He says financial reforms are being stalled in Washington by the “Elizabeth Warren phenomenon.” Rep. Maxine Waters favored the bill two years ago but he says she has yielded to pressure from other Democratic lawmakers to now oppose it, which indicates how Warren’s influence has risen. Warren said the measure “is about preserving a cash cow for the mortgage industry and not about access to credit.”
As for housing finance reform, he says Congress will only deal with that if the GSEs need additional funding, and that discussion should continue towards a post-GSE world. He says repealing the Dodd-Frank Act will not happen, but he thinks the possibility exists for small but significant steps in how the law is enforced, adding that bipartisan support is feasible for easing the regulatory burden on community banks. ##
(Photo credit: nationalmortgagenews--Rep Patrick McHenry)
