[Federal Register Volume 64, Number 29 (Friday, February 12, 1999)]
[Notices]
[Pages 7406-7407]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 99-3465]



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Part VI





Department of Housing and Urban Development





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 Delegation of Authority to the Assistant Secretary and the Deputy 
Assistant Secretary for Housing-Federal Housing Commissioner; Notice



Redelegation of Authorities to the Assistant Secretary for Fair Housing 
and Equal Opportunity; Notice

  Federal Register / Vol. 64, No. 29 / Friday, February 12, 1999 / 
Notices  

[[Page 7406]]



DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT

[Docket No. FR-4461-D-01]


Delegation of Authority Under the Federal Housing Enterprises 
Financial Safety and Soundness Act of 1992 to the Assistant Secretary 
for Housing-Federal Housing Commissioner and the Deputy Assistant 
Secretary for Housing-Deputy Federal Housing Commissioner

AGENCY: Office of the Secretary, HUD.

ACTION: Notice of delegation of authority.

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SUMMARY: This notice delegates to the Assistant Secretary for Housing-
Federal Housing Commissioner and the General Deputy Assistant Secretary 
for Housing-Deputy Federal Housing Commissioner certain of the 
Secretary's powers and authorities under the Federal Housing 
Enterprises Financial Safety and Soundness Act of 1992.

EFFECTIVE DATE: February 5, 1999.

FOR FURTHER INFORMATION CONTACT: Janet A. Tasker, Acting Director, 
Government Sponsored Enterprise Staff, Room 6154, telephone (202) 708-
2224; or for legal questions, contact Kenneth Markison, Assistant 
General Counsel for GSE/RESPA, Room 9262, telephone (202) 708-3137 
(these are not toll-free numbers). The address for both persons is 
Department of Housing and Urban Development, 451 Seventh Street, S.W., 
Washington, D.C. 20410. For hearing-and speech-impaired persons, the 
telephone numbers may be accessed via TTY (text telephone) by calling 
the Federal Information Relay Service at 1-800-877-8339.

SUPPLEMENTARY INFORMATION: Under the Federal Housing Enterprises 
Financial Safety and Soundness Act of 1992 (FHEFSSA) (12 USC 4501 et 
seq.), the Secretary of Housing and Urban Development has general and 
specific regulatory authorities respecting the Federal National 
Mortgage Association (Fannie Mae) and the Federal Home Loan Mortgage 
Corporation (Freddie Mac) (collectively, the Government-Sponsored 
Enterprises or GSEs). FHEFSSA's purpose is to establish a regulatory 
framework for the GSEs that reflects their unique status as government-
sponsored enterprises that receive substantial public benefits. FHEFSSA 
substantially overhauled the regulatory authorities and structure for 
GSE regulation.
    Under FHEFSSA, the Secretary is responsible for establishing 
housing goals for the GSEs' purchases of mortgages financing: housing 
for low-and moderate-income families; housing located in central 
cities, rural areas, and other underserved areas; and special 
affordable housing to meet the unaddressed needs of low-income families 
in low-income areas and very low-income families. In addition, FHEFSSA 
mandates that the Secretary: prohibit the GSEs from discriminating in 
their mortgage purchases; require the GSEs to submit data to assist 
investigations of mortgage lenders under the Fair Housing Act and the 
Equal Credit Opportunity Act (ECOA); obtain information on Fair Housing 
Act and ECOA violations and provide such information to the GSEs; 
direct the GSEs to take remedial actions against lenders with 
discriminatory lending practices; and periodically review and comment 
on the GSEs' underwriting and appraisal guidelines to ensure that the 
guidelines are consistent with FHEFSSA and the Fair Housing Act. 
FHEFSSA also sets forth requirements for the Secretary's review and 
approval of the GSEs' new programs, for GSE submission of mortgage 
purchase data and reports to the Secretary, for the Secretary's 
dissemination of data and protection of proprietary information, and 
for enforcement and other proceedings. The Secretary implemented these 
responsibilities in a regulation codified at 24 CFR part 81.
    This notice delegates certain specified powers and authorities of 
the Secretary under FHEFSSA to the Assistant Secretary for Housing-
Federal Housing Commissioner. No previous delegation of this authority 
has been published in the Federal Register. The authority delegated 
under this notice does not, however, include the Secretary's general 
regulatory power (except to the extent that it authorizes the issuance 
of regulations), authority provided to Administrative Law Judges in 24 
CFR part 81, or the authority to: determine whether data is 
proprietary; issue orders providing that data is proprietary; submit 
annual reports to Congress; or make certain income adjustments or 
determinations. The authority delegated under this notice includes the 
authority to issue rules and regulations under FHEFSSA, waive such 
regulations, and take other appropriate actions, as specified, to 
implement FHEFSSA. When taking actions involving the Office of Federal 
Housing Enterprise Oversight (OFHEO), the delegatees shall consult with 
the Secretary.
    Accordingly, the Secretary hereby delegates the following:

