§4512 — Title 12 Banks and Banking | U.S. Code

Summary

Creates a Director who leads the Agency. The President must appoint the Director, with the Senate’s approval. The Director must be a U.S. citizen and must show they understand financial management or oversight and capital markets, including mortgage securities and housing finance. The Director serves a 5-year term and can be removed for cause by the President. If a vacancy happens, the President and Senate fill it the same way and the new Director only serves the rest of the term. A Director may stay in the job after a term ends until a successor is confirmed. From the effective date of the Federal Housing Finance Regulatory Reform Act of 2008 until a new Director is appointed and confirmed, the person who was then Director of the Office of Federal Housing Enterprise Oversight will serve as Director with full powers. The Director must pick three Deputy Directors (Enterprise Regulation; Federal Home Loan Bank Regulation; and Housing Mission and Goals). Each deputy must be a U.S. citizen and have relevant knowledge (enterprise/mortgage markets; the Federal Home Loan Bank System; or housing markets and finance). The Director gives them their duties. If the Director dies, resigns, is sick, or is absent, the President will pick one deputy to serve as acting Director until the Director returns or a successor is appointed. The Director and all deputies must not hold money interests in, work for, or have been an executive or director of any regulated entity or related party during the 3 years before their appointment.

Title 12, §4512

Banks and Banking — Source: USLM XML via OLRC

(a)There is established the position of the Director of the Agency, who shall be the head of the Agency.

(b)(1)The Director shall be appointed by the President, by and with the advice and consent of the Senate, from among individuals who are citizens of the United States, have a demonstrated understanding of financial management or oversight, and have a demonstrated understanding of capital markets, including the mortgage securities markets and housing finance.

(2)The Director shall be appointed for a term of 5 years, unless removed before the end of such term for cause by the President.

(3)A vacancy in the position of Director that occurs before the expiration of the term for which a Director was appointed shall be filled in the manner established under paragraph (1), and the Director appointed to fill such vacancy shall be appointed only for the remainder of such term.

(4)An individual may serve as the Director after the expiration of the term for which appointed until a successor has been appointed.

(5)Notwithstanding paragraphs (1) and (2), during the period beginning on the effective date of the Federal Housing Finance Regulatory Reform Act of 2008, and ending on the date on which the Director is appointed and confirmed, the person serving as the Director of the Office of Federal Housing Enterprise Oversight of the Department of Housing and Urban Development on that effective date shall act for all purposes as, and with the full powers of, the Director.

(c)(1)The Agency shall have a Deputy Director of the Division of Enterprise Regulation, who shall be designated by the Director from among individuals who are citizens of the United States, have a demonstrated understanding of financial management or oversight, and have a demonstrated understanding of mortgage securities markets and housing finance.

(2)The Deputy Director of the Division of Enterprise Regulation shall have such functions, powers, and duties with respect to the oversight of the enterprises as the Director shall prescribe.

(d)(1)The Agency shall have a Deputy Director of the Division of Federal Home Loan Bank Regulation, who shall be designated by the Director from among individuals who are citizens of the United States, have a demonstrated understanding of financial management or oversight, and have a demonstrated understanding of the Federal Home Loan Bank System and housing finance.

(2)The Deputy Director of the Division of Federal Home Loan Bank Regulation shall have such functions, powers, and duties with respect to the oversight of the Federal Home Loan Banks as the Director shall prescribe.

(e)(1)The Agency shall have a Deputy Director for Housing Mission and Goals, who shall be designated by the Director from among individuals who are citizens of the United States, and have a demonstrated understanding of the housing markets and housing finance.

(2)The Deputy Director for Housing Mission and Goals shall have such functions, powers, and duties with respect to the oversight of the housing mission and goals of the enterprises, and with respect to oversight of the housing finance and community and economic development mission of the Federal Home Loan Banks, as the Director shall prescribe.

(3)In exercising such functions, powers, and duties, the Deputy Director for Housing Mission and Goals shall consider the differences between the enterprises and the Federal Home Loan Banks, including those described in section 4513(d) of this title.

(f)In the event of the death, resignation, sickness, or absence of the Director, the President shall designate either the Deputy Director of the Division of Enterprise Regulation, the Deputy Director of the Division of Federal Home Loan Bank Regulation, or the Deputy Director for Housing Mission and Goals, to serve as acting Director until the return of the Director, or the appointment of a successor pursuant to subsection (b).

(g)The Director and each of the Deputy Directors may not—

(1)have any direct or indirect financial interest in any regulated entity or entity-affiliated party;

(2)hold any office, position, or employment in any regulated entity or entity-affiliated party; or

(3)have served as an executive officer or director of any regulated entity or entity-affiliated party at any time during the 3-year period preceding the date of appointment or designation of such individual as Director or Deputy Director, as applicable.

Notes & Related Subsidiaries

Editorial Notes

References in Text

The

Effective Date

of the Federal Housing Finance Regulatory Reform Act of 2008, referred to in subsec. (b)(5), probably means the date of enactment of Pub. L. 110–289, which was approved July 30, 2008. ConstitutionalityFor information regarding the constitutionality of provisions of subsection (b)(2) of this section, see the Table of Laws Held Unconstitutional in Whole or in Part by the Supreme Court on the Constitution Annotated website, constitution.congress.gov.

Prior Provisions

A prior section 4512, Pub. L. 102–550, title XIII, § 1312, Oct. 28, 1992, 106 Stat. 3945, related to the Director and Deputy Director of the Office of Federal Housing Enterprise Oversight, prior to repeal by Pub. L. 110–289, div. A, title I, § 1101, July 30, 2008, 122 Stat. 2661.

§4512 Director