Fannie Mae (FNMA)

[arkup]

Consider the following:

PUBLIC LAW 114–113—DEC. 18, 2015 129 STAT. 3025
(B) any provision of any certificate in connection with
such Agreement creating or designating the terms, powers,
preferences, privileges, limitations, or any other conditions
of the Variable Liquidation Preference Senior Preferred
Stock of an enterprise issued or sold pursuant to such
Agreement.
(b) LIMITATIONS ON SALE OF PREFERRED STOCK.—Notwithstanding
any other provision of law or any provision of the Senior
Preferred Stock Purchase Agreement, until at least January 1,
2018, the Secretary may not sell, transfer, relinquish, liquidate,
divest, or otherwise dispose of any outstanding shares of senior
preferred stock acquired pursuant to the Senior Preferred Stock
Purchase Agreement, unless Congress has passed and the President
has signed into law legislation that includes a specific instruction
to the Secretary regarding the sale, transfer, relinquishment, liquidation,
divestiture, or other disposition of the senior preferred
stock so acquired.
(c) SENSE OF CONGRESS.—It is the Sense of Congress that
Congress should pass and the President should sign into law legislation
determining the future of Fannie Mae and Freddie Mac, and
that notwithstanding the expiration of subsection (b), the Secretary
should not sell, transfer, relinquish, liquidate, divest, or otherwise
dispose of any outstanding shares of senior preferred stock acquired
pursuant to the Senior Preferred Stock Purchase Agreement until
such legislation is enacted.

Congress set a date at which their time to restrict a sell/transfer/cancellation of the SPS. That date was Jan 01 2018 and has since passed. She is now proposing a bill that would grant another 2 year extension to the administrative power to alter the SPS contracts. Given that the bill would have to pass the House, Senate and be signed by Trump, this looks like Congress has little power to stop the cancellation of the sps. If they could do it now why would they need to pass this bill?