Industry Vigilant to Halt Congressional G-Fee Hikes
March 1, 2013
The mortgage industry remains on guard and is fully prepared to rebuff further attempts by lawmakers to squeeze Fannie Mae and Freddie Mac guaranty fee revenue to fund non-government-sponsored enterprise related pet projects, experts say. Congress passage in early 2012 of a payroll tax cut extension bill set a dangerous precedent and emboldened lawmakers to look to the GSEs as a piggy-bank by mandating an increase and using the funds to offset the costs of other programs, according to Robert Zimmer, head of external affairs at the Community Mortgage Lenders of America. Im shocked that Im not hearing anything right now on diverting g-fees to other parts of the federal budget, said Zimmer. I think there has been some hardening in town that this is a bad idea but when [Congress is] desperate for money, anything can happen.