Newsom vetoes bill to give illegal immigrants $150,000 in housing support

The governor blamed the state’s inability to fund the program given the recent budget cuts.

California will not be giving illegal immigrants money in the form of down payment assistance after weeks of controversy. 

Gov. Gavin Newsom vetoed a bill authored by Asm. Joaquin Arambula (D–Fresno) that would have provided some illegal immigrants up to $150,000 in down payment assistance. 

The backstory: Arambula’s proposal would have made some illegal immigrants eligible for the California Dream for All Program. 

  • They would have had to have taxpayer ID numbers or Social Security numbers to participate in the program. 
  • The Dream for All Program – which would have been renamed the Home Purchase Assistance Program under Assembly Bill 1840 – provides 20 percent in down payments assistance to first generation homebuyers. Homebuyers who receive assistance must meet CalFFA income limits and are able to receive up to $150,000. 

The big picture: With significant public blowback and media scrutiny over the bill as it passed through the Legislature, Newsom issued a veto on AB 1840 on Friday. 

  • In the veto, Newsom said he is unable to sign the bill because the state does not currently have any money allocated for the Dream for All Program. 
  • “Given the finite funding available for CalHFA programs, expanding program eligibility must be carefully considered within the broader context of the annual state budget to ensure we manage our resources effectively,” Newsom wrote in his veto. 

What they’re saying: Assembly Republican Leader James Gallagher (Yuba City) celebrated the veto. 

  • “I’m glad the Governor decided to veto this deeply problematic bill, but he’s still avoiding saying anything about his position on giving loans to illegal immigrants,” Gallagher said. “It’s true the program is out of money – that’s because California citizens used all of it immediately thanks to Newsom’s failure to address the housing crisis. By refusing to condemn the bill on its substance, Newsom is inviting Democrats to try again in a year when they haven’t completely mismanaged their budget.”
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