Oxley, Frank Support Higher Funding Levels for OFHEO
WASHINGTON - House Financial Services Committee Chairman Michael Oxley (R-Ohio) and Ranking Minority Member Barney Frank (D-Mass.) wrote to the leadership of the House Appropriations Committee in support of higher, fiscal year 2005 funding levels for the Office of Federal Housing Enterprise Oversight, which regulates the housing Government Sponsored Enterprises. In their letter to Committee on Appropriations Chairman C.W. Bill Young (R-Fla.) and Ranking Member David Obey (D-Wis.) and which was also signed by Subcommittee on Capital Markets, Insurance, and Government Sponsored Enterprises Chairman Richard Baker (R-La.) and Ranking Member Paul Kanjorski (D-Pa.), Oxley and Frank called attention to the fact that "OFHEO is engaged in a comprehensive examination of the government sponsored enterprises Fannie Mae and Freddie Mac that has already revealed significant irregularities in these institutions. In order to ensure the safety and soundness of your secondary mortgage market, it is imperative that this examination continue." In fiscal year 2004, OFHEO's funding level was $39.9 million, and the Continuing Resolution would maintain that level for 2005. "Unfortunately this funding level would severely constrain OFHEO's ability to cotinue the special accounting examination of Fannie Mae and the ongoing litigation involving former Freddie Mac officials." The two congressmen encouraged the Appropriations Committee to approve a Continuing Resolution that funds OFHEO at the FY 2005 level of $59.2 million the Committee previously approved.