Government-Sponsored Enterprises (GSEs): Regulatory Reform Legislation in the 109th Congress

Government-Sponsored Enterprises (GSEs):
th
Reform Legislation in the 109 Congress
Updated January 16, 2007
Mark Jickling
Specialist in Public Finance
Government and Finance Division



Government-Sponsored Enterprises (GSEs):
Reform Legislation in the 109th Congress
Summary
Fannie Mae and Freddie Mac are government-sponsored enterprises (GSEs),
chartered by Congress to establish a secondary mortgage market to improve the
availability of capital for home mortgage financing. To help these privately-owned
institutions accomplish this mission, Congress granted them several statutory benefits
not available to other private companies. The advantages of GSE status have helped
the enterprises to grow very large and dominate the secondary mortgage market.
In 1992, Congress established the Office of Federal Housing Enterprise
Oversight (OFHEO), an agency within the Department of Housing and Urban
Development (HUD), to oversee the financial safety and soundness of the enterprises.
OFHEO is authorized to set capital requirements, conduct annual risk-based
examinations, and generally enforce compliance with safety and soundness standards.
With the rapid growth of the GSEs, and major accounting scandals at Fannie
Mae and Freddie Mac, the effectiveness of the current regulatory regime has been
widely questioned. Several legislative proposals considered in the 108th and earlier
Congresses addressed GSE regulatory reform, but none was enacted. However,
adequacy of GSE regulation remains a prominent legislative issue.
While improving supervision of Fannie Mae and Freddie Mac is the major
focus, regulatory reform also involves the 12 Federal Home Loan Banks, which
comprise one collective GSE. The Federal Home Loan Banks lend to lenders —
their member banks — primarily for housing, but also for many other purposes.
Under the proposed GSE reform, they would be brought under a single regulatory
umbrella with Fannie and Freddie.
In the 109th Congress, H.R. 1461 and S. 190 proposed to restructure the GSE
supervisor and enhance its regulatory powers. H.R. 1461 was marked up and
reported by the Financial Services Committee on May 25, 2005, and passed the full
House, with amendments, on October 26, 2005. Chairman Shelby put forward an
amendment in the nature of a substitute for S. 190, which was marked up and
approved by the Banking Committee on July 28, 2005. Neither bill was finally
enacted.
Common provisions of S. 190 and H.R. 1461 would abolish OFHEO and
establish an independent agency to oversee the housing GSEs and the Federal Home
Loan Banks; enhance the safety and soundness, disclosure, and enforcement tools
available to the new regulator; and increase the budget autonomy of the new agency
by exempting its assessments from the annual appropriations process. S. 190 as
reported takes the further step of limiting the type of assets that Fannie and Freddie
could hold in their investment portfolios.
This report summarizes legislative proposals in the 109th Congress that aimed
to strengthen the regulation of the GSEs, and it will no longer be updated.



Contents
In troduction ......................................................1
Major Differences Between House and Senate Bills.......................4
Affordable Housing Fund.......................................4
Conforming Loan Limits........................................5
Portfolio Limits...............................................6
Subtitle A: Improvement of Safety and Soundness Regulation.......7
Subtitle B: Improvement of Mission Supervision...............25
Subtitle C: Prompt Corrective Action.........................34
Subtitle D: Enforcement Actions............................38
Title II: Federal Home Loan Bank Provisions..................44
Transition Provisions......................................48
List of Tables
Table 1. Provisions of GSE Reform Legislation..........................7
The author gratefully acknowledges the work of Loretta Nott, whose CRS
Report RL32069, Improving the Effectiveness of GSE Oversight: Legislative
Proposals in the 108th Congress, provides the basis for the introductory
material in this report.



Government Sponsored Enterprises:
th
Reform Legislation in the 109 Congress
Introduction
Government-sponsored enterprises (GSEs) are privately owned, congressionally
chartered financial institutions created for specific public policy purposes. They
benefit from certain exemptions and privileges, including an implied federal
guarantee,1 intended to enhance their ability to borrow money. Two of the largest
GSEs are Fannie Mae and Freddie Mac (herein referred to as the enterprises or
GSEs).2 These institutions were created by Congress to establish and maintain a
secondary mortgage market, increasing liquidity and improving the distribution of
capital available for home mortgage financing.3 To help these institutions
accomplish this mission, Congress has provided them with several benefits not
available to other financial institutions.4 These statutory benefits provide the
enterprises with lower funding costs, the ability to operate with less capital, and
lower direct costs.5 The advantages of GSE status have enabled the enterprises to
grow rapidly and become dominant players in the secondary mortgage market.


1 Although GSE bonds are not explicitly backed by the full faith and credit of the
government, market participants behave as if they were, believing that the Treasury will
never permit a GSE to default. This implicit guarantee allows the GSEs to borrow at lower
rates than private financial institutions, and to take on greater financial risk without a
corresponding drop in their credit ratings.
2 The other GSEs are the Federal Home Loan Bank System, the Farm Credit System, and
Farmer Mac. Sallie Mae, a former GSE, has been fully privatized.
3 For a detailed description of the development of the U.S. secondary mortgage market, see
Office of Federal Housing Enterprise Oversight, Report to Congress, June 2003, at
[http://www.ofheo.gov/media/pdf/WEBsiteOFHEOREPtoCongress03.pdf].
4 These statutory benefits include (1) exemption from state and local taxes, (2) a line of
credit with the U.S. Treasury up to $2.25 billion, (3) eligibility of their debt to serve as
collateral for public deposits, (4) eligibility of their securities for Federal Reserve open
market purchases, (5) eligibility for their corporate securities to be purchased without limit
by federally regulated financial institutions, (6) assignment of mortgage-related securities
they have issued or guaranteed to the second-lowest credit risk category at depository
institutions, and (7) exemption from the registration requirements of the Securities and
Exchange Commission.
5 For more information on these advantages, see the following reports: U.S. Department of
the Treasury, Government Sponsorship of the Federal National Mortgage Association and
the Federal Home Loan Mortgage Corporation, July 11, 1996; U.S. Congressional Budget
Office, Assessing the Public Costs and Benefits of Fannie Mae and Freddie Mac, May 1996;
and U.S. Congressional Budget Office, Federal Subsidies and the Housing GSEs, May

2001.



Congress has always been concerned that the safety and soundness of the
enterprises be maintained so that they can meet their public policy mission and not
pose risks to taxpayers. Prior to 1992, oversight was the responsibility of the
Department of Housing and Urban Development (HUD) and the Federal Home Loan
Bank Board. In 1992, Congress established the Office of Federal Housing Enterprise
Oversight (OFHEO), an independent agency within HUD, to oversee the financial
safety and soundness of the enterprises. The office is authorized to set capital
requirements, conduct annual risk-based examinations, and generally enforce
compliance with safety and soundness standards.
After the creation of OFHEO, total assets at the GSEs grew by more than 820%
to $1.9 trillion at the end of 2003.6 The GSEs have become two of the largest private
debt issuers in the world. In 2003, outstanding debt securities of the enterprises
totaled $1.7 trillion — an amount equal to nearly half of all publicly held U.S.
Treasury debt. In addition to enterprise debt, investors hold about $1.6 trillion in
mortgage-backed securities issued by Fannie Mae and Freddie Mac.7
As a result of the rapid growth of these institutions and their implied federal
backing, there has been an increasing concern that the enterprises may pose a
problem of systemic risk to the financial system.8 Many financial institutions around
the world hold large quantities of GSE debt and default by either GSE could have
widespread, unpredictable, and potentially serious repercussions. Accordingly,
questions have been raised about the effectiveness of the current regulatory
environment.
Events of the past two years have brought a new urgency to the GSE reform
issue. In 2003, Freddie Mac admitted that it had used improper accounting policies
to create the appearance of steady earnings growth and issued a restatement of
financial results, revising net income for 2000-2002 upwards by $5 billion.9 OFHEO


6 Based on 2003 annual reports, which — because of the accounting scandals — is the latest
year for which annual financial statements are available for both GSEs. At the end of 2006,
both enterprises had reached agreements with OFHEO to either freeze the size of their
investment portfolios (Fannie) or limit growth to 2% per year (Freddie).
7 For more information, see Office of Federal Housing Enterprise Oversight, FY2003-2008
Strategic Plan, Sept. 30, 2003, at [http://www.ofheo.gov/media/pdf/0308stratplan93003a.
pdf].
8 For a comprehensive analysis of these risks, see Office of Federal Housing Enterprise
Oversight, Systemic Risk: Fannie Mae, Freddie Mac, and the Role of OFHEO, Feb. 2003,
at [http://www.ofheo.gov/media/archive/docs/reports/sysrisk.pdf]. Furthermore, the
International Monetary Fund (IMF) has stated that the GSE “regulators need to look closely
at whether agencies’ capital adequacy is sufficient, especially bearing in mind the questions
about internal controls that have emerged in Freddie Mac.... [I]t is unclear whether [the
GSEs] have taken sufficient account of the risk that the market may not be deep enough to
allow them to continuously hedge their growing portfolios in times of stress.” For more
information, see IMF, Global Financial Stability Report: Market Developments and Issues,
Sept. 2003, pp. 16-22, at [http://www.imf.org/external/pubs/ft/gfsr/2003/02/index.htm].
9 For more information, see CRS Report RS21567, Accounting and Management Problems
(continued...)

