Heading to Another Mortgage Crisis?
By Boyd Allison, Retired Banker

This is worth paying attention to. Housing regulators are quietly overhauling the credit scoring models behind Fannie Mae and Freddie Mac, and the stakes are high. The Government-Sponsored Enterprises backstop more than half of America’s $15 trillion mortgage market, and any erosion in loan quality ultimately falls on taxpayers.

A recent article from the National Taxpayer’s Union raised the alarm:

Taxpayers have a clear stake in ensuring that financial risks are measured accurately and consistently in the lending programs they ultimately back. Credit scores are central to that effort, serving as a common benchmark for evaluating borrower creditworthiness across the system. Last week, however, housing regulators signaled a break from past practice—raising fresh questions about how these changes could affect the safety and stability of the nation’s housing finance infrastructure.

The Department of Housing and Urban Development announced it will adopt the FICO 10T and VantageScore 4.0 models for Federal Housing Administration (FHA) loans, describing the move as “an important milestone” in credit score modernization. At the same time, the Federal Housing Finance Agency (FHFA) unveiled a pilot program permitting the exclusive use of VantageScore 4.0 for loans sold to Fannie Mae and Freddie Mac, with plans to incorporate FICO 10T and adjust pricing based on the updated models.

It is important for FHFA and FHA to proceed carefully. The Government-Sponsored Enterprises (GSEs) backstop more than half of America’s $15 trillion mortgage market, and even a small degradation in mortgage quality can spell trouble for its balance sheet, and ultimately taxpayers. We’ve often warned that adding multiple scores could lead to rateshopping and a “race to the bottom” effect where firms devalue the actual risk of the score to secure revenue. Should such a course of events take place again, firms would have an incentive to make the most loans instead of striving to provide the highest reliability.

Read that here.

As South Dakotans, we’ve seen what happens when lending standards slip. NTU gets it right here…Congress needs to pump the brakes before this gets away from them.

Just received this text announcing a meet & greet for Austin Hoffman for Attorney General in Sioux Falls on June 15th:

Pat, this is Austin with Hoffman for Attorney General. I am running to be South Dakota’s next AG and want to give you the opportunity to get to know me, find out why I am running, and what I want to accomplish as our state’s next top law enforcement officer.

I will be holding two meet and greet town halls in Sioux Falls on June 15th at The Chapel located at 610 S. Dakota Ave. The first will be from 5:30-7:00pm and the second from 7:30-9:00pm.

You are invited to come, ask questions, and find out how we can put the law above politics. Hope to see you there!

(Just a note, no, I’m not hosting this. I pulled the video into my youtube, because I couldn’t just drop it into the post.)

Lt. Governor Venhuizen to Serve as Rhoden for Governor Campaign Chair

Pierre, SD – Today, Governor Larry Rhoden announced that Lt. Governor Tony Venhuizen will serve as Campaign Chairman of Rhoden for Governor for the historic 2026 run-off election.

Lt. Governor Venhuizen will take a leave of absence from most policy responsibilities in the Governor’s Office.

“One of the best decisions I made was picking Tony to be my running mate,” said Governor Larry Rhoden. “When we need a leader to help lead a team, he gets it done.  Now, I’m asking him to step up in this campaign capacity to help us deliver a win in this campaign and keep South Dakota Open for Opportunity.”

Tony Venhuizen serves as the 40th Lieutenant Governor of South Dakota. Venhuizen earned his bachelor’s degree in political science and history from South Dakota State University in 2005 and his juris doctorate from the University of South Dakota Knudson School of Law in 2008. He represented District 13, which includes portions of Lincoln and Minnehaha counties, in the South Dakota State Legislature from 2023-2025, including as vice chair of the House Appropriations Committee. In addition to his legislative service, Venhuizen served for ten years in the Governor’s Office, including time as chief of staff to Governor Dennis Daugaard and Governor Kristi Noem.

“Governor Rhoden has trusted me in a number of leadership capacities, and I’ve been honored to help him deliver results in those roles,” said Lt. Governor Tony Venhuizen. “I’ve ran and won gubernatorial campaigns before, and I look forward to bringing that same experience to help Governor Rhoden keep South Dakota strong, safe, and free.”

Ian Fury will continue in the role of Campaign Manager, and he and Lt. Governor Venhuizen will share leadership responsibilities for the Rhoden for Governor campaign.

“Our team in the primary was small but mighty – only three paid staff,” said Ian Fury, Campaign Manager at Rhoden for Governor. “Tony was a huge help advising me all along, and I’m thrilled to have someone with his skills and experience now formally serving this campaign.”

Venhuizen and his wife, Sara, have been married for more than 20 years and have three school-age children: Henry, Elizabeth, and Madeleine. Sara is an electrical engineer and a distinguished alumna of South Dakota State University. The family attends Holy Spirit Catholic Church in Sioux Falls.

The gubernatorial runoff is July 28, 2026.

Learn more about the Rhoden for Governor campaign at [GovernorLarryRhoden.com]GovernorLarryRhoden.com.

