- Associated Press - Monday, March 31, 2014

ALBANY, N.Y. (AP) - New York’s budget agreement would dedicate most of the state’s $613 million settlement from JPMorgan over mortgage-backed securities to state programs intended to prevent homeowner foreclosures.

The provision, which the Legislature is expected to approve Monday, puts nearly $440 million in the joint custody of the state comptroller and tax commissioner for funding housing counselors, foreclosure mediation, legal aid, housing remediation, other consumer protections and projects against neighborhood blight.

New York Attorney General Eric Schneiderman, who helped negotiate the national $13 billion bank settlement, and Gov. Andrew Cuomo earlier agreed to spend the first $163 million from New York’s share on mortgage relief and housing programs, half under each official’s respective control.

Spokesman Damien LaVera says Schneiderman is pleased the remaining money goes to a special purpose fund exclusively to help homeowners.