Brian P. Hudak Named OCC Deputy Chief Counsel

Industry Update
December 3, 2025

Source: Office of the Comptroller of the Currency

The Office of the Comptroller of the Currency (OCC) has announced Brian P. Hudak as Deputy Chief Counsel.

In this role, Mr. Hudak provides advice to the Chief Counsel and senior OCC officials on significant legal, policy and administrative matters affecting the federal banking system. This includes management and oversight over the OCC’s enforcement, litigation, and internal agency matters.

“Brian brings nearly two decades of successful litigation and enforcement experience at the U.S. Attorney’s Office to the OCC, where he will provide meaningful direction to advance our supervisory and regulatory mission while ensuring that our regulated institutions are held accountable for their compliance with statutory and regulatory requirements,” said Comptroller of the Currency Jonathan V. Gould. “Brian has received numerous recognitions for his outstanding work on behalf of the United States, and the OCC is fortunate to have a leader with his background, skills and expertise in our legal department.”

Mr. Hudak most recently served as Civil Chief at the U.S. Attorney’s Office for the District of Columbia where he oversaw and supervised the litigation of thousands of civil defensive and affirmative matters. Prior to becoming Civil Chief, Mr. Hudak served in the U.S. Attorney’s Office as Deputy Civil Chief and as line Assistant U.S. Attorney in the Civil Division. During his 18 years at the U.S. Attorney’s Office, Mr. Hudak personally handled volumes of high-profile civil defensive cases, collected more than $1 billion in recoveries in civil enforcement lawsuits, and disrupted hundreds of millions of dollars in assets traced to terrorist and trans-national criminal organizations. Before his government service, Mr. Hudak worked for a law firm in New York.

Mr. Hudak received his Bachelor of Science degree in computer science from the University of Virginia and his juris doctor cum laude from Washington & Lee University School of Law.

 

For full report, please click the source link above.

 

Q3 Update: Delinquencies, Foreclosures and REO

Industry Update
December 4, 2025

Source: CalculatedRisk Newsletter

Even with the recent weakness in house prices, it is important to note that there will NOT be a surge in foreclosures that could lead to cascading house price declines (as happened following the housing bubble) for two key reasons: 1) mortgage lending has been solid, and 2) most homeowners have substantial equity in their homes.

With substantial equity, and low mortgage rates (mostly at a fixed rates), few homeowners will have financial difficulties.

But it is still important to track delinquencies and foreclosures.

Here is some data on REOs through Q3 2025 …

This graph shows the nominal dollar value of Residential REO for FDIC insured institutions based on the Q3 FDIC Quarterly Banking Profile released in late November. Note: The FDIC reports the dollar value and not the total number of REOs.

The dollar value of 1-4 family residential Real Estate Owned (REOs, foreclosure houses) was up 24% YOY from $765 million in Q3 2024 to $951 million in Q3 2025. This is still historically very low, but increasing.

Fannie Mae reported the number of REOs decreased to 4,496 at the end of Q3 2025, down 4% from 4,666 at the end of the previous quarter, and down 31% year-over-year from 6,481 in Q3 2024.

This is very low and well below the pre-pandemic levels. REOs are a lagging indicator. REOs increase when borrowers struggle financially and have little or no equity, so they can’t sell their homes – as happened after the housing bubble. That will not happen this time.

Here is some data on delinquencies …

It is important to note that loans in forbearance are counted as delinquent in the various surveys but not reported to the credit agencies.

The percent of loans in the foreclosure process increased year-over-year from 0.45 percent in Q3 2024 to 0.50 percent in Q3 2025 (red) but remains historically low.

From the MBA:

Compared to last quarter, the seasonally adjusted mortgage delinquency rate increased for all loans outstanding. By stage, the 30-day delinquency rate increased 2 basis points to 2.12 percent, the 60-day delinquency rate increased 4 basis points to 0.76 percent, and the 90-day delinquency bucket remained unchanged at 1.11 percent.

