Congressman Sires and twenty eight of his Colleagues in the House of Representatives sent a letter to President Obama, urging him to issue an executive order, directing the U.S. Department of Treasury to carry out the Hardest Hit Fund (HHF) and keep families in their homes.
The Troubled Asset Relief Program (TARP) established the HHF in 2010. This program, administered by the Treasury Department provides $7.6 billion to states hardest hit by the foreclosure crisis. Through the HHF, states are able to offer mortgage payment assistance, principal reduction, and funding to eliminate a homeowner's second lien loans. However, now three years after the inception of the HHF, only 9.8% of this promised funding has reached actual homeowners. According to the most recent September 2012 data, more than half of the amounts drawn by states are being held by the Treasury Department as unspent cash-on-hand or used for administrative expenses.
"The HHF was created with the purpose of providing direct relief to homeowners so families can stay in their homes and avoid foreclosure" said Congressman Sires. "These funds were promised to our nation's homeowners, and it is critical that we take advantage of solutions that protect our fragile economic recovery."
"The key to economic recovery begins at home" said Sires. "The purchase of a home is the largest investment most families will ever make, strengthening our communities and helping to boost our economy."