Saving the bridge and understand how it happened

By Published by The Editorial Board

Published: September 28, 2008

Can the covered bridge be saved?

To the editor:

What will happen to the covered bridge that crosses the Dan River between the White Mill and the Long Mill site? I haven’t read or heard anything about the fate of this beautiful and unique bridge.

It certainly would be a great addition to the River Walk Trail as a connection to both the northern and southern parts of the city. I understand the trail is to be extended on the southern side of the river, and this would be a safe way for trail users and others to cross the river.

I think the bridge itself would be a tourist attraction, not to mention the bridge’s history. Possibly 90 percent of all the cloth woven by Dan River Inc. crossed that bridge as raw material at one point. I sure hope it can be saved. Maybe someone who knows something about this will have a comment.

D. RAY McCORMICK, Danville

To the editor:

In 1999, the Clinton administration sponsored a bill called the Community Reinvestment Act that mandated that Fannie Mae require lenders to issue mortgages to what were called undeserved communities and to remove what they called “onerous” requirements. These requirements were, in fact, nothing more than a decent credit report and some proof of income. What the act did was require lenders to issue mortgages to people who most likely would not or could not make the monthly payments.

In April 2001, approximately 50 days after assuming office, the Bush administration asked Congress to place some accounting standards on both Fannie Mae and Freddie Mac, known as Government Sponsored Entities. Both Republicans and Democrats in Congress failed to take any action.

In September 2003, the Treasury Department proposed a number of new rules and accounting standards for the two GSEs. The Democrats in the Senate and House blocked the new rules. U.S. Rep. Barney Frank, D-Mass., stated on the House floor that both GSEs were in fine shape and they should be allowed to increase the amount of mortgages given to low-income families. Approximately one year later, the former Clinton budget director, Franklin Raines, and several other former Clinton officials — who had highly paid positions in the GSEs — were forced to resign and pay large fines. They still walked away with an average of $50 million for five years work.

In short, the origin of this crisis is bad mortgages, which were packaged and sold by the GSEs to other banks with the understanding that these loans were backed by the federal government. Now the same senators that blocked any and all regulation on the GSEs are attempting to cover up their errors and put the blame on President Bush.

JOHN BRUNS, Callands

To the editor:

I have been following the bail-out garbage being unleashed onto the American taxpayer. In 1999, The New York Times reported that Fannie Mae eased credit to help increase home ownership among minorities and low-income customers, later referred to as “subprime borrowers.” This was pushed by the Clinton administration, as well as stockholders seeking to maintain phenomenal growth in profits.

Mentioned in this article as pressing Fannie Mae to move this program forward were banks, thrift institutions and mortgage companies. This was all geared toward people whose incomes, credit ratings and savings were not good enough to qualify for conventional home loans.

The article went on to warn of impending doom, advising that Fannie Mae was taking on significantly more risk. That risk might not pose any difficulties during flush economic times, but the government subsidized corporation may run into trouble in an economic downturn, prompting a government rescue similar to that of the savings and loan industry in the 1980s. Peter Wallison, a fellow resident at the American Enterprise Institute, is on record as advising in the article that if the program failed, the government would have to step up and bail them out the way it bailed out the thrift industry.

Now with the downturn of the economy, it’s time to pay the piper. Guess who gets to pick up the tab for this stupidity?: John Q Taxpayer!

Once again, it goes to show there is no free ride in the United States if you’re an honest, law- abiding taxpayer trying to be a good American. Only those who play the system, refuse to carry their fair share of responsibility and who refuse to step up to the challenge of being a true American can shoulder the blame for this mess. I, for one, am tired of bleeding-heart liberals sticking their grimy, sticky hands in my pocket to pull out yet another handout for those who refuse to stand up and take responsibility for their own actions.

TIM BASDEN, Danville