Reed's Homelessness Prevention and Taxpayer Protection Plans to be Signed into Law
Obama invites Reed to join him in the East Room as he signs anti-foreclosure bill which Reed helped author
WASHINGTON, DC - U.S. Senator Jack Reed (D-RI) will join President Barack Obama at the White House this afternoon as he signs a new, anti-foreclosure bill into law. Reed, a senior member of the Banking Committee, authored two key provisions in the bill, a homelessness prevention initiative that will authorize $2.2 billion for targeted homelessness assistance grant programs and a warrants provision to protect and reimburse taxpayers who made significant investments in the financial system through the Troubled Asset Relief Program (TARP) program.
"I am pleased to join President Obama as he signs this critical legislation into law. The homelessness prevention bill will help provide assistance to families on the brink of becoming homeless and save taxpayers money in the long run by preventing homelessness, promoting the development of permanent supportive housing, and optimizing self-sufficiency," said Reed.
According to academic experts cited by the New York Times, Reed's warrants provision could help taxpayers recoup up to $10.9 billion of their investment in the TARP program.
"The warrants provision is an important tool that will strengthen Treasury's ability to recoup some of the taxpayer investment as our economy improves and banks recover," continued Reed. "Taxpayers assumed all the risk and it is only fair that they share in the recovery. I urge Secretary Geithner to use this provision to ensure the best return for taxpayers."
At a recent press conference celebrating Senate passage of the bill, U.S. Senator Chuck Schumer (D-NY), Vice Chairman of the Democratic Caucus and a senior member of the Banking Committee, said: "I want to thank Jack Reed. He has just been an amazingly effective first chairman of the Housing Subcommittee and senior member of the Banking Committee in terms of so many different issues. Today, we're talking about homelessness and affordable housing; things that he has really helped millions -- well, at least hundreds of thousands of families, soon to be millions, as the program go on in years."
Both of Senator Reed's provisions were included in the Helping Families Save Their Homes Act, which was passed yesterday in the U.S. House of Representatives by a vote of 367-54. The Senate had previously approved the plan by a vote of 91-5 in favor of the bill and passed the final version yesterday by unanimous consent.
President Barack Obama is scheduled to sign the bill at 4:30 p.m. today.