The delinquency rate includes loans that are at least one payment past due but does not include loans in the process of foreclosure. The percentage of loans in the foreclosure process at the end of the third quarter was 0.50 percent, up 2 basis points from the second quarter of 2025 and 5 basis points higher than one year ago.

Both Fannie and Freddie release serious delinquency (90+ days) data monthly.

These are mortgage loans that are “three monthly payments or more past due or in foreclosure”. The pandemic related increase in serious delinquencies was very different from the increase in delinquencies following the housing bubble. Lending standards have been fairly solid over the last decade, and most of these homeowners have equity in their homes – and they have been able to restructure their loans once they were employed.

And on foreclosures …

ICE reported that active foreclosures are still very low but have increased recently. have decreased and are near the records.

There were 103K foreclosure starts in Q3 2025, a 23% increase from the same period last year, but 18% below Q3 2019’s pre-pandemic levels with FHA loans accounting for 44% of foreclosure starts in Q3.

The number of loans in active foreclosure rose modestly year-over-year (18%), yet overall foreclosure volume remains historically low, with Q3 foreclosure sales (21K) at roughly half of 2019 levels.

FHA loans account for the majority of that rise, making up 38% of active foreclosures, roughly half of the annual rise in foreclosure starts and 80% of the rise in active foreclosures.

The resumption of VA foreclosure activity following last year’s moratorium is largely responsible for the remainder of the recent growth, with foreclosure inventory for portfolio-held loans and GSE mortgages largely flat year over year.

The bottom line is there will likely be an increase in delinquencies and foreclosures, but there will not be a huge wave of foreclosures as happened following the housing bubble. The distressed sales during the housing bust led to cascading price declines, and that will not happen this time.

 

For full report, please click the source link above.

 

FHFA Announces Conforming Loan Limit Values for 2026

Industry Update
November 25, 2025

Source: Federal Housing Finance Agency

U.S. Federal Housing (FHFA) today announced the conforming loan limit values (CLLs) for mortgages Fannie Mae and Freddie Mac (the Enterprises) will acquire in 2026.  In most of the United States, the 2026 CLL value for one-unit properties will be $832,750, an increase of $26,250 from 2025.

National Baseline

The Housing and Economic Recovery Act (HERA) requires FHFA to adjust the Enterprises’ baseline CLL value each year to reflect the change in the average U.S. home price.  Earlier today, FHFA published its third quarter 2025 FHFA House Price Index® (FHFA HPI) report, which includes statistics for the increase in the average U.S. home value over the last four quarters.  According to the nominal, seasonally adjusted, expanded-data FHFA HPI, house prices increased 3.26 percent, on average, between the third quarters of 2024 and 2025.  Therefore, the baseline CLL in 2026 will increase by the same percentage.

High-Cost Areas

For areas in which 115 percent of the local median home value exceeds the baseline conforming loan limit value, the applicable loan limit will be higher than the baseline loan limit.   HERA establishes the high-cost area limit in those areas as a multiple of the area median home value, while setting the ceiling at 150 percent of the baseline limit.  Median home values generally increased in high-cost areas in 2025, which increased their CLL values.  The new ceiling loan limit for one-unit properties will be $1,249,125, which is 150 percent of $832,750.

Special statutory provisions establish different loan limits for Alaska, Hawaii, Guam, and the U.S. Virgin Islands.  In these areas, the baseline loan limit and the ceiling loan limit for one-unit properties will be $1,249,125 and $1,873,675, respectively.

Due to rising home values, the CLL values will be higher in all but 32 U.S. counties or county equivalents.

 

For full report, please click the source link above.

 

Pittsburgh Taxing Bodies Agree to Give Land Bank Power to Move Along Blighted Properties

One Community Update
November 20, 2025

Source: wesa.fm

The battle to reclaim vacant and abandoned tax-delinquent houses and lots in the city of Pittsburgh scored a long-awaited victory. The city, the city’s school district and the county — the three entities that can tax property in the city — signed an agreement last week that lets the Pittsburgh Land Bank get a priority bid at sheriff’s sale.

