To establish a bipartisan commission to perform a comprehensive examination of the current foreclosure and mortgage lending crisis and to make recommendations for legislative and regulatory changes to address such problems.

Summary: Foreclosure Prevention and Homeownership Protection Act - Establishes the Commission to Preserve the American Dream (Commission) to study and report to Congress and the President on: (1) the adequacy of the existing legal and regulatory framework to address the current foreclosure and mortgage lending crisis and to prevent similar crises from happening in the future; (2) the role of the states versus the role of the federal government in ensuring homeowners are protected against unscrupulous lending practices; and (3) the effects of this crisis on the domestic and world economies.

Requires the Commission to make recommendations regarding: (1) ways to assist homeowners currently in danger of losing their homes; (2) ways to encourage lenders and borrowers to work together to prevent foreclosure; and (3) legislative and regulatory changes to protect homeowners against unscrupulous lending practices and strengthen accountability for those involved in the mortgage lending market.

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Foreclosure Prevention and 
Homeownership Protection Act''.

SEC. 2. FINDINGS AND PURPOSE.

    (a) Findings.--The Congress makes the following findings:
            (1) The United States is experiencing a wave of 
        foreclosures and mortgage lending problems that has had 
        widespread negative repercussions for world credit markets, the 
        United States economy, and neighborhoods and families in the 
        United States.
            (2) The large number of actors, the complexity of the 
        transactions involved, and the lack of clear lines of 
        accountability have revealed numerous opportunities to improve 
        legislative and regulatory oversight of the industries 
        involved.
            (3) This crisis has caused many Americans to lose their 
        homes, their jobs, and their financial stability.
            (4) The magnitude of this crisis, the likelihood that 
        foreclosure filings will continue to increase, and the 
        widespread effects throughout the world economy make it 
        critically important that a bipartisan commission undertake a 
        comprehensive examination of the causes of this crisis, the 
        solutions to the crisis, and the legislative and regulatory 
        changes that will prevent such a crisis from occurring in the 
        future.
    (b) Purpose.--The purpose of this Act is to establish a Commission 
to perform a detailed and comprehensive examination of the origins and 
causes of the current foreclosure crisis and to issue a report of its 
findings to the President and to the Congress, which shall also 
recommend legislative and regulatory changes that will assist 
homeowners who are currently in danger of losing their homes, stem the 
rising tide of foreclosures, and prevent the occurrence of similar 
crises in the future.

SEC. 3. ESTABLISHMENT.

    There is established a bipartisan commission to be known as the 
Commission to Preserve the American Dream (in this Act referred to as 
the ``Commission'').

SEC. 4. MEMBERSHIP.

    (a) Members.--The Commission shall be composed of the following 
individuals or their designees:
            (1) 1 member shall be appointed by the Speaker of the House 
        of Representatives, in consultation with the majority leader of 
        the Senate, who shall serve as chairperson of the Commission.
            (2) The Secretary of Housing and Urban Development.
            (3) The Chairman of the Board of Governors of the Federal 
        Reserve System.
            (4) The chief executive officer of the Federal National 
        Mortgage Association.
            (5) The chief executive officer of the Federal Home Loan 
        Mortgage Corporation.
            (6) 8 additional members or their designees, appointed in 
        the following manner:
                    (A) 2 members appointed by the Speaker of the House 
                of Representatives.
                    (B) 2 members appointed by the minority leader of 
                the House of Representatives.
                    (C) 2 members appointed by the majority leader of 
                the Senate.
                    (D) 2 members appointed by the minority leader of 
                the Senate.
    (b) Consultation Required.--The Speaker of the House of 
Representatives, the minority leader of the House of Representatives, 
the majority leader of the Senate, and the minority leader of the 
Senate shall consult among themselves prior to the appointment of the 
members of the Commission designated in subsection (a)(6) in order to 
achieve, to the maximum extent possible, fair and equitable 
representation of various points of view with respect to the matters to 
be studied by the Commission.
    (c) Background.--The members of the Commission designated in 
subsection (a)(6) shall have expertise in a broad range of issues, 
including community housing, consumer lending, real estate finance, 
economics, mortgage banking, loan servicing, credit risk assessment, 
and the operation of housing finance agencies at the State government 
level.
    (d) Period of Appointment.--
            (1) In general.--Each member of the Commission shall be 
        appointed for the life of the Commission.
            (2) Vacancies.--A vacancy on the Commission shall not 
        affect its powers, but shall be filled in the same manner as 
        the original appointment was made.
    (e) Quorum.--
            (1) Majority.--A majority of the members of the Commission 
        shall constitute a quorum, but a lesser number may hold 
        hearings.
            (2) Approval actions.--All recommendations and reports of 
        the Commission required by this Act shall be approved only by a 
        majority vote of a quorum of the Commission.
    (f) Meetings.--
            (1) First meeting.--The Speaker of the House shall call the 
        first meeting of the Commission not later than--
                    (A) 60 days after the date of enactment of this 
                Act; or
                    (B) 30 days after the date of the enactment of 
                legislation making appropriations to carry out this 
                Act.
            (2) Subsequent meetings.--Except as provided in paragraph 
        (1), the Commission shall meet at the call of the Chairperson.

