HUD secretary resignation not enough, Democrats say

Both Democratic presidential hopefuls jumped on the resignation today of President Bush's housing secretary to decry the "cronyism" they said he represented and the inaction they said is worsening the housing crisis.

"While Secretary Jackson’s resignation is appropriate, it does nothing to address the Bush Administration’s wait-and-don’t-see posture to our nation’s housing crisis, which is threatening to drive our economy into a painful recession," Hillary Clinton said in a statement. "Now is the time for immediate action, not more half-measures and white papers. While I appreciate the Administration’s willingness to acknowledge the need for more regulation of our financial markets, we cannot let a discussion about rearranging the regulatory deck chairs divert us from the fact that our housing and credit markets are in crisis, and are sinking deeper every day that we fail to take aggressive action."

Alphonso Jackson, the secretary of Housing and Urban Development, has been under fire from Democrats who accused him of steering contracts to political allies.

"Secretary Jackson’s resignation amid a housing crisis and charges of cronyism serves as a stark reminder of what’s at stake in this election," Barack Obama said in a statement. "It’s harder than ever for working families to achieve the American Dream, and that’s why we need a president who will cut ties with the special interests so that we can implement a plan that provides real relief to homeowners and prevents the lobbyists from writing the laws that regulate them."

Both Democrats gave speeches last week calling for more government intervention to stem the foreclosure crisis and slamming Republican John McCain for not proposing new programs.