Momentum Surges for Effort to Create New GSE Regulator

American Banker (07/15/08) P. 1; Blackwell, Rob
Prior to the proposal of a plan by the Treasury Department to prevent the failure of Fannie Mae or Freddie Mac, observers believed Sen. Richard Shelby, R-Ala., was in the driver's seat behind legislation that would create a new regulator for the government-sponsored enterprises, but it appears that House Financial Services Committee Chairman Barney Frank, D-Mass., now may have the upper hand given the urgency to implement the plan. Observers say Frank has the opportunity to revise the bill passed by the Senate after much negotiation between Shelby and Senate Banking Committee Chairman Christopher Dodd, D-Conn., which likely will involve a hike in the conforming loan limit and a delayed enactment date for the new regulator--provisions opposed by Shelby.