Section A. Authority

    1. With the exception of the income adjustments and determinations 
under 12 U.S.C. 4502(8)(B), (9), (10)(B), and (19)(B), and the 
authority and power provided to Administrative Law Judges under 24 CFR 
81.82(b)(2) and (b)(3), 81.83(d)(3)-(4), and 81.84, the Secretary 
delegates to the Assistant Secretary for Housing-Federal Housing 
Commissioner and the General Deputy Assistant Secretary for Housing-
Deputy Federal Housing Commissioner all the power and authority with 
respect to housing goal activities in 12 U.S.C. 4502 and 4561-88 
including, but not limited to: monitoring the GSEs' performance under 
the housing goals and enforcing compliance with the goals, including 
determining whether a GSE has failed, or is likely to fail, to meet a 
housing goal; providing written notices to the GSEs of failure or 
substantial probability of failure to meet a goal; extending response 
periods for the GSEs; requiring a housing plan; providing required 
notices to Congress under the housing goal provisions; reviewing 
housing plans; approving and disapproving housing plans; monitoring 
compliance with housing plans; issuing cease-and-desist orders and 
imposing civil money penalties; requesting the Attorney General to 
bring actions; settling and depositing civil money penalties; and 
making orders and agreements publicly available.
    2. With the exception of the authority and power provided to 
Administrative Law Judges under 24 CFR 81.46(e)(1), the Secretary 
delegates to the Assistant Secretary for Housing-Federal Housing 
Commissioner and the General Deputy Assistant Secretary for Housing-
Deputy Federal Housing Commissioner all the power and authority under 
the Fair Housing provisions of FHEFSSA at 12 U.S.C. 4545 and under 
regulations at 24 CFR part 81, subpart C, including, but not limited 
to: prohibiting each GSE from discriminating in any manner in the 
purchase of any mortgage because of race, color, religion, sex, 
handicap, familial status, age, or national origin, including any 
consideration of the age or location of the dwelling or the age of the 
neighborhood or census tract where the dwelling is located in a manner 
that has a discriminatory effect; requiring each GSE to submit data to 
assist in investigating whether a mortgage lender with which a GSE does 
business has failed to comply with the Fair Housing Act; requiring each 
GSE to submit data to assist in investigating whether a mortgage lender 
with which a GSE does business has failed to comply with the Equal 
Credit Opportunity Act (ECOA) and to submit information to ECOA 
enforcement agencies; obtaining information on Fair Housing Act and

[[Page 7407]]

