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The White House has finalized plans from the Treasury Department to reform the government-sponsored enterprises (GSEs), Fannie Mae and Freddie Mac, proposing to release them from federal control.

"We appreciate the Trump Administration's commitment to reforming our housing finance system by working to promote competition and putting an end to taxpayer bailouts," said NAFCU President and CEO Dan Berger. "Moving forward, NAFCU will continue to work with the administration, Treasury and Congress to ensure guaranteed access to the secondary mortgage market for lenders of all sizes, loan pricing at the GSEs that is based on quality not quantity, and the establishment of an explicit government guarantee at the GSEs to provide certainty in the marketplace."

Credit unions will get additional insights into this plan Wednesday at Congressional Caucus when Federal Housing Finance Agency (FHFA) Director Mark Calabria speaks. Senate Banking Committee Ranking Member Sherrod Brown, D-Ohio, is also set to address attendees Wednesday; the committee has a hearing scheduled next week to discuss housing finance reform with Calabria, Treasury Secretary Steven Mnuchin and Department of Housing and Urban Development Secretary Ben Carson.

NAFCU has been the leading voice for credit unions during housing finance reform discussions. The association continues to work closely with administration officials – including Calabria, with whom Treasury collaborated on its plan – lawmakers and other stakeholders to ensure credit unions' unhindered access to the secondary mortgage market.

Calabria agreed with NAFCU during a June meeting that final housing finance reform plans need to ensure fair pricing and equal access to lenders of all size – the Treasury's plan supports legislation to do that. Calabria's comments came just after he presented the agency's annual Report to Congress, which offered support for a number of NAFCU's housing finance reform principles.

While NAFCU is supportive of allowing the GSEs to rebuild capital, it recommended that the FHFA allow the GSEs to submit capital restoration plans as allowed under the Housing and Economic Recovery Act – a provision that makes clear Congress envisioned a path to remove the GSEs from conservatorship. The association also believes that restoration plans shouldn't be approved until Congress has agreed to codify certain safeguards