This website uses cookies to store information on your computer. Some of these cookies are used for visitor analysis, others are essential to making our site function properly and improve the user experience. By using this site, you consent to the placement of these cookies. Click Accept to consent and dismiss this message or Deny to leave this website. Read our Privacy Statement for more.
Home   |   Contact Us   |   Sign In   |   Register
Article Library
Blog Home All Blogs
Search all posts for:   


View all (853) posts »

California to Allocate $331 Million to Provide Legal Assistance to Renters and Homeowners

Posted By USFN, Wednesday, December 18, 2019

by Kayo Manson-Tompkins, Esq.

The Wolf Firm

USFN Member (CA)


As part of the National Mortgage Settlement entered into in 2012, funds were allocated to the states to assist with the housing crisis and California was allotted over $400 million.  The State Legislature enacted Gov. Code 12531, which provided that funds could be used to offset general fund expenditures for the 2011-2014 fiscal years.  In 2014, the National Asian American Coalition filed a suit against the Governor, Director of Finance, and the State Controller seeking the return of the funds.   

The Court of Appeals in 2018 held that $331 million was to be returned and directed Governor Newsom to return the funds for its intended purpose.  During the 2019 legislative session, Senate Bill 113 was approved by the governor and will take effect immediately.

As a result of this bill, $331 million will be deposited into a trust for non-profit organizations to provide legal assistance to homeowners to prevent a foreclosure, defend an eviction, or to aid housing counselors in other housing related situations.  The ultimate goal will be to provide an ongoing source of funds to legal aid organizations to assist renters and homeowners.

Copyright © 2019 USFN. All rights reserved.

December e-Update


Tags:  California  California Senate Bill 113  National Mortgage Settlement 

Share |
Permalink | Comments (0)
Membership Software Powered by YourMembership  ::  Legal