imposed a $125 million fine and is pursuing civil actions against several former
Freddie executives.
Following the special examination of Freddie Mac, OFHEO began to review the
accounting policies and practices at Fannie Mae, and published its preliminary
findings in September 2004.10 OFHEO charged that Fannie Mae did not follow
generally accepted accounting practices in two critical areas: (1) amortization of
discounts, premiums, and fees involved in the purchase of home mortgages and (2)
accounting for financial derivatives contracts. According to OFHEO, these
deviations from standard accounting rules allowed Fannie Mae to reduce volatility
in reported earnings, present investors with an artificial picture of steadily growing
profits, and, in at least one case, to meet financial performance targets that triggered
the payment of bonuses to company executives.11 On December 15, 2004, the
Securities and Exchange Commission (SEC) essentially endorsed OFHEO’s report
and directed Fannie Mae to restate its accounting results since 2001 after finding
inadequacies in Fannie’s accounting policies and methodologies. Fannie Mae’s CEO
and CFO stepped down soon thereafter.
While problems at Fannie Mae and Freddie Mac have provided the main
impetus for reform, the regulation of the Federal Home Loan Banks (FHLBs) may
also be affected by the GSE. The 12 FHLBs comprise one collective government-
sponsored enterprise. Originally chartered by Congress to provide liquidity to the
nation’s predominant lenders for home mortgage loans — savings and loan
associations and savings banks — the FHLBs have undergone a series of changes
over the years as financial institutions have changed. Still a lender to lenders
primarily for housing, the FHLBs can now lend for many other purposes as well, and
have special responsibilities for low- and moderate-income housing, for debts
incurred by the federal government in handling deposit insurance crises of the 1970s
and 1980s, and for some community development projects.
Several bills were considered in the 108th Congress that would have restructured
OFHEO. While the proposals took somewhat different approaches to regulatory
reform, all appeared to
!abolish OFHEO and reconstitute the GSE regulator within the
Department of the Treasury, or as an independent agency;12


9 (...continued)
at Freddie Mac, by Mark Jickling.
10 Office of Federal Housing Enterprise Oversight, Report of Findings to Date: Special
Examination of Fannie Mae, Sept. 17, 2004, available at [http://www.ofheo.gov/media/
pdf/FNMfindingstodate17sept04.pdf].
11 For a discussion of OFHEO’s findings, and its subsequent settlement with Fannie Mae,
see CRS Report RS21949, Accounting Problems at Fannie Mae, by Mark Jickling.
12 In some versions, the new regulator was to have authority over the FHLBs, as well as
Fannie and Freddie.

!increase the budget autonomy of the new office by exempting its
assessments from the annual appropriations process; and
!enhance the safety and soundness and enforcement tools available
to the new regulator.
None of these bills, whose provisions are summarized in CRS Report RL32069,
Improving the Effectiveness of GSE Oversight: Legislative Proposals in the 108th
Congress, by Loretta Nott and Mark Jickling, were enacted.
Legislative proposals in the 109th Congress incorporated most of the features of
the 108th Congress bills, but also include significant new provisions, as discussed
below, and set out in Table 1.
The Bush Administration has generally supported GSE regulatory reform.
Treasury Secretary John Snow issued a statement following the mark up of S. 190,
praising the legislation, though noting that certain elements the Administration
wanted were not present in the bill:
The legislation ... creates significantly enhanced market discipline and capital
requirements for Fannie Mae, Freddie Mac, and the Federal Home Loan Banks.
The legislation strikes a proper and prudent balance in ensuring that the activities
undertaken by these entities do not engender systemic risk while providing broad13
access to housing finance.
Major Differences Between House and Senate Bills
The House and Senate bills take a common approach to the restructuring of the
GSE regulator. There is a general consensus that OFHEO needs to be strengthened
— given the importance of the GSEs to the financial system and the potential risks
they pose, there is very little support for keeping the GSE regulator inside HUD.
Both H.R. 1461 and S. 190 give the new agency tools and authorities that resemble
those of federal bank regulators. Where the bills differ most significantly is in their
approaches to the business operations of the GSEs, particularly Fannie and Freddie.
The House bill seeks to increase GSE support for low-income housing and would
permit Fannie and Freddie to buy larger mortgages than current law permits, while
the Senate bill seeks to shrink the companies’ portfolios by restricting the kinds of
assets they can purchase.
Affordable Housing Fund
Section 128 of H.R. 1461 (as passed the House) requires Fannie and Freddie to
establish affordable housing funds to increase homeownership among very low and
extremely low income families, to increase investment in housing in low income and


13 Statement of Secretary John W. Snow on Senate Banking Bill to Reform Housing
Government-Sponsored Enterprises, July 28, 2005 (js-2657), available online at
[http://www.ustreas.gov/ press/releases/j s2657.htm] .

economically distressed areas, and to increase and preserve the supply of rental and
owner-occupied housing for very low and extremely low income families. Each
enterprise shall allocate to this fund 3.5% of its after-tax income during the first year
after enactment, and 5% in subsequent years. (Had the 5% rate been in effect during
the five years ending with 2003, the two firms’ combined contributions to these funds
would have averaged about $620 million per year.) The Senate bill contains no
comparable provision.
Proponents of the affordable housing funds recognize that Fannie and Freddie
receive a valuable subsidy in the form of their GSE status, which permits them to
borrow at lower rates than other private financial firms. The affordable housing fund
proposal can be viewed as a means of capturing some of the value of this subsidy and
applying it to a worthy policy objective.
Opponents argue that Fannie and Freddie would likely use the funds to reward
political allies. During floor consideration of H.R. 1461, an amendment was adopted
that prohibited the use of money disbursed by the affordable housing funds for
political, lobbying, or advocacy purposes. Other amendments included a five-year
sunset for the fund (with the Director of the new regulator to recommend to Congress
whether the fund should be extended) and established a priority for activities in areas
affected by Hurricanes Katrina and Rita, and in other areas designated by the
President as major disaster areas.
Conforming Loan Limits
Current law sets a limit on the size of mortgages that Fannie and Freddie can
buy. Mortgages above the limit, called jumbo loans, are less likely to be securitized
than the conforming mortgages that Fannie and Freddie are allowed to purchase.
Partly as a result, mortgage rates for nonconforming loans are slightly higher than
conforming loan rates.14 Critics of the conforming loan limit argue that the limit has
a disparate geographical effect: in some areas of the country the limit, which was
$417,000 for single-family homes (in 2006 and 2007), covers all but the high end of
the market, while in other areas, such as San Francisco or New York City, virtually
all real estate transactions take place over the limit.
H.R. 1461 would raise the conforming loan limit in metropolitan areas where
the median home price exceeds the current limit. In those areas, the limit would be
set at the median home price, up to a ceiling of 150% of the current limit. For more
information on this proposal, see CRS Report RS22172, Proposed Changes to the
Conforming Loan Limit, by Barbara Miles and Mark Jickling.
Like the affordable housing fund provision, the proposal to raise the loan limit
in high-cost areas recognizes that GSE status confers a subsidy on Fannie and
Freddie, and seeks to attain a more uniform distribution of the benefits of that
subsidy. In the process, raising the limit increases the size of the subsidy: allowing
Fannie and Freddie to expand operations into the jumbo mortgage market enhances


14 The difference is in the range of 25-40 basis points, or hundredths of a percent. Some of
the difference might persist even if the loan limits were abolished.

the value of the GSEs’ funding advantage, which is dependent on their GSE status.
The Senate bill has no comparable provision.
Portfolio Limits
While the two House bill provisions discussed above seek to redistribute the
fruits of the GSE subsidy, the Senate bill contains a provision that could dramatically
reduce the value of that subsidy. Both Fannie and Freddie hold large portfolios of
mortgages and mortgage-backed securities, which generate interest income. They
pay for those mortgage assets by issuing debt securities at rates below what the
mortgages and mortgage-backed bonds pay. The difference between the yield on
mortgage-related assets and the GSEs’ cost of funds is profit. Thus, the GSEs have
a strong incentive to pursue portfolio growth: the two firms together have nearly $1.5
trillion in portfolio assets, leading some observers to describe them as the world’s
largest savings and loan institutions. The size of their portfolios represents a
concentration of mortgage market risk that led former Federal Reserve Board
Chairman Alan Greenspan and others to urge Congress to consider ways to shrink the
size of the GSEs’ asset portfolios.15
Section 109 of S. 190 as reported enumerates the types of “permissible assets”
that Fannie and Freddie would be permitted to purchase. They would only be
allowed to acquire mortgages and mortgage-backed securities for purposes of
securitization, and for certain other limited purposes. Under this proposal, Fannie
and Freddie’s business models would be considerably altered: instead of very large
investment funds, they would be transformed into conduits, buying mortgages from
the original lenders, pooling them, packaging them into mortgage-backed securities,
and selling them to bond investors. This would greatly reduce their portfolio
earnings, currently one of the chief sources of their profits. Proponents of portfolio
limits argue that this step is necessary to reduce the cost of the GSE subsidy to
taxpayers, which takes the form not of annual appropriations, but of the assumption
of risk — the potential cost to the Treasury of having to bail out either Fannie or
Freddie to avoid the possibility of a systemic catastrophe in the financial markets,
should either firm encounter serious difficulties. Opponents argue that reducing the
GSE’s interest earnings would mean less support for low- and moderate-income
housing goals. The House bill contains no similar provision.
Under H.R. 1461, the new regulator would have authority to cap the size of the
GSE portfolios, as part of its general safety-and-soundness authority. However, the
House bill would not impose a statutory requirement that the portfolios be shrunk.
The table below provides a side-by-side summary of legislative proposals
introduced in the 109th Congress that aim to reform the regulation of the GSEs. The
version of H.R. 1461 that is set out is the one reported by the Financial Services
Committee and later passed by the House. For ease of reference, amendments to the
reported version that were adopted on the House floor are set out in a separate
column.


