Washington has been wrestling with the subprime issue since last summer. In an effort to address the situation, the Bush administration started a program urging the private sector to take existing subprime fixed to adjustable rate mortgages and convert them to long-range fixed mortgages. Most federal legislative proposals involve the use of taxpayer funds to help those facing foreclosure. The latest proposal from House Financial Services Committee Chairman Barney Frank would federalize many existing mortgages. Despite the political forces asking for mortgage relief, it is unlikely that any major bill becomes law this year because of gridlock in the Senate. Despite what is happening in other parts of the country, the Lone Star State is doing just fine. Texas-based banks remain extremely healthy.