FOR IMMEDIATE RELEASE:August 22, 2020
CONTACT:Jamie Morris (530) 545-9274
CBC Mortgage Agency Applauds Cedar Band’s Letter to CongressBand’s Chairwoman Implores Members to Request HUD Consider Long-Term Ramifications of Pending Rule
CEDAR CITY, Utah – CBC Mortgage Agency this week applauded a letter sent to all 535 members of Congress, underscoring serious concerns about a “decision to limit national-scope governmental entities providing secondary financing” by the Department of Housing and Urban Development (HUD).
The letter, signed by Delice Tom, Chairwoman of the Cedar Band of Paiutes, which owns Cedar Band Corporation (CBC) and which, in turn, wholly owns CBC Mortgage Agency (CBCMA), which provides the Chenoa Fund down payment assistance program, responds to HUD’s announced plans for a proposed rulemaking that would have a devastating impact on the Cedar Band, other tribal nations and the millions of minority borrowers who rely on DPA.
“At a time when the administration is quietly issuing rules that negatively impact the economic prosperity of current and aspiring homeowners across the country, members of Congress must be aware of what can result from further meddling in housing policy,” said Richard Ferguson, President of CBC Mortgage Agency.
In the letter, Chairwoman Tom states:“It would be prudent for HUD to consult with the communities that rely on down payment assistance programs provided by federally chartered government entities, as well as collect and make public the default performance and loan pricing data for each federal, state, and local government entity before proceeding with rulemaking.”“Limiting the scope and availability of DPA programs like CBCMA’s Chenoa Fund would do nothing to address the growing racial wealth gap perpetuated by decades of discriminatory housing policies that our program aims to address,” Ferguson continued. “We adamantly support Chairwoman Tom and the Band’s efforts to defend the availability of affordable DPA programs across the country to qualified homebuyers seeking the American Dream of homeownership, which is in jeopardy if HUD has its way.”
About CBC Mortgage AgencyCBCMA provides secondary financing to borrowers, who are receiving loans insured by the Federal Housing Administration (FHA). CBCMA takes great care to ensure that the FHA loans perform well, including providing pre-purchase education as well as 18 months of counseling to borrowers after the purchase of their home. These services are provided at no cost to the borrower. In addition, CBCMA regularly reviews its credit and underwriting standards to ensure that the borrowers it assists are credit worthy. CBCMA is a wholly owned subsidiary of Cedar Band Corporation, a federally chartered tribal corporation wholly owned by the Cedar Band of Paiutes, a federally recognized American Indian Band. For more information about CBCMA and its programs, visit chenoafund.org.