Agency says doing so will help ease regulatory burdens for smaller credit unions.
The proposal attempts to correct pricing disparities between Fannie Mae and Freddie Mac securities.
Mark McWatters has been cleared to become the next member of the NCUA Board.
College professor Mark McWatters will succeed Republican Michael Fryzel.
Senate leaders agreed to schedule a vote on the NCUA board nominee as early as next week.
A bill that would phase-out Fannie and Freddie is unlikely to pass a full Senate vote.
Dodd-Frank mandated tests, which include systemically catastrophic models, produce far worse results than FHFA's testing of Fannie and Freddie.
The Senate Banking, Housing and Urban Affairs Committee nomination hearing for Mark McWatters to serve on the NCUA Board has been rescheduled for March 13.
Confirmation hearing for NCUA board hopeful was postponed due to weather. New date with Senate Banking Committee is March 13.
Idaho Republican Sen. Mike Crapo made the request in a letter Tuesday to the Government Accountability Office.