,,ii #aahth ,,congress #ast ,session ,s4 #bbif ,,in ,,the ,,senate ,,of ,,the ,,united ,,states ,july #ac1 #bjbc,mr4 ,braun 7for himself1 ,mr4 ,marshall1 ,mr4 ,tillis1 ,mrs4 ,hyde-,smith1 ,mr4 ,moran1 ,mr4 ,cotton1 ,mr4 ,cornyn1 ,mr4 ,barrasso1 ,mr4 ,budd1 ,mr4 ,wicker1 ,mr4 ,cramer1 ,mr4 ,thune1 ,mr4 ,rubio1 ,mr4 ,cruz1 and ,mr4 ,scott of ,florida7 introduced the following bill2 which was read twice and referred to the ,committee on ,banking1 ,housing1 and ,urban ,affairs ,a ,,bill ,to cancel recent changes made by the ,federal ,housing ,finance ,agency to the up-front loan level pricing adjustments charged by ,fannie ,mae and ,freddie ,mac for guarantee of single-family mortgages1 and for other purposes4 #a4 ,short title ,this ,act may be cited as the ,middle ,class ,borrower ,protection ,act of #bjbc4 #b4 ,definitions ,in this ,act3 7#a7 ,director ,the term ,director means the ,director of the ,federal ,housing ,finance ,agency4 7#b7 ,enterprise ,the term enterprise has the meaning given the term in section #acjc of the ,federal ,housing ,enterprises ,financial ,safety and ,soundness ,act of #aiib 7#ab ,u4,s4,c4 #dejb74 7#c7 ,loan-level pricing adjustment fee ,the term loan-level pricing adjustment fee means an up-front fee paid by lenders when a mortgage loan is acquired by an enterprise4 7#d7 ,recalibrated single-family pricing framework ,the term recalibrated single-family pricing framework means the loan-level pricing adjustment fee structure as referred to in the announcement of the ,federal ,housing ,finance ,agency on ,january #ai1 #bjbc1 relating to ,updates to the ,enterprises' ,single-,family ,pricing ,framework1 and set forth in ,federal ,national ,mortgage ,association ,lender ,letter ,,ll-#bjbc-ja and ,federal ,home ,loan ,mortgage ,corporation ,bulletin #bjbc-a4 7#e7 ,risk-based pricing ,the term risk-based pricing means the calibration of fees based on the expected credit losses to an enterprise of each single-family mortgage category as defined by an enterprise based on the credit score and loan-to-value ratio characteristics of a mortgage4 7#f7 ,standard single-family pricing framework ,the term standard single-family pricing framework means the loan-level pricing adjustment fee structure in effect on ,april #cj1 #bjbc4 #c4 ,repeal of recalibrated single-family pricing framework ,not later than #fj days after the date of the enactment of this ,act1 the ,director shall revise the recalibrated single-family pricing framework charged by the enterprises for the guarantee of mortgages on single-family housing so that such fees are identical to the fees of the standard single-family pricing framework in effect immediately before ,may #a1 #bjbc4 #d4 ,restrictions on ,,fhfa adjustments to single-family pricing framework 7a7 ,temporary prohibition on further adjustments to single-,family pricing framework ,during the period beginning on the date of the revision of the recalibrated single-family pricing framework pursuant to section #c and ending on the date that is #ij days after the date on which the ,comptroller ,general of the ,united ,states submits to ,congress the report required under section #f1 the ,director may not further revise the single-family pricing framework from the framework in effect pursuant to the revision required by section #c4 7b7 ,administrative procedures for adoption of adjustments to the single-,family pricing framework ,after the expiration of the period described in subsection 7a71 when proposing adjustments to the single-family pricing framework1 the ,director shall follow procedures that are as close as practicable to those requirements for a ,federal agency issuing a rule under chapter #e of title #e1 ,united ,states ,code 7commonly referred to as the ,administrative ,procedure ,act74 7c7 ,,fhfa requirement for the use of risk-,based pricing ,section #acfg7;b77#b7 of the ,federal ,housing ,enterprises ,financial ,safety and ,soundness ,act of #aiib 7#ab ,u4,s4,c4 #dfag7;b77#b77 is amended by adding at the end the following3 7,l7 ,additional powers as conservator ,the ,agency shall1 as conservator for an enterprise1 to the greatest extent feasible1 require that any modifications1 including increases1 decreases1 or eliminations1 approved to a loan-level pricing adjustment fee1 as is defined in section #b of the ,middle ,class ,borrower ,protection ,act of #bjbc1 charged by an enterprise shall be based on the risk posed by the mortgage loan to the enterprise4 4 #e4 ,prohibition of loan-level price adjustments based on debt-to-income ratio ,the ,director and the enterprises shall not impose any loan-level pricing adjustment fee that is based on the ratio of the debt of the mortgagor to the income of the mortgagor4 #f4 ,,gao study 7a7 ,study ,the ,comptroller ,general of the ,united ,states shall conduct a study of the revisions made by the ,federal ,housing ,finance ,agency to the standard single-family pricing framework under the recalibrated single-family pricing framework to-- 7#a7 analyze-- 7,a7 the methodology1 policy considerations1 and any other objectives used by the ,federal ,housing ,finance ,agency as the basis for those revisions1 including the authority cited by the ,director under the ,federal ,housing ,enterprises ,financial ,safety and ,soundness ,act of #aiib 7#ab ,u4,s4,c4 #deja et seq47 to require those revisions2 7,b7 the data1 econometric modeling1 and other inputs supplied by the enterprises during the revision process2 7,c7 the extent to which the revisions comply with the objectives of the ,enterprise ,regulatory ,capital ,framework1 including the interaction with and treatment of any private mortgage insurance required in connection with a residential mortgage transaction2 and 7,d7 the economic impact of the revisions on various classes of lenders and borrowers affected by the revisions2 7#b7 determine the extent to which the revisions-- 7,a7 were conducted on the basis of1 and how they might deviate from1 the principle of risk-based pricing2 7,b7 deviate from the data1 econometric modeling1 and other inputs supplied by the enterprises during the revision process2 7,c7 achieve the objectives of the ,enterprise ,regulatory ,capital ,framework1 including if the revisions have resulted in either a negative profitability gap or negative rate of return on the targeted rate of return on capital for any business segment under the recalibrated single-family pricing framework2 and 7,d7 represent any increased risks to the safety and soundness of the enterprises2 7#c7 assess the benefits that would accrue to first-time1 low-income homebuyers based on the recalibrated single-family pricing framework taking effect2 and 7#d7 assess the impacts that the recalibrated single-family pricing framework taking effect would have on affordable housing preservation1 rural housing1 and manufactured housing4 7b7 ,report ,not later than #ad months after the date of enactment of this ,act1 the ,comptroller ,general of the ,united ,states shall submit to ,congress and make publicly available on a website of the ,government ,accountability ,office a report setting forth the findings and conclusions of the study conducted under subsection 7a74