15 E.g., testimony of Alan Greenspan, Chairman, Board of Governors of the Federal Reserve
System, before the House Committee on Financial Services, Feb. 17, 2005.

CRS-7
Table 1. Provisions of GSE Reform Legislation
H.R. 1461 (amendments
Provisionadopted during HouseH.R. 1461 (as reported)S. 190 (as reported)S. 190 (as introduced)
passage)
Federal Housing Finance ReformFederal Housing EnterpriseFederal Housing Enterprise
Act of 2005Regulatory Act of 2005Regulatory Act of 2005
Subtitle A: Improvement of Safety and Soundness Regulation.
iki/CRS-RL32795e of Newlatory AgencyFederal Housing Finance Agency(Sec. 101)Federal Housing EnterpriseRegulatory Agency (Sec. 101)Federal Housing EnterpriseRegulatory Agency (Sec. 101)
g/w
s.or StatusIndependent federal agency (Sec.Independent federal agency Independent federal agency
leak101)(Sec. 101)(Sec. 101)
://wikiGeneral supervisory and regulatoryGeneral regulatory authority overGeneral regulatory authority over
httpauthority over Fannie Mae, FreddieFannie Mae, Freddie Mac, theFannie Mae, Freddie Mac, the
Mac, and the Federal Home LoanFederal Home Loan Banks, and theFederal Home Loan Banks, and
Banks. Federal Home Loan Bank Financethe Federal Home Loan Bank
(Sec. 101)Facility. (Sec. 101)Finance Corporation. (Sec. 101)



CRS-8
H.R. 1461 (amendments
Provisionadopted during HouseH.R. 1461 (as reported)S. 190 (as reported)S. 190 (as introduced)
passage)
Definitions Removes the category ofFannie Mae, Freddie Mac, theirFannie Mae, Freddie Mac, theirFannie Mae, Freddie Mac, their
“any other person, asaffiliates, and the Federal Homeaffiliates, and the Federal Home Loanaffiliates, and the Federal Home
determined by theLoan Banks are defined asBanks are defined as “regulatedLoan Banks are defined as
Director” from the“regulated entities.” The termentities.” (Current law defines“regulated entities.” (Under
defintion of “regulated“enterprise” — used frequently inFannie and Freddie as “enterprises”current law, Fannie Mae and
entity-affiliated party.”H.R. 1461 — is defined in current— many provisions of S. 190 referFreddie Mac are defined as
law to mean Fannie Mae andonly to them.) “Entity-affiliated“enterprises” — many provisions
iki/CRS-RL32795Freddie Mac. “Regulated entity-party” refers to directors, officers,of S. 190 refer only to them.)
g/waffiliated party” includes (1)employees, share holders,“Enterprise-affiliated party,”
s.ordirectors, officers, employees,consultants, partners, and otherhowever, refers to directors,
leakagents, and controlling shareholderspersons (determined by the Director)officers, employees,
of regulated entities; (2) anyaffiliated with regulated entities. Theshareholders, consultants,
://wikishareholder, consultant, jointdefinition also encompasses non-partners, and other persons (as
httpventure partner, or other person (asprofits that receive principal, ongoingdetermined by the Director)
determined by the Director) thatfunding from a regulated entity.affiliated with Fannie, Freddie, or
participates in the affairs of aIndependent contractors (such asthe Federal Home Loan Banks.
regulated entity; (3) independentattorneys or accountants) also meetIndependent contractors (such as
contractors (including attorneys,the definition of “entity-affiliatedattorneys or accountants) also
appraisers, or accountants) and (4)party” if they participate in violationsmeet the definition of
non-profits that receive principalof law or regulation, breaches of“enterprise-affiliated party” if
funding, on an ongoing basis, fromfiduciary duty, or unsafe and unsoundthey participate in violations of
any regulated entity. (Sec. 101)practices that have a significantlaw or regulation, breaches of
adverse impact on a regulated entity. fiduciary duty, or unsafe and
Defines “violation” to includeunsound practices that have a



CRS-9
H.R. 1461 (amendments
Provisionadopted during HouseH.R. 1461 (as reported)S. 190 (as reported)S. 190 (as introduced)
passage)
“causing, bringing about,significant adverse impact on a
participating in, counseling, or aidingregulated entity. (Sec. 2)
and abetting.” (Sec. 2)
OfficialsRequires the Director toA Director, appointed by theA Director, appointed by theA Director, appointed by the
establish an Office of thePresident, with the advice andPresident, with the advice andPresident, with the advice and
Ombudsman, to hearconsent of the Senate, to a five-yearconsent of the Senate, to a six-yearconsent of the Senate, to a six-
iki/CRS-RL32795complaints from regulatedentities or persons withterm; and 3 deputy directors(appointed by the Director), for theterm, and 3 deputy directors,appointed by the Director, for theyear term, and 3 deputy directors,appointed by the Director, for the
g/wbusiness relationships toDivisions of (1) EnterpriseDivisions of Enterprise Regulation;Divisions of Enterprise
s.or
leakthe entities.Regulation; (2) Home Loan BankHome Loan Bank Regulation; andRegulation; Home Loan Bank
Regulation; and (3) Housing. Housing Mission and Goals. (Sec.Supervision; and Housing
://wiki(Sec. 101) 101) An Inspector General of theMission and Goals. (Sec. 101)
httpAgency. (Sec. 105)An Inspector General of the
Agency.
(Sec. 105)
U.S. citizens, with a demonstratedU.S. citizens, with a demonstratedU.S. citizens, with a
Officialsunderstanding of financialunderstanding of financialdemonstrated understanding of
management or oversight andmanagement or oversight andfinancial management or
housing finance, with additionalhousing finance, with additionaloversight and housing finance,
specialized experience andspecialized experience requirementswith additional specialized
knowledge requirements for thefor the deputy director positions. experience requirements for the
deputy director positions. (Sec. 101)deputy director positions.
(Sec. 101)(Sec. 101)



CRS-10
H.R. 1461 (amendments
Provisionadopted during HouseH.R. 1461 (as reported)S. 190 (as reported)S. 190 (as introduced)
passage)
To oversee the prudential operationsTo oversee the prudential operationsTo oversee the prudential
of regulated entities and to ensureof regulated entities and to ensureoperations of regulated entities
that each entity (1) operates in a safethat each entity (1) operates in a safeand to ensure that each entity (1)
and sound manner and maintainsand sound manner and maintainsoperates in a safe and sound
adequate capital and internaladequate capital and internal controls,manner and maintains adequate
controls, (2) fosters well-functioning(2) fosters well-functioning housingcapital and internal controls, (2)
housing finance markets (includingfinance markets (including low- andfosters well-functioning housing
iki/CRS-RL32795low- and moderate-income housing),moderate-income housing), (3)finance markets (including low-
g/w(3) complies with applicable lawscomplies with applicable laws andand moderate-income housing),
s.orand regulations, and (4) engagesregulations, (4) engages only in(3) complies with applicable laws
leakonly in activities authorized byactivities authorized by statute, (5)and regulations, (4) engages only
statute. The Director may reviewserves the public interest, (6) remainsin activities authorized by statute,
://wikiand reject attempts to acquire aadequately capitalized, and (7) in the(5) serves the public interest, and
httpcontrolling interest in a regulatedcase of the FHLBs, that they provide(6) remains adequately
entity. The Director may exercisefunds through their members forcapitalized, after consideration of
necessary and appropriate incidentalsmall businesses and farms. Thethe risk to such entity. The
powers to fulfill the agency’s dutiesDirector may review and rejectDirector may review and reject
and responsibilities. The Directorattempts to acquire a controllingattempts to acquire a controlling
shall be a member of the Federalinterest in a regulated entity. Theinterest in a regulated entity. The
Financial Institutions ExaminationDirector may exercise necessary andDirector may exercise necessary
Council. (Sec. 102)appropriate incidental powers toand appropriate incidental
fulfill the agency’s duties andpowers to fulfill the agency’s
responsibilities. (Sec. 102)duties and responsibilities. (Sec.

102)



CRS-11
H.R. 1461 (amendments
Provisionadopted during HouseH.R. 1461 (as reported)S. 190 (as reported)S. 190 (as introduced)
passage)
The Director shall establishThe Director may establish standardsThe Director may establish
ement andstandards for each regulated entityfor the enterprises regarding (1)standards for the enterprises
regarding (1) internal controls andinternal controls and informationregarding (1) internal controls
information systems, (2) internalsystems, (2) internal audit systems,and information systems, (2)
audit systems, (3) credit and(3) interest rate risk management, (4)internal audit systems, (3)
counterparty risk, (4) interest ratemonitoring and management ofinterest rate risk management, (4)
risk management, (5) monitoringmarket risk, (5) adequacy andmonitoring and management of
iki/CRS-RL32795and management of market risk, (6)maintenance of liquidity andmarket risk, (5) adequacy and
g/wadequacy and maintenance ofreserves, (7) asset and portfoliomaintenance of liquidity and
s.orliquidity and reserves, (7) asset andgrowth, (8) overall risk management,reserves, (7) asset and portfolio
leakportfolio management, (8)including backup facilities to protectgrowth, (8) overall risk
investments and acquisitions, (9)against disruptive events, and (9)management, including backup
://wikirecord keeping, (10) issuance ofother standards deemed to befacilities to protect against
httpsubordinated debt, as the Directorappropriate. (Sec. 108)disruptive events, and (9) other
considers necessary, (11) overallstandards deemed to be
risk management, including backupappropriate. (Sec. 108)


facilities to protect against
disruptive events, and (12) other
standards the Director determines to
be appropriate. (Sec. 102)