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(Well, they said it, not me… -pp)

President Biden Endorses Dan Ahlers, Julian Beaudion, and Nikki Gronli for Governor, U.S. Senate, & U.S. House

Sioux Falls, SD – President Joe Biden issued the following statement announcing his official endorsement of Dan Ahlers for Governor, Julian Beaudion for U.S. Senate, & Nikki Gronli for U.S. House.

“I’m proud to endorse Dan Ahlers for Governor, Julian Beaudion for U.S. Senate, and Nikki Gronli for Congress in South Dakota this November,” said President Biden.

“Dan Ahlers has spent his life fighting for small businesses and working families. He knows what it means to roll up your sleeves and do the work. Julian Beaudion spent 13 years as a state trooper keeping South Dakotans safe, and now he’s going to fight to make sure families can afford their health care and their kids can get a good education. Nikki Gronli has dedicated her career to making sure rural communities and family farmers get the support they need to not just survive, but thrive.

“These are good, decent people who know where they come from and who they’re fighting for. The people of South Dakota deserve leaders who will actually show up for them. For South Dakotans this November, that’s Dan, Julian and Nikki.”

Sioux Falls’ next mayor Christine Erickson is having a fundraiser next Thursday at JJ’s in Sioux Falls. Show up to support Christine Erickson, or use the QR Code to support Christine in the runoff election!

The 605
By Rep. Dusty Johnson
June 5, 2026 

From Black Hills to the Glacial Lakes, South Dakota is a special place. For many, 605 Day brings to mind memories of family camping trips to Custer State Park, a day spent on the river, or even the first time seeing the world’s only Corn Palace in person. The list of what makes our state great goes on and on. Our picture‑perfect parks bring folks from around the world to experience a place we are lucky enough to call home.

But the truth is, the best of South Dakota doesn’t make the postcard. This is a state where community runs deep. It’s not one single town, one specific park, or even four faces carved into stone that define South Dakota. It’s the way neighbors show up for each other without being asked and the quiet resolve of people who work hard, help others, and don’t expect applause for either.

The pride of South Dakota isn’t in the first shot of pheasant season, the thunderous sound of motorcycles rolling into Sturgis, or the peace and quiet out on the ranch. The best of South Dakota is found in small town diners where the coffee is always hot and the conversations are always genuine. It’s in the local businesses that pour their hearts into what they do, knowing their community is supporting them. This spirit is found when families gather at parks, festivals, and backyards simply because being together is the most important part of who we are.

605 Day isn’t just about honoring where we live, it’s about recognizing what makes this place feel like home. It’s a reminder that South Dakota’s greatest strength isn’t found in its landmarks, but in its people. And on this day each year, we get to pause and appreciate the shared pride that connects us all – because what truly defines South Dakota isn’t the great places, it’s the great faces.

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Don’t forget tonight is the Democrat’s annual dinner, this year featuring former President Biden. And sure to be in attendance is Democrat Mayoral Candidate Jamie Smith.   In case you’ve forgotten, in the last gubernatorial contest, former Governor Kristi Noem had pointed out a few correlations between the two:

Way off the bingo card into things we didn’t expect, Republican Gubernatorial candidate Toby Doeden issued a statement of support for Christine Erickson via facebook this afternoon:

‘
Christine’s response to the endorsement is as follows:

“Toby’s support was not on my bingo card today either. My campaign goal is the same as my goal on day one as Mayor—unity. I’ve been proud to assemble a broad base of support for my campaign, and that list grows every day. The people of Sioux Falls want a leader who knows how to deliver on public safety, fiscal discipline, and a great quality of life. That’s what I bring to the table. That’s why I expect to earn the most votes again on June 23.”

In response to today’s endorsement of Democrat legislator Jamie Smith for Mayor of Sioux Falls by the people who placed  4th place (Joe Batcheller), and 3rd (former Republican State Rep. Greg Jamison), Sioux Falls Mayoral front-runner Christine Erickson issued the following press statement:

“Look I grew up in a house with three brothers that played football. I’m used to getting piled up on…but if you ask my brothers I know how to hold my own. Boys will be boys.”

“Leading up to the June 23 runoff, my army of volunteers and I will be talking with voters and delivering a clear vision to lead Sioux Falls forward with a focus on public safety, fiscal discipline and smart growth initiatives.” I am not going to sign away the future of the city of Sioux Falls for a political endorsement.

I will always do what’s best for the citizens and I don’t have any ‘contracts’ with former candidates for this job restricting me from doing what is best for the voters.

Go get ’em Christine!

And you can support her election in the runoff by going to christineforsiouxfalls.com.

From KELOland..  (They said it, not me):

The two candidates who finished third and fourth in the Sioux Falls primary election for mayor asked their supporters to vote for Jamie Smith in the June 23 run-off election.

and..

Smith is a Democrat and a state Senator in South Dakota. He also ran for Governor as a Democrat. The third place finisher was former Republican State Rep. Greg Jamison.

Read that here.

With his endorsement of the standard bearer for the Walz/Biden Democrats in the state, I think the emphasis for Greg is on “former Republican.”