Psaki confirms Biden’s decision to fire Federal Housing Finance Agency head

The White House this week confirmed the decision by President Joe Biden to fire one top government official in the wake of a U.S. Supreme Court ruling giving him the authority to do so.

Mark Calabria, the man picked by former President Donald Trump to lead the Federal Housing Finance Agency (FHFA), is reportedly on his way out of the position.

Supreme Court strikes down legislative rule

White House Press Secretary Jen Psaki acknowledged the decision during Wednesday’s press conference, according to Breitbart.

Calabria served as the top economic adviser for former Vice President Mike Pence and was instrumental in creating the FHFA. As a congressional staff member, he was one of the individuals who wrote the legislation that formed the agency.

Congressional rules dictated that the FHFA head should be nominated by a president and confirmed by the Senate, at which time he or she is awarded a five-year term in the position.

Although Calabria did make it through the confirmation process, a recent Supreme Court decision will allow Biden to cut his term short.

According to the legislation that created the agency, an individual confirmed to lead it can only be fired by the president “for cause,” which prevented Biden from getting rid of Calabria without a legitimate reason.

Justice Alito defends decision

This week, however, Supreme Court justices struck down the limitation as part of a ruling on a case brought by shareholders of mortgage loan companies Fannie Mae and Freddie Mac.

In his majority opinion, Justice Samuel Alito argued that “the Constitution prohibits even ‘modest restrictions’ on the President’s power to remove the head of an agency with a single top officer.”

The court issued a similar decision last year regarding the head of the Consumer Financial Protection Bureau. In that ruling, justices determined that Congress cannot impose a limitation on the president by which the individual can be fired only for “inefficiency, neglect of duty, or malfeasance in office.”

Although Psaki made it clear that Calabria will soon be removed from his current position, it remains unclear who will be chosen to take his place.

In her statement on Wednesday, the press secretary did not provide any insight into Biden’s selection process or when a replacement will be named.

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