Authors bill requiring vote of Legislature to steal money meant for homeowners

(MADISON) Senator Lena C. Taylor (D-Milwaukee) today joined by Rep. John Richards (D-Milwaukee) and other legislators to introduce a bill that will require full legislative approval of the expenditure of funds from the national mortgage settlement.  Governor Walker and Attorney General J.B. Van Hollen had announced their unilateral decision to raid those funds to cover the deficit in the budget created by the Republican majority.  The plan calls for over 25 million dollars to be transferred from the settlement to the general fund. 

“For months on the campaign trail, this Governor promised NOT to raid funds.  Yet, not only in his budget, but now to FIX his budget, he is going to steal money.  It is not only a broken promise, it makes him liar once more.  Worse yet is the Governor and Attorney General Van Hollen stealing this money from underwater homeowners who need help and local taxpayers who are footing the bill for abandoned properties.” Taylor commented.

The state received over $140 million dollars in the national mortgage settlement.  Of that, $31 million was set aside for the state to invest in compensation, foreclosure prevention programs, and abandonment and blight mitigation.  Taylor joined Milwaukee Mayor Tom Barrett in calling for major investment in Milwaukee programs, like mediation and reclamation, to relieve pressure on the high number of foreclosures in Milwaukee.  However, the Governor and Attorney General decided to raid those funds for the state budget.

Taylor will join Mayor Barrett on The Ed Show tonight on MSNBC to discuss the Republican raid on foreclosure funds at approximately 7:35pm.