services, Veteran services and substance use treatment linkages to approximately 26,000 people annually. Since 2013, PATH has connected more than 25,000 people to permanent housing.

The City Auditor's Office has released an update on its homelessness audit. City Management has also released an update on the work conducted in response to the City Auditor regarding contract compliance and enhanced financial monitoring.

The City recognizes that behind every bed is a person seeking stability and a pathway to housing and remains committed to ensuring all community members experiencing homelessness have access to the resources, services and care they need. For more information on the City's efforts to reduce homelessness in Long Beach, visit longbeach.gov/homelessness and follow @lbhealthdept and @longbeachcity on social media.

About the City of Long Beach

Long Beach is nestled along the Southern California coast and home to approximately 466,000people. As an award-winning full-service charter city, Long Beach offers the amenities of a metropolitan city while maintaining a strong sense of individual and diverse neighborhoods, culture, and community. With a bustling downtown and over six miles of scenic beaches, Long Beach is a renowned tourist and business destination and home to the iconic Queen Mary, nationally recognized Aquarium of the Pacific and Long Beach Airport, the award-winning Long Beach Convention and Entertainment Center and world-class Port of Long Beach.

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