WASHINGTON–Legislation to reform the government sponsored enterprises was still being marked up at press time last week, but one provision supported by NAFCU had been accepted by the committee.

The Federal Housing Finance Reform Act (H.R. 1427)–better known as the GSE bill–was in the midst of a full committee mark up at press time. NAFCU was on the scene, helping to push through an amendment for greater regulatory flexibility. The original language would have allowed the agency to increase minimum capital levels through regulation or temporarily for regulated entities if there are serious safety and soundness concerns. The amendment, sponsored by the bill's main sponsor Barney Frank (D-Mass.) and co-sponsor Gary Miller (R-Calif.), would give the regulator more flexibility to rescind those orders when the issues are addressed. The amendment makes GSE capital regulation comparable to capital oversight by bank regulators, according to NAFCU.