CRS-12
H.R. 1461 (amendments
Provisionadopted during HouseH.R. 1461 (as reported)S. 190 (as reported)S. 190 (as introduced)
passage)
If the Director finds that a regulatedNo comparable provision.No comparable provision.
entity has failed to meet one of the
above standards, the entity shall
(within 30 days) submit a plan to
correct the deficiency. If the
deficiency is not corrected, the
Director may prohibit the entity
iki/CRS-RL32795from increasing its total assets, may
g/wrequire an increase in regulatory
s.orcapital, or take other measures.
leak(Sec. 102)
://wiki to RequireThe Director is authorized to requireThe Director is authorized to requireThe Director is authorized to
http byregulated entities to submit regularregulated entities to submit regularrequire regulated entities to
lated Entitiesreports on their operations andreports, including financialsubmit regular reports, including
financial condition. Regulatedstatements determined on a fair valuefinancial statements determined
entities would be required to reportbasis. Establishes penalties for failureon a fair value basis. (Sec. 104)
in a timely manner the discovery ofto make reports. Regulated entities would be
a purchase or sale of a fraudulent(Sec. 104) required to report in a timely
loan. (Sec. 104) Regulated entities would be requiredmanner the discovery of a
to report in a timely manner thepurchase or sale of a fraudulent
discovery of a purchase or sale of aloan. (Sec. 112)


fraudulent loan.
(Sec. 113)

CRS-13
H.R. 1461 (amendments
Provisionadopted during HouseH.R. 1461 (as reported)S. 190 (as reported)S. 190 (as introduced)
passage)
isory BoardCreates the Housing FinanceCreates the Federal HousingCreates the Federal Housing
Oversight Board (made up of theEnterprise Board (made up of theEnterprise Board (made up of the
Director, the Secretaries of theDirector, the Secretaries of theDirector, the Secretaries of the
Treasury and HUD, or theirTreasury and HUD, and theTreasury and HUD, and the
designees, and two individuals withChairman of the SEC) to advise theChairman of the SEC) to advise
relevant experience appointed by theDirector on overall strategies andthe Director on overall strategies
President to three-year terms, withpolicies. The board is to meet at leastand policies. The board is to
iki/CRS-RL32795the advice and consent of theevery three months, and testify tomeet at least every three months,
g/wSenate) to advise the Director onCongress annually on the safety andand testify to Congress annually
s.oroverall strategies and policies. Thesoundness of the regulated entitieson the safety and soundness of
leakboard is to meet at least every threeand the performance of the agency. the regulated entities and the
months, and testify to Congress(Sec. 103)performance of the agency.
://wikiannually on the safety and(Sec. 103)


httpsoundness, operational status, and
mission performance of the
regulated entities, and the operations
and performance of the agency and
board. (Sec. 103)

CRS-14
H.R. 1461 (amendments
Provisionadopted during HouseH.R. 1461 (as reported)S. 190 (as reported)S. 190 (as introduced)
passage)
ents andThe Director shall establish andRemoves the Agency from theRemoves the Agency from the
collect annual assessments from theappropriations process. The Directorappropriations process. The
regulated entities to provide forwould establish and collect annualDirector shall establish and
reasonable costs and expenses of theassessments from the regulatedcollect annual assessments from
Agency, including (1) costs ofentities, in amounts sufficient tothe regulated entities, in amounts
examinations, reviews, and creditprovide for reasonable costs andsufficient to provide for
assessments, and (2) amounts inexpenses of the agency, including (1)reasonable costs and expenses of
iki/CRS-RL32795excess of actual expenses tocosts of examinations, reviews, andthe agency, including (1) costs of
g/wmaintain necessary working capital.credit assessments, and (2) amountsexaminations, reviews, and credit
s.orAssessments may be increased toin excess of actual expenses toassessments, and (2) amounts in
leakcover costs of enforcement activitiesmaintain necessary working capital. excess of actual expenses to
or if an entity is inadequatelySalaries and other expenses of themaintain necessary working
://wikicapitalized. Salaries and otheragency shall be paid fromcapital. Salaries and other
httpexpenses shall be paid fromassessments, which shall not beexpenses of the agency shall be
assessments, which shall not beconstrued to be government funds orpaid from assessments, which
construed to be government funds orappropriated monies. shall not be construed to be
appropriated monies. The agency(Sec. 106)government funds or
shall provide OMB with financialappropriated monies.
plans and forecasts, prepare annual(Sec. 106)


financial statements (including an
assertion of the effectiveness of
internal accounting controls), and be
audited annually by GAO (at the
agency’s expense). (Sec. 105)

CRS-15
H.R. 1461 (amendments
Provisionadopted during HouseH.R. 1461 (as reported)S. 190 (as reported)S. 190 (as introduced)
passage)
ct Hire AuthorityDirector may hire examiners,Director may hire examiners,Director may hire examiners,
accountants, specialists inaccountants, economists, andaccountants, economists, and
technology or financial markets, andspecialists in financial markets andspecialists in financial markets
economists in accordance with rulestechnology in accordance with rulesand technology in accordance
governing the excepted service,governing the excepted service,with rules governing the
notwithstanding any rules governingnotwithstanding any rules governingexcepted service,
the competitive service. (Sec. 106)the competitive service. (Sec. 105)notwithstanding any rules
iki/CRS-RL32795governing the competitive
g/wservice. (Sec. 105)
s.or
leakThe prohibition (in current law) ofNo comparable provisionNo comparable provision
ofexecutive compensation that is not
://wikiereasonable or comparable is
httppensationamended by permitting the Director
to take into account wrongdoing on
the part of the executive, and to hold
pay in escrow while a determination
is made. (Sec. 107)
lations andThe Director is authorized to issueThe Director is authorized to issueThe Director is authorized to
rsany regulations, guidelines, orany regulations, directives,issue any regulations, directives,
orders that are necessary to carry outguidelines, or orders that areguidelines, or orders that are
the authorizing statutes. (Sec. 109)necessary to carry out the authorizingnecessary to carry out the
statutes. (Sec. 107)authorizing statutes. (Sec. 107)



CRS-16
H.R. 1461 (amendments
Provisionadopted during HouseH.R. 1461 (as reported)S. 190 (as reported)S. 190 (as introduced)
passage)
erThe Director shall periodicallyDirector shall, by regulation,Authorizes the Director to
ssets,review the on-balance sheet assetsestablish criteria regarding the assetsdetermine the type and amount of
liabilities of the enterprises, and maythat an enterprise may hold,nonmission-related assets that an
ationsorder the disposition or acquisitionconsidering safety and soundness ofenterprise may hold at any time.
of any asset or obligation, if thethe enterprises and systemic risk. Any regulation issued for this
Director determines that such action“Permissible assets” are to includepurpose shall include a definition
is consistent with safe and soundonly the following: (1) mortgages andof “nonmission-related asset.”
iki/CRS-RL32795operation. mortgage-backed securities acquired(Sec. 109)


g/w(Sec. 112)for purposes of securitization, (2)
s.ormortgages related to affordable
leakhousing goals that cannot be readily
securitized, (3) a limited inventory of
://wikimortgages to support the guarantee
httpbusiness, (4) cash, (5) real estate
acquired through foreclosure, (6)
U.S. Treasury securities, and (7) real
estate, equipment, and intellectual
property related to the enterprise’s
operations. (Sec. 109)

CRS-17
H.R. 1461 (amendments
Provisionadopted during HouseH.R. 1461 (as reported)S. 190 (as reported)S. 190 (as introduced)
passage)
-Based andThe Director shall, by regulation,The Director shall, by regulation,The Director shall, by regulation,
imum Capitalestablish risk-based capitalestablish risk-based capitalestablish risk-based capital
lsrequirements for the enterprises torequirements for each regulatedrequirements for each regulated
ensure safe and sound operation andentity, to ensure safe and soundentity, to ensure safe and sound
maintenance of sufficient capital andoperation and maintenance ofoperation and maintenance of
reserves to support risk exposure. sufficient capital and reserves tosufficient capital and reserves to
The Director shall establish risk-support risk exposure.support risk exposure.
iki/CRS-RL32795based capital requirements for the(Sec. 110)(Sec. 110)


g/wFederal Home Loan Banks.
s.orConfidentiality of information
leakenabling risk-based capital standards
shall be maintained. (Sec. 110)
://wiki
http

CRS-18
H.R. 1461 (amendments
Provisionadopted during HouseH.R. 1461 (as reported)S. 190 (as reported)S. 190 (as introduced)
passage)
imum andThe Director may, by regulation,The Director is authorized toWith regard to the enterprises
apitalestablish minimum capital levels forestablish minimum capital levels for(Fannie and Freddie), the
lsregulated entities that are higherregulated entities that are higher thanDirector may establish minimum
than the statutory levels. Thethose specified in statute. capital levels that are higher than
Director may, by order or regulation,(Sec. 110)those specified in the statute.
establish a capital or reserve(Sec. 110)


requirement with respect to aAuthorizes the Director to establish
iki/CRS-RL32795particular program or activity, tocritical capital levels for the
g/wensure that the entity operates in aenterprises that are different from the
s.orsafe and sound manner. Thelevels specified in statute, and to
leakDirector shall, by regulation,establish critical capital levels for the
establish a critical capital level forFHLBs. (Sec. 141)
://wikithe Home Loan Banks. (Sec. 111)
http