In the past, when tax-delinquent properties come up for auction at sheriff’s sale — the last stage of the foreclosure process — the Land Bank gets outbid by private developers with deeper pockets. This agreement allows the Land Bank to get a first pass at a property when it goes up for auction and only pay what it costs to process the sale, which is about $3,000, according to Sally Stadelman, acting executive director of the Pittsburgh Land Bank.

A land bank is an organization that takes vacant or abandoned properties, particularly when they’re mired in debt and legal limbo, clears their titles and returns them to productive use.

The agreement signed last week slashes the amount of time it takes the Land Bank to clear the title of a tax-deliquent property from about two years to nine months, according to Stadelman.

“Every day that goes by with a vacant structure there, the chance that a hole develops in the roof, you get water infiltration,” Stadelman said. “And now you’ve quadrupled your cost to save that structure if you can even do it at all.”

The Land Bank was able to start work in 2023 after it received $3.5 million from the federal American Rescue Plan. Since then, they’ve acquired property already owned by the City of Pittsburgh and turned it into affordable housing projects or other community-led projects. This year, they’re on track to sell 80 properties and expect to make a similar amount next year, Stadelman said.

With the new agreement, Stadelman said, they will continue to prioritize nonprofit and affordable housing projects.

“We removed the barriers to the land access, so it will really be dependent on funding sources for entities to be able to complete those affordable housing projects.”

The agreement also adds two more seats to the Land Bank’s board — one for the county and one for the school district. It also guarantees that the Land Bank gets half of taxes generated on anything the Land Bank sells for five years after the property is sold. This is critical to its financial health.

Federal funds are set to run out in 2026 and the Pittsburgh Land Bank still lacks dedicated, consistent funding. The Land Bank is able to generate some revenue from the sales of property they clear but only has funding to operate at their “current capacity through 2027,” Stadelman said. They’re applying for grant funding from the state and city officials have organized a task force to find funding solutions but there’s no money set aside for the Land Bank in the upcoming city budget.

The city of Pittsburgh has anywhere between 5,000 and 20,000 properties that are tax- delinquent. But there’s only about 1,000 that need a land bank intervention, according to Stadelman.

“It’s not an endless problem,” Stadelman said. “Once you are able to turn over the worst of the worst properties that allows your market to stabilize and decrease the overall number of blighted properties. We don’t have to intervene with every last property. We just need to address the ones the market can’t, so that other owners who may be willing to sell, may want to come back and fix their home up.”

 

For full report, please click the source link above.

Blighted to Brand New: Land Bank Authority Celebrates Completed Rehabilitation Project

One Community Update
November 18, 2025

Source: wwmt.com

The Calhoun County Land Bank Authority is celebrating the completion of its first rehabilitation project funded through the State Land Bank’s Blight Elimination Grant.

The grant consists of $5.5 million over two rounds and will cover eight rehabilitation projects in total, including the completed project along with seven additional ones.

The completed property, located at 56 Lathrop Ave. in Battle Creek’s Post Franklin Neighborhood, has been fully restored over the past five months, now standing updated and unrecognizable.

“It’s been fully renovated from top to bottom,” Krista Trout-Edwards, executive director of the Calhoun County Land Bank Authority, said.

Blight elimination projects focus on rehabilitating, stabilizing, and in some cases demolishing run-down properties that pose potential issues to surrounding communities, such as 56 Lathrop used to.

Before renovations took place, Trout-Edwards said the property was home to thefts and dumpings, causing concern for nearby neighbors.

“This house had a lot of trauma,” Trout-Edwards said. “My field team was out here quite a bit in 2024 to make sure that when the dumping happened, we were here, we were filing the police report and trying to really get at the root cause of it.”

