House Proceeding on Oct 2nd, 2008 :: 0:38:45 to 0:58:45
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0:36:36 to 0:38:45( Edit History Discussion )
Speech By: Chris Cannon

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Chris Cannon: but as an outline of what the discussion should have been. there's no reason why we here in congress have not done an open rule hen anne had a debate on this. we could easily have taken this

0:38:45 to 0:40:55( Edit History Discussion )
Speech By: Zoe Lofgren

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Zoe Lofgren: measure, debated it openly, amended it, adjusted it and done things that make sense. the pr oblem as i see theee bailout and the gentlelady and i have talked about it at some length, is that it pumps

0:38:57 to 0:39:08( Edit History Discussion )

Zoe Lofgren: liquidity intoit banks and takes paper. that paper we hope is good. we hope it will be more valuable than the -- what we spend on it. ms. lofgren: i wonder. i did yield. we have other speakers.

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Zoe Lofgren: i wonder if -- we can have this further discussion but whether on the mortgage -- primary p residence mortgage issue you think there is further opportunity to make progress between

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Zoe Lofgren: republicans andca democrats, conservatives and nonconservatives? mr. cannon: i thank the gentlelady. we have plenty of time on my side if the gentlelady would like to yield back temporarily.

0:39:35 to 0:39:49( Edit History Discussion )

Zoe Lofgren: i would be happy to use my time to talk about that point. ms. lofgren: i will do so because i don't want to take advantage of the chairman's yielding me unlimited time when there are other

0:39:49 to 0:40:01( Edit History Discussion )

Zoe Lofgren: speakers. but i would just say that in the discussions that we have had that have been very honest and very practical and i think totally bipartisan. i would even say nonpartisan trying

0:40:01 to 0:40:14( Edit History Discussion )

Zoe Lofgren: to find common ground in the interests of the american people on this. i have a sense ever optimism that we can do something important on the mortgage bankruptcy issue aside from this recovery

0:40:14 to 0:40:26( Edit History Discussion )

Zoe Lofgren: package that is coming. and having said that, i will yield back to the chairman of the committee and perhaps mr. cannon will use some of his time to further explore this. the speaker pro tempore:

0:40:26 to 0:40:42( Edit History Discussion )

Zoe Lofgren: the gentleman from utah. mr. cannon: thank you, mr. speaker. i thank the gentlelady. if she wishes to remn perhaps we can have a colloquy at some point. let me make a couple of points. we

0:40:42 to 0:40:55( Edit History Discussion )

Zoe Lofgren: have had a long and intense discussion about what we can do to help solve not the problem of the banks with their toxic loans, which we hope we'll buy at a reasonable price in a reverse aucti,

0:40:55 to 0:43:10( Edit History Discussion )
Speech By: Chris Cannon

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Chris Cannon: but what we do on the other side of this problem which is homeowners who can't afford the loans that they got on property that was often misappraised or appraised fraudulently and left in a box

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Chris Cannon: without being able to pay with mortgages that arega resetting at higher interest rates, sometimes with higher balances because of the way the mortgages are arranged. so how do we keep -- help

0:41:28 to 0:41:39( Edit History Discussion )

Chris Cannon: americans stay in their homes in a reasonable fashion? we have talked about bankruptcies as one way to do that. in the bill that we did not pass here in the house recently, the secretary

0:41:39 to 0:41:53( Edit History Discussion )

Chris Cannon: had wide autho rity. i am expecting that authority to be continued. what i would hope is that the secretary will not just put $700 billion into paper which may or may not be useful, but also something

0:41:53 to 0:42:04( Edit History Discussion )

Chris Cannon: like $50 billion or $100 billion into funds that are intended to help people stay in their homes by creating a -- the opportunity to buy mortgages at a discount then renegotiate those mortgages

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Chris Cannon: with the people who are in those homes or others, and thereby avoid the spiraling, downward spiral of housing costs. i don't know that we are going to be able to do much with bankruptcy

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Chris Cannon: if this bill that passed the senate passes the house today, don't know if we can deal with it. i think we ought to demand as the house that the secretary re recognize this is not just

0:42:31 to 0:42:44( Edit History Discussion )

