Rep. Nydia Velázquez (D-N.Y.) announced legislation to restrict government-sponsored mortgage giants Fannie Mae and Freddie Mac from having a lobbying arm.
The Fannie Mae and Freddie Mac Lobbying Regulation Act was introduced with Rep. Bill Foster (D-Ill.) and two Republicans, Reps. Barry Loudermilk of Georgia and Trey Hollingsworth of Indiana.
After the 2008 housing market crisis, the Federal Housing Finance Administration banned the two entities from lobbying, but exact the provisions and specific restrictions of the ban remain unclear.
Senior Fannie Mae and Freddie Mac officials have reportedly been pushing legislation to take control of the companies away from the federal government.
“It’s been over a decade since Congress placed Fannie and Freddie into conservatorship. I am deeply distressed to learn of acts by senior Fannie and Freddie officials trying to influence and control management of the agencies,” Velázquez in the release. “Congress is the only authority equipped to make decisions on the future of Fannie and Freddie.”
Presidential hopeful Sen. Elizabeth Warren (D-Mass.) also introduced a bill this month to cap the pay of top executives at the companies after reports found that some were paid millions through a loophole while others are subject to a congressionally-mandated pay cap.