Which Way, L.A.?
California Cities Consider Novel Foreclosure Fix
Monte wants to seize mortgages that are "underwater" and work out more affordable deals so people can stay in their homes. The financial industry threatens retaliation.
The City of El Monte hasn't done anything yet, but it has started a battle with the mortgage industry and Wall Street players who've invested in home loans. El Monte wants to seize mortgages that are "underwater" and work out more affordable deals so people can stay in their homes. The financial industry threatens retaliation for what it calls abuse of the power of eminent domain. Also, some California Republicans are bucking their party, supporting jury service, drivers' licenses and other perks for undocumented workers.
On our rebroadcast of today's To the Point, Tea-party Republicans are making themselves heard with a challenge not just to Obamacare but to their own leaders on Capitol Hill. Can they shut down the government? Refuse to let Washington pay its bills? Will their own party take the blame if there’s financial upheaval?
Banner image: Jeff Turner
In this episode
2 storiesUnderwater Mortgages and the Power of Eminent Domain
About 1000 homes are "underwater" in the City of El Monte. That means the owners owe more on their mortgages than their houses are worth. Now city officials may go the way of Richmond, up in the San Francisco Bay Area, which has adopted a plan to seize mortgages under the power of eminent domain.
Read the story15 minCalifornia GOP Pushes Immigration Reform against Party Grain
Governor Brown says he'll sign at least some controversial bills designed to make life better for undocumented workers. Approved by Democrats in the legislative session that ended on Friday, they would allow illegal immigrants to practice law, serve on juries and obtain drivers' licenses among other things.
Read the story10 min