Chris Cannon: a matter of saving paper or buying paper and saving banks, it's rather a matter of keeping a downward spiral in housing prices from continuing so americans can maintain the value in

0:42:44 to 0:42:57( Edit History Discussion )

Chris Cannon: their homes, keep their homes, and get this economic crisis behind us andnd perhaps save money. i recognize the gentlelady. i would be happy to yield. ms. lofgren: thank you for yielding. i would

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Chris Cannon: just note that in fact i in the rescue package there is a provision requiring the secretary to renegotiate loans. that will actually be of tremendous value in dealing with the foreclosure crisis

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John Jr.Conyers: that we face when the government owns the whole mortgage, all of the mortgage. because securities are being purchased, because the ready markets are frozen, we won't necessarily own all the

0:43:30 to 0:48:52( Edit History Discussion )
Speech By: Janice D. Schakowsky

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Janice D. Schakowsky: mortgages in eve ry case, and half of the subprimes have second and thi mortgages that will be able to defeat any effort to renegotiate. i think that moving a narrowly crafted for subprime only mortgage

0:43:45 to 0:44:04( Edit History Discussion )

Janice D. Schakowsky: primary residence mortgage measure either laettner this congress or early next -- later in this congress or early next might be something that could avoid the $2.1 trillion in mortgages that

0:44:04 to 0:44:17( Edit History Discussion )

Janice D. Schakowsky: are set to reset and certainly a are at risk of default in the next 18 months. i am just stating here today, i think we have an opportunity to accomplish that working across the aisle and

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Janice D. Schakowsky: working across ideological barriers. really we are all in the same place. we want americans to be safe and secure in th eir homes ifom they are able to meet their obligations. we should

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Janice D. Schakowsky: go the extra mile toe allow them to do that. i just want to say once again how much i have appreciated working with you, congressman cannon, over these years and how -- i said this earlier this

0:44:58 to 0:45:13( Edit History Discussion )

Janice D. Schakowsky: week, but if you look at your voting record, you have got one of the most conservative voting records in this congress, and as i mentioned i do not. but that has never prevented us from

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Janice D. Schakowsky: working together to find solutions for the american people. i really think you're a remarkable legislator. someone who i respect a great deal. i thank you for your f service to our country.

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Janice D. Schakowsky: mr. can nan: reclaiming my time. i thank the gentlelady. -- mr. cannon: reclaiming my time. i thank the gentlelady. the nice thing about being clear in your princips it's possible to negotiate

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Janice D. Schakowsky: and come up with compromises that work. it's been a pleasure to work with the gentlelady and the chairman of the full committee who is also here with us, mr. conyers. it's not possible to be

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Janice D. Schakowsky: farther b apart on the political spectrum than i think mr. conyers and i are, but we have had a very pleasant and i think profitable working relationship on many issues where because of his clear

0:46:10 to 0:46:27( Edit History Discussion )

Janice D. Schakowsky: principles and i hope my clear principles we have beenha able to reach compromise. going back to what the gentlelady was saying, i fervently hope will i not be part of any further negotiations

0:46:27 to 0:46:42( Edit History Discussion )

Janice D. Schakowsky: on bankruptcy. i hope that we solve this problem today or tomorrow, i suppose. and then save the -- make the american people more safe by us being out of town and thenn letting next year's crop

0:46:42 to 0:46:52( Edit History Discussion )

Janice D. Schakowsky: of people come back and deal with the issue. let me just reiterate a couple things the gentlelady has said. $2.1 trillion of subprime and alt a loans are in trouble f we do n't do something about

0:46:52 to 0:47:04( Edit History Discussion )

Janice D. Schakowsky: that, those loans as they fail, to the degree they fail and many are likely to fail, arelikely to draw down to create a suction that will pull down the prices of all the other houses

0:47:04 to 0:47:18( Edit History Discussion )

Janice D. Schakowsky: in america creating chaos in our markets. it's imperative that the secretary recognize his authority under i think the current language and make it clear he intends to do something not just

0:47:18 to 0:47:32( Edit History Discussion )

