The Associated Press reports:

• Rep. Barney Frank, who heads the House Financial Services Committee, issued an outline of his proposal to attach strings to spending of the money by either the Bush administration or the incoming Obama government.

• The new conditions would include substantial efforts to reduce mortgage foreclosures,(1) limits on compensation for executives at companies receiving federal money and a better method for the government to track whether banks are using it to boost lending.

For more, see Key lawmaker sees action on bailout bill.

For Chairman Frank’s outline, see Frank Releases Outline of Legislation to Amend TARP.

 (1) Reportedly, Chairman Frank seeks a mandate that at least $50 billion go to help struggling borrowers avoid foreclosure out of the second $350 billion in federal bailout funds.

In Minneapolis, Minnesota, FOX9 reports:

A Twin Cities couple is hoping to turn a foreclosed home into a home, but it has not been easy. Three different closing dates have fallen through. […] In the Waite Park neighborhood in northeast Minneapolis, a little cottage on Benjamin Street has been sitting empty since spring. Heather Playman and her husband would love to buy it. In fact, they even have a purchase agreement, picking it up two months ago for a relative steal at $165,000.

But the bank won’t close on the deal. The problem is with the paperwork: the title and the deed. Wachovia used to own the house, now it’s Fannie Mae. The city of Minneapolis says it’s a common problem that keeps hundreds of homes in limbo. “Many mortgages were bought and sold between lenders over and over again and it is difficult to trace the title.”(1)

For more, see Bank Ownership of Foreclosed Homes Causing Confusion.