Richard Shelby

I fear now, however, that our trust and confidence were misplaced in a lot of instances.

Taxpayers simply should not be subjected to possible losses from private risk.

The Fed should take most seriously its responsibility to ensure financial stability in the economy.

Congress also bears some responsibility.

It is important to note, however, that every crisis has a beginning, a middle, and an end.

Every decision you make entails a national security assessment, a foreign policy statement, and a fundamental business decision that affects the bottom line of U.S. companies and our workers.

The core mission of the Bureau of Industry and Security is to keep sensitive dual-use items away from dangerous countries, organizations, and individuals.

National security considerations, I think, always should remain paramount

You will need to work the CFIUS process in a timely way while remaining cognizant of the national security implications of each covered transaction.

Unilateral controls don't work

You will serve as a key point of contact for a multi-billion-dollar agency that plays a role in the lives of millions and millions of Americans.

People's confidence comes from--the average person--what they believe their house is worth, you know, home equity.

I think this is an important point. Ensuring proper underwriting standards and not exposing consumers to mortgages they cannot afford, cannot pay, that does not provide home ownership.

Based on current projections and absent any catastrophic home price decline, FHA will not need to ask Congress and the American taxpayer for extraordinary assistance. There is no need for any 'bailout'.

Given the undeniable role that the housing market played in the economic crisis, the Committee, I believe, must continue to monitor this significant sector.

We are all going to be better off if we can get housing back moving again.

The housing crisis is real. It is not getting better.

Doesn't that go back to basic, fundamental, sound underwriting standards for all of us?

So you are pretty confident you are going to be OK. Is that what you are saying here?

I fear that the longer we wait, the more it is going to cost the American taxpayer.

As we consider the future of the GSEs, we would be wise to remember the disastrous consequences that poorly regulated GSEs can have on our financial markets.

I believe that this is a grave mistake that will make it more difficult to reform our financial system and that will potentially expose taxpayers to even greater losses.

Because you cannot--I do not believe you can have one institution or two institutions this big with very thin capital, because you are waiting for the time bomb to go off.

Thank you, Mr. Chairman.

There is no doubt that the failure of Fannie and Freddie was a significant actor in the financial crisis because their activities touched nearly every aspect of our financial system.