The Assembly today approved SB 513, a bill by Senator Nell Soto (D – Pomona) to offer six-month deferrals of payments for any principal and interest on financial obligations incurred by a California National Guard (CNG) member, or his or her surviving spouse, following the death of the member in the line of duty.

Specifically, SB 513 says that principal and interest on any financial obligation or interest-bearing liability incurred by a CNG member, or his or her surviving spouse, shall be deferred for a period of six months after the death of the member without penalty or accrual of any additional interest.

Interest includes service charges, renewal charges, fees, or any other charges with respect to any obligation or liability.

Under the terms of Soto’s bill, deferrals would apply to CNG members who are killed in the line of duty in the service of the state or federal government.

The Senator notes that there is a standard $12,000 death benefit for survivors of service members regardless of family size.  Because it is fixed, the death benefit may not      provide sufficient relief to those who suffer the loss of a service member. 

Soto also notes that given the nation’s extensive military activity in Iraq and Afghanistan, terms of service have been increased over the last year – creating additional financial hardships for the families of many service members. “If a death occurs after active duty has been extended, the financial consequences for survivors can become overwhelming,” Soto says. “My bill merely offers them a measure of temporary financial relief during a difficult time.”