The space now offers three bedrooms, 1.5 bathrooms, an open floor plan, and updated appliances.

Outside, the property showcases a shed, parking pad, and room for future owners to add a garage, if desired.

“It’s a new homeownership opportunity for someone to put down roots in the neighborhood,” Trout-Edwards said. “This house is part of a much bigger initiative to make communities cleaner, safer, and more valuable.”

The Calhoun County Land Bank Authority owns about 700 vacant parcels across the county, including 100 in the Post Franklin Neighborhood.

Over the past year, the authority has worked with the Neighborhood Planning Council on a strategy for how to best revamp and renew parcels for future use.

“A lot of times when people think of blight elimination, they think demo,” Trout-Edwards said. “But we have expanded that vernacular to include stabilization of buildings, rehabilitation of buildings, environmental remediation, all those things that prevent eventual demolition.”

Projects like this one create a snowball effect, with one investment made on a block inspiring other investments to follow, said Trout-Edwards.

Two lots across from 56 Lathrop have been sold to a neighbor to update, a new house has been built on property down the street, and Trout-Edwards hopes redevelopment will continue to spur.

“There’s just a lot of momentum here,” Trout-Edwards said. “And this house is just one piece.”

 

For full report, please click the source link above.

Land Bank Celebrates Dansville Property Development

One Community Update
November 17, 2025

Source: www.thelcn.com

The Livingston County Land Bank Corporation has redeveloped a property it acquired in January 2022 with a new modular home.

County officials recently announced the development and sale of a previously vacant property in Dansville as part of the Land Bank’s ongoing effort to revitalize neglected properties across Livingston County.

The Land Bank, a not-for-profit corporation, originally acquired the Dansville property in January 2022. The Land Bank demolished the property’s existing structure and built the modular home on the lot.

“This project shows the ability of the Land Bank to acquire and develop properties that are often ignored” said Livingston County Land Bank Board Chairman Daniel L. Pangrazio, who is also supervisor for the town of Caledonia. “Neglected properties like this one will often sit vacant for years, but the Land Bank has the ability to demolish and build new homes — providing a great benefit to these neighborhoods.”

Livingston County Land Bank Executive Director Megan Crowe praised local community partners for their efforts on the project, including Avon Modular Homes, Lakeview Construction, and Realtor Anthony Scorsone.

A land bank is a governmental entity or non-profit corporation focused on the rehabilitation of vacant, abandoned and tax delinquent properties to go back on to the tax rolls.

In March, the Livingston County Land Bank was awarded a $2 million in Land Bank Initiative grant from New York State Homes and Community Renewal for the acquisition, demolition, rehabilitation, and redevelopment of properties across the county.

The Livingston County Land Bank Corporation is staffed and operated by the County Planning Department with assistance from other associated county departments. Land bank operations are directed by a seven-member board of directors.

New York established land banks in 2011, but set a limit of 20. That cap was reached in 2016 with other counties, including Livingston, still wishing to create land banks.

Livingston County had been talking with Genesee and Orleans counties and the City of Batavia about creating a regional land bank, but those talks eventually broke down. Livingston County then sought to create its own single-county land bank.

Livingston County submitted an application in late April 2017 to allow it to create the Livingston County Land Bank Corp., following state legislation that increased by five — to 25 from 20 — the number of land banks allowed in the state. The county’s application for a land bank was approved in July 2017.

The state Land Bank Program was established to help combat the problem of vacant and abandoned properties and allows municipalities to apply for and create land banks in their communities.

Since its establishment in August 2017, the Land Bank has actively worked to address vacant and abandoned properties throughout the region. The organization’s efforts have resulted in a number of property redevelopments along with several strategic demolitions, all aimed bringing unused or underutilized tracts back to productive use, county officials said.

At the time Livingston County established its land bank, then-County Administrator Ian M. Coyle said the county had identified about 225 properties in the county that could benefit from the land bank. Most of the properties were residential.

