Watt and Lew have about 3 weeks to get together and concur on a release mechanism that will become their legacy and not Trump's accomplishment. The payment to UST must be received before this happens.
Trump's "watch" begins with the numbers commencing in January.
What better a way for the Obama team to welcome him to Washington than to bust the GSE piggy bank for the last and final time. Everything just goes back to where it was in August, 2008 under George W. Bush. No conservatorship, no SPSPAs, no more SPD, no more "Sweep" and no more warrants. There is no government guarantee, stated or implied ((as in 2008) and there is no $400 B draw provision from UST. The financial crisis is over. And so then is the need for conservatorship.
Then the Congressional discussion over reform can recommence at whatever pace the new Trump Administration can muster. And the courts can conclude whatever further actions they wish to order via eventual rulings, any penalties then becoming the burden of the incoming team.
Watt and Lew both risk legal entanglements in 2017, or beyond, as pending litigation contiues to churn in the courts. Resolving this problem before a new team takes over is in their best interests, as well as most all other parties with skin in this game.
Happy New Year, everyone. My scenario certainly would turn that wish into a reality after 8 years of havoc for just about everybody.
JMHO.