SEC. 5. DUTIES AND PURPOSE.

    (a) Assessments.--The Commission shall study and assess--
            (1) the adequacy of the existing legal and regulatory 
        framework to address the current foreclosure and mortgage 
        lending crisis and to prevent similar crises from happening in 
        the future;
            (2) the role of the States versus the role of the Federal 
        Government in ensuring homeowners are protected against 
        unscrupulous lending practices; and
            (3) the effects of this crisis on the domestic and world 
        economies.
    (b) Recommendations.--The Commission shall make recommendations 
of--
            (1) ways to assist homeowners currently in danger of losing 
        their homes;
            (2) ways to encourage lenders and borrowers to work 
        together to prevent foreclosure; and
            (3) legislative and regulatory changes that will provide 
        protection for homeowners against unscrupulous lending 
        practices and strengthen accountability for those involved in 
        the mortgage lending market.

SEC. 6. POWERS.

    (a) Hearings.--The Commission or, at its direction, any 
subcommittee or member of the Commission, may, for the purpose of 
carrying out this Act--
            (1) hold such public hearings in such cities and countries, 
        sit and act at such times and places, take such testimony, 
        receive such evidence, and administer such oaths as the 
        Commission or such subcommittee or member considers advisable; 
        and
            (2) require, by subpoena or otherwise, the attendance and 
        testimony of such witnesses and the production of such books, 
        records, correspondence, memoranda, papers, documents, tapes, 
        and materials as the Commission or such subcommittee or member 
        considers advisable.
    (b) Issuance and Enforcement of Subpoenas.--
            (1) Issuance.--Subpoenas issued under subsection (a) shall 
        bear the signature of the Chairperson of the Commission and 
        shall be served by any person or class of persons designated by 
        the Chairperson for that purpose.
            (2) Enforcement.--In the case of contumacy or failure to 
        obey a subpoena issued under subsection (a), the United States 
        district court for the judicial district in which the 
        subpoenaed person resides, is served, or may be found may issue 
        an order requiring such person to appear at any designated 
        place to testify or to produce documentary or other evidence. 
        Any failure to obey the order of the court may be punished by 
        the court as a contempt of that court.
    (c) Witness Allowances and Fees.--Section 1821 of title 28, United 
States Code, shall apply to witnesses requested or subpoenaed to appear 
at any hearing of the Commission. The per diem and mileage allowances 
for witnesses shall be paid from funds available to pay the expenses of 
the Commission.
    (d) Information From Federal Agencies.--The Commission may secure 
directly from any Federal department or agency such information as the 
Commission considers necessary to perform its duties. Upon request of 
the Chairperson of the Commission, the head of such department or 
agency shall furnish such information to the Commission.
    (e) Postal Services.--The Commission may use the United States 
mails in the same manner and under the same conditions as other 
departments and agencies of the Federal Government.

SEC. 7. PERSONNEL.

