Under a bill sent to Governor Gavin Newsom’s desk on Wednesday, Undocumented immigrants in California could soon be eligible under the state’s first-time homebuyer’s program.
The proposal specifies that people who meet all other requirements for a loan under a state program, should not be disqualified based on their immigration status.
The bill, Assembly Bill 1840, was given final approval in the Legislature in a vote that fell along party lines. It passed the Senate 23-11 with 6 Democrats abstaining from the vote.
Joaquin Arambula, a Democrat from Fresno, authored the bill. Joaquin says it’s about fairness in addressing the housing crisis, not about immigration policies.
Republican lawmakers argue that California should prioritize housing assistance for legal citizens, bashing it as a “free handout”.
In June, the “California Dream for All” program awarded 1,700 first-time homebuyers with financial assistance of up to 20% of a home’s value, helping with the down payment and closing costs.
Opponents to the bill point out that the “California Dream for All” first-time homebuyer program ran out of money in just 11 days. Adding undocumented immigrants may be moot, if more budget isn’t approved.
There is a budget shortfall in the tens of billions. The Legislature and Governor Newsom have not appropriated any further funds for the program this year. More budget will need to be approved for future assistance.
There are questions whether the bill would violate federal law. Signing would likely create a political firestorm that would bring lawsuits.
The big question is what will Governor Newson do next. Governor Newsom has until September 30th to sign or veto the bill. We will update as the situation unfolds.