I 
111TH CONGRESS 
1ST SESSION H. R. 3066 
To authorize the Secretary of Housing and Urban Development to make 
temporary mortgage assistance loans to save the homes of unemployed 
homeowners who are delinquent on their mortgage payments. 
IN THE HOUSE OF REPRESENTATIVES 
JUNE 26, 2009 
Mr. CUMMINGS introduced the following bill; which was referred to the 
Committee on Financial Services 
A BILL 
To authorize the Secretary of Housing and Urban Develop-
ment to make temporary mortgage assistance loans to 
save the homes of unemployed homeowners who are de-
linquent on their mortgage payments. 
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled, 
SECTION 1. SHORT TITLE. 
This Act may be cited as the ‘‘Temporary Mortgage 
Assistance Loan Act of 2009’’. 
SEC. 2. CONGRESSIONAL FINDINGS. 
The Congress finds that— 
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(1) as the economy worsens and unemployment 
rates continue to rise, a growing number of long- 
time homeowners are finding themselves in need of 
emergency short-term mortgage help in the event of 
a job loss or other crisis; 
(2) these homeowners may not need or want a 
permanent modification of their home loans or they 
may not qualify for government initiatives aimed 
principally at subprime borrowers or homeowners 
with exotic mortgage products; and 
(3) low-interest emergency mortgage loans can 
fill this gap in options for responsible homeowners in 
need of help and stem the rising tide of foreclosures 
that has depressed housing values across the United 
States. 
SEC. 3. TEMPORARY MORTGAGE ASSISTANCE LOANS. 
(a) AUTHORITY.—The Secretary of Housing and 
Urban Development (in this Act referred to as the ‘‘Sec-
retary’’) shall, to the extent amounts are made available 
in advance for loans under this section, make loans under 
this section in the form of mortgage assistance payments 
to mortgagees of all or part of the monthly payments due 
under the qualified mortgages of qualified homeowners 
who are in default on their mortgages. 
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(b) QUALIFIED HOMEOWNERS.—For purposes of this 
section, the term ‘‘qualified homeowner’’ means the mort-
gagor under a qualified mortgage or mortgages— 
(1) who is 60 days or more delinquent with re-
spect to any payment due under the qualified mort-
gage or mortgages; 
(2) who, or a member of whose household who 
before unemployment contributed significantly to the 
household income— 
(A) is unemployed, which unemployment 
renders the mortgagor temporarily unable to 
correct the delinquency and resume full pay-
ments under the qualified mortgage or mort-
gages; 
(B) has a reasonable prospect, in the de-
termination of the Secretary based on payment 
history prior to such unemployment, education, 
or participation in worker retraining during the 
period of such unemployment, for obtaining em-
ployment; and 
(C) who has registered for and is receiving 
State unemployment benefits; 
(c) QUALIFIED MORTGAGE AND MORTGAGES.— 
(1) QUALIFIED MORTGAGE.—For purposes of 
this section, the term ‘‘qualified mortgage’’ means, 
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(1) be in the form of monthly payments to the 
mortgagee or servicer of the mortgage or mortgages 
on account of such mortgage or mortgages— 
(A) during a period that ends upon the 
earlier of— 
(i) a determination by the Secretary, 
pursuant to regular periodic reviews of the 
financial circumstances of the household of 
the mortgagor, that because of changes in 
such financial circumstances payments are 
no longer necessary; or 
(ii) the making of the 18th such 
monthly payment on behalf of the qualified 
homeowner; 
(B) in an amount— 
(i) on a monthly basis, that does not 
exceed the amount, as determined by the 
Secretary, that bears the same proportion 
to the monthly amount due under the 
mortgage or mortgages, including prin-
cipal, interest, taxes, assessments, ground 
rents, hazard and mortgage insurance, and 
such other fees as the Secretary may ap-
prove, as the amount of monthly income 
lost due to the unemployment referred to 
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in subsection (b)(2) in the mortgagor’s 
household bears to the amount of the ag-
gregate household income of the mortgagor 
before such unemployment; and 
(ii) in the aggregate, that does not ex-
ceed $30,000; 
(2) be secured by a lien on the principal resi-
dence that is subject to the qualified mortgage or 
mortgages and subordinate in priority to such mort-
gage or mortgages; and 
(3) be repayable upon such terms and condi-
tions as the Secretary shall establish, which shall 
provide that— 
(A) the loan shall bear interest at a rate 
determined by the Secretary, which shall not 
exceed 3 percent annually; 
(B) such interest shall accrue from the 
time each monthly payment under the loan is 
disbursed; 
(C) repayment of the loan principal and in-
terest shall not be required until the expiration 
of the 60-day period that begins upon the ear-
lier of— 
(i) the time that the mortgagor or 
member of the mortgagor’s household who 
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is unemployed, as referred to in subsection 
(b)(2), obtains employment; or 
(ii) the Secretary ceases making 
monthly payments under the loan on be-
half of the qualified mortgagor. 
(e) FUNDING.—Of the funds made available to the 
Secretary of the Treasury under title I of the Emergency 
Economic Stabilization Act of 2008 (12 U.S.C. 5211) that 
remain unobligated, the Secretary of the Treasury shall 
make available to the Secretary of Housing and Urban 
Development such sums as may be necessary for costs (as 
such term is defined in section 502 of the Federal Credit 
Reform Act of 1990 (2 U.S.C. 661a)) of loans under this 
section. 
(f) REGULATIONS.—Not later than the expiration of 
the 90-day period beginning on the date of the enactment 
of this Act, the Secretary shall issue any regulations nec-
essary to carry out this Act. 
Æ 
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