CRS-19
H.R. 1461 (amendments
Provisionadopted during HouseH.R. 1461 (as reported)S. 190 (as reported)S. 190 (as introduced)
passage)
gistrationRequires each regulated entity toRequires each regulated entity toRequires each regulated entity to
entsregister at least one class of capitalregister at least one class of capitalregister at least one class of
stock with the SEC, and requiresstock with the SEC, and requirescapital stock with the SEC, and
enterprises (Fannie and Freddie) toenterprises (Fannie and Freddie) torequires enterprises (Fannie and
comply with Sections 14 and 16 ofcomply with Sections 14 and 16 ofFreddie) to comply with Sections
the Securities Exchange Act of 1934the Securities Exchange Act of 1934,14 and 16 of the Securities
(which deal with proxy reportingwhich deal with proxy reporting andExchange Act of 1934, which
iki/CRS-RL32795and disclosure of insiderdisclosure of insider transactions indeal with proxy reporting and
g/wtransactions in company stock).company stock. (Sec. 111)disclosure of insider transactions
s.orEnterprises whose stock is notin company stock. (Sec. 110)
leakregistered or is deregistered remainSec. 205 (see below) exempts the
subject to certain provisions of theFederal Home Loan Banks from
://wikiSecurities Exchange Act. several provisions of securities
http(Sec. 114) law.
Requires a majority of the board toNo comparable provisionNo comparable provision


ernance ofbe independent directors, as defined
by the NYSE. Requires boards to
meet at least eight times a year, and
requires non-management directors
to meet regularly in executive
session without management
participation. (Sec. 113)

CRS-20
H.R. 1461 (amendments
Provisionadopted during HouseH.R. 1461 (as reported)S. 190 (as reported)S. 190 (as introduced)
passage)
pensation byCompensation of directors,No comparable provisionNo comparable provision
executives, and employees shall not
exceed what is reasonable and
appropriate, shall be commensurate
with duties and responsibilities,
consistent with the long-term goals
of the enterprise, shall not focus
iki/CRS-RL32795solely on earnings performance.
g/wEnterprises are made subject to
s.orSection 304 of the Sarbanes-Oxley
leakAct, which requires CEOs and CFOs
to reimburse the company under
://wikicertain circumstances after an
httpaccounting restatement. (Sec. 113)
An enterprise shall establish andNo comparable provisionNo comparable provision


csenforce a written code of conduct
designed to ensure that directors,
officers, and employees act in an
impartial and objective manner,
including standards under section

406 of the Sarbanes-Oxley Act.


(Sec. 113)

CRS-21
H.R. 1461 (amendments
Provisionadopted during HouseH.R. 1461 (as reported)S. 190 (as reported)S. 190 (as introduced)
passage)
The board of an enterprise shallNo comparable provisionNo comparable provision
oard ofoversee (1) corporate strategy, risk
policy, and compliance programs,
(2) hiring and retention of qualified
executives, (3) compensation
programs, (4) the integrity of
accounting and financial reporting
iki/CRS-RL32795systems, (5) disclosures to
g/wshareholders and investors, (6)
s.orextensions of credit to officers and
leakdirectors, and (7) responsiveness in
reporting to federal regulators. (Sec.
://wiki 113)
http
An enterprise may not (directly,No comparable provisionNo comparable provision


indirectly, or through a subsidiary)
make any personal loan to a board
member or executive officer. (Sec.

113)



CRS-22
H.R. 1461 (amendments
Provisionadopted during HouseH.R. 1461 (as reported)S. 190 (as reported)S. 190 (as introduced)
passage)
The CEO and CFO of an enterpriseNo comparable provisionNo comparable provision
shall review annual and quarterly
reports and shall make the
certifications required by section

302 of the Sarbanes-Oxley Act.


(Sec. 113)
iki/CRS-RL32795e of AuditRequires that the lead partner of theexternal auditor of an enterprise beNo comparable provisionNo comparable provision
g/wchanged every five years. (Sec.
s.or
leak 113)
://wikipliance ProgramEach enterprise shall establish acompliance program reasonablyNo comparable provisionNo comparable provision


httpdesigned to ensure that the
enterprise complies with applicable
laws, regulations, and internal
controls. The program shall be
headed by a compliance officer, who
reports directly to the CEO and
regularly to the board. (Sec. 113)

CRS-23
H.R. 1461 (amendments
Provisionadopted during HouseH.R. 1461 (as reported)S. 190 (as reported)S. 190 (as introduced)
passage)
ManagementEach enterprise shall establish a riskNo comparable provisionNo comparable provision
rammanagement program reasonably
designed to manage the risks of
operation. The program shall be
headed by a risk management
officer, who reports directly to the
CEO and regularly to the board.
iki/CRS-RL32795(Sec. 113)
g/wNo comparable provision, but suchThe Agency may prohibit or limit, byThe Agency may prohibit or
s.or
leakain Goldenpayments could be subject to theregulation or order, any goldenlimit, by regulation or order, any
ments“reasonable and appropriate” tests inparachute or indemnificationgolden parachute or
://wikiSection 113(c).payment. Sets out criteria that theindemnification payment that
httpAgency may consider in decidingwould be received by any
whether to prohibit a payment. (Sec.enterprise-affiliated party after an
112)enterprise became insolvent, was
determined to be in a troubled
condition, or following the
appointment of a conservator or
receiver. (Sec. 111)



CRS-24
H.R. 1461 (amendments
Provisionadopted during HouseH.R. 1461 (as reported)S. 190 (as reported)S. 190 (as introduced)
passage)
ofRegulated entities would be requiredThe Director shall, by regulation,The Director shall, by regulation,
to report in a timely manner therequire enterprises to timely discloserequire enterprises to timely
discovery of a purchase or sale of athe discovery of the purchase or saledisclose the discovery of the
fraudulent loan. (Sec. 104) of a fraudulent loan. Regulatedpurchase or sale of a fraudulent
entities must have proceduresloan. (Sec. 112)


designed to discover fraudulent loans.
(Sec. 113)
iki/CRS-RL32795
g/w
s.or
leak
://wiki
http

CRS-25
H.R. 1461 (amendments
Provisionadopted during HouseH.R. 1461 (as reported)S. 190 (as reported)S. 190 (as introduced)
passage)
Subtitle B: Improvement of Mission Supervision.
rsight ofProgram and housing goal oversightOversight of affordable housing goalsOversight of affordable housing
ousingis transferred from HUD to theis transferred from Secretary of HUDgoals is transferred from
lsAgency. to the Director. HUD retains fairSecretary of HUD to the
(Sec. 121)housing responsibilities. (Secs. 121,Director. HUD retains fair

123 and 124) The Inspector Generalhousing responsibilities. (Secs.


iki/CRS-RL32795of the Agency shall conduct anannual audit of affordable housing121 and 124-126) The InspectorGeneral of the Agency shall
g/wprograms. conduct an annual audit of
s.or
leak(Sec. 402) affordable housing programs.
Incorporates into statute (and(Sec. 402)


://wikimodifies) several regulatory
httpprovisions dealing with definitions
and oversight of housing goals.
(Sec. 127)

CRS-26
H.R. 1461 (amendments
Provisionadopted during HouseH.R. 1461 (as reported)S. 190 (as reported)S. 190 (as introduced)
passage)
al ofEnterprises may not undertake newPrior approval authority is transferredPrior approval authority is
inessprograms or business activitiesfrom HUD to the Director. (Sec.transferred from HUD to the
ities bywithout the Director’s prior121) The Director shall considerDirector. (Sec. 121)
approval. Approval is contingentwhether proposed new products areAuthorizes the Director to review
upon consistency with statutory(1) consistent with the GSEs’any enterprise activities, to
authority, safety and soundness, andauthorizing statutes, (2) in the publicdetermine their conformance
the public interest. The Directorinterest, (3) consistent with safetywith the purposes of the statutes,
iki/CRS-RL32795may prohibit any activity that isand soundness of the enterprise andand to protect the safety and
g/winconsistent with the law, otherwisethe mortgage finance system, and (4)soundness of the enterprises.
s.orinconsistent with safety andnot harmful to the stability orThe Director may prohibit or
leaksoundness, or not in the publiccompetitiveness of the mortgagelimit any activities found to be
interest. Requires enterprises tofinance system. Requests forimpermissible or inappropriate.
://wikisubmit a report to the directorapproval of new products would(Sec. 122)


httpdescribing each program andtrigger a 30-day public comment
business activity within 180 days ofperiod, after which the Agency would
enactment. (Sec. 122)have 30 days to act on the request.
(Sec. 122)

CRS-27
H.R. 1461 (amendments
Provisionadopted during HouseH.R. 1461 (as reported)S. 190 (as reported)S. 190 (as introduced)
passage)
larificationWithin six months of the effectiveNo comparable provision, but theThe Director shall define by
date of this legislation, the DirectorDirector could consider theregulation “loan origination,”
shall, by regulation, definedistinction between primary andestablishing thereby which
“mortgage loan origination” andsecondary markets when decidingactivities are impermissible for
“secondary mortgage market.” (Sec.whether to approve new products. the enterprises. The Director
122)(Sec. 122)shall define the boundary
between the secondary mortgage
iki/CRS-RL32795market (where the enterprises are
g/wallowed to operate) and the
s.orprimary mortgage market (where
leakthey are not). Grandfathering of
enterprise activities that do not
://wikiaccord with these definitions is
httpnot automatically presumed, but
may be permitted by the
Director. (Sec. 107)



