California Democrat Gov. Gavin Newsom had an about-face Friday, vetoing a controversial bill that would have given illegal immigrants in his state down payments to buy homes, reports the Los Angeles Times.
Newsom cited budget limitations as the reason behind his veto of Assembly Bill 1840, introduced by Joaquin Arambula, (D-Fresno).
The bill would offer interest-free loans of up to $150,000 to illegal immigrants who are first-time home buyers to apply towards a down payment.
$300 million in taxpayer funds were already funneled to the program, with 2,200 loans financed, according to the California Housing Finance Agency.
"Given the finite funding available for 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 said, though he declined to elaborate on the decision during a news conference in Sacramento on Friday.
"The bill that was sent to me was a program that had no money," he said during the conference.
Arambula, the bills' author, said he was disappointed by the news.
"As I've said before, the bill is not about immigration policies or the housing crisis. No single bill can solve those issues," he said.
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