Introduced Version





SENATE CONCURRENT
RESOLUTION No.
_____




DIGEST OF INTRODUCED RESOLUTION

    A CONCURRENT RESOLUTION urging the United States Congress to impose a moratorium on home foreclosures and to establish a homeowners and bank protection act.



SMITH S




     , read first time and referred to Committee on








Introduced

Second Regular Session 115th General Assembly (2008)


SENATE CONCURRENT
RESOLUTION No. _____



    A CONCURRENT RESOLUTION urging the United States Congress to impose a moratorium on home foreclosures and to establish a homeowners and bank protection act.

     Whereas, a financial crisis involving home mortgages debt instruments and the United States banking system threatens economic stability and that the financial crisis threatens the integrity of federal and chartered banks such that consumer deposits and life savings are jeopardized; and

    Whereas, financial investments and home ownership is the fabric of economic stability and the stability of financial institutions and that millions of Americans and thousands of Indiana residents are facing foreclosures on their homes; and

    Whereas, historically the federal government has intervened to protect financial institutions and home ownership and to provide guarantees of social and economic stability; and

    Whereas, the quality of life in any community can be directly related to the responsiveness of government and its ability to meet the needs and expectations of its citizens; and

    Whereas, Hoosiers understand the connection and elect leaders with certain expectations regarding the service they will provide and the role they will play in their lives and those elected to serve the citizens of Indiana accept the privilege of service with the understanding of their responsibility and the expectation of the community; and


    Whereas, the accountability for Indiana's viability, prosperity and overall well-being lies with those elected to serve government; Therefore:

    Be it resolved by the Senate of the General Assembly
of the State of Indiana, the House of Representatives concurring:

    
SECTION 1. That the Indiana General Assembly urges the United States Congress to establish a federal agency to place Federal and State charted banks under protection, freezing all existing home mortgages for a period of time, adjusting mortgage values to fair prices, restructuring existing mortgages at appropriate interest rates and writing off speculative debt obligations of mortgage-backed securities, financial derivatives and other forms of financial pyramid schemes that have brought the banking system to the point of bankruptcy.
    SECTION 2.    That the Indiana General Assembly urges the United States Congress to declare a moratorium on all home foreclosures for the duration of the transitional period, allowing families to retain their homes.
    SECTION 3. That the Indiana General Assembly urges the United States Congress to require affordable monthly home mortgage payments, the equivalent of "rental payments," to be made to designated banks for use as collateral in normal lending practices for recapitalization of the banking industry and to factor such affordable payments into new mortgages thereby deflating the housing bubble, establishing appropriate property valuation and reducing fixed mortgage interest rates.
    SECTION 4.    That the Indiana General Assembly urges the United States Congress to provide an interim period during which homeowners may not be evicted from their homes and protection to banks pending the resumption of traditional banking functions, including serving local communities and facilitating credit for investment in productive entities.
    SECTION 5.    That the Indiana General Assembly urges the United States Congress to authorize state governors to administer the implementation of programs, including provisions for "rental" assessments payable to specific banks and with provisions for necessary federal guarantees and credits to assure successful transition.
    SECTION 6.    That the Secretary of the Senate shall transmit copies of this resolution to members of the United States Senate and the House of Representatives.