White House

Battle over FHA Reform Takes Shape on Capitol Hill 

As the House Financial Services Committee begins work this week on a $300 billion proposal that would expand the Federal Housing Administration’s authority to purchase and refinance troubled mortgages, battle lines are emerging between White House leaders and Congressional Democrats over the proposal. Committee Chairman Barney Frank (D-MA) has pushed for the proposal, and reiterated his stance Thursday, suggesting that should lawmakers fail to pass new housing legislation, the U.S. recession will be worse than most expect.