July 13, 2017

FHFA: Final Rule Regarding Minority and Women Inclusion Regulations Amended to Require Diversity and Include Strategic Planning

Washington, D.C. — The Federal Housing Finance Agency (FHFA), is publishing a final rule that amends its existing Minority and Women Inclusion regulations to require Fannie Mae, Freddie Mac, the Federal Home Loan Banks, and the Office of Finance (the regulated entities), to develop and implement strategic plans to promote diversity and inclusion of minorities, women, individuals with disabilities, and the businesses they own.  The final rule adopts, with minor revisions, the Notice of Proposed Rulemaking FHFA issued on Oct. 27, 2016.

The final rule clarifies diversity and inclusion reporting requirements and improves the usefulness and comparability of the regulated entities’ annual reports to FHFA.  The final rule also requires the regulated entities to amend their policies on equal employment opportunity to add sexual orientation, gender identity, and status as a parent to the list of protected classes.

The Housing and Economic Recovery Act of 2008 requires Fannie Mae, Freddie Mac and the Federal Home Loan Banks to promote diversity and inclusion in all their business activities.  The final rule further clarifies the scope of the regulated entities’ obligation to promote diversity and inclusion.

The Final Rule becomes effective 30 days after publication in the Federal Register.

Link to Final Rule

This post was originally published here.