US Federal House Bill HJR48

US Federal 2025-2026 Regular Session

• Introduced: 2/12/25
• Refer: 2/12/25

Caption

Providing for congressional disapproval under chapter 8 of title 5, United States Code, of the rule submitted by the Board of Governors of the Federal Reserve System relating to "Quality Control Standards for Automated Valuation Models".

Impact

The implications of HJR48 extend prominently into the regulatory framework governing financial institutions and property valuation processes. By disapproving of these quality control standards, Congress could potentially impact how lenders assess property values, potentially leading to a more lenient valuation process that may favor certain market participants over others. This rejection may excite discussions on the balance of oversight between federal regulatory bodies and Congress, indicating shifts in policy priorities regarding financial regulation.

Summary

HJR48 is a joint resolution aimed at providing congressional disapproval of a specific rule submitted by the Board of Governors of the Federal Reserve System concerning ‘Quality Control Standards for Automated Valuation Models’. This resolution signifies a direct response from Congress to contest the regulatory authority of the Federal Reserve over automated valuation models, which are essential in determining property values for various financial transactions such as mortgages and loans. The resolution emphasizes that the contested rule shall have no force or effect if passed, effectively nullifying the implementation of those quality control standards laid out by the Federal Reserve.

Contention

The resolution may face contention surrounding the need for stringent quality controls versus the desire for less federal oversight from those who view regulatory measures as overly burdensome. Supporters of the resolution may argue that the existing federal rules hinder operability within the financial and housing markets, claiming they contribute to unnecessary complications for lenders and appraisers. Conversely, critics might argue that rejecting these quality control standards could lead to distortions in property valuation, posing risks to the broader financial stability and consumer protection within the market.

Congress_id

119-HJRES-48

Policy_area

Finance and Financial Sector

Introduced_date

2025-02-12