California Democrats are "crazy" for passing a progressive legislature that would give illegal immigrants up to $150,000 in first-time homeownership, officials said. 

The bill, AB 1840, would require the California Housing Finance Authority's home purchase assistance program, or California Dream for All Program, to include illegal immigrants' applications.

The bill cleared the state Senate on Tuesday.

CALIFORNIA CLOSE TO APPROVING $150K LOANS FOR ILLEGAL IMMIGRANTS TO HELP PURCHASE HOMES

Illegal immigrants in California could be eligible for state assistance in buying a home under a bill the state Legislature sent to Democratic Gov. Gavin Newsom (David Ryder/Bloomberg via Getty Images)

In a statement to Fox News Digital, California Assembly Republican Leader James Gallagher (R-Yuba City) argued that the legislation would exacerbate the border crisis, the housing crisis and the high cost of living in the Golden State.

EX-CALIFORNIA SLAMS STATE BILL THAT GIVES ILLEGAL IMMIGRANTS HOUSING LOANS: ‘ASININE’

"I didn’t know it was possible to make the border crisis and the housing crisis worse with just one vote, but Democrats found a way," Gallagher said. "Giving taxpayer-funded housing subsidies to illegal immigrants will drive costs even higher and encourage more chaos at the border."

"This is crazy, and it needs to stop," he said.

A view of the California state capitol building on National Urban League California Legislative Advocacy Day on March 13, 2024 in Sacramento, California. (Arturo Holmes/Getty Images for National Urban League)

The California Dream for All program passed despite funds running out just 11 days after being instituted in June, which was awarded to 1,700 first-time homebuyers at the time. Finding more funding for the program was the prime concern in floor debate.

The program gives first-time homebuyers up to 20% of a home's value or up to $150,000 as down payment assistance. The bill now heads back to the California state Assembly to go over revisions made by the state Senate.

California Gov. Gavin Newsom greets people, Monday, July 8, 2024, near the Common Man Roadside Market and Deli, in Hooksett, N.H. (AP Photo/Steven Senne)

The bill passed by 12 votes, following the party line at 23-11. Some Democrats present did not vote.

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California Gov. Gavin Newsom has not said whether he will sign the bill into law if it clears the legislature before the Aug. 31 deadline. 

In a statement to Fox News Digital, Gov. Newsom's press secretary said that the California governor will evaluate the legislation when it reaches his desk.

Fox News Digital's Jasmine Baehr contributed to this report.