Republicans applaud end of Fannie and Freddie's market dominance
Republican Congressman Spencer Bachus, chairman of the House Financial Services Committee, lauded the U.S. Treasury's proposal to wind down the influence of government-sponsored enterprises as encouraging and similar to plans proposed by Republicans two years ago. At the same time, Bachus (R-Ala.) said the Treasury's proposal is not enough, he wants lawmakers and the administration to quickly develop an actual plan that can be implemented. "The administration’s report today is just a start," Bachus said. "What we need is legislation that protects taxpayers from further losses and future bailouts and builds a stable housing finance system based on private capital.” Rep. Randy Neugebauer (R-TX), chairman of the House Financial Services Subcommittee on Oversight and Investigations, said the plan is one Republicans can work with. “I am encouraged with the Obama administration’s acknowledgment that there needs to be significantly more private market participation and private capital in the housing finance market, and their proposed steps to wind down Fannie Mae and Freddie Mac," Neugebauer said. "There are many aspects of the plan that are aligned with my own suggestions." Write to Kerri Panchuk.