H.J.Res.47 - Providing for congressional disapproval under chapter 8 of title 5, United States Code, of the rule submitted by the Office of the Comptroller of the Currency relating to Quality Control Standards for Automated Valuation Models. (119th Congress)
Summary
H.J.Res.47 is a joint resolution introduced in the House of Representatives aiming to disapprove a rule submitted by the Office of the Comptroller of the Currency (OCC) concerning Quality Control Standards for Automated Valuation Models (AVMs). The resolution invokes the Congressional Review Act (CRA) to nullify the OCC's rule. The rule in question is published in the Federal Register (89 Fed. Reg. 64538) on August 7, 2024.
Expected Effects
If enacted, H.J.Res.47 would prevent the OCC's rule on AVM quality control standards from taking effect. This would mean that the existing regulatory landscape for AVMs would remain unchanged, and the OCC would need to undergo a new rulemaking process to implement such standards. The resolution reflects congressional concern or disagreement with the OCC's approach to regulating AVMs.
Potential Benefits
- Prevents potential unintended consequences of the OCC rule on the housing market and appraisal industry.
- Allows Congress to reassess the need for and approach to regulating AVMs.
- Ensures that any future regulations are carefully considered and aligned with congressional intent.
- Provides an opportunity for stakeholders to offer input on AVM regulation.
- Maintains the status quo, preventing disruption to existing valuation practices.
Potential Disadvantages
- May delay or prevent the implementation of potentially beneficial quality control standards for AVMs.
- Could lead to continued inconsistencies or inadequacies in AVM usage.
- May create uncertainty for financial institutions and appraisers regarding future regulatory requirements.
- Could be interpreted as a lack of congressional support for modernizing appraisal practices.
- Misses an opportunity to address potential biases or inaccuracies in AVMs.
Constitutional Alignment
This resolution is an exercise of Congress's legislative power under Article I, Section 1 of the Constitution, which vests all legislative powers in Congress. The Congressional Review Act (CRA), under which this resolution is brought, is a mechanism by which Congress can review and disapprove agency rules, ensuring that agencies do not exceed the authority delegated to them by Congress. The CRA itself is a valid exercise of congressional authority.
Impact Assessment: Things You Care About ⓘ
This action has been evaluated across 19 key areas that matter to you. Scores range from 1 (highly disadvantageous) to 5 (highly beneficial).