Memorandum, Frederick J. Lawton to President Harry S. Truman

written EXECUTIVE OFFICE OF THE PRESIDENT to ARCHIVER AND BUREAU OF THE BUDGET WASHINGTON, D.C. MAY 6 1950 MEMORANDUM FOR THE PRESIDENT SUBJECT: Proposed reorganization plans Herewith are four proposed reorganization plans, together with drafts of messages for transmitting these plans to the Congress. The Attorney General's letters of approval are also attached. The propos ed plans are as follows: Federal National Mortgage Association Reorganization Plan No. 22 of 1950 would transfer the Federal National Mortgage Association from the Reconstruction Finance Corporation to the Housing and Home Finance Agency; transfer the capital stock of the FNMA from the RFC to the Housing and Home Finance Administrator; and make available to the Housing and Home Finance Administrator for FNMA purposes the appropriate part of the present authority of the RFC to borrow from Treasury. Prefabricated Housing Reorganization Plan No. 23 of 1950 would transfer from the Reconstruction Finance Corporation to the Housing and Home Finance Administrator functions with respect to financing pre- fabricated housing. This involves primarily authority under section 102 of the Housing Act of 1948 and also involves to some extent authority of the Corporation with respect to pre- fabricated housing under section 4 of the Reconstruction Finance Corporation Act. There would be transferred to the Administrator an appropriate part of the authority of RFC to borrow from the Treasury. Both Plan No. 22 and Plan No. 23 would be effective 60 days later than the effective date prescribed in the Reor- ganization Act of 1949, or, in other words, 120 days after transmittal to the Congress.