It’s not every day that a regulator for a $1 trillion, nearly 100-year-old bureaucracy signals that a total revamp might be in order. But this is what occurred when the newly confirmed head of the Federal Housing Finance Agency, Sandra Thompson, told Congress that she is commencing a comprehensive review of the mission and operations of the Federal Home Loan Banks (FHLBs).
It appears that the FHLBs long history of resisting change is about to end. That history has served them, if not the nation, well over the years. One can only hope that the obscurity in which they have operated for 90 years is about to end.