CRS-28
H.R. 1461 (amendments
Provisionadopted during HouseH.R. 1461 (as reported)S. 190 (as reported)S. 190 (as introduced)
passage)
ing LoanSets conforming loan limits andProvides for annual adjustments toNo comparable provision


itsrequires the agency to make annualthe conforming loan limit based on
adjustments to the limits based onchanges in a housing price index to
increases or decreases in a housingbe established and maintained by the
price index maintained by theDirector.
agency. The accuracy of the(Sec. 126)
housing price index is to be audited
iki/CRS-RL32795by GAO. For high-cost
g/wmetropolitan statistical areas, the
s.orconforming loan limit is raised to
leakthe lesser of 150% of the statutory
limit or the median home price in
://wikithat area. (Sec. 123)
http

CRS-29
H.R. 1461 (amendments
Provisionadopted during HouseH.R. 1461 (as reported)S. 190 (as reported)S. 190 (as introduced)
passage)
The Director shall report annually toNo comparable provisionNo comparable provision


the House Financial Services and
Senate Banking Committees on the
achievement of housing goals,
actions to promote or expand goals,
to expand opportunities for first-
time home buyers, fair housing
iki/CRS-RL32795issues, and conditions in housing
g/wmarkets. To assist in the preparation
s.orof this report, the Director shall
leakconduct a monthly survey of
housing markets. (Sec. 124)
://wiki
http

CRS-30
H.R. 1461 (amendments
Provisionadopted during HouseH.R. 1461 (as reported)S. 190 (as reported)S. 190 (as introduced)
passage)
ent ofThe Director shall establish goals,No comparable provisionNo comparable provisions


Goals andwith annual targets, for the
e Purchase Goalpurchases of mortgage loans made
to low and very low income
families, or families in low income
areas. Annual goals shall also be
established for purchases of
iki/CRS-RL32795mortgages on multifamily housing
g/wunits serving very low income
s.orfamilies, or units assisted by the
leaklow-income housing tax credit.
(Sec. 125)
://wikiCreates a duty to serve underserved
httpmarkets, by undertaking activities
related to mortgages on housing for
low, very low, and moderate income
familes, including manufactured
housing.
(Sec. 126)

CRS-31
H.R. 1461 (amendments
Provisionadopted during HouseH.R. 1461 (as reported)S. 190 (as reported)S. 190 (as introduced)
passage)
andUpon a written finding that anNo comparable provisionNo comparable provision


Housingenterprise has failed to meet a
pliancehousing goal, the Director is
authorized to take any of several
steps to enforce compliance,
including cease-and-desist orders,
refusal to authorize new programs,
iki/CRS-RL32795and civil money penalties not to
g/wexceed $50,000 per day. Other
s.orsanctions may include a prohibition
leakon new activities or programs. (Sec.

127)


://wiki
http

CRS-32
H.R. 1461 (amendments
Provisionadopted during HouseH.R. 1461 (as reported)S. 190 (as reported)S. 190 (as introduced)
passage)
ousingExpands the mission of theEach enterprise shall establish anNo comparable provisionNo comparable provision


fund to include increasingaffordable housing fund to increase
investment in publichomeownership among very- and
infrastructure andextremely-low income families, to
leveraging investmentsincrease investment in housing in
from other sources inlow income and economically
connection with low- anddistressed areas, and to increase and
iki/CRS-RL32795extremely-low incomepreserve the supply of rental and
g/whousing. Adds a five-yearowner-occupied housing for very-
s.orsunset to the affordableand extremely-low income families.
leakhousing fund, and requiresEach enterprise shall allocate to this
the Director to report tofund 3.5% of its after-tax income
://wikiCongress withduring the first year after enactment,
httprecommendations as toand 5% in subsequent years. No
whether the fund should beallocation would be required when
extended or modified. an enterprise was less than
Prohibits use of fundadequately capitalized.
disbursements for political(Sec. 128)
purposes, and requires the
enterprises to track the use
of funds by recipients.

CRS-33
H.R. 1461 (amendments
Provisionadopted during HouseH.R. 1461 (as reported)S. 190 (as reported)S. 190 (as introduced)
passage)
ousingRequires the Board toThe Director shall appoint anNo comparable provisionNo comparable provision


destablish a priority foraffordable housing board, whose
funding activities in areasmembers shall include the
affected by HurricanesSecretaries of HUD and Agriculture
Katrina and Rita, or any(or their designees), and 2 persons
area declared a majoreach from (1) businesses and (2)
disaster area.non-profits actively engaged in
iki/CRS-RL32795promoting or providing housing for
g/wvery- or extremely-low income
s.orhouseholds. The board shall
leakdetermine very- and extremely-low
income housing needs and advise
://wikithe director on priorities for the use
httpof the affordable housing funds.
(Sec. 128)

CRS-34
H.R. 1461 (amendments
Provisionadopted during HouseH.R. 1461 (as reported)S. 190 (as reported)S. 190 (as introduced)
passage)
Subtitle C: Prompt Corrective Action.
The Director may reclassify aThe Director may reclassify aThe Director may reclassify a
regulated entity (1) whose conductregulated entity whose conduct couldregulated entity whose conduct
could rapidly deplete core or totalrapidly deplete core capital, or whosecould rapidly deplete core
capital, or (in the case of anmortgage assets have declinedcapital, or whose mortgage assets
enterprise) whose mortgage assetssignificantly in value, or which ishave declined significantly in
iki/CRS-RL32795have declined significantly in value,or (2) which is determined (afterdetermined (after notice andopportunity for a hearing) to be in anvalue, or which is determined(after notice and opportunity for
g/wnotice and opportunity for a hearing)unsafe or unsound condition. (Sec.a hearing) to be in an unsafe or
s.or
leakto be in an unsafe or unsound142)unsound condition. (Sec. 141)
condition. (Sec. 141)
://wikiA regulated entity shall make noA regulated entity shall make noA regulated entity shall make no
httpistributionscapital distribution that would causecapital distribution that would causecapital distribution that would
it to become undercapitalized,it to become undercapitalized, exceptcause it to become
except as permitted by the Directoras permitted by the Director underundercapitalized, except as
under certain circumstances. certain circumstances. permitted by the Director under
(Sec. 141)(Sec. 142)certain circumstances.
(Sec. 141)



CRS-35
H.R. 1461 (amendments
Provisionadopted during HouseH.R. 1461 (as reported)S. 190 (as reported)S. 190 (as introduced)
passage)
isory ActionsThe Director must monitor theThe Director must monitor theThe Director must monitor the
entity’s condition, its complianceentity’s condition, its complianceentity’s condition, its compliance
edwith its capital restoration plan, andwith its capital restoration plan, andwith its capital restoration plan,
lated Entitiesthe efficacy of the plan. No growththe efficacy of the plan. No growthand the efficacy of the plan. No
in total assets is permitted for anin total assets is permitted for angrowth in total assets is permitted
undercapitalized GSE, unless theundercapitalized GSE, unless thefor an undercapitalized GSE,
director has accepted the GSE’sdirector has accepted the GSE’sunless the director has accepted
iki/CRS-RL32795capital restoration plan, an increasecapital restoration plan, an increase inthe GSE’s capital restoration
g/win assets is consistent with the plan,assets is consistent with the plan, andplan, an increase in assets is
s.orand the ratio of tangible equity tothe ratio of tangible equity to assets isconsistent with the plan, and the
leakassets is increasing. No newincreasing. No new activities orratio of tangible equity to assets
activities or acquisitions permittedacquisitions permitted without theis increasing. No new activities
://wikiwithout the Director’s prior approvalDirector’s prior approval andor acquisitions permitted without
httpand determination that suchdetermination that such activitiesthe Director’s prior approval and
activities would be consistent withwould be consistent with the capitaldetermination that such activities
the capital restoration plan. Actionsrestoration plan. Actions that may bewould be consistent with the
that may be taken under current lawtaken under current law with regardcapital restoration plan. Actions
with regard to significantlyto significantly undercapitalizedthat may be taken under current
undercapitalized GSEs may be takenGSEs may be taken with regard tolaw with regard to significantly
with regard to undercapitalizedundercapitalized GSEs. (Sec. 142)undercapitalized GSEs may be
GSEs. (Sec. 142)taken with regard to
undercapitalized GSEs.
(Sec. 142)



CRS-36
H.R. 1461 (amendments
Provisionadopted during HouseH.R. 1461 (as reported)S. 190 (as reported)S. 190 (as introduced)
passage)
isory ActionsSupervisory actions that theSupervisory actions that the regulatorSupervisory actions that the
regulator may take under current lawmay take under current law must beregulator may take under current
ificantlymust be taken, including one ortaken, including one or more of thelaw must be taken, including one
edmore of the following: new electionfollowing: new election of directors,or more of the following: new
lated Entitiesof directors, dismissal of directorsdismissal of directors and/orelection of directors, dismissal of
and/or executives, and hiring ofexecutives, and hiring of qualifieddirectors and/or executives, and
qualified executive officers, or otherexecutive officers, or other actions. hiring of qualified executive
iki/CRS-RL32795actions. Without prior writtenWithout prior written approval of theofficers, or other actions.
g/wapproval of the Director, executivesDirector, executives of a significantlyWithout prior written approval of
s.orof a significantly undercapitalizedundercapitalized GSE may notthe Director, executives of a
leakGSE may not receive bonuses or payreceive bonuses or pay raises. (Sec.significantly undercapitalized
raises. (Sec. 143)143)GSE may not receive bonuses or
://wikipay raises. (Sec. 143)


http

CRS-37
H.R. 1461 (amendments
Provisionadopted during HouseH.R. 1461 (as reported)S. 190 (as reported)S. 190 (as introduced)
passage)
OverThe Director may appoint (or theThe Director may appoint (or theThe Director may appoint (or the
agency may serve as) a receiver oragency may serve as) a receiver oragency may serve as) a receiver
edconservator for several specifiedconservator for several specifiedor conservator for several
causes related to financial difficultycauses related to financial difficultyspecified causes related to
and/or violations of law orand/or violations of law or regulation. financial difficulty and/or
)regulation. Sets out powers ofSets out powers of conservators orviolations of law or regulation.
conservators or receivers, andreceivers, and procedures forSets out powers of conservators
iki/CRS-RL32795procedures for settlement of claimssettlement of claims and other aspectsor receivers, and procedures for
g/wand other aspects of liquidation. of liquidation. Authorizes thesettlement of claims and other
s.orAuthorizes the Director to appoint aDirector to appoint a limited-lifeaspects of liquidation.
leaklimited-life enterprise to deal withenterprise to deal with the affairs ofAuthorizes the Director to
the affairs of an enterprise inan enterprise in default. Prohibits aappoint a limited-life enterprise
://wikidefault. Prohibits a receiver fromreceiver from terminating or revokingto deal with the affairs of an
httpterminating or revoking the charterthe charter of an enterprise. enterprise in default. Prohibits a
of an enterprise. (Sec. 144)(Sec. 144)receiver from terminating or
revoking the charter of an
enterprise. (Sec. 144)



