[Congressional Bills 107th Congress]
[From the U.S. Government Publishing Office]
[H.R. 3926 Introduced in House (IH)]







107th CONGRESS
  2d Session
                                H. R. 3926

  To repeal a scheduled increase in the fee charged by the Government 
    National Mortgage Association for guarantee of mortgage-backed 
                              securities.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                             March 12, 2002

 Mr. LaFalce introduced the following bill; which was referred to the 
                    Committee on Financial Services

_______________________________________________________________________

                                 A BILL


 
  To repeal a scheduled increase in the fee charged by the Government 
    National Mortgage Association for guarantee of mortgage-backed 
                              securities.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. CONGRESSIONAL FINDINGS.

    The Congress finds that--
            (1) the Government National Mortgage Association (known as 
        Ginnie Mae) plays a critical role in facilitating a secondary 
        market for mortgage loans insured by the Federal Housing 
        Administration (FHA) or the Rural Housing Service (RHS), 
        mortgage loans guaranteed by the Department of Veterans Affairs 
        (VA), and other federally insured mortgage loans;
            (2) Ginnie Mae is projected to make almost $400,000,000 in 
        profits (negative credit subsidy) in fiscal year 2003 under its 
        current revenue structure;
            (3) the annual fee that Ginnie Mae charges to make a 
        secondary market is scheduled to increase by 50 percent in 
        2004;
            (4) the revenue derived from the scheduled fee increase was 
        originally intended to be used for non-housing purposes, but 
        now will be used to increase the level of Federal receipts 
        produced by Ginnie Mae;
            (5) the scheduled fee increase will impose a cost on home 
        buyers utilizing FHA, RHS, and VA federally insured or 
        guaranteed residential mortgage loans; and
            (6) this fee increase will raise the cost of home ownership 
        and make it more difficult for first-time home buyers to buy a 
        home.

SEC. 2. REPEAL OF GNMA GUARANTEE FEE INCREASE.

    Section 972 of the Higher Education Amendments of 1998 (Public Law 
105-244; 112 Stat. 1837) is hereby repealed.
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