Council of FHLBanks says system has delivered over $9 billion in housing grants since 1990

House Financial Services testimony from the Council of FHLBanks and FHLBank Topeka highlighted the system’s liquidity role, regional model, and calls to expand mortgage-program authority.

Summary

Testimony to the House Financial Services Subcommittee on Housing and Insurance from the Council of Federal Home Loan Banks and FHLBank Topeka presented the Federal Home Loan Bank System as a member-owned liquidity backstop for regulated financial institutions and a support channel for housing affordability and community development. Council President and CEO Ryan Donovan said the 11-bank system has delivered more than $9 billion in Affordable Housing Program grant funding since 1990, while FHLBank Topeka Board Chair Barry Lockard said the system’s regional structure helps community lenders respond to local needs and argued that Congress could unlock more resources for homeowners by allowing the FHLBanks to grow their mortgage programs.

Terms & Concepts
  • Affordable Housing Program: Federal Home Loan Bank System grant program that supports affordable housing and has delivered more than $9 billion since 1990, according to the testimony.
  • liquidity: Ready access to funding or cash for financial institutions.
  • capital markets: Markets where institutions raise funding; FHLBank Topeka said the Federal Home Loan Banks access them to provide liquidity and funding to members.