Rip the Band-Aid and move forward.

There is financial aid, mortgage forbearance, etc etc etc to help str folks who are losing money....  

This is a aid to both parties to ensure things don't get out of hand (aka hording, pets, signs of mistreatment).  

I also really wanted more cash flow with my really low Family W2 earnings compared to a lot of you here on BP as a parochial school teacher and part time adjunct professor and my wife being a special ed aide 5 hours a day.  

You can reply to the demand letter with or without the aid of your attorney.

I think you're better off enjoying your own labors, and making sure you have money for your own healthcare in your old age (and don't expect your kids to take care of you), and if there happens to be anything left over for them - great. 

., Rent Ordinance § 37.10B(a)(9)Actual or perceived race, gender, sexual preference, sexual orientation, ethnic background, nationality, place of birth, immigration or citizenship status, religion, age, parenthood, marriage, pregnancy, disability, AIDS or occupancy by a minor child

When factoring in the cost of non-pension benefits for state workers, such as health care for retired government employees, the debt facing California taxpayers rises further.

Just tell her you're really sorry but you can't afford to pay for a mold testing company, so if she wants to move, you'll waive the notice requirement and give her her full deposit as long as she leaves the place clean, and you'll give it to her in cash on her move-out day after she gives you the keys and you see the place is clean.Then, if she actually gets some legal aid or lawyer involved, you can deal with it. 

The other thing you might try is to call your local legal aid / tenant advocacy organization and ask there.BTW - don't forget that you're not only dealing with federal fair housing laws, but also the state, which can be even more restrictive.Slow down and be sure you understand all of the tenant's rights and ramifications of evicting before doing anything.