Section 1 Short title
This Act may be cited as the “GSE Jumpstart Reauthorization Act of 2017”.
GSE Jumpstart Reauthorization Act of 2017
A BILL
To suspend contributions by Fannie Mae and Freddie Mac to the Housing Trust Fund during any period that the full required dividend payments under the Senior Preferred Stock Purchase Agreements for such enterprises are not made, and for other purposes.
Sec. 2 Extension of limitation on sale of preferred stock
Subsection (b) of section 702 of division O of the Consolidated Appropriations Act, 2016 (Public Law 114–113; 129 Stat. 3025) is amended by striking “January 1, 2018” and inserting “January 1, 2019”.
Sec. 3 Conservation of capital during periods of low net worth
Subsection (b) of section 1337 of the Federal Housing Enterprises Financial Safety and Soundness Act of 1992 (12 U.S.C. 4567(b)) is amended—
by striking “The Director” and inserting “Notwithstanding any other provision of law, the Director”;
by redesignating paragraphs (1), (2), and (3) as subparagraphs (A), (B), and (C), respectively, and realigning such subparagraphs (as so redesignated) so as to be indented 4 ems from the left margin;
by striking “by an enterprise upon a finding” and inserting the following:
“(1) upon a finding”
in paragraph (1)(C), as so redesignated by the amendments made by paragraphs (2) and (3) of this section, by striking the period at the end at inserting “; or”; and
by adding at the end the following new paragraph:
“(2) for a fiscal year, if, for any Dividend Period ending during such fiscal year, the holders of outstanding shares of Senior Preferred Stock of such enterprise do not receive cumulative cash dividends in an amount equal to the Dividend Amount for such Dividend Period.”