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‘‘(A) the Director determines that the reg-
ulated entity fails to meet any standard pre-
scribed under subsection (a); 
‘‘(B) the regulated entity has not corrected 
the deficiency; and 
‘‘(C) during the 18-month period before 
the date on which the regulated entity first 
failed to meet the standard, the entity under-
went extraordinary growth, as defined by the 
Director. 
‘‘(c) OTHER ENFORCEMENT AUTHORITY NOT AF-
FECTED.—The authority of the Director under this sec-
tion is in addition to any other authority of the Director.’’. 
(b) INDEPENDENCE IN CONGRESSIONAL TESTIMONY 
AND RECOMMENDATIONS.—Section 111 of Public Law 
93–495 (12 U.S.C. 250) is amended by striking ‘‘the Fed-
eral Housing Finance Board’’ and inserting ‘‘the Director 
of the Federal Housing Finance Agency’’. 
SEC. 103. HOUSING FINANCE OVERSIGHT BOARD. 
(a) IN GENERAL.—Title XIII of the Housing and 
Community Development Act of 1992 (12 U.S.C. 4501 et 
seq.) is amended by inserting after section 1313A, as 
added by section 102 of this Act, the following new sec-
tion:
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‘‘SEC. 1313B. HOUSING FINANCE OVERSIGHT BOARD. 
‘‘(a) IN GENERAL.—There is established the Housing 
Finance Oversight Board. 
‘‘(b) DUTIES.— 
‘‘(1) IN GENERAL.—The Board shall advise the 
Director with respect to overall strategies and poli-
cies in carrying out the duties of the Director under 
this title, at the request of the Director and at the 
initiative of the Board, and shall carry out such 
functions as otherwise provided by law. 
‘‘(2) LIMITATION.—The Director may not dele-
gate to the Board any of the functions, powers, or 
duties of the Director. 
‘‘(c) COMPOSITION.—The Board shall be comprised 
of 5 members, as follows: 
‘‘(1) One member shall be the Director, who 
shall serve as the Chairperson of the Board. 
‘‘(2) One member shall be the Secretary of the 
Treasury or the designee of the Secretary. 
‘‘(3) One member shall be the Secretary of 
Housing and Urban Development or the designee of 
the Secretary. 
‘‘(4) Two members shall be appointed by the 
President, by and with the advice and consent of the 
Senate, who shall include—
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‘‘(A) one individual who has extensive ex-
perience and expertise in the capital markets 
(including debt markets), the secondary mort-
gage market, and mortgage-backed securities; 
and 
‘‘(B) one individual who has extensive ex-
perience and expertise in mortgage finance (in-
cluding single family and multifamily housing 
mortgage finance), development of affordable 
housing, and economic development and revital-
ization. 
‘‘(d) TERMS AND VACANCIES.— 
‘‘(1) TERMS.—Each member of the Board pur-
suant to paragraph (4) shall be appointed for a term 
of 3 years, and may be removed by the President 
only for cause. 
‘‘(2) VACANCIES.—A member of the Board ap-
pointed to fill a vacancy occurring before the expira-
tion of the term for which the member’s predecessor 
was appointed shall be appointed only for the re-
mainder of that term. A member of the Board may 
serve after the expiration of the member’s term until 
a successor has been appointed. 
‘‘(e) PROHIBITION
OF
ADDITIONAL
COMPENSA-
TION.—Notwithstanding any other provision of law, mem-
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bers of Board pursuant to paragraphs (1), (2), and (3) 
shall not receive additional compensation by reason of 
service on the Board. 
‘‘(f) LIMITATIONS.—Each member of the Board may 
not— 
‘‘(1) have any direct or indirect financial inter-
est in any regulated entity or regulated entity-affili-
ated party; or 
‘‘(2) hold any office, position, or employment in 
any regulated entity or regulated entity-affiliated 
party. 
‘‘(g) FULL-TIME MEMBERS AND STAFF.— 
‘‘(1) FULL-TIME MEMBERS.—The members of 
the Board pursuant to subsection (c)(4) shall serve 
on a full-time basis. 
‘‘(2) STAFF.—The staff of the Board shall be 
appointed subject to the provisions of title 5, United 
States Code, governing appointments in the competi-
tive service, and shall be paid in accordance with the 
provisions of chapter 51 and subchapter III of chap-
ter 53 of that title relating to classification and Gen-
eral Schedule pay rates, except that each member of 
the Board pursuant to paragraph (4) may appoint 
one staff member without regard to the such provi-
sions governing appointments in the competitive
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service and such staff members may be paid by the 
Board without regard to the such provisions relating 
to classification and General Schedule pay rates. 
