Reps. Oxley and Frank Urge Higher OFHEO Funding Levels

October 1, 2004

House Financial Services Chairman Michael G. Oxley (OH) and Ranking Minority Member Barney Frank (MA) have written to the leadership of the House Appropriations Committee to support higher, fiscal year 2005 funding levels for the Office of Federal Housing Enterprise Oversight (OFHEO) in the continuing resolution process. In fiscal year 2004, OFHEO’s funding level was $39.9 million, while the 2005 level is $59.2 million.

Oxley said, “OFHEO is in the middle of a special examination of Fannie Mae and deserves financial support as it continues its important oversight work. I’m concerned that the funding level is inadequate.”

Frank said, "At a point when OFHEO is performing a valuable service in calling attention to financial missteps at Fannie Mae, it sends exactly the wrong message to underfund its already inadequate budget."

The letter was signed by the leadership of the Subcommittee on Capital Markets, Insurance and Government Sponsored Enterprises, Subcommittee Chairman Richard H. Baker (LA) and Ranking Minority Member Paul Kanjorski (PA).

OFHEO is funded through assessments on the government sponsored enterprises it regulates.