122 
‘‘(5) ADDITIONAL
CREDIT.—The Director shall 
assign more than 125 percent credit toward achieve-
ment, under this section, of the housing goals for 
mortgage purchase activities of the enterprises that 
comply with the requirements of such goals and sup-
port— 
‘‘(A) housing that meets energy efficiency or 
other environmental standards that are estab-
lished by a Federal, State, or local governmental 
authority with respect to the geographic area 
where the housing is located or are otherwise 
widely recognized; or 
‘‘(B) housing that includes a licensed 
childcare center. 
The availability of additional credit under this para-
graph shall not be used to increase any housing goal, 
subgoal, or target established under this subpart.’’. 
(b) MONITORING AND ENFORCEMENT.—Section 1336 
of the Housing and Community Development Act of 1992 
(12 U.S.C. 4566) is amended— 
(1) in subsection (b)— 
(A) in the subsection heading, by inserting 
‘‘PRELIMINARY’’ before ‘‘DETERMINATION’’; 
(B) by striking paragraph (1) and inserting 
the following new paragraph: 
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‘‘(1) NOTICE.—If the Director preliminarily de-
termines that an enterprise has failed, or that there 
is a substantial probability that an enterprise will 
fail, to meet any housing goal established under this 
subpart, the Director shall provide written notice to 
the enterprise of such a preliminary determination, 
the reasons for such determination, and the informa-
tion on which the Director based the determination.’’; 
(C) in paragraph (2)— 
(i) in subparagraph (A), by inserting 
‘‘finally’’ before ‘‘determining’’; 
(ii) by striking subparagraphs (B) and 
(C) and inserting the following new sub-
paragraph: 
‘‘(B) EXTENSION OR SHORTENING OF PE-
RIOD.—The Director may— 
‘‘(i) extend the period under subpara-
graph (A) for good cause for not more than 
30 additional days; and 
‘‘(ii) shorten the period under subpara-
graph (A) for good cause.’’; and 
(iii) by redesignating subparagraph 
(D) as subparagraph (C); and 
(D) in paragraph (3)— 
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124 
(i) in subparagraph (A), by striking 
‘‘determine’’ and inserting ‘‘issue a final de-
termination of’’; 
(ii) in subparagraph (B), by inserting 
‘‘final’’ before ‘‘determinations’’; and 
(iii) in subparagraph (C)— 
(I) by striking ‘‘Committee on 
Banking, Finance and Urban Affairs’’ 
and inserting ‘‘Committee on Finan-
cial Services’’; and 
(II) by inserting ‘‘final’’ before 
‘‘determination’’ each place such term 
appears; and 
(2) in subsection (c)— 
(A) by striking the subsection designation 
and heading and all that follows through the end 
of paragraph (1) and inserting the following: 
‘‘(c) CEASE AND DESIST ORDERS, CIVIL MONEY PEN-
ALTIES, AND REMEDIES INCLUDING HOUSING PLANS.— 
‘‘(1) REQUIREMENT.—If the Director finds, pur-
suant to subsection (b), that there is a substantial 
probability that an enterprise will fail, or has actu-
ally failed, to meet any housing goal under this sub-
part and that the achievement of the housing goal was 
or is feasible, the Director may require that the enter-
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125 
prise submit a housing plan under this subsection. If 
the Director makes such a finding and the enterprise 
refuses to submit such a plan, submits an unaccept-
able plan, fails to comply with the plan or the Direc-
tor finds that the enterprise has failed to meet any 
housing goal under this subpart, in addition to re-
quiring an enterprise to submit a housing plan, the 
Director may issue a cease and desist order in accord-
ance with section 1341, impose civil money penalties 
in accordance with section 1345, or order other rem-
edies as set forth in paragraph (7) of this sub-
section.’’; 
(B) in paragraph (2)— 
(i) by striking ‘‘CONTENTS.—Each 
housing plan’’ and inserting ‘‘HOUSING 
PLAN.—If the Director requires a housing 
plan under this section, such a plan’’; and 
(ii) in subparagraph (B), by inserting 
‘‘and changes in its operations’’ after ‘‘im-
provements’’; 
(C) in paragraph (3)— 
(i) by inserting ‘‘comply with any re-
medial action or’’ before ‘‘submit a housing 
plan’’; and 
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(ii) by striking ‘‘under subsection 
(b)(3) that a housing plan is required’’; 
(D) in paragraph (4), by striking the first 
two sentences and inserting the following: ‘‘The 
Director shall review each submission by an en-
terprise, including a housing plan submitted 
under this subsection, and not later than 30 days 
after submission, approve or disapprove the plan 
or other action. The Director may extend the pe-
riod for approval or disapproval for a single ad-
ditional 30-day period if the Director determines 
such extension necessary.’’; and 
(E) by adding at the end the following new 
paragraph: 
‘‘(7) ADDITIONAL REMEDIES FOR FAILURE TO 
MEET
GOALS.—In addition to ordering a housing 
plan under this section, issuing cease and desist or-
ders under section 1341, and ordering civil money 
penalties under section 1345, the Director may seek 
other actions when an enterprise fails to meet a goal, 
and exercise appropriate enforcement authority avail-
able to the Director under this Act to prohibit the en-
terprise from initially offering any product (as such 
term is defined in section 1321(f)) or engaging in any 
new activities, services, undertakings, and offerings 
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and to order the enterprise to suspend products and 
activities, services, undertakings, and offerings pend-
ing its achievement of the goal.’’. 
SEC. 139. AFFORDABLE HOUSING FUND. 
(a) IN GENERAL.—The Housing and Community De-
velopment Act of 1992 is amended by striking sections 1337 
and 1338 (12 U.S.C. 4562 note) and inserting the following 
new section: 
‘‘SEC. 1337. AFFORDABLE HOUSING FUND. 
‘‘(a) ESTABLISHMENT AND PURPOSE.—The Director, 
in consultation with the Secretary of Housing and Urban 
Development, shall establish and manage an affordable 
housing fund in accordance with this section, which shall 
be funded with amounts allocated by the enterprises under 
subsection (b). The purpose of the affordable housing fund 
shall be to provide formula grants to grantees for use— 
‘‘(1) to increase homeownership for extremely 
low-and very low-income families; 
‘‘(2) to increase investment in housing in low-in-
come areas, and areas designated as qualified census 
tracts or an area of chronic economic distress pursu-
ant to section 143(j) of the Internal Revenue Code of 
1986 (26 U.S.C. 143(j)); 
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‘‘(3) to increase and preserve the supply of rental 
and owner-occupied housing for extremely low- and 
very low-income families; 
‘‘(4) to increase investment in public infrastruc-
ture development in connection with housing assisted 
under this section; and 
‘‘(5) to leverage investments from other sources 
in affordable housing and in public infrastructure de-
velopment in connection with housing assisted under 
this section. 
‘‘(b) ALLOCATION OF AMOUNTS BY ENTERPRISES.— 
‘‘(1) IN GENERAL.—In accordance with regula-
tions issued by the Director under subsection (m) and 
subject to paragraph (2) of this subsection and sub-
section (i)(5), each enterprise shall allocate to the af-
fordable housing fund established under subsection 
(a), in each of the years 2007 through 2011, an 
amount equal to 1.2 basis points for each dollar of the 
average total mortgage portfolio of the enterprise dur-
ing the preceding year. 
‘‘(2) SUSPENSION OF CONTRIBUTIONS.—The Di-
rector shall temporarily suspend the allocation under 
paragraph (1) by an enterprise to the affordable hous-
ing fund upon a finding by the Director that such al-
locations— 
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