The Livingston County Land Bank’s first property was a 0.4-acre vacant residential lot at Canandaigua Street in Leicester. The property was originally slated to be included in the county’s annual tax foreclosure auction in July 2017, but was pulled from the auction to be considered for the newly-created Livingston County Land Bank. The property was later given to Habitat for Humanity for a new-build home.

The Land Bank’s mission is to support community development and boost the local economy by returning vacant, abandoned, underutilized, and tax-delinquent properties to productive use.

For more information, visit livingstoncountylandbank.org.

 

For full report, please click the source link above.

ICE First Look at Mortgage Performance: October 2025

Industry Update
November 25, 2025

Source: ICE Mortgage Technology

ICE Mortgage Technology, a neutral provider of a robust end-to-end mortgage platform and part of Intercontinental Exchange, Inc. (NYSE: ICE), today released the October 2025 ICE First Look at mortgage delinquency, foreclosure and prepayment trends.

“Softening mortgage rates expanded the pool of refinance candidates in October, pushing prepayments to their highest level in three and a half years,” said Andy Walden, Head of Mortgage and Housing Market Research at ICE. “This trend was largely driven by people who purchased homes at elevated rates in recent years seizing the opportunity to lower their monthly payments.”

“Overall mortgage health remains solid, with continued improvement in delinquency rates across all stages,” continued Walden. “While foreclosure activity has ticked up, levels remain historically low. This uptick is driven by a rise in FHA foreclosures along with the resumption in VA foreclosures following last year’s moratorium.”

Key takeaways from this month’s findings include:

Delinquencies improved: The national delinquency rate fell by 7 basis points (bps) in October to 3.34%. This is down 11 bps from the same time last year and 53 bps below the October 2019 pre-pandemic benchmark.

Broad strength in delinquency rates: Performance improved across the board, with both early-stage (30-day) and late-stage (90+ day) delinquencies declining during the month.

Prepayments reached a multi-year high: The single month mortality (SMM) rate, which tracks prepayments, rose by 27 bps in October to 1.01%. This marks the highest level in 3.5 years and an increase of 16 bps from last year when interest rates were at similar levels.

Foreclosure activity trending upward: Although October foreclosure starts slowed by 9.8% from the prior month, the overall trend continues to rise. Foreclosure inventory is up by 37,000 (+19%) year over year, and foreclosure sales have increased by 1,900 (+32%) from last year’s levels.

Government loans driving foreclosure growth: While foreclosure activity remains muted by historical standards, the number of loans in active foreclosure hit its highest level since early 2023, driven by a notable rise in FHA foreclosures (+50% YoY) along with a resumption of VA activity following last year’s moratorium.

 

For full report, please click the source link above.

 

NPPC 25 Takes Center Stage in D.C.

Safeguard in the News
November 18, 2025

Source: MortgagePoint

The 2025 National Property Preservation Conference (NPPC), hosted by Safeguard Properties, commenced this week at the MGM Grand Hotel in Washington, D.C. Now in its 21st year, NPPC has established itself as a preeminent platform dedicated to promoting innovation and excellence in property preservation. The conference convenes industry professionals, government officials, and community stakeholders to present the most recent strategies and techniques for maintaining and rehabilitating residential and commercial properties.

The programming commenced with opening remarks by Alan Jaffa, CEO of Safeguard Properties, followed by a morning keynote presentation on the U.S. economy, delivered by Mark Fleming, Chief Economist at First American Financial Corporation.

“To witness the level of subject-matter experts who convene at NPPC annually, to assist in stabilizing communities through efficient preservation practices and policies, is truly awe-inspiring,” said Jaffa.

A Line-up of Industry Experts

Following Fleming’s remarks, Ed Delgado, Chairman Emeritus at Five Star Global and Managing Director of Mortgage Policy Advisors, took the stage to moderate the popular State of the Industry panel, with representation from U.S. Bank, Safeguard, Rocket Mortgage, and Impact Capitol.