    (a) Compensation of Members.--Each member of the Commission who is 
not an officer or employee of the Federal Government shall be 
compensated at a rate equal to the daily equivalent of the annual rate 
of basic pay prescribed for level IV of the Executive Schedule under 
section 5315 of title 5, United States Code, for each day (including 
travel time) during which such member is engaged in the performance of 
the duties of the Commission. All members of the Commission who are 
officers or employees of the United States shall serve without 
compensation in addition to that received for their services as 
officers or employees of the United States.
    (b) Travel Expenses.--The members of the Commission shall be 
allowed travel expenses, including per diem in lieu of subsistence, at 
rates authorized for employees of agencies under subchapter I of 
chapter 57 of title 5, United States Code, while away from their homes 
or regular places of business in the performance of services for the 
Commission.
    (c) Staff.--
            (1) In general.--The Chairperson of the Commission may, 
        without regard to the civil service laws and regulations, 
        appoint and terminate the employment of such personnel as may 
        be necessary to enable the Commission to perform its duties.
            (2) Compensation.--The Chairperson of the Commission may 
        fix the compensation of the personnel without regard to chapter 
        51 and subchapter III of chapter 53 of title 5, United States 
        Code, relating to classification of positions and General 
        Schedule pay rates, except that the rate of pay for the 
        personnel may not exceed the rate payable for level V of the 
        Executive Schedule under section 5316 of such title.
    (d) Detail of Government Employees.--Any Federal Government 
employee may be detailed to the Commission without reimbursement, and 
such detail shall be without interruption or loss of civil service 
status or privilege.
    (e) Procurement of Temporary and Intermittent Services.--The 
Chairperson of the Commission may procure temporary and intermittent 
services under section 3109(b) of title 5, United States Code, at rates 
for individuals that do not exceed the daily equivalent of the annual 
rate of basic pay prescribed for level V of the Executive Schedule 
under section 5316 of such title.
    (f) Other Administrative Matters.--The Commission may--
            (1) enter into agreements with the Administrator of General 
        Services to procure necessary financial and administrative 
        services;
            (2) enter into contracts to procure supplies, services, and 
        property; and
            (3) enter into contracts with Federal, State, or local 
        agencies, or private institutions or organizations, for the 
        conduct of research or surveys, the preparation of reports, and 
        other activities necessary to enable the Commission to perform 
        its duties.

SEC. 8. REPORT.

    (a) In General.--Not later than 180 days after the appointment of 
the Commission members under section 4, the Commission shall submit to 
the President and the Congress a final report containing a detailed 
statement of its findings, together with any recommendations for 
legislation or administrative action that the Commission considers 
appropriate, in accordance with the requirements of section 5.
    (b) Considerations.--In developing any recommendations under 
subsection (a), the Commission shall consider--
            (1) the role of the Federal Government in preventing 
        similar crises in the future and its role in assisting 
        homeowners today;
            (2) ways in which to strengthen accountability of all 
        actors involved, including homeowners, mortgage brokers, 
        lenders, appraisers, State housing agencies, the Federal 
        Housing Administration, Government-sponsored enterprises, 
        credit rating agencies, investors in collateralized debt 
        obligations, the Federal Reserve System, and other Federal 
        agencies with jurisdiction over entities involved with the 
        foreclosure crisis;
            (3) the extent to which predatory and abusive lending 
        practices contributed to the crisis and whether new legislation 
        is required to curb such practices;
            (4) the role of subprime lending practices in precipitating 
        this crisis; and
            (5) ways to prevent blight and whether targeted solutions 
        may be required for neighborhoods that have been particularly 
        hard hit by the crisis.

SEC. 9. TERMINATION.

    The Commission shall terminate upon the expiration of the 90-day 
period beginning upon the date on which the Commission submits its 
report to the Congress under section 8(a).

SEC. 10. AUTHORIZATION OF APPROPRIATIONS.

    (a) In General.--There is authorized to be appropriated $3,000,000 
to carry out this Act.
    (b) Availability.--Any amounts appropriated pursuant to this 
section shall remain available, without fiscal year limitation, until 
expended.