The unusual appointment of a senior advisor to replace Acting FHA Commissioner and Assistant Secretary of Housing Biniam Gebre is causing Republicans to sit up and take notice. Last week, Housing and Urban Development Secretary Julian Castro tapped Edward Golding to head the FHA, not in an acting capacity, but as a “principal deputy assistant secretary.” The new title grants Golding broad powers to manage the FHA’s daily operations but does not come with the full authority of an FHA commissioner. For example, Golding is restricted from issuing final rules or notices of funding availability. He may not endorse mortgages for insurance that exceed $50 million, such as loans for hospitals and other multifamily structures. Moreover, it is unclear how much enforcement power Golding can wield. More interestingly, however, the process that facilitated Golding’s appointment allows ...