Biden Appoints Acting FHFA Director after SCOTUS Decision Affirms Presidential Authority

Last week the Supreme Court of the U.S. (SCOTUS) ruled 7-2 in Collins v. Yellen that the director of the Federal Housing Finance Agency (FHFA) is removable by the president. The court ruled that the Housing and Economic Recovery Act’s structure, which restricts the President’s power to remove the FHFA director, violates the separation of powers. 

Shortly after the ruling, FHFA director Mark Calabria resigned and President Joe Biden (D) appointed Sandra Thompson as acting director. Thompson has served as Deputy Director of the Division of Housing Mission and Goals at FHFA since 2013. Prior to joining FHFA, she worked at the Federal Deposit Insurance Corporation (FDIC), for more than 23 years in a variety of leadership positions, most recently as Director, Division of Risk Management Supervision. 

The justices unanimously agreed that one of the shareholders’ claims regarding the transfer of profits could not go forward. The case now goes back to the lower courts, which will determine whether the shareholders are entitled to any relief.