Dueling Congressional Letters Praise and Question New FHFA Director

April 8, 2025

Senate Republicans and Democrats have signaled growing interest—and in some cases, concern—about the direction of the Federal Housing Finance Agency (FHFA) under Director William Pulte. House Financial Services Ranking Member Maxine Waters (D-CA) also raised concerns in a letter sent yesterday. 

Republicans Call for Oversight and Accountability: On April 3, Senate Banking Committee Republicans led by Chairman Tim Scott (R-SC) sent a letter to Director Pulte expressing concerns over waste, fraud, and abuse at the agency. 

“The American dream will remain out of reach for so many if the agencies tasked with serving the housing market are serving themselves. I urge you to continue identifying waste, fraud, and abuse, as well as inefficiencies at the FHFA and its regulated entities.” — Sen. Tim Scott (R-SC)

To that end, the letter praises Pulte for two specific actions:

  • An interview where Pulte claims to have uncovered a multimillion dollar settlement between the Federal Home Loan Bank of San Francisco and “a former Biden political appointee who had worked there only for a few months.”
  • Pulte’s claim that only 49 of 2900 Fannie Mae employees were reporting to the office in person for the full work week.

Democrats Question Recent FHFA Actions and Procedure: Two earlier letters from a mix of Senate Democrats question recent moves by Pulte, including a number of FHFA and government sponsored enterprise dismissals and policy reversals. 

Sen. Lisa Blunt Rochester (D-DE) led a letter, co-signed by seven fellow Democrats, that raised concerns and requested answers to a series of questions: 

  • Specific plans on GSE conservatorship exit,
  • FHFA and the GSE personnel cuts, 
  • FHFA’s coordination with the Department of Government Efficiency (DOGE), 
  • Director Pulte’s publication of orders through a personal X account, and
  • The legality of the FHFA Director serving on GSE boards. 
Sen. Jack Reed (D-RI) led a similar letter that focused on FHFA’s changes to Fannie Mae’s and Freddie Mac’s boards. Reed and five of his colleagues allege that the changes to GSE boards resulted in a lack of a majority of independent directors, which the letter claims is required under FHFA and SEC regulations.

Both Democratic letters are a sharp departure from Pulte’s smooth committee hearing (see our previous coverage), though most of the questions during the hearing were focused on the CFPB nominee. 

Meanwhile, Rep. Maxine Waters (D-CA) followed up with a letter on April 5 that echoed the themes of the Senate Democrats’ letter and questioned the dismantling of various diversity inclusion offices and programs. Waters cited statutory provisions in Dodd-Frank and the Housing and Economic Recovery Act that mandate Offices of Minority and Women Inclusion at each financial regulator. 
 
CREFC will continue to monitor congressional engagement with FHFA.
 
Contact David McCarthy (dmccarthy@crefc.org) with any questions. 
 

Contact 

David McCarthy
Managing Director,
Chief Lobbyist, Head of Legislative Affairs
202.448.0855
dmccarthy@crefc.org
The information provided herein is general in nature and for educational purposes only. CRE Finance Council makes no representations as to the accuracy, completeness, timeliness, validity, usefulness, or suitability of the information provided. The information should not be relied upon or interpreted as legal, financial, tax, accounting, investment, commercial or other advice, and CRE Finance Council disclaims all liability for any such reliance. © 2025 CRE Finance Council. All rights reserved.

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