September 27, 2007 (LPAC)--Lyndon LaRouche's proposed Homeowners and Bank Protection Act is gathering steam, receiving increasing support from state-level elected officials nationally.
Alabama has become the next state to join this growing chorus of support, with Representative Thomas Jackson today announcing his drafting of the LaRouche Homeowners and Bank Protection Act for introduction into the Alabama state legislature.
Beginning with a draft resolution submitted by two representatives in the New Hampshire state legislature on September 18th, drafts have also been drawn up by legislators in Missouri, Tennessee, and now Alabama, on top of the official resolution submitted by Representative Harold James in the Pennsylvania State Legislature, which is now receiving a flood of cosponsors.
As the support for this HBPA resounds from state governments around the country, the Congress must respond. There is only one legislative day left in the month of September -- "If we have, in September, the kind of legislation I've proposed, enacted, as emergency legislation, then, we can protect the United States with a firewall against destruction. If we don't do that, we may find a situation beyond recall."
The following is the text of the Alabama Resolution:
HJR___ URGING CONGRESS TO ENACT THE HOMEOWNERS AND BANK PROTECTION ACT OF 2007
WHEREAS, the onrushing financial crisis engulfing home mortgages, debt instruments of all types, and the banking system of the United States threatens to set off an economic depression worse than the 1930s; and
WHEREAS, millions of American citizens are threatened with foreclosure and loss of their homes over the upcoming months, according to studies released by Realty Trac and Moodys Economy.com; and
WHEREAS, this financial crisis is now threatening the integrity of both state and federally chartered banks, as typified by the run on deposits of certain lending institutions during August 2007; a banking collapse could wipe out the life savings of American citizens and drastically undermine the economic stability of our states and cities; and
WHEREAS, in a similar financial crisis in the 1930s, President Franklin D. Roosevelt intervened to protect banks and homeowners; for example in April, 1933 he introduced legislation as a declaration of national policy that the broad interests of the Nation require that special safeguards should protect home ownership as a guarantee of social and economic stability, now therefore,
BE IT RESOLVED BY THE LEGISLATURE OF ALABAMA, BOTH HOUSES THEREOF CONCURRING, That we hereby urge Congress to enact the Homeowners and Bank Protection Act of 2007, as initiated by economist Lyndon H. LaRouche, Jr. This crisis requires emergency action that only the United States Congress has the capability to provide. Congress should move quickly to keep people in their homes and avert social chaos. We urge Congress to take the following specific actions:
1. Establish a Federal agency to place the Federal and state chartered banks under protection, freezing all existing home mortgages for a period of months or years as required to adjust the values to fair prices, and restructure existing mortgages at appropriate interest rates.
2. During the transitional period, provide a freeze on all foreclosures, allowing American families to retain their homes. Monthly payments, the equivalent of rental payments, should be made to designated banks, which would be used as collateral for normal lending systems.
3. State governors should be instructed to assume the administrative responsibilities for implementing the program, including the rental payments to designated banks, with the Federal government providing the necessary credits and guarantees to assure the successful transition.
BE IT FURTHER RESOLVED, That a copy of this resolution shall be forwarded to each member of the Alabama Congressional Delegation and to the President of the United States for their immediate consideration and implementation.
