End Unnecessary Borrowing Act of 2017

Bill: 115-hr-492
Sponsor: full_name: Rep. Capuano, Michael E. [D-MA-7]
Introduced: 2017-01-12
Policy area: Housing and Community Development
Subjects: Government lending and loan guarantees

Government trust funds

Housing finance and home ownership
Latest action: action_date: 2017-01-12
text: Referred to the House Committee on Financial Services.

Summaries:
action_date: 2017-01-12
action_desc: Introduced in House
text: <p><b>End Unnecessary Borrowing Act of 2017</b></p> <p> This bill amends the National Housing Act with respect to the requirement that the Department of Housing and Urban Development (HUD) endeavor to ensure that the Mutual Mortgage Insurance Fund (MMI Fund) attains a capital ratio of not less than 2% within 10 years after enactment of that requirement (November 5, 1990) and to ensure that the fund maintains at least that capital ratio at all times thereafter.</p> <p>The bill prohibits these requirements from being construed to authorize or require HUD to borrow any amounts to comply with the capital ratio requirement.</p> <p>Any HUD authority to borrow from the Treasury for the MMI Fund may be used only to the extent necessary to pay claims on mortgage insurance that is an obligation of such fund.</p>

tv_txt: I 115th CONGRESS 1st Session H. R. 492 IN THE HOUSE OF REPRESENTATIVES January 12, 2017 Mr. Capuano introduced the following bill; which was referred to the Committee on Financial Services A BILL To ensure that any authority of the Mutual Mortgage Insurance Fund to borrow amounts from the Treasury is used only to pay mortgage insurance claims.

1. Short title This Act may be cited as the End Unnecessary Borrowing Act of 2017 . 2. Limitation on use of borrowing authority Paragraph (2) of section 205(f) of the National Housing Act ( 12 U.S.C. 1711(f)(2) ) is amended— (1) by inserting (A) after (2) ; and (2) by adding at the end the following new subparagraphs: (B) Subparagraph (A) may not be construed to authorize or require the Secretary to borrow any amounts to comply with the capital ratio requirement under such subparagraph. (C) Notwithstanding any other provision of law, any authority of the Secretary under this Act or otherwise to borrow amounts from the Treasury of the United States for the Mutual Mortgage Insurance Fund may be used only to the extent necessary to pay claims on mortgage insurance that is an obligation of such Fund. .