That’s the question before the House Financial Services Subcommittee on Capital Markets today. I’ll be watching and updating here as necessary, but here’s an appetizer, courtesy of FHFA director James Lockhart’s prepared testimony (PDF):

Fannie Mae failed to meet all but one of its 2008 affordable housing goals and home purchase subgoals. Freddie Mac missed all of the 2008 goals and home purchase subgoals. Both Enterprises met their multifamily subgoals. As permitted by Congress, FHFA is reconsidering the appropriateness of the goal levels for 2009 based on the current state of the mortgage market. Going forward, affordable housing goals should be in line with and responsive to actual market conditions and should promote sustainable mortgage options for low- and moderate-income families and neighborhoods. There is evidence that Enterprise efforts to meet previous housing goals, especially through the purchase of PLS, purchases of Alternative-A (Alt-A) mortgages, and overall loosening of underwriting guidelines, contributed to the unsustainable buildup of credit risk that led to the conservatorships.

Hmm, ya think?