‘‘(h) MEETINGS.— 
‘‘(1) IN GENERAL.—The Board shall meet upon 
notice by the Director, but in no event shall the 
Board meet less frequently than once every 3 
months. 
‘‘(2) SPECIAL MEETINGS.—Any member of the 
Board may, upon giving written notice to the Direc-
tor, require a special meeting of the Board, which 
shall be convened by the Director within 30 days 
after such notice. 
‘‘(i) TESTIMONY.—On an annual basis, the Board 
shall testify before Congress regarding— 
‘‘(1) the safety and soundness of the regulated 
entities; 
‘‘(2) any material deficiencies in the conduct of 
the operations of the regulated entities; 
‘‘(3) the overall operational status of the regu-
lated entities; 
‘‘(4) an evaluation of the performance of the 
regulated entities in carrying out their respective 
missions;
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‘‘(5) operations, resources, and performance of 
the Agency and the Board; and 
‘‘(6) such other matters relating to the Agency, 
the Board, and the regulated entities, and their ful-
fillment of their missions, as the Board determines 
appropriate. 
‘‘(j) COSTS.—Costs of the Board, including staff, 
shall be paid by the Agency as a cost and expense of the 
Agency.’’. 
(b) ANNUAL REPORT OF THE DIRECTOR.—Section 
1319B(a) of the Housing and Community Development 
Act of 1992 (12 U.S.C. 4521 (a)) is amended— 
(1) in paragraph (3), by striking ‘‘and’’ at the 
end; and 
(2) by striking paragraph (4) and inserting the 
following new paragraphs: 
‘‘(4) an assessment of the Board with respect 
to— 
‘‘(A) the safety and soundness of the regu-
lated entities; 
‘‘(B) any material deficiencies in the con-
duct of the operations of the regulated entities; 
‘‘(C) the overall operational status of the 
regulated entities;
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‘‘(D) an evaluation of the performance of 
the regulated entities in carrying out their mis-
sions, including compliance of the enterprises 
with the housing goals under subpart B of part 
2 of this subtitle and compliance of the Federal 
home loan banks with the community invest-
ment and affordable housing programs under 
subsections (i) and (j) of section 10 of the Fed-
eral Home Loan Bank Act; 
‘‘(E) an evaluation of the performance of 
the Agency in fulfilling its duties and respon-
sibilities under law; and 
‘‘(F) such other matters relating to the 
Board and the fulfillment of its duties as the 
Board considers appropriate; 
‘‘(5) operations, resources, and performance of 
the Agency; and 
‘‘(6) such other matters relating to the Agency 
and its fulfillment of its mission.’’. 
SEC. 104. AUTHORITY TO REQUIRE REPORTS BY REGU-
LATED ENTITIES. 
Section 1314 of the Housing and Community Devel-
opment Act of 1992 (12 U.S.C. 4514) is amended— 
(1) in the section heading, by striking ‘‘ENTER-
PRISES’’ and inserting ‘‘REGULATED ENTITIES’’;
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(2) in subsection (a)— 
(A) in the subsection heading, by striking 
‘‘Special Reports and Reports of Financial Con-
dition’’ and inserting ‘‘Regular and Special Re-
ports’’; 
(B) in paragraph (1)— 
(i) in the paragraph heading, by strik-
ing ‘‘FINANCIAL CONDITION’’ and inserting 
‘‘REGULAR REPORTS’’; and 
(ii) by striking ‘‘reports of financial 
condition and operations’’ and inserting 
‘‘regular reports on the condition (includ-
ing financial condition), management, ac-
tivities, or operations of the regulated enti-
ty, as the Director considers appropriate’’; 
and 
(C) in paragraph (2), after ‘‘submit special 
reports’’ insert ‘‘on any of the topics specified 
in paragraph (1) or such other topics’’; and 
(3) by adding at the end the following new sub-
section: 
‘‘(c) REPORTS OF FRAUDULENT FINANCIAL TRANS-
ACTIONS.— 
‘‘(1) REQUIREMENT TO REPORT.—The Director 
shall require a regulated entity to submit to the Di-
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rector a timely report upon discovery by the regu-
lated entity that it has purchased or sold a fraudu-
lent loan or financial instrument or suspects a pos-
sible fraud relating to a purchase or sale of any loan 
or financial instrument. The Director shall require 
the regulated entities to establish and maintain pro-
cedures designed to discover any such transactions. 
