The department may, subject to appropriation by the Legislature, grant funds for the purpose of providing relocation benefits to persons and families of low or moderate income who are displaced, or who may be displaced if not assisted, as a result of any of the following:

1. (a) Direct code enforcement activities of the department.
2. (b) A disaster for which a state of emergency has been proclaimed by the Governor on or after the effective date of this section.

3. (c) Fires which damage or destroy residential structures.

   The department may also provide technical assistance to local agencies in providing relocation benefits, pursuant to Sections 50500 and 50509.