The OCC, Federal Reserve Board, FDIC, NCUA, FHFA, and the CFPB issued a proposed rule to implement quality control standards for the use of automated valuation models (AVMs) by mortgage originators and secondary market issuers as part of the process of determining the collateral worth of a mortgage secured by a consumer’s principal dwelling.  The proposed rule would implement the four quality control standards that were mandated by the Dodd-Frank Wall Street Reform and Consumer Protection Act.  Under the proposal, institutions would be required to adopt policies, practices, and procedures designed to ensure that AVMs used in covered transactions ensure a high level of confidence in the estimates produced; protect against the manipulation of data; seek to avoid conflicts of interest; and require random sample testing and reviews. The proposal also includes a standard on compliance with nondiscrimination laws. The agencies will review the comments on the proposed rule and consider next steps.