President Bush surprised Democratic sponsors of the Foreclosure Prevention Act, by stating on May 7th that he would veto the bill.  The Democratic sponsors, led by Senator Chris Dodd of Connecticut and Senator Harry Reid of Nevada, the Senate Majority Leader, had believed that the administration supported key provisions of that bill, and other bills, introduced in the House of Representatives by Congressman Barney Frank (D-MA) and Speaker Nancy Pelosi (D-CA), among others.

Although the legislation has not been considered yet by the Senate, companion legislation passed the House of Representatives on May 8th by a vote of 266-154. The House legislation would underwrite $300 billion in new loans and is estimated by proponents to keep as many as 500,000 houses from foreclosing.

Click here to read full story on the House passage of the bill.

Click here to read a detailed story on the veto threat.

Click here to read a recent UTA eNews summary of the bill and to read a copy of the legislation.

Click here to read a summary as provided by the Senate.