The city of Norwalk has agreed to repeal its homeless shelter ban and pay $250,000 toward new affordable housing developments to settle a state lawsuit.

The city had prohibited shelters along with laundromats, payday lenders and other businesses that predominantly serve the poor.

Unlike wealthy, white enclaves that have battled state housing policies, Norwalk is a Latino-majority, working- and middle-class community.

The city of Norwalk will repeal a local law passed last year that banned homeless shelters as part of a settlement that will end a state lawsuit, Atty. Gen. Rob Bonta said Friday.

Last fall, the state sued the southeastern Los Angeles County community alleging that Norwalk’s policy violated anti-discrimination, fair housing and numerous other state laws. Norwalk leader

See Full Page