Katrina mortgage relief sought in Congress

A bill that would pay displaced Louisiana homeowners 60 percent of their equity to help them stave off foreclosure in the wake of Hurricane Katrina was approved by a House committee last week.

The bill, H.R. 4100, would create the Louisiana Recovery Corporation, a government entity appointed by the President and financed by bonds, which would buy a percentage of the equity in homes damaged or destroyed by Katrina. Govexec.com explains how it would work:

The agency would buy properties destroyed by the hurricane from interested original owners at approximately pre-Katrina values. It would then work with local governments to refurbish the land. The original owners would be given the first shot at repurchasing their land – or a property comparable to the one they had owned – after it has been refurbished. If they declined, the property would go to the highest bidder and the proceeds of the sale would be returned to the Treasury.

Many of you recall our fundraising efforts in September where you helped us give more than half a million dollars to the Red Cross for its hurricane relief efforts. Last month, we received a letter which we wanted to share with you, since so many of you were an important part of that effort. It reads:

a la mode, inc.
Oklahoma City, Oklahoma

Dear Friends:

I learned about your generous contributions to help the victims of Hurricane Katrina. I appreciate your efforts, and our whole Nation is grateful for your kindness.

The scenes from Hurricane Katrina have touched our hearts, and our Nation is again showing the world that the greatest challenges bring out the best in America. Together, we will continue to bring new hope to those affected by this tragedy, and the Gulf Coast will emerge better and stronger.

The good works of a la mode demonstrate the character and great strength of our Nation. May God bless all those affected by this storm, and may God continue to bless America.

Sincerely,

/s/ George W. Bush

We also thank you for your generosity, and also your business this year. Merry Christmas and happy holidays to you and yours.