ECOA violations and providing that to the GSEs; directing the GSEs to 
take remedial actions against lenders with discriminatory lending 
practices; reviewing and commenting on the GSEs' underwriting and 
appraisal guidelines to ensure that such guidelines are consistent with 
the Fair Housing Act and FHEFSSA; and requesting the Director of the 
Office of Federal Housing Enterprise Oversight to bring actions under 
12 U.S.C. 4631 and 12 U.S.C. 4636 to enforce violations of 12 U.S.C. 
4545.
    3. With the exception of the authority and power provided to 
Administrative Law Judges under 24 CFR 81.82(b)(2) and (b)(3), 
81.83(d)(3)-(4), and 81.84, the Secretary delegates to the Assistant 
Secretary for Housing-Federal Housing Commissioner and the General 
Deputy Assistant Secretary for Housing-Deputy Federal Housing 
Commissioner all the power and authority with respect to prior approval 
of new programs under 12 U.S.C. 4542 including, but not limited to: 
requiring that GSEs submit information about a program and requiring 
that GSEs submit new program requests under 24 CFR 81.52; approving and 
disapproving new program requests; extending the period for new program 
review.
    4. With the exception of the authority and power provided to 
Administrative Law Judges under 24 CFR 81.82(b)(2) and (b)(3), 
81.83(d)(3)-(4), and 81.84, the Secretary delegates to the Assistant 
Secretary for Housing-Federal Housing Commissioner and the General 
Deputy Assistant Secretary for Housing--Deputy Federal Housing 
Commissioner all the power and authority with respect to reporting 
activities in 12 U.S.C. 1456(e)-(f), 1723a(m)-(n), and 4547, and under 
24 CFR 81.102, including but not limited to: determining the form of 
data submitted; requiring the submission of additional data 
characteristics; requiring additional reports and other information 
concerning GSE activities; requiring the GSEs to provide data 
underlying any of the reports required under 24 CFR part 81 and to 
conduct additional analyses concerning any report required under 24 CFR 
part 81; and to independently verify the accuracy and completeness of 
data, information, and reports provided by each GSE, including 
conducting on-site verification when such steps are reasonably related 
to: determining whether a GSE is complying with 12 U.S.C. 4541-4589 and 
the GSEs' Charter Acts; establishing standards and procedures for and 
imposing civil money penalties; requesting the Attorney General to 
bring actions; settling and depositing civil money penalties; making 
orders and agreements publicly available; ); and requesting the 
Director of the Office of Federal Housing Enterprise Oversight to bring 
actions under 12 U.S.C. 4631 and 12 U.S.C. 4636 to enforce violations 
of 12 U.S.C. 1456(e)-(f), 1723a(m)-(n), and 4547, and 24 CFR 81.102.
    5. The Secretary delegates to the Assistant Secretary for Housing--
Federal Housing Commissioner and the General Deputy Assistant Secretary 
for Housing-Deputy Federal Housing Commissioner all the power and 
authority with respect to access to information activities in 12 U.S.C. 
4525, 4543, and 4546 including, but not limited to: recommending the 
invocation of 5 U.S.C. 552(b)(4), (6), and (8); and not providing 
public access to proprietary data.
    6. The Secretary delegates to the Assistant Secretary for 
Housing'Federal Housing Commissioner and the General Deputy Assistant 
Secretary for Housing-Deputy Federal Housing Commissioner all the power 
and authority with respect to book-entry procedure activities in 24 CFR 
part 81, subpart H, including, but not limited to establishing certain 
procedures for Federal Reserve Banks and waiving book-entry 
regulations.
    7. The Secretary delegates to the Assistant Secretary for Housing-
Federal Housing Commissioner and the General Deputy Assistant Secretary 
for Housing-Deputy Federal Housing Commissioner all the power and 
authority with respect to the Office of Federal Housing Enterprise 
Oversight (OFHEO) activities in 12 U.S.C. 4513(c), 4516(g)(1)-(2), and 
4548(b) including, but not limited to: reviewing and approving certain 
actions of the OFHEO Director; and receiving and commenting to Congress 
on OFHEO's financial plans, forecasts, and operations reports. When 
taking action relating to OFHEO under this paragraph, the Assistant 
Secretary for Housing--Federal Housing Commissioner and the General 
Deputy Assistant Secretary for Housing-Deputy Federal Housing 
Commissioner shall consult with the Secretary.
    8. The Secretary delegates to the Assistant Secretary for Housing-
Federal Housing Commissioner and the General Deputy Assistant Secretary 
for Housing-Deputy Federal Housing Commissioner all the power and 
authority with respect to issuing regulations under the Federal Housing 
Enterprises Financial Safety and Soundness Act of 1992 (12 U.S.C. 4501 
et seq.) and waiving regulations promulgated under such Act.
    9. The Secretary delegates to the Assistant Secretary for Housing--
Federal Housing Commissioner and the General Deputy Assistant Secretary 
for Housing-Deputy Federal Housing Commissioner the power and authority 
to take any appropriate action to implement the power and authority 
delegated under this delegation.

Section B. Authority to Redelegate

    The Assistant Secretary for Housing-Federal Housing Commissioner 
and the General Deputy Assistant Secretary for Housing-Deputy Federal 
Housing Commissioner may redelegate to employees of the Department any 
of the power and authority delegated under this delegation.

    Authority: Secs. 1302 and 1331-48 of the Federal Housing 
Enterprises Financial Safety and Soundness Act of 1992, 12 U.S.C. 
4502 and 4561-88; section 7(d), Department of Housing and Urban 
Development Act, 42 U.S.C. 3535(d).

    Dated: February 5, 1999.
Andrew Cuomo,
Secretary.
[FR Doc. 99-3465 Filed 2-11-99; 8:45 am]
BILLING CODE 4210-32-P