Statement from Senator Barack Obama on the Dodd-Shelby Housing Package

April 10, 2008 -- WASHINGTON, D.C. - U.S. Senator Barack Obama released the following statement today on the Senate's passage of the Dodd-Shelby housing package. The measure passed by a vote of 84 to 12.

"With millions of American homeowners at risk, our government must act now to avoid a wave of foreclosures, which could devastate our neighborhoods, deal another blow to credit markets, and send the economy into a severe recession. The time has long past for far-reaching relief.

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Foreclosure help sign: Photo by Cory Doctorow (CC)

"The Dodd-Shelby bill makes a start through such features as funding mortgage counseling and providing emergency assistance for communities with high foreclosure rates. But the heavy hand of special interests has again had too much influence on this bill. Special interests have insisted on putting in unnecessary tax breaks for the profits enjoyed by home builders during their boom years, and on keeping out a change to our bankruptcy laws that would remove preferential treatment for mortgage lenders.

"I am particularly disappointed that the bill neglects what should be our top priority -- a strong program to stop a cascade of foreclosures and place a floor under the housing market. The Senate should move forward immediately with the housing legislation I am proud to be working on with Senator Dodd -- legislation that authorizes the FHA to refinance the mortgages of distressed homeowners in a way that shares the pain, and the possible gains, fairly among homeowners, mortgage owners, and the government. The American people are demanding action from their government, and we must redouble our efforts to bring an end to this crisis."

Source: Senator Barack Obama