‘‘(2) PROTECTION
FROM
LIABILITY
FOR
RE-
PORTS.— 
‘‘(A) IN GENERAL.—If a regulated entity 
makes a report pursuant to paragraph (1), or 
a regulated entity-affiliated party makes, or re-
quires another to make, such a report, and such 
report is made in a good faith effort to comply 
with the requirements of paragraph (1), such 
regulated entity or regulated entity-affiliated 
party shall not be liable to any person under 
any law or regulation of the United States, any 
constitution, law, or regulation of any State or 
political subdivision of any State, or under any 
contract or other legally enforceable agreement 
(including any arbitration agreement), for such 
report or for any failure to provide notice of 
such report to the person who is the subject of
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such report or any other person identified in 
the report. 
‘‘(B) RULE OF CONSTRUCTION.—Subpara-
graph (A) shall not be construed as creating— 
‘‘(i) any inference that the term ‘per-
son’, as used in such subparagraph, may 
be construed more broadly than its ordi-
nary usage so as to include any govern-
ment or agency of government; or 
‘‘(ii) any immunity against, or other-
wise affecting, any civil or criminal action 
brought by any government or agency of 
government to enforce any constitution, 
law, or regulation of such government or 
agency.’’. 
SEC. 105. DISCLOSURE OF CHARITABLE CONTRIBUTIONS 
BY ENTERPRISES. 
Section 1314 of the Housing and Community Devel-
opment Act of 1992 (12 U.S.C. 4514), as amended by 
the preceding provisions of this Act, is further amended 
by adding at the end the following new subsection: 
‘‘(d) DISCLOSURE OF CHARITABLE CONTRIBUTIONS 
BY ENTERPRISES.— 
‘‘(1) REQUIRED
DISCLOSURE.—The Director 
shall, by regulation, require each enterprise to sub-
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mit a report annually, in a format designated by the 
Director, containing the following information: 
‘‘(A) TOTAL VALUE.—The total value of 
contributions made by the enterprise to non-
profit organizations during its previous fiscal 
year. 
‘‘(B) SUBSTANTIAL
CONTRIBUTIONS.—If 
the value of contributions made by the enter-
prise to any nonprofit organization during its 
previous fiscal year exceeds the designated 
amount, the name of that organization and the 
value of contributions. 
‘‘(C) SUBSTANTIAL CONTRIBUTIONS TO IN-
SIDER-AFFILIATED
CHARITIES.—Identification 
of each contribution whose value exceeds the 
designated amount that were made by the en-
terprise during the enterprise’s previous fiscal 
year to any nonprofit organization of which a 
director, officer, or controlling person of the en-
terprise, or a spouse thereof, was a director or 
trustee, the name of such nonprofit organiza-
tion, and the value of the contribution. 
‘‘(2) DEFINITIONS.—For purposes of this sub-
section—
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‘‘(A) the term ‘designated amount’ means 
such amount as may be designated by the Di-
rector by regulation, consistent with the public 
interest and the protection of investors for pur-
poses of this subsection; and 
‘‘(B) the Director may, by such regulations 
as the Director deems necessary or appropriate 
in the public interest, define the terms officer 
and controlling person. 
‘‘(3) PUBLIC
AVAILABILITY.—The Director 
shall make the information submitted pursuant to 
this subsection publicly available.’’. 
SEC. 106. ASSESSMENTS. 
Section 1316 of the Housing and Community Devel-
opment Act of 1992 (12 U.S.C. 4516) is amended— 
(1) by striking subsection (a) and inserting the 
following new subsection: 
‘‘(a) ANNUAL ASSESSMENTS.—The Director shall es-
tablish and collect from the regulated entities annual as-
sessments in an amount not exceeding the amount suffi-
cient to provide for reasonable costs and expenses of the 
Agency, including— 
‘‘(1) the expenses of any examinations under 
section 1317 of this Act and under section 20 of the 
Federal Home Loan Bank Act;
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‘‘(2) the expenses of obtaining any reviews and 
credit assessments under section 1319; and 
‘‘(3) such amounts in excess of actual expenses 
for any given year as deemed necessary by the Di-
rector to maintain a working capital fund in accord-
ance with subsection (e).’’; 
(2) in subsection (b)— 
(A) in the subsection heading, by striking 
‘‘ENTERPRISES’’ and inserting ‘‘REGULATED 
ENTITIES’’ ; 
(B) by realigning paragraph (2) two ems 
from the left margin, so as to align the left 
margin of such paragraph with the left margins 
of paragraph (1); 
(C) in paragraph (1)— 
(i) by striking ‘‘Each enterprise’’ and 
inserting ‘‘Each regulated entity’’; 
(ii) by striking ‘‘each enterprise’’ and 
inserting ‘‘each regulated entity’’; and 
