1/31/2011 Bill to repeal Home Affordable Modification Program introduced in U.S. House
Texas Bankers AssociationRep. Jim Jordan (R-Ohio), chairman of the House Oversight and Government Reform’s Regulatory Affairs Subcommittee, introduced a bill (H.R. 430) Friday that would repeal the Home Affordable Modification Program. “HAMP is a colossal failure,” Jordan said. “In many cases, it has hurt the very people it promised to help. It’s one more example of why government interference in the private sector doesn’t work and that’s why it should be repealed.”
Neil Barofsky, the Troubled Asset Relief Program special inspector general, described HAMP’s shortcomings during a committee hearing last Wednesday. The Treasury Department had estimated the program would help up 3 to 4 million at-risk-homeowners avoid foreclosure, he said. But Treasury's December report on HAMP showed the program had completed just 522,000 permanent modifications.
Panel Chairman Darrell Issa (R-Calif.) and TARP and Financial Service Subcommittee Chairman Patrick McHenry (R-N.C.) are original co-sponsors of H.R. 430. Read more.