LaQuanda Sain, EVP of Mortgage Servicing at Rocket Mortgage, emphasized the significance of advancing AI solutions in the mortgage servicing sector. Sain highlighted the potential of AI to enhance and improve homeowner interactions, stating, “While AI will not supplant human empathy and understanding, its implementation will undoubtedly streamline workflows and processes.”

Timika Scott, SVP and Operations Group Manager at U.S. Bank, addressed the challenges associated with homeownership affordability and the establishment of supportive programs. Scott underscored the pivotal role of affordable homeownership in fostering stable communities and providing economic opportunities for all.

Tim Rood, Founder and CEO of Impact Capitol, commented on the topic of GSE conservatorship. “GSE reform is not a three-legged race,” Rood said. “Don’t expect them to come out of conservatorship and/or IPO at the same time.”

Delgado shared his perspective on the economy, highlighting forecasters’ assessment of Q4 retail spending. He noted, “When consumer spending, the primary driver of the U.S. economy, begins to decline, it serves as a clear indication that a broader slowdown is imminent. A significant and prolonged decrease in retail sales will not remain confined; it will propagate throughout job markets, prompt cost-cutting measures among businesses, and, potentially, precipitate a downturn in the economy.”

In the afternoon keynote, Joe Iafigliola, Chief Financial Officer at Safeguard Properties, engaged in a powerful discussion with David Sheeler, Senior EVP and President of Residential Servicing at Freedom Mortgage. The two speakers delved into a diverse spectrum of topics, encompassing mortgage volume, affordability, and technological advancements in servicing.

Key topics covered during the conference included sustainable preservation practices, advancements in property inspection technology, and innovative approaches to reducing property neglect. Attendees also explored the importance of collaboration between public and private sectors to combat urban decay and promote neighborhood revitalization.

Additionally, sessions focused on regulatory updates, funding opportunities for preservation projects, and best practices for engaging with property owners. Panel discussions emphasized the role of technology in streamlining preservation efforts, including the use of data analytics and digital documentation.

NPPC25 runs through November 19, with an opening keynote on the final day provided by Min Alexander, Founder of BOSSCAT Home Services and Technologies. Subsequently, a ‘super-session’ titled “Preserving the Future: AI and Tech Trends” will be held. The conference will conclude with the Women Impact Network (WIN) Luncheon, featuring speakers who will discuss the significance of connection and the importance of leadership through mentorship.

The conference underscores the collective responsibility to preserve community assets and ensure safe, healthy living environments. By sharing knowledge and fostering partnerships, the 2025 National Property Preservation Conference aims to drive forward the future of property care and revitalization across the nation.

 

To access the full story, please click the source link above.

FEMA Chief Steps Down

Industry Update
November 17, 2025

Source: CNN Politics

The embattled acting chief of the Federal Emergency Management Agency will step down after hurricane season following months of public controversy and internal frustration.

David Richardson submitted a resignation letter on Monday to the Department of Homeland Security, which oversees FEMA, giving two weeks’ notice, the department told CNN. However, plans were already in the works at the agency to oust him from the role, three sources told CNN.

Richardson, a loyalist to Homeland Security Secretary Kristi Noem, was tapped to lead FEMA even though he lacked experience in disaster management. But his time in charge has been punctuated by some eyebrow-raising moments — like in a June meeting in which he told staff he was unaware the US has a hurricane season, a comment DHS later insisted was a joke.

His impending departure raises the stakes for FEMA — the agency responsible for helping Americans recover from the nation’s worst disasters — as Noem and DHS prepare for sweeping reforms that could fundamentally reshape its future.

A FEMA official with knowledge of the decision said Karen Evans, a close Trump administration ally at DHS and FEMA’s newly appointed chief of staff, will replace Richardson. A DHS spokesperson later said in a statement that Evans will start in her new role on December 1.

