Federal Housing Finance Agency November 2012 – Federal Register Recent Federal Regulation Documents

The Federal Housing Finance Agency (FHFA) is adopting a new examination rating system to be used when examining Fannie Mae and Freddie Mac (Enterprises), the Federal Home Loan Banks (Banks) (collectively, regulated entities), and the Banks' Office of Finance. The new rating system is based on a ``CAMELSO'' framework and requires an assessment of seven individual components dealing with Capital, Asset quality, Management, Earnings, Liquidity, Sensitivity to market risk, and Operational risk. The new system replaces those that had been developed by FHFA's predecessor agencies.

On October 5, 2012, the Federal Housing Finance Agency (FHFA) published in the Federal Register a notice of proposed rulemaking for public comment concerning stress testing of the Federal National Mortgage Association (Fannie Mae), the Federal Home Loan Mortgage Corporation (Freddie Mac), and the twelve Federal Home Loan Banks (Banks) as required by section 165(i)(2) of the Dodd-Frank Wall Street Reform and Consumer Protection Act (Dodd-Frank Act). The comment period was to end on November 4, 2012 (the 30th day after publication of the proposal in the Federal Register). This document extends the comment period by an additional 30 days, through and including December 4, 2012, to allow the public additional time to comment on the proposed rule.