U.S. Senate Committee on Banking, Housing, and Urban Affairs

“I spoke with Secretary Paulson yesterday and was advised of the Administration’s intent to use its new authority to act in connection with the GSEs. Any government action must help to strengthen our economy, which is suffering a crisis brought on by the Administration's failure to stop predatory lending and promote sound economic growth. The GSEs must remain active and aggressive in the mortgage markets, as these companies play a critical role in making affordable mortgages available to hard-working Americans. Any intervention also must minimize the cost to American taxpayers, and should not put other financial institutions at risk. As the final aspects of this plan take shape, I look forward to speaking with Secretary Paulson, Chairman Bernanke, and other officials to ensure that their actions further these important objectives.”