The Importance of Schedule F

One of the older conservative rallying cries was to defund the Department of Education. For us on the right this makes total sense — education starts in the home, extends to the school you choose to send your child to if you choose to do so, and no one outside of the house should have a say in what your kids are taught. Policing the behavior of teachers and administrators is easier done at the local level as well as we have seen in Fairfax County Virginia and San Francisco where parents have revolted against decisions made by school boards. Its much tougher to do that if the decisions are coming from the feds.

Which is why “Schedule F” has become the new rallying cry for those of us still aiming to shrink the size and scope of the federal government. In short, its a tool that would allow the president to clean house of more than political appointees. Essentially — if you aren’t in favor of the policies the president wants to put in place, they will fire you because they doesn’t need people working against them. This is how businesses work and its not surprising the party more closely associated with business would like the ability to improve the bottom line via the removal of bad employees.

(I love how that link calls it retribution. As if the job of the president is to answer to the machine.)

Why is this important? Because a lot of little, un-sexy, never talked about things happen behind the scenes. Such as this new housing rule, which will forcibly redistribute wealth from those with good credit score, to those with bad credit scores.

When an individual takes out a mortgage the rate they pay is determined by both interest rates set by the Federal Reserve and the loan-level price adjustment. The loan-level price adjustment functions like car insurance going up after an accident — the riskier the borrower, i.e. those with bad credit, the more they pay.

A May 1 rule change is meant to offset low-credit borrowers paying more for their mortgages. They’ll still pay more than those with bad credit, but less than they did before.

In order to make up for the lost revenue, borrowers with strong credit — 680 and above — could pay around $40 more per month on a $400,000 mortgage. Homebuyers who make down payments of 15 to 20 percent will be hit with the largest fee changes.

New fees will only affect those who buy homes after May 1.

Now the woman pushing this, Sandra Thompson, is a political appointee. A brief look at her bio shows that she has been part of the Federal Housing and Finance Agency since 2013. She’s a socialist who dug herself into the bureaucracy until the right president came along to appoint her.

The idea behind “Schedule F” is that the political appointee in charge of these agencies will find these communists and remove them. This action will help prevent people from within sabotaging conservative reforms while removing nefarious communists (sorry, redundant) such as Ms. Thompson so they cannot be in place should the other side win back the White House.