Two U.S. senators who have played key roles in trying to advancehousing-finance reform are acknowledging the legislative efforts toend government control of Fannie Mae and Freddie Mac are dead, at leastfor now.

Republican Bob Corker of Tennessee and Democrat Mark Warner ofVirginia commented on the status of the two companies Wednesday ata Senate Banking Committee hearing with Federal Housing FinanceAgency Director Mel Watt.

Corker and Warner tried to develop a bill that would havelargely preserved the operations of Fannie and Freddie whileopening the market to new competition. That effort foundered afterfailing to win support from progressives, who wanted to preservethe companies' affordable-housing mandates, and Congress has littletime left to consider major legislation before November's mid-termelections.