Scott, Colleagues Call on FHFA Director to End Waste, Politicization at Agency
“The mission of strengthening the housing finance system to ensure homeownership is affordable is too important to be subject to a partisan political agenda, as was done under the Biden Administration,” wrote the Banking Committee Republicans.
Washington, D.C. – Chairman Tim Scott (R-S.C.) led all Banking Committee Republicans in calling on Federal Housing Finance Agency (FHFA) Director Bill Pulte to root out government waste and return the agency and its regulated entities to their core mission of strengthening our housing finance system. Chairman Scott was joined on the letter by Senators Mike Crapo (R-Idaho), Mike Rounds (R-S.D.), Thom Tillis (R-N.C.), John Kennedy (R-La.), Bill Hagerty (R-Tenn.), Cynthia Lummis (R-Wyo.), Katie Britt (R-Ala.), Pete Ricketts (R-Neb.), Jim Banks (R-Ind.), Kevin Cramer (R-N.D.), Bernie Moreno (R-Ohio), and Dave McCormick (R-Pa.).
In a letter to Director Pulte, Scott and his colleagues wrote, “In your confirmation hearing, you promised to work to eliminate waste, fraud, and abuse wherever it exists. I am encouraged by your dedication to that cause in your short time as Director. According to reports, you discovered that the FHLBank of San Francisco agreed to make a multimillion-dollar payment to a former Biden political appointee who had worked there only for a few months as part of a separation agreement. You also revealed that only a tiny fraction of the employees at Fannie Mae—49 of 2900—have been coming to the office for the full work week despite an office lease costing tens of millions of dollars every year. These examples raise serious concerns regarding the extent to which the Enterprises and FHLBanks are effectively stewarding their resources.”
The letter concluded, “The American dream will remain out of reach for so many if the agencies tasked with serving the housing market are serving themselves. I urge you to continue identifying waste, fraud, and abuse as well as inefficiencies at the FHFA and its regulated entities. Please provide an update on the results of your efforts to identify waste, fraud, and abuse and to refocus the entities within your purview. The Committee stands ready to work with you on any statutory obstacles that may be hindering a flourishing housing finance system.”
To read the full letter, click here.
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