Biden Nominates Thompson as FHFA Director
December 20, 2021
On December 14, President Biden announced the nomination of Sandra Thompson to serve as Director of the Federal Housing Finance Agency (FHFA). Thompson is currently serving as the Acting FHFA Director. The post has been vacant since Biden fired former Director Mark Calabria after a June 2021 Supreme Court ruling that found the FHFA Director must be removable by the President at will.
Speculation on a permanent replacement has swirled for months, although House Financial Services Chairwoman Maxine Water (D-CA) had publicly urged Biden to select Thompson as a permanent replacement. Senate Banking Chairman Sherrod Brown (D-OH) lauded her nomination, as well.
While there are no obvious roadblocks to Thompson’s confirmation, the process will likely put the larger question of GSE reform back in the spotlight, at least momentarily. As Acting Director, Thompson has already proposed scrapping Calabria’s GSE Capital Rule and the Administration has not made ending the conservatorship a priority.
Affordability, rather, will likely continue to be a major focus for Thompson and FHFA. While FHFA raised the multifamily caps for 2022, it kept in place most of the affordability driven metrics. Click here for more information on the caps.