The head of the Federal Housing Finance Agency Director Mark Calabria was fired by President Joe Biden, according to The Washington Examiner.
In their report, the Examiner stated that a recent Supreme Court ruling gave Biden the power to fire the director in a 7-2 decision which stated that the FJFA leadership structure created in 2008 was unconstitutional.
The nation’s high court found that the agency being lead by a single director who could only be fired for cause was unconstitutional because it defined the separation of powers doctrine.
The FHFA is responsible for managing the Federal Home Loan Mortgage Corporation, also known as Freddie Mac, and the Federal National Mortgage Association, also known as Fannie Mae.
Calabria, according to the Examiner, is a “staunch free-market advocate,” who was appointed by former President Donald Trump in 2019.
“It is critical that the agency implement the Administration’s housing policies,” a White House official told the Washington Examiner, on the issue of Calabria’s removal. The official also said that Biden will replace Calabria with “an appointee who reflects the Administration’s values.”
Taking into account Calabria’s “free-market” values it leaves conservatives questioning what values the administration hopes to put in the office that the former head didn’t demonstrate.
For his part, Calabria said after Wednesday’s ruling that it had been “an honor of a lifetime” to serve and cited what his agency did during the COVID-19 pandemic as successes under his leadership.
“However, much work remains,” he said. “When the housing markets experience a significant downturn, Fannie Mae and Freddie Mac will fail at their current capital levels. I wish my successor all the best in fixing the remaining flaws of the housing finance system in order to preserve homeownership opportunities for all Americans.”