In opening remarks at a nominations hearing, ranking member Elizabeth Warren called for Federal Housing Finance Agency Director Bill Pulte to resign over budget cuts that the agency’s Office of Inspector General warned would effectively shut down much of its oversight and investigative work. Warren entered the inspector general’s letter into the committee record and called for congressional action if Pulte does not step down, alleging that the cuts would weaken independent scrutiny of his conduct and fraud in housing finance markets. The inspector general projected that funding of USD 20 million would require a 70% to 80% staffing reduction in fiscal 2027, end essentially all criminal investigations and force the office to withdraw support from ongoing cases involving the Department of Justice and more than 30 U.S. attorneys’ offices. Warren also criticized the Sept. 30 objection to legislation that would allow the inspector general, rather than the FHFA director, to determine the funding available for criminal investigations.
U.S. Senate Committee on Banking, Housing and Urban Affairs ranking member calls for FHFA director to resign over watchdog budget cuts
U.S. Senate Banking Committee ranking member Elizabeth Warren called for FHFA Director Bill Pulte to resign over cuts to the agency’s inspector general. The watchdog warned that funding of USD 20 million would reduce staffing by 70% to 80% in fiscal 2027 and end essentially all criminal investigations.