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American Canyon Settles Mobile Home Park Suit

AMERICAN CANYON (CBS/AP) -- The city of American Canyon will pay $575,000 to the owners of a local mobile home park to settle a lawsuit alleging the city violated federal fair housing laws.

The settlement announced Friday was approved by the City Council earlier this week.

The owners of Napa Olympia Mobilodge filed a federal lawsuit last year objecting to a city ordinance that would have prevented them from allowing families to move into the mobile home park, which many residents believed was a seniors-only facility.

On June 6, U.S. District Judge William Alsup found that American Canyon had violated the Fair Housing Act.

City Attorney William Ross tells the Times-Herald of Vallejo that some of the settlement money will serve as a credit toward the city's purchase of the park, if that can be negotiated over the next two years.

(Copyright 2011 by CBS San Francisco. All Rights Reserved. This material may not be published, broadcast, rewritten, or redistributed.)

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