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Senate Proceeding on Apr 3rd, 2008 :: 3:32:16 to 3:40:24
Total video length: 8 hours 32 minutes Stream Tools: Stream Overview | Edit Time

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Richard Durbin

3:32:00 to 3:32:16( Edit History Discussion )

Richard Durbin: to any future mortgages of any type? mr. grassley: so then you're saying my statement was wrong? mr. durbin: i'm saying that your statement s hould be modified. mr. grassley: i'm looking at my staff

Chuck Grassley

3:32:16 to 3:32:31( Edit History Discussion )

Chuck Grassley: because i'm not a lawyer, and my staff would disagree with you. but i won't go into that now. furthermore, subprime loans are defined to be any loan with any interest rate of 3% to 5% over treasury

Chuck Grassley

3:32:16 to 3:40:24( Edit History Discussion )
Speech By: Chuck Grassley

Chuck Grassley

3:32:31 to 3:32:44( Edit History Discussion )

Chuck Grassley: yield rates for comparable loans. it's my understanding that this definition could include prime loans and home equity lines of credit which would encompass a large number of loans. the cramdown provision

Chuck Grassley

3:32:44 to 3:32:54( Edit History Discussion )

Chuck Grassley: is just one of several problemsatic -- problematic provisions in the amendment. the amendment would increase bankruptcy filings, something i don't think we should encourage. we should be doing

Chuck Grassley

3:32:54 to 3:33:10( Edit History Discussion )

Chuck Grassley: everything we can to keep people out of bankruptcy. it ought to be very much a last resort, particularly because filing bankruptcy in and of itself hurts a consumer's credit rating. i think we can

Chuck Grassley

3:33:10 to 3:33:25( Edit History Discussion )

Chuck Grassley: all agree that bankruptcy should be last resort and one shouldn't file for bankruptcy unless it is absolutely necessary. the amendment will increase mortgage interest rates, down payment for other homeowners

Chuck Grassley

3:33:25 to 3:33:37( Edit History Discussion )

Chuck Grassley: and potential home buyers. the durbin bankruptcy amendment will inject greater risk into and negatively impact our financial markets. i'd like to be clear. i want to help homeowners weather the storm

Chuck Grassley

3:33:37 to 3:33:50( Edit History Discussion )

Chuck Grassley: just as -- weather the storm just as much as the next senator. i want to support constructive solutions to help homeowners meet their obligations so they don't lose their homes. in fact, i've worked

Chuck Grassley

3:33:50 to 3:34:02( Edit History Discussion )

Chuck Grassley: very hard with other senators to craft tax provisions that i'm soon going to address that are currently contained in the underlying housing proposal before us. but i am concerned that the bankruptcy

Chuck Grassley

3:34:02 to 3:34:20( Edit History Discussion )

Chuck Grassley: amendment that we're going to -- that if we adopt that, we're going to pass legislation that would do a great deal of harm. i'm concerned about the possibilities of the amendment helping some and hurting

Chuck Grassley

3:34:20 to 3:34:32( Edit History Discussion )

Chuck Grassley: others. and i'm not alone in my concerns. so i'm asking my colleagues to vote against the amendment. madam president, i said that i'm ranking republican on the senate finance committee, so i want to

Chuck Grassley

3:34:32 to 3:34:46( Edit History Discussion )

Chuck Grassley: give a short statementme about some of the tax provisions. i may have to be more specific when we get into debate on this. so it's kind of a preliminary notice of where the committee's coming from.

Chuck Grassley

3:34:46 to 3:35:01( Edit History Discussion )

Chuck Grassley: first of all, as usual, i find it very necessary to thank chairman baucus for his courtesy and hard work in the legislative effort. our goal was to develop a bipartisan tax package that responds to

Chuck Grassley

3:35:01 to 3:35:16( Edit History Discussion )

Chuck Grassley: the needs of americans and, in particular, the housing market. americans are struggling to keep their homes and their jobs as economic conditions continue to worsen, it is appropriate that congress act to enact

Chuck Grassley

3:35:16 to 3:35:33( Edit History Discussion )

Chuck Grassley: tax laws that address the housing problem. after all, the housing problem is at the root of the current economic turmoil and seining sighty -- and anxiety that people have. last year we responded to

Chuck Grassley

3:35:33 to 3:35:48( Edit History Discussion )

Chuck Grassley: the call for help. congress enacted the mortgage debt relief act of 2007 which was signed into law by the president. this law excludes from income discharges of indebtedness incurred by taxpayers to

Chuck Grassley

3:35:48 to 3:36:01( Edit History Discussion )

Chuck Grassley: acquire homes. it also extends the tax deduction for mortgage insurance premiums. earlier this year congress enacted at lightning speed a stimulus package that delivers additional relief to american taxpayers.

