On July 30, 2008, President George Bush signed into law H.R. 3221, the Housing and Economic Recovery Act of 2008 ("HERA"). HERA generally becomes effective on October 1, 2008, although some parts become effective January 1, 2009 or thereafter. The Act includes the creation of an oversight board consisting of the U.S. Treasury, HUD, the Federal Reserve Board, and the FDIC.
A new regulator, the Federal Housing Finance Agency ("FHFA")will have oversight authority over Fannie Mae, Freddie Mac, and the Federal Home Loan Banks.