I 
112TH CONGRESS 
1ST SESSION H. R. 1223 
To amend the Securities Exchange Act of 1934 to ensure mortgages held 
or securitized by Fannie Mae and Freddie Mac and asset-backed securi-
ties issued by such enterprises are treated similarly as other mortgages 
and asset-backed securities for purposes of the credit risk retention 
requirements under such Act. 
IN THE HOUSE OF REPRESENTATIVES 
MARCH 29, 2011 
Mr. GARRETT (for himself, Mr. BACHUS, Mr. HENSARLING, and Mr. PEARCE) 
introduced the following bill; which was referred to the Committee on Fi-
nancial Services 
A BILL 
To amend the Securities Exchange Act of 1934 to ensure 
mortgages held or securitized by Fannie Mae and 
Freddie Mac and asset-backed securities issued by such 
enterprises are treated similarly as other mortgages and 
asset-backed securities for purposes of the credit risk 
retention requirements under such Act. 
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled, 
SECTION 1. SHORT TITLE. 
This Act may be cited as the ‘‘GSE Credit Risk Equi-
table Treatment Act of 2011’’. 
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SEC. 2. EQUITABLE TREATMENT OF FANNIE MAE AND 
FREDDIE MAC UNDER CREDIT RISK RETEN-
TION REQUIREMENTS. 
(a) IN GENERAL.—Section 15G of the Securities Ex-
change Act of 1934 (15 U.S.C. 78o–11) is amended— 
(1) in subsection (c)(1)— 
(A) in subparagraph (F), by striking 
‘‘and’’ at the end; 
(B) in subparagraph (G), by striking the 
period at the end and inserting ‘‘; and’’; and 
(C) by adding at the end the following new 
subparagraph: 
‘‘(H) provide for no difference in the treat-
ment of an asset-backed security securitized by 
the Federal National Mortgage Association or 
the Federal Home Loan Mortgage Corporation, 
solely because of securitization by such enter-
prise, from the treatment of asset-backed secu-
rities securitized by any other entity.’’; and 
(2) in subsection (e)— 
(A) by redesignating paragraph (6) as 
paragraph (7); and 
(B) by inserting after paragraph (5) the 
following new paragraph: 
‘‘(6) 
MORTGAGES
OF
FANNIE
MAE
AND 
FREDDIE MAC.—The regulations issued under para-
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graph (4) shall provide that the purchase, holding, 
or securitization of any mortgage by the Federal Na-
tional Mortgage Association or the Federal Home 
Loan Mortgage Corporation shall not solely of itself 
have any effect on whether such mortgage qualifies 
as a qualified residential mortgage under such para-
graph.’’. 
(b) REGULATIONS.—Not later than 90 days after the 
date of the enactment of this Act, the Federal banking 
agencies (as such term is defined in section 15G(a) of the 
Securities Exchange Act of 1934 (15 U.S.C. 78o–11(a)), 
the Securities and Exchange Commission, the Secretary 
of Housing and Urban Development, and the Director of 
the Federal Housing Finance Agency, shall jointly issue 
regulations to carry out subsections (c)(1)(H) and (e)(6) 
of section 15G of the Securities Exchange Act of 1934, 
as added by the amendments made by subsection (a) of 
this section. 
Æ 
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