The spokesperson said the agencies thanked Richardson “for his dedicated service and wish him continued success in his return to the private sector.”

Richardson’s leadership faced its toughest test in July, when catastrophic floods devastated Texas and killed more than 130 people. As the crisis unfolded, Richardson was on vacation and unreachable for hours. He later told lawmakers he spent the entire trip in his truck, glued to his phone, coordinating the response.

Yet Richardson was publicly silent and absent from the flood zone, surfacing more than a week later for an unannounced visit to Texas — days after President Donald Trump and Noem toured the area. He arrived in a straw hat and cowboy boots, notably lacking any FEMA insignia — a striking departure from the typical image of agency leaders on the front lines of a crisis.

His absence was not by chance. DHS leaders had instructed FEMA to keep Richardson’s Texas trip under wraps until he left the state, deliberately shielding him from the press, three sources with knowledge of the decision said.

Richardson later defended his leadership and told lawmakers the DHS response in Texas was a “model for how to respond to a disaster.”

Traditionally, the FEMA administrator is the president’s right hand for natural disasters and national emergencies. But in Trump’s second term, Richardson has been largely pushed to the sidelines, with his authority steadily diminished by Noem.

In a statement Monday, Richardson defended his short tenure at FEMA, arguing that he “didn’t hesitate” to take on the leadership post just weeks before hurricane season began.

“I agreed to be the acting administrator through hurricane season when others wouldn’t. Hurricane season ends on 1 December. Since the danger has largely passed, I can now leave for other opportunities,” he said. “Many were asked. One raised his hand and said, ‘I’ll do it.’”

Criticism of Richardson’s leadership at FEMA

A former Marine combat veteran, martial arts instructor and painter, Richardson previously led the Countering Weapons of Mass Destruction office at DHS but had no experience managing natural disasters when he was tapped for the FEMA role in May. His predecessor, Cameron Hamilton, also a Trump administration appointee, was fired for clashing with senior homeland security officials and opposing the administration’s push to eliminate FEMA.

“He never should have been there to begin with,” Hamilton, who worked with Richardson during his time in the administration, told CNN this week. “The two words I’d use to describe him are unprofessional and overwhelmed.”

Richardson’s appointment marked a turning point as DHS tightened its grip on FEMA, installing loyalists in key positions and pushing out veteran disaster experts. Unlike Hamilton, Richardson was seen as someone who would follow orders. He’s a personal friend of longtime Trump ally Corey Lewandowski, who is helping Noem run DHS as her chief adviser.

On his first day, Richardson told FEMA staff he alone spoke for the agency and warned he would “run right over” anyone who didn’t fall in line.

Some officials describe his leadership as brash and unpredictable, with a penchant for shouting and swearing. On one occasion, he asked staff whether disaster funds could be steered to Republican areas but not Democratic ones, a FEMA official who heard the comments firsthand said.

At times, Richardson prohibited staff from bringing cell phones and computers into meetings. He often kept his own phone out of sight and rarely used email, leaving senior FEMA leaders struggling to reach him and making even basic communication a constant challenge.

Over the months, Noem and her team had grown frustrated with Richardson’s distracting antics and failure to effectively communicate their FEMA reforms to Congress and the public, three sources with knowledge of the conversations told CNN. But senior leaders ultimately decided it made more sense to wait until after hurricane season to remove him.

The department has steadily reduced his role, treating him more as a liability than an asset. DHS has repeatedly blocked his requests to speak at conventions or to lead public information campaigns about hurricane season, two sources said.

“Have you heard him speak?” an administration official told CNN. “He does more damage than good.”

In recent months, the department has reassigned some of Richardson’s closest allies and surrounded him with senior staff who have further limited his authority.

FEMA’s future at a crossroads

The timing of Richardson’s removal is significant. Once hurricane season ends at the end of the month, the administration is set to fast-track its sweeping transformation of FEMA.

