Legislatively, both chambers of the new Congress are focused on what further economic assistance is necessary, while the Senate continues to work at confirming key members of the Biden cabinet who will implement these programs. Although the central challenge of the economic impact of the COVID-19 pandemic remains, the shift in political control resulted in real changes to how it will be addressed. In the year ahead, the focus of these legislative and policy efforts will shift from an emergency response to long-term recovery proposals. In that context, these changes could include a reversal of Republican tax reforms, enhanced consumer protections, investments designed to affect housing affordability (and increase housing supply), GSE reforms, and the imposition of additional financial regulatory requirements.   While MBA continues to work with policymakers on both sides of the political aisle, the shift in political control will result in real changes - making a strong and bipartisan MAA crucial. Your continued involvement is essential to our sustained success, on every front. And your leadership is essential for the future of the economy and the country.       Top 3 Things to Know from Washington     1. Congress aims to pass COVID-19 relief bill within two weeks as budget reconciliation moves forward.  On February 5th, the Senate passed a budget resolution after a marathon of votes on dozens of amendments.  Democrats passed the budget resolution 51-50 in the evenly split Senate, as Vice President Kamala Harris cast her first tiebreaking vote. The party line vote after about 15 hours of considering politically thorny amendments underscores the divide in Congress on how to structure the next aid package. The House followed in the afternoon in a nearly party line vote. The House Financial Services Committee convened the following week to hold a markup on its piece of the budget reconciliation process. Why it matters: The Committee legislation included $25 billion for emergency rental assistance (ERA) to provide relief for renters in the form of rent payments, rent arrearages, utilities, home energy costs, arrearages for utilities and energy costs, as well as other expenses related to housing. This tranche of ERA funding is in addition to the $25 billion previously allocated by Congress as part of the December 2020 pandemic stimulus legislation that is already law.  Separately, and of note, the House Small Business Committee approved a $25 billion grant program for restaurants last week. What's next: The House plans to pass its package on the floor the week of February 22nd.  The Senate will take up the House's bill, with the possibility of amending it, in the coming weeks with the goal of having the bill signed into law by mid-March. To learn more about the budget resolution process, click here. 2. Senate Confirms Former Fed Chair Yellen to be Secretary of the Treasury and advances nomination of Rep. Marcia Fudge to serve as the Secretary of Housing and Urban Development (HUD) Less than a week after President Biden's inauguration, the full Senate voted to confirm Janet Yellen to be Secretary of the Treasury by a bipartisan vote of 84 - 15, following her nomination hearing earlier in the week. During her confirmation hearing, Yellen was asked numerous questions on the macroeconomy, ranging from COVID-19-related relief, trade with China, and climate change. She encouraged bipartisan support for additional affordable housing initiatives by highlighting the importance of the Low-Income Housing Tax Credit (LIHTC) and the need for other innovative strategies. Importantly, the hearing also focused on tax policy with changes to the treatment of capital gains, corporate tax rates, and allowable individual deductions all raised as potential reforms. Yellen was the first Biden cabinet member confirmed with a domestic policy portfolio, the first woman to ever serve in her position, and an official with substantial influence over decisions related to the future of the GSEs (including through her role as chair of the Financial Stability Oversight Council [FSOC]).  The Senate Banking Committee conducted a hearing on the nomination of Rep. Marcia Fudge (D-OH) to serve as HUD Secretary and voted to advance her nomination to the Senate floor by a vote of 17-7. She pledged to increase the supply of affordable homes. The hearing also covered the adequacy of housing policies to ensure homeowners can access forbearance and avoid foreclosures and evictions. Why it matters: These hearings provide a great opportunity for MBA to advocate by engaging key congressional offices in advance to help inform the dialogue. MBA submitted for the record letters of support for both the Yellen and Fudge nominations. As noted, the discussion in both hearings highlighted a host of pressing housing issues, including affordable housing reforms, economic inclusion, and changes to federal regulations established by the previous administration. These discussions are critical to helping us navigate potential responses to new and existing policy initiatives that impact our members and the customers you serve. What's next: Yellen will work to get the rest of her political team confirmed and in place at Treasury, while leading the Biden administration's efforts to implement existing COVID-19 emergency relief measures, such as rental assistance, and negotiate with Congress for the next $1.9 trillion of economic relief proposed by President Biden. Given the narrow majority in the House, and the busy Senate floor schedule in the weeks ahead, a swift floor vote on Fudge's nomination is not expected. Prior to her confirmation vote, she will continue to meet with Senators who do not serve on the Senate Banking Committee. 3. MBA Joins Coalition Letter on CDC Eviction Moratorium MBA joined other trades in a letter to the U.S. Department of Housing and Urban Development (HUD), the Centers for Disease Control and Prevention (CDC), and the White House regarding the recently extended CDC eviction moratorium order. The letter urges policymakers not to rescind elements of the CDC order that enables landlords to have access to courts and legal remedies, e.g., for violations of lease terms or to determine whether a tenant qualifies under the CDC order. Why it matters: The February 4 CDC extension did not make significant changes to the September 4, 2020, CDC order, but the new order indicates that the extension is "subject to further extensions, modification, or recission, as appropriate." What's next: MBA and other trade association partners continues to educate policymakers on the effects of the moratorium, and MBA will continue to advocate for additional rental assistance and to retain landlords' ability to manage their properties under the CDC order.       2021-2022 MAA & MORPAC Leadership     MAA Chairman, Steven Plaisance Steven Plaisance, CEO and President, Arvest Central Mortgage Company and Arvest Bank's Mortgage Division will serve as the MAA Chairman for the 2021-2022 cycle. Steven has been in the mortgage industry for more than 30 years, is a member of MBA's Residential Board of Governors, and served as the past President of the Oklahoma MBA. Steven's deep understanding of the importance of advocacy, combined with his proven leadership will continue to strengthen MAA as a powerful voice for our industry! To read more about Steven, click here. MORPAC Chairman, Jeff Taylor Former MAA Chairman Jeff Taylor, Co-Founder & Managing Director, Mphasis Digital Risk, LLC will serve as MORPAC Chairman for the 2021-2022 political cycle. Under Jeff's leadership, engagement and active MAA membership more than tripled, with over 70,000 advocates nationwide. Building upon the incredible successes, Jeff's distinguished experience as an advocate will be critical to increasing our political strength in Washington. To read more about Jeff, click here.        Advocacy in Action     MBA has been actively tracking state activity to provide updates and resources on state eviction moratoria and legislative action. To view MBA's resource center, please click here. It is critical that industry professionals be engaged in MAA to prepare for key issues that are likely to impact the commercial/multifamily mortgage markets and will require our industry voice to be stronger and louder than ever. If you are interested in learning more about running a MAA company campaign, please contact Rosie Sheehan at rsheehan@mba.org.       Upcoming Virtual Events     Join us on February 25th for the Quarterly MAA Webinar that will feature an overview of emerging legislative and regulatory priorities under the new Congress and Biden-Harris administration. The link to register can be found here.                 Save the date! MAA Action Week will be held from May 3-14, 2021. Action Week is a national, industry-wide dedicated effort to help real estate finance professionals become more engaged in political advocacy. To coincide with Action Week, MBA's National Advocacy Conference (NAC) will be held online on May 11-12 via MBA LIVE. More details to follow.