Janice D. Schakowsky: about the paper, because as the gentlelady has pointed out, we don't own all the fractions of the interests in these mortgages, and therefore we don't hav e the ability by pumping money into

0:47:32 to 0:47:46( Edit History Discussion )

Janice D. Schakowsky: paper to solve the underlying problem. you have to do that in another way. certainly where you have a second or third, there is no ability by the tresh have i under -- treasury under the

0:47:46 to 0:48:00( Edit History Discussion )

Janice D. Schakowsky: current program to dealt with that suction on prices. i'm hop ing the secretary of the treasury will today make it clear he intends to use part of this bailout money for which he has, i

0:48:00 to 0:48:12( Edit History Discussion )

Janice D. Schakowsky: think the discretion. io i think it's important he be clear he has that discretion, he intends to use money that way so we can create a floor not just under the banks but also under the prices

0:48:12 to 0:48:52( Edit History Discussion )

Janice D. Schakowsky: of our homes. . and with that i reserve the balance of my time. the speaker pro tempore: the gentleman reserves. the gentleman from michigan. mr. conyers: mr. speaker, i yield to the author

0:50:47 to 0:50:57( Edit History Discussion )

Dana Rohrabacher: of this bill, jan schakowsky, as much time as she may consume. the speaker pro tempore: the gentlewoman is recognized. ms. schakowsky: i thank the gentleman for yielding to me. i rise to proudly support

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Speech By: Dana Rohrabacher

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Dana Rohrabacher: s. 3197, the national guard and r eservists debt relief act. this legislation is the senate companion to h.r. 4044, legislation i authored along with my friend and colleague, congressman dana

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Dana Rohrabacher: rohrabacher, which patched the house unanimously on june 23. s. 3197 was introduced by my very good friend and colleague from illinois, senator dick durbin. since 9/11, more than 460,000

0:51:26 to 0:51:42( Edit History Discussion )

Dana Rohrabacher: reservists and guardsmen have been called to active duty in iraq and afghanistan. these men and women have left their families and their jobs to selflessly serve their country. often with little

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Dana Rohrabacher: or no notice to get their finances in order. many service members are small business owners who have to put their businesses on hold while they serve their country, and some are forced to sacrifice

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Dana Rohrabacher: those businesses altogether. and of course, some may face losing their homes when they return because of their financial distress. and many service members face unexpected end tendatures leaving

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Dana Rohrabacher: them with almost no way to prepare financially. s. 3197 would allow national guard and reservists to file for bankruptcy without the burden of the means test that assesses their eligibility

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Dana Rohrabacher: for bankruptcy protection. h.r. 4044 allows members of the national guard and reservists to file for chapter 7 bankruptcy without the added paperwork burden and obstacles of the means test.

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Dana Rohrabacher: this is why when veterans face the means test it has a particularly adverse impact on them. that is because the combat pay of soldiers in iraq or afghanistan is often higher than their salaries at

0:52:57 to 0:53:09( Edit History Discussion )

Dana Rohrabacher: home and they have fewer expenses overseas, if any. the problem is when they return home these individuals return to face lower incomes and higher expenses and because the means test factors

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Dana Rohrabacher: in a person's income and expenses for the six-month period preceding the filing. their expenses seem disproportionately low. te as a result, they risk failing the means test and facing chapter

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Dana Rohrabacher: 11 or 13. this bill is narrowly drafted to apply to service members who have served in the armed forces for more than 90 days and would exempt them from the means test for a year and a half after

0:53:36 to 0:53:55( Edit History Discussion )

Dana Rohrabacher: they return home. it would require a g.a.o. report that would help us quantify the hardships our veterans face when they return home by tracking how many apply for bankruptcy protection. with

0:53:55 to 0:54:07( Edit History Discussion )

Dana Rohrabacher: unemployment at the highest levels in seven years and the credit crisis and recession squeezing the budgets of families across the country, we must give these returning heroes any relief we

0:54:07 to 0:54:47( Edit History Discussion )

Dana Rohrabacher: can. 18% of veterans recently back from tours of duty are unemployed. 25% --5% of those who have been able to find work earn less than $22,000 a year. there are currently 1,500 veterans of the wars