Today's first meeting of the Legislative Commission's Subcommittee on Mortgage Lending and Housing Issues resulted in a proposal to establish a public/private 800 number to help homeowners in trouble to find assistance to avoid foreclosure. The subcommittee will submit a letter to the Interim Finance Committee to ask that existing state revenue be allocated to help with the new service.

Subcommittee Chair Marcus Conklin (D-Las Vegas) received a commitment from Gail Anderson, deputy director of the Department of Business and Industry, to help get the funding for the telephone line.

The concept behind the new phone service would be to compile all available legitimate counseling services into one 800 number so that homeowners needing help would have one credible, reliable number to call for assistance.

"Currently, there are good counseling programs out there, but individuals in trouble may not know about them or may doubt their reliability," Conklin said. "There are also so-called 'foreclosure counseling' services that consumers should avoid. This new 800 number would provide a credible resource for those who need help."

Nevada has the highest rate of foreclosures in the nation. Conklin said immediate action is essential not only for those in jeopardy of losing their homes, but also for the state economy as a whole.

"We cannot afford to wait until the next session of the legislature convenes in 2009 and hope that the situation gets better," Conklin said. "While we cannot enact policy changes until the next session, we can work collaboratively with the federal government and private industry to take action now. This 800 number is a critical first step."