[Congressional Bills 110th Congress]
[From the U.S. Government Publishing Office]
[H.R. 5855 Introduced in House (IH)]







110th CONGRESS
  2d Session
                                H. R. 5855

  To establish a program to provide grants to help homeowners who are 
         facing foreclosure to receive professional counseling.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                             April 17, 2008

Ms. Velazquez introduced the following bill; which was referred to the 
                    Committee on Financial Services

_______________________________________________________________________

                                 A BILL


 
  To establish a program to provide grants to help homeowners who are 
         facing foreclosure to receive professional counseling.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Foreclosure Counseling Assistance 
Act of 2008''.

SEC. 2. PURPOSE.

    The purpose of this Act is to promote adequate professional 
counseling for homeowners facing foreclosure due to the mortgage 
crisis.

SEC. 3. FORECLOSURE COUNSELING ASSISTANCE.

    (a) Establishment.--The Neighborhood Reinvestment Corporation 
(hereinafter in this Act referred to as the ``NRC'') shall make grants 
to qualified counseling intermediaries and qualified legal 
organizations to provide legal assistance to homeowners of owner-
occupied homes with mortgages in default, in danger of default, or 
subject to or at risk of foreclosure.
    (b) Definitions.--For purposes of this Act:
            (1) Legal assistance.--The term ``legal assistance'' means 
        those services performed by, or under the supervision of, a 
        licensed legal professional in representing homeowners of 
        owner-occupied homes with mortgages in default, in danger of 
        default, or subject to or at risk of foreclosure.
            (2) Qualified counseling intermediaries.--The term 
        ``qualified counseling intermediaries'' means counseling 
        intermediaries approved by the Department of Housing and Urban 
        Development or the NRC to hire attorneys to assist homeowners 
        who have legal issues related to homeownership preservation, 
        home foreclosure preservation, and tenancy associated with 
        foreclosures.
            (3) Qualified legal organizations.--The term ``qualified 
        legal organizations'' means State and local legal organizations 
        that have demonstrated legal experience in home foreclosure 
        law, as such experience is determined by the Chief Executive 
        Officer of the NRC.
    (c) Grant Priority.--In making grants under this Act, the NRC shall 
give priority to qualified counseling intermediaries and qualified 
legal organizations that--
            (1) provide legal assistance in the 100 metropolitan 
        statistical areas (as defined by the Director of the Office of 
        Management and Budget) with the highest home foreclosure rates; 
        and
            (2) have the capacity to begin using the grant funds within 
        90 days after receipt of the funds.
    (d) Grant Contingent on Reporting.--As a condition of the receipt 
of any grant under this Act, the grantee shall agree to disclose to the 
Chief Executive Officer of NRC basic information relating to the 
demographics of the borrower, the dollar amount and terms of the 
homeowner's mortgage, and the outcome of any legal proceedings related 
to the foreclosure proceedings, including, but not limited to, 
resolution of the foreclosure or delinquency, with details about 
modifications, workouts, short sales or foreclosure.

SEC. 4. AUTHORIZATION OF APPROPRIATIONS.

    There are authorized to be appropriated $37,500,000 to carry out 
this Act, to remain available until expended.
                                 <all>