Rep. Tom Allen Votes for Housing Finance Accountability and a New Affordable Home Funding Program
U.S. Representative Tom Allen voted today for H.R. 1427, The Federal Housing Finance Reform Act of 2007, legislation to restore accountability to the operations of the Federal National Mortgage Association, known popularly as Fannie Mae, and the Federal Home Loan Mortgage Corporation, or Freddie Mac. The bipartisan bill also creates a non-taxpayer-financed Affordable Housing Fund financed by required contributions from Fannie Mae and Freddie Mac, to address the critical shortage of affordable housing across the country.
"This bill demonstrates that the new majority in Congress is committed to demanding accountability from these federally-chartered housing finance institutions," said Representative Allen. "The recent high-profile financial scandals involving both Fannie Mae and Freddie Mac have undermined the public's trust in these institutions and undermined their effectiveness in fulfilling their missions to make it possible for more American families to realize their dream of home ownership. The legislation I voted for today creates a strong, independent regulator to guard against the kinds of financial reporting and management irregularities that have plagued both institutions."
Representative Allen noted that since Democrats assumed leadership in January the House has passed a series of important reform measures, including the Accountability in Contracting Act, Small Business Contracting Reform Act, Whistleblower Protections Act, and Strengthening the Freedom of Information Act. He also pointed to strong accountability provisions in such bills as the Head Start Authorization, the Department of Homeland Security Authorization and the Intelligence Authorization bills.
"The Affordable Housing Fund the bill creates would dedicate hundreds of millions of dollars for the construction, maintenance and preservation of housing for low-income families nationwide over the next five years," Representative Allen said. "Maine and many other states face an affordable housing crisis, and this new fund is an important step toward providing the resources needed to assure the availability of decent homes people struggling to make ends meet can afford. I am encouraged by the strong bipartisan support the bill received in the House and urge the Senate to act swiftly to pass this crucial accountability measure."