WASHINGTON— Rep. Maxine Waters (D-CA) is urging House and Senate leaders to convene a conference committee to reconcile differences in sweeping housing legislation, warning that recent Senate changes could weaken efforts to address the nation’s affordability crisis.
For credit unions, the challenge is in advocating to have preferred legislation included in the package while keeping opposed legislation out (see releated reporting).
In a March 22 “Dear Colleague” letter to lawmakers, Waters, the ranking Democrat on the House Financial Services Committee, noted the House-passed version of the “21st Century ROAD to Housing Act” reflected strong bipartisan support, passing 390-9, and included provisions aimed at expanding homeownership, boosting housing supply and strengthening consumer protections.
However, Waters said the Senate version removed several key provisions backed by House Democrats and raised concerns among stakeholders about potential unintended consequences, including whether the bill could limit new housing construction. She called for negotiations to produce “the strongest possible housing legislation.”
Key Priorities
Waters detailed a broad list of provisions House Democrats want restored or added, including:
- Expanding access to small-dollar mortgages and improving affordability for first-time homebuyers
- Increasing transparency and oversight of public housing agencies
- Supporting construction of manufactured housing and accessory dwelling units
- Creating databases of publicly owned land to boost development opportunities
- Establishing tenant protections, including an eviction assistance hotline
- Promoting financial access through new community banks and credit unions
- Providing regulatory relief and examination flexibility for smaller financial institutions
America’s Credit Unions Responds
“We appreciate Ranking Member Waters’ focus on strengthening housing policy and ensuring this legislation delivers for families and communities across the country,” said America’s Credit Unions President and CEO Scott Simpson. “As policymakers weigh next steps, including calls for a conference to reconcile the House and Senate bills, it is important that any final legislation expands access to affordable housing while supporting the community-based financial institutions that help make homeownership possible.
“We encourage Congress to remain focused on practical solutions that increase housing supply, expand responsible access to credit, and strengthen the financial institutions communities rely on every day,” Simpson added.
Additional Measures
The proposals also include measures affecting the financial system, such as increasing transparency around systemic risk decisions by regulators, expanding deposit insurance-related flexibility, and modernizing credit union governance rules.
Provisions targeted for removal
Waters additionally called for eliminating several Senate provisions, including sections related to expansion of rental assistance demonstration programs, new housing program cohorts, and language restricting the Federal Reserve’s ability to issue a central bank digital currency.
“Given these changes, we must reconcile the House and Senate versions to produce the strongest possible housing legislation for our communities,” she wrote.
As the CU Daily has been reporting, the push for a conference committee comes as lawmakers face mounting pressure to respond to rising housing costs and limited supply nationwide.
‘Good for Credit Unions’
“There is still a great deal to be determined in terms of process, and that’s good for credit unions as we seeking additions to the bills that have been passed in both chambers,” said John McKechnie, who advocates for credit unions on Capitol Hill. “There is ongoing dialogue with Hill staff about inserting credit union reg relief provisions into whatever final product emerges: cu board modernization, loan maturities, CLF. We need to be ready with our wish list.”
