❌Make undocumented immigrants eligible for homebuyer and jobless aid

A poster explains ways to file for unemployment insurance benefits, as job seekers look for work at the JobTrain employment office in Menlo Park. Photo by Paul Sakuma, AP Photo
A poster explains ways to file for unemployment insurance benefits, as job seekers look for work at the JobTrain employment office in Menlo Park. Photo by Paul Sakuma, AP Photo

By Wendy Fry and Jeanne Kuang

WHAT THE BILLS WOULD DO

AB 1840 and SB 227, written by Assemblymembers Joaquin Arambula and María Elena Durazo, respectively, aim to ensure Californians are not excluded from assistance programs due to their immigration status. 

AB 1840, written by Arambula, a Democrat from Fresno, makes clear that undocumented first-time homebuyers can apply for a program that offers 20% downpayment assistance of as much as $150,000. The bill has drawn national media attention, with Republicans claiming it follows “a long litany of taxpayer dollar giveaways…that encourage and reward illegal immigration.” A spokesperson for Arambula said the bill only clarifies that undocumented Californians can participate in “Dream for All” and other home purchase assistance programs if they meet all other eligibility and financial criteria. The program ran out of $300 million in funding 11 days after launching in 2023. Because of the state budget shortfall, no new funds were appropriated this year. 

SB 227 requires the Employment Development Department, by next March, to come up with a plan on how to give undocumented workers who lose their jobs access to unemployment benefits. Employers pay into the unemployment fund; an expansion would likely need to be funded by the state. Gov. Gavin Newsom in 2022 vetoed a similar bill directly requiring the new program because lawmakers hadn’t identified a funding source. This version would make the administration figure out how to create the program, including how much it would cost, and then send the plan back to lawmakers and the Department of Finance for review.

WHO SUPPORTS THEM

A large coalition of immigrant rights advocates, including the ACLU, CHIRLA, the Coalition for Humane Immigrant Rights, and the Mexican American Opportunity Foundation. 

WHO IS OPPOSED

California Republicans argue that programs providing aid to undocumented residents act as a magnet for illegal immigration, even as many Californians can’t afford to buy houses. Elon Musk posted on his social media site X that “half of earth should move to California given all the incentives to do so.” 

There are no registered opponents for the unemployment bill. Newsom’s finance department last year opposed the bill because the state hadn’t budgeted funds for it, and called its timelines “infeasible,” but the bill has since been amended to require a plan rather than the program itself. 

WHY IT MATTERS

Decades of work went into building a social safety net for California’s roughly 2.3 million undocumented immigrants, who still have the highest poverty rates in the state. Some argue that because undocumented immigrants pay taxes, they should also have access to taxpayer-funded programs, like unemployment insurance. According to USC’s California Immigrant Data Portal, undocumented immigrants paid an estimated $3.7 billion in state and local taxes in 2019. 

In recent years, natural disasters such as winter storms and extreme heat have shed light on how farmworkers, over half of whom are undocumented, can lose work with little notice. But with a tight state budget, Newsom has cited costs in halting or slowing down the state’s expansions of social services. 

GOVERNOR’S CALLS

Newsom announced on Sept. 6 that he vetoed AB 1840 to expand homebuyer aid to undocumented immigrants, citing budget concerns. With “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,” he wrote.

Newsom announced Sept. 28 that he vetoed SB 227 on jobless aid. In his veto message, Newsom wrote that it “sets impractical timelines, has operational issues, and requires funding that was not included in the budget.”

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