The new FEMA Review Council, which is headed by Noem, will soon deliver its much-anticipated report, outlining recommendations to reshape the agency. As the dust settles, FEMA’s future — and its ability to respond when disaster strikes — hangs in the balance.

Meanwhile, dozens of lawmakers have signed on to a bipartisan bill known as the “FEMA Act” that would remove the agency from DHS and make it independent — a change Noem vehemently opposes, multiple sources told CNN.

Trump and Noem have been overhauling FEMA since taking office as they vow to shift more responsibility for disaster preparedness, response and recovery onto states. While they once called for the agency’s outright elimination, their tone has shifted in recent months, signaling a dramatic restructuring may be in store. Either way, current and former high-ranking FEMA officials have warned that growing turmoil at the agency is putting Americans at risk.

More than a quarter of the agency’s full-time staff have left through layoffs and buyouts — including dozens of longtime senior leaders — and morale has plummeted amid frequent public attacks from administration officials, including Noem and Trump.

But the administration has benefited from the mildest hurricane season in a decade, with no hurricanes making landfall anywhere in the US for the first time since 2015.

“FEMA likely would have failed had there been a major disaster,” a former high-ranking FEMA official told CNN. “Having no big disasters has absolutely played into the Trump narrative that there is no need for FEMA. And it hasn’t allowed the American people to see just how bad they need the agency, since the states just aren’t prepared.”

 

For full report, please click the source link above.

 

President Trump Picks New CFPB Director

Industry Update
November 19, 2025

Source: POLITICO

President Donald Trump has nominated a top aide to White House budget director Russ Vought to be the permanent head of the Consumer Financial Protection Bureau, a move designed to empower Vought to continue leading the agency as he moves to shut it down in the coming months.

Trump formally nominated Stuart Levenbach, a senior Office of Management and Budget official overseeing natural resources and energy issues, to serve as the permanent CFPB director on Tuesday, according to congressional records.

A CFPB spokesperson said the nomination was a “technical” maneuver intended to extend Vought’s ability to continue serving as the acting director of the agency without needing Senate confirmation.

His ability to serve as the acting CFPB head was set to expire in December under the Vacancies Act, which typically limits such acting appointments to 210 days but extends that period if the president nominates another person for the job.

Vought, who has served as the acting CFPB director since February, has moved to freeze large swaths of the agency’s operations and terminate roughly 90 percent of its staff. In court filings last week, the Trump administration said the CFPB was on track to run out of money to operate at the beginning of next year and argued that it was legally prohibited from seeking an infusion of funding from the Federal Reserve, which is the bureau’s primary source of funding.

It’s not clear if the Senate Banking Committee will move to process Levenbach’s nomination or hold a hearing. A spokesperson for Chair Tim Scott (R-S.C.) did not immediately return a request for comment.

Sen. Elizabeth Warren (D-Mass.), the top Democrat on the panel, blasted the nomination and effort to extend Vought’s tenure “indefinitely as he tries to illegally close down the agency” that she helped create 17 years ago in the wake of the global financial crisis. “Instead of doing everything in their power to lower costs for Americans, Trump and Vought want to make it easier for giant corporations to scam families out of their money,” Warren said in a statement.

Levenbach previously served during Trump’s first term as a White House economic adviser and chief of staff at the National Oceanic and Atmospheric Administration.

In July, Levenbach was among the handful of White House officials Trump installed at the National Capital Planning Commission amid the administration’s efforts to pressure Federal Reserve Chair Jerome Powell over the central bank’s $2.5 billion renovation project. The powerful D.C. planning committee now also has oversight over Trump’s construction of a White House ballroom, among other projects.

Trump earlier this year nominated Jonathan McKernan to serve as CFPB director but ultimately withdrew that nomination. McKernan was instead confirmed by the Senate as a top Treasury Department official overseeing domestic finance.

 

For full report, please click the source link above.