Correa strongly supports bill to save taxpayers and veterans millions of dollars

FOTO FROM ARCHIVE: Members of the U.S. Army during a meeting in Orange County with California State Senator Lou Correa (far left).

Senator Lou Correa,­­­­­­­­­­­­­­­­ ­ 34th Senate District
For Immediate Release: June 16, 2010
Contact: Lina Hamilton, (916) 651-4034

Senator Correa Strongly Supports Legislation to Save California Taxpayers and Veterans Millions of Dollars

SACRAMENTO, CA – Senator Lou Correa (Orange County) strongly supported Senate Committee on Veterans Affairs approval of Assembly Bill 2651 (AB 2651), introduced by Assemblymember Steve Knight (Palmdale).

AB 2651 will create a revolving fund known as the “Veterans’ Bond Payment Fund” within the Military and Veterans Code to pay debt service on Cal-Vet home loans. This measure also prohibits any of the money in the Bond Payment Fund from being considered “surplus money” as defined in current law. AB 2651 also makes provisions for debt service not to apply toward refunding bonds.

In support of AB 2651, Senator Correa issued the following statement: “Every Californian has the right to fair and accessible housing opportunities, especially the men and women who risked their lives to protect our country and our freedoms. We, as elected officials must do our best to make sure that our veterans can afford a dignified way of life, including housing, when they return form service. I applaud Assemblymember Knight for in introducing this legislative measure.”

In 2008, the California voters overwhelming approved Proposition 12 establishing the Veterans’ Farm and Home Purchase Act (Cal-Vet) to help veterans buy homes at a lower interest rate through the Department of Veterans’ Affairs (DVA). Under California law, debt is paid through the General Fund. The California Department of Veterans Affairs, the sponsor of this bill, estimates AB 2651 will save the state $500,000 in interest payments on its next bond sale later this month and hundreds of millions of dollars during the next 30 years.

AB 2651 will be on the Senate Floor for consideration within the next few days.

Senator Lou Correa represents the 34th District which includes the cities of Anaheim, Buena Park, Fullerton, Garden Grove, Santa Ana, Stanton and Westminster.

# # #

Lina Hamilton
Legislative Aide
Office of Senator Lou Correa, 34th District
(916) 651-4034
lina.hamilton@sen.ca.gov