Two bills aimed at protecting families who are struggling to keep their homes cleared the state House of Representatives last week. The measures address thorny challenges confronting many homeowners in what observers are calling the Great Recession.

In the past two years, more than 77,000 families lost their homes to foreclosure in Washington. With those numbers in mind, state Rep. Tina Orwall (D-Des Moines) authored HB 1362 - the Foreclosure Fairness Act of 2011, which essentially encourages banks and homeowners to work together and explore alternatives to foreclosure.

"The awful reality we're learning all too well is that this isn't something that happens to other people. Thousands of families are at risk of losing their homes, we're talking about neighbors, co-workers, friends and family members; these are the new faces of foreclosure," said Orwall. "With this legislation, families will have a fair process and resources, such as housing counselors, to help them explore every option available and keep their homes whenever possible."

In 2009 the Legislature passed a "meet and confer" requirement in which lenders were supposed to offer to meet with homeowners before going forward with foreclosure, but some of the large national banks haven't done it consistently. This prompted Orwall, working with stakeholders, to create a new system that will help homeowners stay in their home whenever possible. The Washington's Foreclosure Fairness Act of 2011 will:

· Make a more robust "meet and confer" requirement.
· Fund more housing counselors to assist homeowners understand their options.
· Create a foreclosure mediation requirement to discuss all alternatives.
· Provide a consumer protection act remedy for institutions that fail to comply.

When a homeowner facing foreclosure in the 33rd Legislative District approached State Rep. Dave Upthegrove with her story, the Des Moines legislator figured out a way to help, through HB 1401.

Under current law, cities are required to foreclose on property owners who are delinquent in their local improvement district assessments (such as hooking up to a new sewer system), which is what Upthegrove's constituent was going through.

Upthegrove's bill would make it discretionary for a city to charge penalties and interest on delinquent local improvement district assessments, and would also provide an option for them to delay the foreclosure process for delinquencies for up to one year if the homeowner enters into a payment plan.

The bills in the Protect the Family Home package were sent to the Senate for further consideration.