[2] The hospital faced a host of challenges including antiquated facilities,[3] dwindling staff numbers,[4] and a potential cut off of federal funding of $250,000 per day in Medicare and Medi-Cal payments due to overcrowding[5] and poor conditions.
[8] At the time, the De Young Museum,[9] Academy of Sciences,[10] and the Conservatory of Flowers[11] all were seeking to pass bond measures.
[20] After the bond measure passed, Louise Renne, who retired as City Attorney in 2002,[21] started up the new Laguna Honda Foundation in 2003.
In 2010, LHH Volunteers, Inc. first adopted the business alias of Friends of Laguna Honda,[23] and underwent a re-branding campaign over the next few years.
[19] Today LHH Volunteers, Inc., dba Friends of Laguna Honda, supports non-medical programs and services to enhance the quality of life for the residents at Laguna Honda Hospital and Rehabilitation Center The re-branded Friends of Laguna Honda's website describes its first projects as providing “modern metal wheelchairs, visitors’ lounge and dining room furnishings, a color television, a player piano, power tools for the craft shop, equipment for a new beauty parlor, a sound system for the Gerald Simon Theater, and much more.” [24] Friends of Laguna Honda states it provides residents of LHHRC with ongoing programs including “helping to fund the hospital’s Animal Assisted Therapy and Horticultural programs, sponsoring community outings—Bay cruises, museum visits, movies, picnics, ball games, and bowling—and supporting Art With Elders” .
The hospital was forced to develop a remediation plan that could be implemented no later than April 2022, eliminating illicit drug paraphernalia and safety issues form the site.