WASHINGTON -- Sen. Chris Dodd (D-Conn.), chairman of the Senate Committee on Banking, Housing and Urban Affairs, along with several other members of the committee, have sent a letter to President Bush urging his administration to address the foreclosure crisis-the root cause of our nation's economic problems, they said.
The senators told President Bush that the Emergency Economic Stabilization Act gives the administration considerable new authority to prevent foreclosures. And, they explained, that while recent news reports have indicated that the administration plans to use this authority, the Treasury Department has yet to announce any efforts dedicated to helping people keep their homes.
A White House spokesperson recently said at a press briefing that, while the administration is presently analyzing several different proposals, it had not yet found one that was fair, would protect taxpayers and would have an impact.
Her comments came in response to queries about reports of the Treasury and the FDIC nearing agreement on a plan to have the government modify and guarantee as many as three million mortgages using funds from the TARP program and modeled after mortgage modification programs being implemented by the Bank of America settlement over Countrywide mortgage loans and by the FDIC for mortgages serviced by IndyMac.
Action, not deliberation, is needed at this point, according to the senators.