Charles Schumer of New York, Sherrod Brown of Ohio, Jeff Merkley of Oregon, Robert Menendez of New Jersey, Elizabeth Warren of Massachusetts, and Jack Reed of Rhode Island held a private meeting and agreed to pull their support for Johnson-Crapo.
“I'm not sure that eliminating the GSEs totally makes sense, as some have suggested, and so I have an open mind on it,” Robert Menendez of New Jersey, a Democratic member of the Senate Banking Committee, said in an interview last week. His comments came after Senate Majority Leader Harry Reid, a Nevada Democrat, said in August that the companies shouldn't be dismantled.
That is seven democrats that wont vote for crapo-johnson.
Harry Reid senate majority leader says NO dismantle.
Some have said that GSE reform will drive mortgage rates through the roof. Others have said that the GSE reform discussion will stretch into 2017, at least.
Johnson-Crapo has certainly had its detractors since it was initially announced. Some say it is the “Obamacare” of GSE reform and others have called it “not the cure, but another form of the same illness” that drove the country’s economy into crisis in 2008.