CRS-38
H.R. 1461 (amendments
Provisionadopted during HouseH.R. 1461 (as reported)S. 190 (as reported)S. 190 (as introduced)
passage)
Subtitle D: Enforcement Actions.
and-DesistThe Director may issue cease-and-The Director may issue cease-and-The Director may issue cease-
rsdesist orders against a regulateddesist orders against a regulatedand-desist orders against a
entity, a regulated entity-affiliatedentity, an entity-affiliated party, orregulated entity, an entity-
party, or the Federal Home Loanthe Federal Home Loan Bank Financeaffiliated party, or the Federal
Bank Finance Corporation (createdCorporation (created by Sec. 204) forHome Loan Bank Finance
iki/CRS-RL32795by Sec. 204) for unsafe or unsoundpractices (actual or imminent),unsafe or unsound practices (actual orimminent), violations of laws andCorporation (created by Sec.204) for unsafe or unsound
g/wviolations of laws and regulations,regulations, or for a less-than-practices (actual or imminent),
s.or
leakor for a less-than-satisfactory ratingsatisfactory rating where theviolations of laws and
where the identified deficiency isidentified deficiency is not corrected. regulations, or for a less-than-
://wikinot corrected. (Sec. 161)(Sec. 151)satisfactory rating where the
httpidentified deficiency is not
Temporary cease-and-desist ordersTemporary cease-and-desist orderscorrected. (Sec. 151)
may be issued if actions taken (ormay be issued if actions taken (or not
not taken) by the regulated entity aretaken) by the regulated entity areTemporary cease-and-desist
likely to cause insolvency or weakenlikely to cause insolvency or weakenorders may be issued if actions
its financial condition prior to theits financial condition prior to thetaken (or not taken) by the
conclusion of a cease-and-desistconclusion of a cease-and-desistregulated entity are likely to
proceeding. (Sec. 162)proceeding. (Sec. 152)cause insolvency or weaken its
financial condition prior to the
conclusion of a cease-and-desist
proceeding. (Sec. 152)



CRS-39
H.R. 1461 (amendments
Provisionadopted during HouseH.R. 1461 (as reported)S. 190 (as reported)S. 190 (as introduced)
passage)
oval andAfter written notice and opportunityThe Director may issue cease-and-The Director may issue cease-
for a hearing, the Director maydesist orders against a regulatedand-desist orders against a
suspend or remove regulated entity-entity, an entity-affiliated party, orregulated entity, an entity-
affiliated parties who have (1)the Federal Home Loan Bank Financeaffiliated party, or the Federal
violated a law or a cease-and-desistFacility (created by Sec. 204) forHome Loan Bank Finance
or other written order, (2) engagedunsafe or unsound practices (actual orCorporation (created by Sec.
in an unsafe or unsound practice, orimminent), violations of laws and204) for unsafe or unsound
iki/CRS-RL32795(3) breached fiduciary duty, suchregulations, or for a less-than-practices (actual or imminent),
g/wthat (1) the regulated entity is likelysatisfactory rating where theviolations of laws and
s.orto suffer loss or the enterpriseidentified deficiency is not corrected. regulations, or for a less-than-
leakaffiliated party gain, and (2) the(Sec. 151)satisfactory rating where the
unsafe or unsound practice involvesidentified deficiency is not
://wikipersonal dishonesty or demonstratesTemporary cease-and-desist orderscorrected. (Sec. 151)
httpwillful and continuing disregard formay be issued if actions taken (or not
the safety and soundness of thetaken) by the regulated entity areTemporary cease-and-desist
regulated entity. Also provides forlikely to cause insolvency or weakenorders may be issued if actions
industry-wide suspensions underits financial condition prior to thetaken (or not taken) by the
certain circumstances. Provides forconclusion of a cease-and-desistregulated entity are likely to
judicial review of such orders orproceeding. (Sec. 152)cause insolvency or weaken its
suspensions. (Sec. 166)financial condition prior to the
conclusion of a cease-and-desist
proceeding. (Sec. 152)



CRS-40
H.R. 1461 (amendments
Provisionadopted during HouseH.R. 1461 (as reported)S. 190 (as reported)S. 190 (as introduced)
passage)
ent andAuthorizes the Director to apply toAuthorizes the Director to apply toAuthorizes the Director to apply
Federal District Court forFederal District Court forto Federal District Court for
enforcement of outstanding notice orenforcement of outstanding orders orenforcement of outstanding
order, and to request the Attorneysubpoenas, and to request theorders or subpoenas, and to
General to bring actions for thatAttorney General to bring actions forrequest the Attorney General to
purpose. (Sec. 164)that purpose. (Sec. 154)bring actions for that purpose.
(Sec. 154)
iki/CRS-RL32795Establishes three tiers of fines: (1)Establishes three tiers of fines: (1)Establishes three tiers of fines:
g/w$10,000 per day for violations of$10,000 per day for violations of(1) $10,000 per day for violations
s.or
leakorders, etc., (2) $50,000 per day fororders, etc., (2) $50,000 per day for aof orders, etc., (2) $50,000 per
recklessly engaging in an unsafe orpattern of misconduct or materialday for a pattern of misconduct
://wikiunsound practice, or a pattern ofbreach of fiduciary duty withor material breach of fiduciary
httpmisconduct or material breach offinancial gain to the entity orduty with financial gain to the
fiduciary duty with financial gain toindividual, and (3) up to a maximumentity or individual, and (3) up to
the entity or individual, and (3) up toof $2 million for knowingly engaginga maximum of $2 million for
a maximum of $2 million per dayin violations, breaches of fiduciaryknowingly engaging in
for knowingly engaging induties, or unsafe or unsound practicesviolations, breaches of fiduciary
violations, breaches of fiduciarythat cause substantial losses to aduties, or unsafe or unsound
duties, or unsafe or unsoundregulated entity. (Sec. 155)practices that cause substantial
practices that cause substantiallosses to a regulated entity.
losses to a regulated entity. (Sec. 155)


(Sec. 165)

CRS-41
H.R. 1461 (amendments
Provisionadopted during HouseH.R. 1461 (as reported)S. 190 (as reported)S. 190 (as introduced)
passage)
inal PenaltiesAnyone who participates directly orAnyone who participates directly orAnyone who participates directly
indirectly in the affairs of aindirectly in the affairs of a regulatedor indirectly in the affairs of a
regulated entity while underentity while under suspension orregulated entity while under
suspension or order of removal shallorder of removal shall be liable for asuspension or order of removal
be liable for a fine of up to $1fine of up to $1 million, or five yearsshall be liable for a fine of up to
million, or five years imprisonment. imprisonment. (Sec. 156)$1 million, or five years
(Sec. 167)imprisonment. (Sec. 156)
iki/CRS-RL32795In addition to the study in Section(1) The Federal Reserve shall study(1) The Director and federal bank
g/w182 (described to the right), theand report to Congress on the effectsregulators shall report to
s.or
leakreported bill calls for (1) a study byof the Basel II Capital Accord onCongress on holdings of GSE
the Director of the effect thatregulated entities. (Sec. 401)debt by insured depository
://wikirestrictions on conforming loan(2) The Director and federal bankinstitutions and whether such
httplimits have on mortgage markets;regulators shall report to Congress onholdings are a source of systemic
(2) a study on guarantee fees by theholdings of GSE debt by insuredrisk.
Comptroller General in consultationdepository institutions and whether(2) The Director, in consultation
with the federal banking agenciessuch holdings are a source ofwith GAO, shall report to
and the new director of the FHFA;systemic risk. (Sec 403) (3) TheCongress on GSE portfolio
(3) a review by the GSEs ofDirector shall submit a quarterlyoperations, risk management, and
disparities in interest rates chargedreport to Congress on the risk-basedmission. (3) The Director shall
on mortgages for minoritycapital levels for the enterprises. report to Congress on the
borrowers; (4) an affordable housing(Sec. 404) (4) The GAO shallappropriate level of debt issuance
study related to long-term-caresubmit an annual report to Congress,by GSEs. (4) The Director shall
facilities; andwith recommendations, on thesubmit a quarterly report to
(5) a study of alternative secondaryallocation of resources within theCongress on the risk-based