Chuck Grassley

3:36:01 to 3:36:13( Edit History Discussion )

Chuck Grassley: as a result of that legislation, treasury will begin sending out rebeat checks in just a few weeks that will -- rebate checks in a few weeks that will give the economy a much-needed boost. we have

Chuck Grassley

3:36:13 to 3:36:29( Edit History Discussion )

Chuck Grassley: carefully balanced this tax relief package being considered today on the floor. it addresses the housing downturn but is limited so as to ensure that it helps ease the problem and doesn't simply create

Chuck Grassley

3:36:29 to 3:36:44( Edit History Discussion )

Chuck Grassley: new problems. we are mindful that any relief that benefits one sector of the public does so at the expense of another sector. the other sector is the tax-paying population that carefully managed their

Chuck Grassley

3:36:44 to 3:36:59( Edit History Discussion )

Chuck Grassley: family budget especially as it related to housing costs. taxpayers bear the burden of a bailout of these risky mortgages that went south, so it is important that we have a compassiate view that recognizes

Chuck Grassley

3:36:59 to 3:37:16( Edit History Discussion )

Chuck Grassley: a taxpayer possibly picking up some of the tab. once again, the senate is stepping in to help americans in distress. the tax relief package helps encourage homeownership and encourage the basic businesses

Chuck Grassley

3:37:16 to 3:37:31( Edit History Discussion )

Chuck Grassley: that are tied to the housing industry to recover some losses. keep in mind, those businesses create jobs. more jobs mean a stronger economy. in 2002, congress passed a stimulus bill that provided

Chuck Grassley

3:37:31 to 3:37:46( Edit History Discussion )

Chuck Grassley: some of the very same relief that is contained in this bill. in 2002, congress passed with overwhelming support a provision to extend the net operating loss carryback. this provision passed without

Chuck Grassley

3:37:46 to 3:38:00( Edit History Discussion )

Chuck Grassley: controversy. hopefully no controversy this time. then again earlier this year the senate finance committee passed a similar provision to extend nonoperating loss carryback, once again with overwhelming

Chuck Grassley

3:38:00 to 3:38:15( Edit History Discussion )

Chuck Grassley: support by the committee, relying on our successes from the past we have included similar provisions in this bill. however, nonoperating loss provisions in this bill is even more conservative than the

Chuck Grassley

3:38:15 to 3:38:31( Edit History Discussion )

Chuck Grassley: relief offered in the past. instead of a five-year carryback, this proposal offers four-year carryback. this provision of course is a no brainer. it helped the very industry suffering from this housing

Chuck Grassley

3:38:31 to 3:38:48( Edit History Discussion )

Chuck Grassley: downturn and will help americans continue to be employed. this bill also offers tax credit to help people buy homes that are in foreclosure. these homes are depressing home value in the marketplace. it is

Chuck Grassley

3:38:48 to 3:39:03( Edit History Discussion )

Chuck Grassley: important that this inventory is moved so as to help retain home values. this bill also increases the cap on mortgage revenue bonds to give people in distress loans, additional options for refinancing.

Chuck Grassley

3:39:03 to 3:39:17( Edit History Discussion )

Chuck Grassley: this is not a bailout for homeowners. this is a provision that helps enable people to keep their homes and to pay mortgages. as we proceed on this bill, let me keep -- i'm asking everybody to keep in mind

Chuck Grassley

3:39:17 to 3:39:31( Edit History Discussion )

Chuck Grassley: what i said at the beginning. we need to address the housing downturn, but we need to show restraint. we need to limit the relief so that it eases the problem and doesn't create new ones. we need to be

Chuck Grassley

3:39:31 to 3:39:44( Edit History Discussion )

Chuck Grassley: considerate of many americans that work hard to save and buy homes and that will ultimately pay the price for this relief if the relief is used, and we expect that it will be. they should benefit too

Chuck Grassley

3:39:44 to 3:39:56( Edit History Discussion )

Chuck Grassley: in that any targeted relief will in fact give the economy a boost and not be a drag on the economy, drag it down further. we want to keep people employed, and particularly the taxpayers that were

Chuck Grassley

3:39:56 to 3:40:10( Edit History Discussion )

Chuck Grassley: conservative in their financial plannings to not be harmed as a result of this. i yield the floor. mr. durbin: mr. president? the presiding officer: the senator from illinois. mr. durbin: mad president,

Chuck Grassley

3:40:10 to 3:40:24( Edit History Discussion )

Chuck Grassley: i want to thank my colleague from iowa. he and i are friends. we worked together and continue to work together on many issues. we profound disagreements on some issues but we've managed to maintain

Richard Durbin

3:40:24 to 3:40:36( Edit History Discussion )

Richard Durbin: our friendship regardless. and we had the responsibility for a number of years of dealing with the bankruptcy code. and i will say to my friend from iowa, for a man who is not an attorney, i was always

Richard Durbin

3:40:24 to 3:55:01( Edit History Discussion )
Speech By: Richard Durbin

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