LOS ANGELES — The Housing Authority of the City of Los Angeles, or HACLA, has paused the processing of 3,300 Section 8 applications due to federal funding uncertainty.

HACLA's Section 8 Director Carlos Van Natter said no new vouchers will be issued as a containment measure due to the projections of insufficient funding.

He warns that without additional support, they may not have enough funds to cover rental subsidies through the end of the year hence the move to protect current voucher holders.

Van Natter said once funding becomes available, applicants will continued to be processed in the same order. He said the HUD-VASH program for homeless veterans and the project-based voucher program will not be affected for the moment.

Housing providers like Eman Dalili worry this could destabilize the housing ecosystem and undo the progress made toward LA's housing crisis so far, while experts like USC professor Ben Henwood caution that cuts to Section 8 — the country’s largest homelessness prevention program — could increase homelessness in LA.