(iii) by striking ‘‘both enterprises’’ 
and inserting ‘‘all of the regulated enti-
ties’’; and 
(D) in paragraph (3)—
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(i) in subparagraph (B), by striking 
‘‘subparagraph (A)’’ and inserting ‘‘clause 
(i)’’; 
(ii) by redesignating subparagraphs 
(A), (B), and (C) as clauses (i), (ii) and 
(ii), respectively, and realigning such 
clauses, as so redesignated, so as to be in-
dented 6 ems from the left margin; 
(iii) by striking the matter that pre-
cedes clause (i), as so redesignated, and in-
serting the following: 
‘‘(3) DEFINITION OF TOTAL ASSETS.—For pur-
poses of this section, the term ‘total assets’ means 
as follows: 
‘‘(A) ENTERPRISES.—With respect to an 
enterprise, the sum of—’’; and 
(iv) by adding at the end the following 
new subparagraph: 
‘‘(B) FEDERAL HOME LOAN BANKS.—With 
respect to a Federal home loan bank, the total 
assets of the Bank, as determined by the Direc-
tor in accordance with generally accepted ac-
counting principles.’’; 
(3) by striking subsection (c) and inserting the 
following new subsection:
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‘‘(c) INCREASED COSTS OF REGULATION.— 
‘‘(1) INCREASE FOR INADEQUATE CAPITALIZA-
TION.—The semiannual payments made pursuant to 
subsection (b) by any regulated entity that is not 
classified (for purposes of subtitle B) as adequately 
capitalized may be increased, as necessary, in the 
discretion of the Director to pay additional esti-
mated costs of regulation of the regulated entity. 
‘‘(2) ADJUSTMENT FOR ENFORCEMENT ACTIVI-
TIES.—The Director may adjust the amounts of any 
semiannual assessments for an assessment under 
subsection (a) that are to be paid pursuant to sub-
section (b) by a regulated entity, as necessary in the 
discretion of the Director, to ensure that the costs 
of enforcement activities under subtitle B and C for 
a regulated entity are borne only by such regulated 
entity. 
‘‘(3) ADDITIONAL
ASSESSMENT
FOR
DEFI-
CIENCIES.—If at any time, as a result of increased 
costs of regulation of a regulated entity that is not 
classified (for purposes of subtitle B) as adequately 
capitalized or as the result of supervisory or enforce-
ment activities under subtitle B or C for a regulated 
entity, the amount available from any semiannual 
payment made by such regulated entity pursuant to
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subsection (b) is insufficient to cover the costs of the 
Agency with respect to such entity, the Director may 
make and collect from such regulated entity an im-
mediate assessment to cover the amount of such de-
ficiency for the semiannual period. If, at the end of 
any semiannual period during which such an assess-
ment is made, any amount remains from such as-
sessment, such remaining amount shall be deducted 
from the assessment for such regulated entity for 
the following semiannual period.’’; 
(4) in subsection (d), by striking ‘‘If’’ and in-
serting ‘‘Except with respect to amounts collected 
pursuant to subsection (a)(3), if’’; and 
(5) by striking subsections (e) through (g) and 
inserting the following new subsections: 
‘‘(e) WORKING CAPITAL FUND.—At the end of each 
year for which an assessment under this section is made, 
the Director shall remit to each regulated entity any 
amount of assessment collected from such regulated entity 
that is attributable to subsection (a)(3) and is in excess 
of the amount the Director deems necessary to maintain 
a working capital fund. 
‘‘(f) TREATMENT OF ASSESSMENTS.— 
‘‘(1) DEPOSIT.—Amounts received by the Di-
rector from assessments under this section may be
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deposited by the Director in the manner provided in 
section 5234 of the Revised Statutes (12 U.S.C. 
192) for monies deposited by the Comptroller of the 
Currency. 
‘‘(2) NOT GOVERNMENT FUNDS.—The amounts 
received by the Director from any assessment under 
this section shall not be construed to be Government 
or public funds or appropriated money. 
‘‘(3) NO
APPORTIONMENT
OF
FUNDS.—Not-
withstanding any other provision of law, the 
amounts received by the Director from any assess-
ment under this section shall not be subject to ap-
portionment for the purpose of chapter 15 of title 
31, United States Code, or under any other author-
ity. 
‘‘(4) USE OF FUNDS.—The Director may use 
any amounts received by the Director from assess-
ments under this section for compensation of the Di-
rector and other employees of the Agency and for all 
other expenses of the Director and the Agency. 
‘‘(5) 
AVAILABILITY
OF
OVERSIGHT
FUND 
AMOUNTS.—Notwithstanding any other provision of 
law, any amounts remaining in the Federal Housing 
Enterprises Oversight Fund established under this 
section (as in effect before the effective date under