CRS-42
H.R. 1461 (amendments
Provisionadopted during HouseH.R. 1461 (as reported)S. 190 (as reported)S. 190 (as introduced)
passage)
mortgage markets systems, such asAgency and the level of assessmentscapital levels for the enterprises.
privatization or competition fromcollected from the regulated entities. (5) The GAO shall submit an
new GSEs.(Sec. 405) (5) The Director shallannual report to Congress, with
conduct an ongoing study ofrecommendations, on the
guarantee fees, and collect dataallocation of resources within the
regarding such fees. The DirectorAgency and the level of
shall submit an annual report toassessments collected from the
iki/CRS-RL32795Congress regarding the amount ofregulated entities. (Sec. 161)
g/wsuch fees and the way they are set. (6) The Federal Reserve shall
s.or(Sec. 406) (6) The Agency, the SEC,study and report to Congress on
leakand the Treasury shall study andthe effects of the Basel II Capital
report to Congress on registration ofAccord. (Sec. 401)


://wikidebt securities of regulated entities
httpunder the Securities Act of 1933.
(Sec. 407)
All reports required by this title shall
include recommendations regarding
legislation, regulations, or other
actions to deal effectively and
appropriately with the issues raised.
(Sec. 408)

CRS-43
H.R. 1461 (amendments
Provisionadopted during HouseH.R. 1461 (as reported)S. 190 (as reported)S. 190 (as introduced)
passage)
Eliminates the requirement that fiveAbolishes the requirement that fiveAbolishes the requirement that
ent ofdirectors on the boards of Fanniedirectors on the boards of Fannie Maefive directors on the boards of
irectorsMae and Freddie Mac be appointedand Freddie Mac be appointed by theFannie Mae and Freddie Mac be
by the President. Reduces the sizePresident. appointed by the President.
of enterprise boards from 18 to(Sec. 172)(Sec. 172)


between 7 and 15. (Sec. 181)
iki/CRS-RL32795
g/w
s.or
leak
://wiki
http

CRS-44
H.R. 1461 (amendments
Provisionadopted during HouseH.R. 1461 (as reported)S. 190 (as reported)S. 190 (as introduced)
passage)
Title II: Federal Home Loan Bank Provisions.
Provides that boards of FHLBs shallProvides that all directors of FederalProvides that all directors of
contain 13 members, or suchHome Loan Banks shall be elected byFederal Home Loan Banks shall
number as the Director determines,the membership. The 13-memberbe elected by the membership.
all elected by the membership (noneboards shall include (1) memberThe 13-member boards shall
appointed). A majority of eachdirectors — officers or directors ofinclude (1) member directors —
iki/CRS-RL32795board shall consist of memberdirectors — officers or directors ofmember banks located in the bankdistrict — and (2) at least five non-officers or directors of memberbanks located in the bank district
g/wmember banks located in the FHLBmember directors (at least 1/3 of the— and (2) at least five
s.or
leakdistrict. At least 1/3 of the membersboard), who shall be residents of thenonmember directors, who shall
shall be independent directors: bonabank district, and who shall include atbe residents of the bank district,
://wikifide residents of the bank district, atleast two representatives of consumerand who shall include at least
httpleast two of whom representor community interests. Directors’two representatives of consumer
consumer or community interests. terms are extended from three to fouror community interests.
Other independent directors shallyears. Directors’ terms are extended
have financial or management(Sec. 201)from three to four years.
expertise. Independent directors(Sec. 201)


may not serve as officers of a FHLB
or member bank. Terms of service
are set at four (rather than three)
years. The cap on director pay is
lifted, but compensation must be
reasonable and appropriate.
(Sec. 202)

CRS-45
H.R. 1461 (amendments
Provisionadopted during HouseH.R. 1461 (as reported)S. 190 (as reported)S. 190 (as introduced)
passage)
ssuing FacilityNo directly comparable provision,Establishes a Federal Home LoanEstablishes a Federal Home Loan
but permits two or more FHLBs toBank Finance facility to issue andBank Finance Corporation (as a
establish a joint office to provideservice debt obligations, to act asjointly owned subsidiary of the
services to banks on a common orfiscal agent, and to perform otherFederal Home Loan Banks) to
collective basis. The FHLBs mayfunctions now performed by theissue and service debt
require the Office of Finance toOffice of Finance. Provides for aobligations, to act as fiscal agent,
provide such services as the banksgoverning Board of Directors,and to perform other functions
iki/CRS-RL32795are authorized to perform or providecomprising the presidents of thenow performed by the Office of
g/windividually. (Sec. 204)Federal Home Loan Banks, and setsFinance. Provides for a
s.orout the Board’s duties and powers. governing Board of Directors,
leak(Sec. 204)comprising the presidents of the
Federal Home Loan Banks, and
://wikisets out the Board’s duties and
httppowers. (Sec. 204)
Mergers andPermits voluntary mergers betweenNo comparable provisionNo comparable provision
anizationFHLBs, subject to the approval and
regulation of the Director. (Sec. 206)
munityInsured depository institutions withNo comparable provisionNo comparable provision


nstitutionless than $1 billion in assets may use
bersFederal Home Loan Bank advances
for lending to community
development activities, and use such
secured loans as collateral for
advances generally. (Sec. 208)

CRS-46
H.R. 1461 (amendments
Provisionadopted during HouseH.R. 1461 (as reported)S. 190 (as reported)S. 190 (as introduced)
passage)
ption fromExempts the Federal Home LoanExempts the Federal Home LoanExempts the Federal Home Loan
Banks from certain disclosureBanks from certain disclosureBanks from certain disclosure
requirements with regard torequirements with regard torequirements with regard to
entstransactions involving capital stocktransactions involving capital stocktransactions involving capital
of the banks. Shares of Federalof the banks. Shares of Federalstock of the banks. Shares of
Home Loan Bank capital stock areHome Loan Bank capital stock areFederal Home Loan Bank capital
defined as “exempted securities.” defined as “exempted securities.” stock are defined as “exempted
iki/CRS-RL32795Debentures, bonds, and other FHLBDebentures, bonds, and other debtsecurities.” Debentures, bonds,
g/wdebt obligations are defined asobligations are defined as “exemptedand other debt obligations are
s.or“exempted securities” andsecurities” and “governmentdefined as “exempted securities”
leak“government securities.” A personsecurities.” A person that effectsand “government securities.” A
that effects transactions in Federaltransactions in Federal Home Loanperson that effects transactions in
://wikiHome Loan Bank capital stock orBank capital stock or otherFederal Home Loan Bank capital
httpother obligations is excluded fromobligations is excluded from thestock or other obligations is
the definition of “governmentdefinition of “government securitiesexcluded from the definition of
securities dealer.” The Federaldealer.” The Federal Home Loan“government securities dealer.”
Home Loan Banks shall be exemptBanks shall be exempt from reportingThe Federal Home Loan Banks
from reporting requirementsrequirements regarding related partyshall be exempt from reporting
regarding related party transactionstransactions and sale of unregisteredrequirements regarding related
and sale of unregistered securities. securities. Tender offer rules shallparty transactions and sale of
Tender offer rules shall not apply tonot apply to transactions in Federalunregistered securities. Tender
transactions in Federal Home LoanHome Loan Bank capital stock. offer rules shall not apply to
Bank capital stock. (Sec. 205)transactions in Federal Home
(Sec. 207)Loan Bank capital stock.
(Sec. 205)



CRS-47
H.R. 1461 (amendments
Provisionadopted during HouseH.R. 1461 (as reported)S. 190 (as reported)S. 190 (as introduced)
passage)
itations onNo comparable provisionThe Agency may prohibit or limit, byThe agency may prohibit or limit,
regulation or order, any goldenby regulation or order, any
parachute or indemnificationgolden parachute or
payment. Sets out criteria that theindemnification payment that
Agency may consider in decidingwould be received by any
whether to prohibit a payment.affiliated party when there is a
(These provisions apply to allreasonable basis to believe that
iki/CRS-RL32795regulated entities.) (Sec. 112)the party may have committed
g/wfraud or breach of fiduciary duty
s.orthat had a material impact on the
leakbank’s financial condition, or
where there is a reasonable basis
://wikito believe that the party was
httpsubstantially responsible for the
bank’s insolvency, troubled
condition, or for the appointment
of a conservator or receiver, and
other factors. (As in Sec. 111,
“golden parachute” is defined as
a post-employment payment that
would be received by any
enterprise-affiliated party after an
enterprise had become insolvent,
had been determined to be in a
troubled condition, or following
the appointment of a conservator
or receiver.) (Sec. 206)



CRS-48
H.R. 1461 (amendments
Provisionadopted during HouseH.R. 1461 (as reported)S. 190 (as reported)S. 190 (as introduced)
passage)
Transition Provisions.
ent ofVarious provisions dealing withVarious provisions dealing withVarious provisions dealing with
nd theabolition of OFHEO and the FHFB,abolition of OFHEO and the FHFB,abolition of OFHEO and the
transfer of certain HUD employeescontinuation of certain regulations,FHFB, continuation of certain
oardto the agency, continuation oftransfer of property and facilities,regulations, transfer of property
certain regulations, transfer ofemployee rights and benefits, etc. and facilities, employee rights
iki/CRS-RL32795property and facilities, employeerights and benefits, etc. (Title III)(Title III)and benefits, etc. (Title III)
g/w
s.ore DateSix months after the date ofOne year after the date of enactment,The date of enactment, except asThe date of enactment, except as
leakenactment, unlessunless otherwise specified. specifically provided otherwise. specifically provided otherwise.
://wikiotherwise specified.(Secs. 184 and 210)(Sec. 163)(Sec. 173)


http