Maloney on bills to repeal assistance to homeowners and localities suffering in the foreclosure crisis

Mar 9, 2011
Press Release

WASHINGTON, DC – Rep. Carolyn Maloney (D-NY) today introduced an amendment in the House Financial Services Committee to H.R. 839, "The HAMP Termination Act of 2011" sponsored by Patrick McHenry (R-NC), whose bill would abolish the “Housing Affordable Modification Program” which was established to assist three to four million homeowners in achieving mortgage modifications. The Maloney Amendment would extend the program to accommodate 500,000 more mortgages before it ends.

“At best, this bill is a penny-wise-and-pound-foolish attempt to cut spending; in reality it will make things worse in the housing market. My amendment would help 500,000 more homeowners get the help they truly need and help stem the overall slide in the market,” Maloney said. “Recent housing price reports show that we are still dealing with the aftermath the housing bubble. Homeowners need more help. But the bills being debated in this committee eliminate most of the help that currently exists, and that’s just crazy. The prospect of more foreclosures which will further depress housing prices—that’s not what America needs right now.”

Also on the Committee’s mark-up agenda was H.R. 861, “The NSP Termination Act” sponsored by Rep. Gary Miller, which would eliminate the Neighborhood Stabilization Program, which provides states and municipalities with much-needed funds to stabilize neighborhoods hardest-hit by foreclosures. In New York City alone, some $3 million in funds have helped the City’s HPD acquire multi-family buildings and create affordable housing.

“In New York City, according to the city’s Housing Preservation and Development Commissioner Rafael Cestero, NSP and HAMP offer ‘critical assistance to New York City families and neighborhoods suffering from the effects of the foreclosure crisis. The programs’ positive impacts are extensive and compelling.’ These programs are helping on the ground, at the point of impact of the housing crisis in America and attempts to eliminate them are wrong,” Maloney said.

Maloney’s amendment to HR 839 failed in Committee; Maloney voted against final committee approval of both bills, which were approved on party-line votes early this evening.


HR 839 link:

Maloney amendment introduction statement link (as prepared):

HR 861 link: