Yesterday, Michael Bloomberg joined a conference call hosted by the U.S. Conference of Mayors and ACORN, which urged a number of state legislatures to require laws forcing lenders and borrowers into re-negotiations before a home is foreclosed on.
Bloomberg actually said he was hopeful a law like that could get passed in New York, despite the paralysis in the state senate.
“We need a state law to force people to the table but we’re actually optimistic about getting it, assuming our State Legislature functions someday,” Bloomberg said. “But when they do, we think this is a situation where everybody will.”
Bloomberg said the less funding was tied to the legislation, the better.
“We think we can fund it with private money we’ve raised and city money, so we don’t have to go to our legislature looking for money, or to the federal government,” he said. “In fact, I think the less money that’s involved, the more straight-forward it is—just lender and borrower sitting down. Maybe you lock ’em in a room with a big pot of coffee and no bathroom and that’ll get them to pretty quickly come to an agreement.”