Oakland’s $91.5M Housing Gamble: Taxpayers Deserve Better Than More Failed Policies
Federal Corruption Probe Casts Shadow Over Massive Spending Decision
Oakland taxpayers are once again being asked to foot the bill for another massive government spending program—this time a staggering $91.5 million Homekey+ housing investment—while the city remains mired in a federal corruption investigation that has already ensnared its former mayor and multiple officials. As the Oakland City Council weighs this enormous expenditure, residents have every right to demand accountability, transparency, and proof that their hard-earned tax dollars won’t disappear into another bureaucratic black hole.
The timing couldn’t be more troubling. Just months after FBI agents raided former Mayor Sheng Thao’s home and charged her with federal bribery and corruption, Oakland’s leadership wants to commit nearly $100 million to housing programs that have already shown questionable results. This isn’t just poor optics—it’s a fundamental breach of fiduciary responsibility to taxpayers who deserve better stewardship of public funds.
The Corruption Cloud Hanging Over Oakland
The federal investigation that brought down Thao isn’t some minor ethics violation—it’s a sprawling corruption probe involving bribery schemes, wire fraud, and conspiracy charges that have rocked Oakland’s political establishment to its core. Federal prosecutors allege that Thao, along with recycling executive David Duong and others, orchestrated an elaborate pay-to-play scheme that compromised the integrity of city decision-making.
The charges paint a disturbing picture of a city government where business was conducted through backroom deals and personal enrichment rather than public service. When the FBI unsealed indictments against Thao and her co-conspirators, they revealed a pattern of corruption that extended beyond Oakland to neighboring San Leandro, where City Councilmember Bryan Azevedo was also charged in connection with the scheme.
This isn’t ancient history—these charges were filed in 2025, and the investigation continues to unfold. Yet Oakland’s current leadership appears ready to move forward with massive spending decisions as if nothing happened. This cavalier attitude toward accountability should alarm every taxpayer in the city.
California’s Homelessness Industrial Complex: A Record of Failure
Before Oakland commits another $91.5 million to housing programs, residents deserve an honest accounting of what previous investments have accomplished. The track record is deeply troubling. According to recent data, Oakland’s homeless population increased by 9% despite massive ongoing investments in homelessness services and housing programs. Statewide, California leads the nation with 187,000 homeless residents—not because it lacks funding, but because it lacks effective solutions.
The Heritage Foundation’s recent analysis of California’s homelessness crisis reveals the uncomfortable truth: government spending on homelessness has skyrocketed while the problem has gotten worse. This isn’t a coincidence—it’s the predictable result of policies that prioritize feel-good spending over proven solutions that actually work.
Oakland has already spent millions on previous Homekey projects, including $7.1 million for the Maya Motel conversion in Temescal. While converting motels into housing units sounds compassionate, taxpayers have a right to know: Are these projects actually reducing homelessness, or are they simply creating expensive temporary housing that enables dependency rather than fostering self-sufficiency?
The Accountability Crisis: Where’s the Oversight?
Perhaps most concerning is the apparent lack of robust oversight and accountability measures surrounding this massive expenditure. Oakland’s own auditor has previously criticized the city’s homelessness services, noting that “better strategy and data are needed for more effective and accountable service delivery.” Yet here we are, preparing to spend nearly $100 million more without addressing these fundamental deficiencies.
Conservative taxpayers understand that throwing money at problems without accountability measures is a recipe for waste and failure. Where are the performance metrics? What specific outcomes will this $91.5 million achieve? How will success be measured? And most importantly, what happens if these programs fail to deliver results?
These aren’t unreasonable questions—they’re the basic due diligence that any responsible governing body should demand before committing taxpayer funds. The fact that Oakland’s leadership seems more focused on spending than on accountability speaks volumes about their priorities.
Market-Based Solutions: What Actually Works
While Oakland prepares to double down on failed government-centric approaches, successful cities across America have demonstrated that market-based solutions and public-private partnerships deliver better outcomes at lower costs. Cities that have made meaningful progress on homelessness have focused on:
Personal Responsibility and Treatment: Successful programs require participation in drug treatment and job training, rather than providing unconditional housing that enables destructive behaviors.
Public-Private Partnerships: Leveraging private sector efficiency and innovation rather than relying solely on government bureaucracy.
Law and Order: Enforcing quality-of-life laws and public safety standards that protect all residents while connecting homeless individuals to appropriate services.
Fiscal Accountability: Implementing strict performance metrics and transparent reporting to ensure taxpayer dollars produce measurable results.
Oakland could learn from cities like Houston, which has actually reduced its homeless population through targeted, accountable programs that emphasize personal responsibility and effective case management. Instead, Oakland appears determined to repeat the same expensive mistakes that have failed throughout California.
The Trust Deficit: Why Timing Matters
The decision to pursue this massive spending while under federal investigation isn’t just tone-deaf—it undermines public trust in government institutions. Oakland residents have watched their city struggle with rising crime, deteriorating infrastructure, and fiscal mismanagement. Now they’re being asked to support another expensive program while the previous leadership faces federal corruption charges.
Conservative principles demand that government earn the public’s trust through transparency, accountability, and proven results. Oakland’s leadership has failed on all three counts. Until the city can demonstrate that it has addressed the systemic problems that enabled corruption and waste, taxpayers should be extremely skeptical of new spending commitments.
A Better Path Forward
Oakland doesn’t need another $91.5 million government program—it needs fundamental reform. Before committing taxpayer funds to housing programs, the city should:
- Complete a comprehensive audit of all existing homelessness spending and demonstrate measurable results
- Implement strict accountability measures with clear performance metrics and regular public reporting
- Address the corruption issues that have compromised public trust in city government
- Explore market-based solutions that have proven successful in other cities
- Require personal responsibility components in all housing assistance programs
The goal should be helping people achieve self-sufficiency, not creating permanent dependence on government services. Oakland’s residents deserve policies that actually solve problems rather than simply managing them at enormous expense.
Conclusion: Taxpayers Deserve Better
Oakland stands at a crossroads. The city can continue down the path of expensive, unaccountable government programs that have failed to solve homelessness while enriching connected insiders. Or it can choose a different approach based on transparency, accountability, and proven solutions that actually work.
The $91.5 million Homekey+ decision will reveal which path Oakland’s leadership chooses. Taxpayers should demand nothing less than complete transparency, strict accountability measures, and proof that their money will be used effectively. After years of corruption, waste, and failed policies, Oakland’s residents have earned the right to be skeptical of grand government spending schemes.
Real compassion means implementing policies that actually help people rebuild their lives, not programs that enable dependency while enriching government contractors and bureaucrats. Oakland can do better—but only if its citizens demand better.
Call to Action
Oakland residents must hold their elected officials accountable for this massive spending decision. Contact your City Council members and demand transparency, accountability measures, and proof of effectiveness before they commit your tax dollars to another potentially wasteful program. Attend city council meetings, ask tough questions, and share this article with fellow taxpayers who deserve to know how their money is being spent. Only through active civic engagement can we ensure that Oakland’s leadership serves the people rather than special interests.
