The Federal Housing Finance Agency today issued a request for input on the mission of the Federal Home Loan Bank system as the agency considers next steps for related rulemaking. FHFA expects to issue a proposed rule on FHLB‘s mission, and responses will be considered in the development of that rulemaking.
FHFA’s recent report, “Federal Home Loan Bank System at 100: Focusing on the Future,” recommended that the agency clarify the FHLB system’s mission and update how it evaluates system banks achieving those goals.
The agency is requesting public input in three categories: updating the regulatory statement of the FHLB system’s mission to better reflect its appropriate role in the housing finance system; developing metrics and thresholds to evaluate mission achievement; and identifying how the system’s banks could incorporate incentives for members with a “strong and demonstrable connection” to the FHLB mission. The American Bankers Association’s Federal Home Loan Bank Committee will meet to discuss the RFI and ABA’s response in the coming weeks. Feedback is due by July 15, 2024.
