Americans spend billions of dollars to combat homelessness, through donations and taxpayer funding, but the “Homeless Industrial Complex” uses this money for political activism that actually demonizes the policies more likely to solve the crisis, according to a new report.
“Fringe groups in the Homeless Industrial Complex like to characterize homelessness as a symptom of societal injustices, such as systemic racism, police violence, or capitalism,” Scott Walter, president of the Capital Research Center, which released the report, told The Daily Signal in a statement Tuesday. “Anyone who disagrees with their tried-and-not-true policy recommendations is called uncompassionate or greedy.”
The report, “Infiltrated: The Ideological Capture of Homelessness Advocacy,” focuses on the 759 organizations that filed amicus briefs in the Supreme Court case Grants Pass v. Johnson (2024), arguing that laws against camping on the sidewalk violate the Eighth Amendment prohibition on “cruel and unusual punishment.” The Supreme Court disagreed, but the nonprofit support for this claim illustrates how organizations founded to help solve the homelessness crisis engage in activism that arguably exacerbates it.
The Capital Research Center report finds that the nonprofits collectively have $9.1 billion in total revenues and received at least $2.9 billion in government grants (32% of their revenues), according to IRS filings.
Attacking Trump and Conservatives
The Southern Poverty Law Center, a left-wing nonprofit that puts mainstream conservative and Christian groups on a “hate map” alongside the Ku Klux Klan and has an endowment of more than $700 million, was the second-largest nonprofit to sign an amicus brief in the Grants Pass case.
The SPLC’s involvement “illustrates the disconnect between those charities that provide genuine services to the needy, and those that use their resources to advance a left-wing ideological agenda,” Walter said.
“When President [Donald] Trump signed a series of commonsensical executive orders in 2025 to protect public safety and address the root causes of homelessness, the SPLC and other allied groups accused him of human rights violations,” he noted.
Trump’s order “Ending Crime and Disorder on American Streets” notes that America hit a grim milestone when 274,224 people lived on the streets on a single night in January 2024, and that most of the homeless “are addicted to drugs, have a mental health condition, or both.” His order directs the federal government to enforce bans on open illicit drug use and on urban camping and shifting the homeless into “long-term institutional settings for humane treatment.”
In response, SPLC Deputy Legal Director Kirsten Anderson accused Trump of “resurrecting unlawful and outdated approaches to housing that are rooted in racist stereotypes and bias against people with disabilities.”