The Senate Banking Committee voted 13-9 to report the Johnson-Crapo Housing Finance Reform legislation out of committee and to the full Senate on May 15. However, several Republicans and Democrats remained opposed to the legislation, authored by Chairman Tim Johnson, D-S.D., and ranking member Mike Crapo, R-Idaho, so the vote margin was smaller than what was hoped for by legislation supporters.
“After exhausting every option to try and strike a deal quickly that would add votes at the committee level, I have concluded it is best to move forward with the majority we have now in committee and continue working to build support for the bill as it moves to the floor,” said Johnson.
The bill expands on legislation introduced last year by Senators Bob Corker, R-Tenn., and Mark Warner, D-Va., and includes key provisions that NMHC/NAA advocated for on behalf of the industry. Specifically, the proposal recognizes the meaningful differences between the multifamily and single-family businesses currently in place at Fannie Mae and Freddie Mac, and retains many of the successful components of the existing multifamily programs.
We issued a statement following the committee vote, applauding Senators Johnson and Crapo, and the entire Committee, for advancing the legislation.
The next step for Johnson-Crapo is a vote by the full Senate in the months remaining before the fall elections. Many observers believe the bill faces significant challenges in reaching the Senate floor, and that if it is passed by the Senate, it will not pass in the House. This series of hurdles likely pushes housing finance reform to the 114th Congress.
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