Not no, HELL NO!

[darrels joy]

Bailout Bill Text - First (not final) version received by Porkbusters from a reliable Hill source Sunday afternoon
Pages 21 & 22

1 ø(A) 65 percent shall be deposited into the
2 Housing Trust Fund established under section
3 1338 of the Federal Housing Enterprises Regu4
latory Reform Act of 1992 (12 U.S.C. 4568);
5 and¿
6 ø(B) 35 percent shall be deposited into the
7 Capital Magnet Fund established under section
8 1339 of that Act (12 U.S.C. 4569).¿
9 ø(3) TRANSFER TO TREASURY.—Revenues of,
10 and proceeds from the sale of troubled assets pur11
chased under this Act, øor from¿ the sale, exercise,
12 or surrender of warrants or senior debt acquired
13 under section ø113¿ shall be paid into the general
14 fund of the Treasury for reduction of the public
15 debt.

http://porkbusters.org/index.php/bailout-bill

[darrels joy]

Here is the latest bailout draft bill if you can’t access the House website

By Michelle Malkin • September 28, 2008 06:14 PM

Ten Reasons to Oppose the Wall Street Bailout

1. NO REFORM: The plan attempts to mask, rather than reform, imbalances in credit markets and in U.S. economic public policy. The plan props up reckless and failed banks by buying “troubled assets” instead of focusing on real reforms that go after government sponsored culprits Fannie Mae and Freddie Mac, and sustainable policies that will increase the availability of private capital and expanded economic growth.

2. TREASURY POWER GRAB: The plan raises Constitutional concerns by dramatically expanding the power of the current and future Treasury Secretaries, giving the government agency power to directly purchase assets from for-profit financial and non-financial firms.

3. STUNNING PRICE TAG: The $700 billion bailout figure is as much money as the combined annual budgets of the Departments of Defense, Education and Health and Human Services. It amounts to $2,300 for every man, woman, and child in America.

4. INCREASES NATIONAL DEBT: Instead of cutting spending elsewhere, Congress will borrow all $700 billion on global capital markets, and the bill raises the national debt ceiling to a staggering $11.3 trillion.

5. GLOBAL BAILOUT: The plan includes taxpayer purchases of distressed assets from foreign banks.

6. HURTS RESPONSIBLE AMERICAN BANKS: The plan punishes responsible U.S. banks by keeping reckless, insolvent investment banks in business. As BB&T CEO John Allison wrote in a letter to Congress on Sept. 23rd, “….this is primarily a bailout of poorly run financial institutions…. Corrections are not all bad. The market correction process eliminates irrational competitors.”

7. FLAWED PROCESS: Members of Congress and the public will have less than 24 hours and no hearings to discuss and understand the impact of this sweeping plan. This rush to pass a wildly unpopular plan without benefit of significant public debate and input will also undermine its legitimacy and effectiveness.

8. BY WALL STREET, FOR WALL STREET: Treasury Secretary Paulson, the architect of the plan, was formerly the head of Goldman Sachs, one of the firms responsible for the mess and a direct beneficiary of the bailout. Further, the advisers managing the bailout auctions and assets will be Wall Street firms and will likely receive billions of tax dollars in fees.

9. OTHER OPTIONS NOT EXHAUSTED: The idea that taxpayers will make money on the bailout is not credible. There are ready buyers for these “troubled assets” — Merrill Lynch sold its entire portfolio of mortgage backed securities in July– provided the price is low enough. If a profit was possible, private speculators would readily buy these troubled assets.

10. MORALLY OFFENSIVE: The plan violates basic principles of American capitalism and honest governance by creating a system of “private profits, socialized losses” that transfers money from taxpayers directly to Wall Street investment banks. Free market capitalism only functions if individuals and firms are held accountable and are allowed to both succeed and profit, and also to sustain losses and even fail.

By Michelle Malkin • September 28, 2008 10:36 PM

[darrels joy]

Sneaking in the same money transfer to ACORN, etc. Hope for homeowners act, homeowners assistance agencies.

1

SEC. 109. FORECLOSURE MITIGATION EFFORTS.

