US Senate leaders agree on pro-industry housing bill

On Thursday, the Senate rejected an amendment that would have allowed judges to alter mortgage terms for individuals in bankruptcy court. On Friday, it added an additional tax break for corporations, on top of what was already included in the Dodd-Shelby agreement.

In pushing the bill, the Democratic Party leadership is attempting to make a pretense of aiding the millions of Americans who have lost their homes or may shortly lose them in foreclosure. The Bush administration has already moved to bail out investment bank Bear Stearns and Wall Street in general. This past week the Treasury Department announced plans that would have the effect of loosening regulation on banks while making it easier for the Federal Reserve to intervene to save banks in crisis.

“We helped Wall Street... But now is our opportunity to take care of people on Main Street,” said Senate Majority Leader Harry Reid. Dodd echoed the remarks, saying the Senate bill was directed at “millions of people on Main Street who wondered whether or not the Congress is paying attention to their concerns, what’s happened to their hopes, to their economic well being.” The Act is itself misnamed the “Foreclosure Prevention Act of 2008.”