The Treasury Department wants to reduce the GSEs’ footprint in the mortgage market, according to Treasury Counselor Craig Phillips. He also reiterated, about a week before the administration formally published its thoughts on reform (see story page 3), that ultimately the goal is to take Fannie Mae and Freddie Mac out of conservatorship. He said that at 70 percent the federal share of housing is clearly far too high. The Treasury official spoke at a Bank of America Merrill Lynch mortgage and housing finance conference in New York last week that was closed to the press. BAML provided a report on his remarks.