2

(a) RESIDENTIAL MORTGAGE LOAN SERVICING

3

STANDARDS.—To the extent that the Secretary acquires

4

mortgages, mortgage backed securities, and other assets

5

secured by residential real estate, including multifamily

6

housing, the Secretary shall implement a plan that seeks

7

to maximize assistance for homeowners and use the au8

thority of the Secretary to encourage the servicers of the
9

underlying mortgages, considering net present value to the

10

taxpayer, to take advantage of the HOPE for Home11

owners Program under section 257 of the National Hous

12

ing Act or other available programs to minimize fore

13

closures. In addition, the Secretary may use loan guaran

14

tees and credit enhancements to facilitate loan modifica

15

tions to prevent avoidable foreclosures.
16

(b) COORDINATION.—The Secretary shall coordinate

17

with the Corporation, the Board (with respect to any

18

mortgage or mortgage-backed securities or pool of securi19

ties held, owned, or controlled by or on behalf of a Federal
20

reserve bank, as provided in section 110(a)(1)(C)), the

21

Federal Housing Finance Agency, the Secretary of Hous22

ing and Urban Development, and other Federal Govern

23

ment entities that hold troubled assets to attempt to iden

24

tify opportunities for the acquisition of classes of troubled
25

assets that will improve the ability of the Secretary to im26

prove the loan modification and restructuring process and,
26
O:

\AYO\AYO08C04.xml

1

where permissible, to permit bona fide tenants who are

2

current on their rent to remain in their homes under the

3

terms of the lease. In the case of a mortgage on a residen4

tial rental property, the plan required under this section
5

shall include protecting Federal, State, and local rental

6

subsidies and protections, and ensuring any modification

7

takes into account the need for operating funds to main8

tain decent and safe conditions at the property.
9

(c) CONSENT TO REASONABLE LOAN MODIFICATION

10

REQUESTS.—Upon any request arising under existing in11

vestment contracts, the Secretary shall consent, where ap

12

propriate, and considering net present value to the tax

13

payer, to reasonable requests for loss mitigation measures,
14

including term extensions, rate reductions, principal write

15

downs, increases in the proportion of loans within a trust

16

or other structure allowed to be modified, or removal of

17

other limitation on modifications.

18

SEC. 110. ASSISTANCE TO HOMEOWNERS.

19

(a) DEFINITIONS.—As used in this section—

20

(1) the term ‘‘Federal property manager’’

21

means—

22

(A) the Federal Housing Finance Agency,

23

in its capacity as conservator of the Federal

24

National Mortgage Association and the Federal

25

Home Loan Mortgage Corporation;

27

O:

\AYO\AYO08C04.xml

1

(B) the Corporation, with respect to resi2

dential mortgage loans and mortgage-backed se

3

curities held by any bridge depository institu

4

tion pursuant to section 11(n) of the Federal
5

Deposit Insurance Act; and

6

(C) the Board, with respect to any mort7

gage or mortgage-backed securities or pool of
8

securities held, owned, or controlled by or on

9

behalf of a Federal reserve bank, other than

10

mortgages or securities held, owned, or con11

trolled in connection with open market oper

12

ations under section 14 of the Federal Reserve
13

Act (12 U.S.C. 353), or as collateral for an ad14

vance or discount that is not in default;
15

(2) the term ‘‘consumer’’ has the same meaning

16

as in section 103 of the Truth in Lending Act (15

17

U.S.C. 1602);

18

(3) the term ‘‘insured depository institution’’

19

has the same meaning as in section 3 of the Federal

20

Deposit Insurance Act (12 U.S.C. 1813); and

21

(4) the term ‘‘servicer’’ has the same meaning

22

as in section 6(i)(2) of the Real Estate Settlement

23

Procedures Act of 1974 (12 U.S.C. 2605(i)(2)).
24 (b) HOMEOWNER ASSISTANCE BY AGENCIES.—

[darrels joy]

All the reports I heard said that the meeting broke down with loud yelling and that McCain never really said much during the whole meeting. That is true, but what he did say was that the "...House Republicans are right on this one."

All heck broke loose! The Democrats expected him to be political; not principled. How could he disappoint them? But McCain did disappoint: the Democrats, not the Republicans.