Congress' Mortgage Rescue Bill

CBS

Transcript

we begin with today's vote in the Senate to approve the multi-billion dollar housing Bill the vote came just one day after the government closed two troubled banks in the west the First National Bank of Nevada and First Heritage Bank Kimberly doer has more on the Senate vote and the election year politics behind it the message to Americans from the Senate's emergency Saturday session Congress won't let the house of cards that is today's US mortgage system collapse the overwhelming majority of American Americans are worried and angry no wonder with some 2.8 million homes projected to facee foreclosure by 2009 that it's not only the individual homeowner who loses when a house is foreclosed but the entire Community loses the Senate hammered through a $300 billion bailout package to pull them back from the brink along with mortgage Giants Fanny May and Freddy Mack but the bill took months to pass partisan sniping more plentiful than a quick solution Americans think less of this Dem R Congress than Americans ever have of any Congress in history the Bill's Republican critics argue the plan forces us taxpayers to bail out borrowers and lenders who should have known better they have demonstrated spending habits that should not be underwritten by American taxpayers that argument hasn't won Republicans or President Bush much support from those in danger of losing their homes that's why this was what's called a must pass bill Republicans knew that an election year they could not be accused of syncing a bill that would do so much for so many people Fanny May and Freddy Mack own or guarantee nearly half of the 122 trillion in outstanding us mortgages the plan would create a $300 billion fund for Fanny and Freddy to refinance those bad loans and almost $4 billion to buy and repair properties already foreclosed a new independent regulator will watch dog Fanny and Freddy from here on out there may be no more um big uh signing ceremony next week but you can expect President Bush is going to make maximum political Capital out of one of the biggest economic bailouts this country has seen in the past 25 years Jeff Kimberly doer in Washington Kimberly thank you

Home Energy Prices Could Soar

CBS

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Republicans in the Senate saying they'd like to debate offshore drilling first delayed a bill that would hike heating oil subsidies for low-income Americans it may only be July but many are already wondering how they'll foot the bill come winter Thalia shuris reports um I can say per paycheck it's I'm going to have to sit at least $300 aside on a sweltering summer day 39-year-old Tanya Duval is already worrying about winter and how she's going to pay her red hot home heating bills we're not going to do good this winter had you expected the prices to go up this high no not in my existence the sole bread winner at home with her ailing parents and seven children dval is facing a huge price hike blame the ballooning cost of crude analysts say this winter the 8 million households that use home heating oil mostly in the Northeast will see prices around $468 a gallon up $2 from last year for the winter that's an average of almost $2600 a year-to-year jump of almost 40% it's up 10 cents it's only the Market's open an hour dealer Ron barski who's been selling and delivering oil for 17 years is starting to think he should get into another line of work I can't do automatic deliveries and extend people 30-day credit because I'm afraid I'm not going to collect the money advocates for low income families call the price increases catastrophic really is a very very serious crisis for poorer families because you know $1,000 for a tank of oil is more than the monthly income that many families have so how are they going to pay it the hope is that help will come from the federal government through its lowincome home energy assistance program it was set up in 1981 to help families well below the poverty line $31,800 for a family of four but some are worried there isn't enough money currently in the pot to help those in need so me MERS of Congress and Northeast Governors are asking for billions of dollars more in Aid how worried are you that this is going to cut into other things like food or your medical CL it will it's almost like picking and choosing between the bare necessities and not freezing for the winter it's a cold hard Prospect in the middle of summer thalo shurz CBS News kensville Maryland