Associations: G-Fees Should Not Be Used as a Funding Offset

ABA and several other housing and mortgage associations wrote to Congress yesterday urging the House and Senate Budget Committees to include a provision in the FY 2017 Budget Resolutions prohibiting the use of Fannie Mae and Freddie Mac guarantee fees as a funding offset. The associations pointed out that a similar provision was included last year, which prevented Congress from taxing homeowners to pay for unrelated spending.

“Homeownership cannot, and must not, be used as the nation’s piggybank,” the groups wrote. “By preventing g-fees to be used as a funding offset, this budget point of order gives lawmakers a vital tool to prevent homeowners from footing the bill for unrelated spending.”

Last year, the Senate attempted to use g-fees to replenish the Highway Trust Fund, which ABA strongly opposed.