A new push for CFPB funding as Trump picks next director 

This week in Washington, D.C., the Trump administration put forth another nominee to lead the Consumer Financial Protection Bureau (CFPB), while Senate Democrats introduced legislation to automatically fund the beleaguered bureau.

Elsewhere in the nation's capital, industry advocates are pushing for long-term authorization of a key insurance program and broader solutions to address the housing affordability crisis.

Meanwhile, days before SpaceX went public and became the largest IPO debut in history, President Donald Trump said a public offering of Fannie Mae and Freddie Mac — which administration officials previously said could be the largest IPO debut ever — is still under consideration.

Possible new leader, funding options for the CFPB

Former CFPB official nominated for top job: On June 10, Trump nominated former CFPB Deputy Director Brian Johnson to take over the director role. The administration previously nominated Stuart Levenbach of the White House's Office of Management and Budget Office for the role, but the nomination never advanced.

It's up to the Senate Banking Committee to decide whether to move forward with Johnson. If he is confirmed, he would replace Russell Vought, an administration official whose controversial role as acting director is set to end in August.

Sen. Elizabeth Warren of Massachusetts, the top Democrat on the committee, slammed the pick, suggesting that Johnson would simply be "the next hatchet man" with an aim to "gut" the bureau.

But several financial services and bankers organizations approved of Johnson's nomination, with Mortgage Bankers Association President and CEO Bob Broeksmit commending Johnson's "deep experience and knowledge in consumer financial services policy and law." 

Funding push for 'gutted' bureau: The Senate Banking Committee's entire Democratic cohort is aligning behind an effort to "automatically and fully fund" the CFPB.

The new legislation introduced on June 4 is necessary, Warren argued, because the Trump administration has "launched an assault" on the bureau in an attempt "to drain it of its resources so it could no longer stop big banks and giant corporations from scamming Americans out of their money."

The committee said the legislation has already received endorsements from the National Consumer Law Center, the Consumer Federation of America, Americans for Financial Reform, Protect Borrowers, the National Community Reinvestment Coalition and the Center for Responsible Lending.

Bureau issues immigration-related guidance: In a policy statement published on June 8, the CFPB said a consumer's immigration standing can factor into their ability to borrow money, citing the Truth in Lending Act.

Lender requirements "may obligate consideration of a consumer's immigration status," the bureau said, "especially where removal from the United States may disrupt the consumer's income."

The guidance comes amid the Trump administration's widespread immigration crackdown, with a new $70 billion bill designed to fund and support immigration enforcement passed and signed into law earlier this week.

Housing advocates push for solutions on affordability

More than a thousand housing industry advocates went to Capitol Hill this week to lobby for housing affordability solutions.

One possible measure, the National Association of Home Builders (NAHB) said, would be to finalize the 21st Century ROAD to Housing Act, which passed in the Senate earlier this year and has since undergone revisions in the House. The NAHB further urged action on the CONSTRUCTS Act, which the organization said would help address the home builder workforce shortage, and on the permitting process, which industry advocates said delays construction projects.

HUD Secretary Scott Turner also recently addressed regulatory costs and delays, which he said is "crippling" the nation's housing development.

The administration is "laser-focused on bringing housing costs down," Turner told CNBC this week. "We've been very intentional about tearing down the regulatory environment" and urging state and local governments to "take inventory" of their construction-related regulatory processes, he said.

Turner suggested that about $100,000 of the cost of a $426,000 median priced home is attributable to regulatory costs. "If you take that away, it brings down the cost of a house so more Americans can afford to buy," he said.

NAR, NAHB make the case for long-term NFIP authorization

Following last month's issuance of the FEMA Review Council's final report, the National Association of Realtors and the NAHB sent a joint letter urging the council to reconsider its recommendations for the National Flood Insurance Program (NFIP).

Instead of privatizing the program, the trade organizations encouraged its long-term reauthorization "alongside meaningful reforms to strengthen the program, improve its financial sustainability, and provide greater stability and predictability for housing markets."

The program has received short-term reauthorizations for the past several years and is currently only funded through September. Funding has lapsed several times in the past year amid federal government shutdowns.

Fannie, Freddie IPO still possible

The long-discussed privatization of Fannie Mae and Freddie Mac is still under consideration, according to the president.

Since returning to office last year, Trump and several officials within his administration have repeatedly floated the idea of a Fannie and Freddie IPO, with Federal Housing Finance Agency Director Bill Pulte suggesting last summer that the public offering would be the largest in history.

Though the proposed timeline for a public offering has shifted often, Trump told reporters last week that he hasn't given up on the idea, according to CNN — there's just "not a rush" to get it done.