K Street pushes Fannie, Freddie release for reconciliation package

Financial services lobbyists are urging lawmakers to consider a high-stakes overhaul of the housing system as part of a 2025 tax package, according to two people familiar with the discussions. The effort has buy-in from a lead contender for the House Financial Services Committee gavel.

Republicans have spent years pushing for the release of Fannie Mae and Freddie Mac from government conservatorship. Now, advocates see an opportunity for the effort to hitch a ride as part of a GOP reconciliation package next year. Rep. Andy Barr (R-Ky.) told us Wednesday afternoon he had brought up the idea to Ways and Means Committee Chair Jason Smith (R-Mo.).