Legislature(2009 - 2010)HOUSE FINANCE 519
04/15/2010 08:30 AM House FINANCE
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ teleconferenced
= bill was previously heard/scheduled
+ | SB 13 | TELECONFERENCED | |
+ | SB 32 | TELECONFERENCED | |
+ | SB 83 | TELECONFERENCED | |
+ | SB 139 | TELECONFERENCED | |
+ | SB 159 | TELECONFERENCED | |
+ | SB 172 | TELECONFERENCED | |
+ | SB 174 | TELECONFERENCED | |
+ | SB 220 | TELECONFERENCED | |
+ | SB 234 | TELECONFERENCED | |
+ | SB 243 | TELECONFERENCED | |
+ | SB 258 | TELECONFERENCED | |
+ | SB 266 | TELECONFERENCED | |
+ | SB 279 | TELECONFERENCED | |
+ | SB 312 | TELECONFERENCED | |
+ | TELECONFERENCED | ||
+= | SB 305 | TELECONFERENCED | |
CS FOR SENATE BILL NO. 279(FIN) "An Act relating to regulation of residential mortgage lending, including the licensing of mortgage lenders, mortgage brokers, and mortgage loan originators, and compliance with certain federal laws relating to residential mortgage lending; and providing for an effective date." 7:37:28 PM SENATOR JOE PASKVAN explained that SB 279 brings Alaska's mortgage lending regulation act into compliance with the federal public law called the Secure and Fair Enforcement for Mortgage Licensing Act otherwise referred to as the SAFE act. Each state much issue the license through a national process. He noted that the Alaska licensing is performed through the nationwide mortgage licensing system and registry beginning August 1, 2009. The second component of the safe act mandates that the United States Department of Housing and Urban Development begins enforcing the licensing aspect in addition to the registry components if the state does not align with federal standards. He mentioned Page 5, Line 22, and Section 8, which changes that the reference to "originator" to "mortgage loan originator." He noted Page 6 exhibits renewals changed from biannual to annual. He noted that Page 7, Line 5, Section 12 established that the permit fees will be set in regulation. He added that Page 7, Line 10, Section 13 required 20 hours of pre-licensing education. Page 11, Line 1, Section 19 authorized the division to issue a provisional license. Page 13, Line 2, Section 23 omitted references to paper licenses. He noted Page 14, Line 21, Section 30 permits branch office registration. Page 16, Line 7, Section 36 modified the educational requirements from 24 hours every two years to 8 hours annually. Page 41, Line 28, Section 85 allowed that finger print cards of the mortgage loan originator would be sent to the registry rather than to the Department of Public Safety (DPS). He finished with Page 42, Line 2, Section 86 eliminated small mortgage lender or originator exemption. 7:41:56 PM Senator Paskvan addressed the fiscal note, which includes funding for one additional occupational licensing position at $65 thousand per year. An additional $3000 for cost and supplies is associated with the contractual position. Increased travel costs are anticipated due to the increased use of the internet. An annual membership fee for the American Association of residential mortgage regulators for $750 is due annually. Lastly a state background check fee for the sum of $5,250, which the division must advance until the fee is collected from the licensee. Revenue is expected to increase due to the expansion of the licensee definition to include loan modification and servicing companies. An increase in revenues is anticipated with this system. Co-Chair Hawker asked if national prototype language was followed in the bill. He noted that the Department of Law has been in contact through the process. 7:43:49 PM Representative Fairclough stated that the realtors requested assistance of the legislature in regulating mortgage licensing. She commended Senator Paskvan on the legislation. She requested more information regarding the exemptions. She asked about Page 4, Section 06.60.015 exemptions. 7:45:02 PM PATRICE WALSH, CHIEF EXAMINER, DEPARTMENT OF COMMERCE, COMMUNITY AND ECONOMIC DEVELOPMENT responded to Representative Fairclough's queries. She commented that the amendments and exemptions have changed due to the mandates in the SAFE ACT. Many exemptions in the current law are thus eliminated. She noted that the banks and the credit unions do not pertain as they are already regulated. Co-Chair Hawker asked the professional opinion on the bill. Ms. Walsh stated that the division supports the legislation. She stated that Alaska will be the only state that does not meet the SAFE requirements, if the bill does not pass. The bill places all loan originators on a level playing ground. 7:47:37 PM LORI HOVANEC, DIVISION BANKING AND SECURITIES (via teleconference), appreciated the legislature's efforts. She stated that the administration is in favor of the bill and the amendment. JOHN CARMAN, PRESIDENT, HOME STATE MORTGAGES (via teleconference), testified in support of the legislation. He expressed appreciation for the division of banking. Co-Chair Hawker asked if the support is contingent on the amendment. Mr. Carman stated that his personal support is contingent on the amendment. 7:50:33 PM Co-Chair Hawker asked if there was opposition to the bill from the mortgage industry. Mr. Carman replied that others who do not typically originate loans are concerned about the licensing requirement. Co-Chair Hawker asked about the real estate brokerage industry. Mr. Carman stated that the industry was in support of the bill and the amendment. 7:51:57 PM Co-Chair Hawker asked Ms. Walsh if she knew about any objection from any other industry. Ms. Walsh answered no. 7:52:43 PM Co-Chair Hawker Moved Amendment 1. Vice-Chair Thomas Objected. Senator Paskvan described the amendment. He noted the concern that a licensing issue might trigger an unfair trade practices act, which could include treble damages. The exclusion of those regulatory licensing issues was requested. The amendment maintains the Alaska consumer protection scheme. He supports the amendment and felt that the industry's request was appropriate and reasonable. Ms. Walsh stated that the division is in favor of the amendment. 7:55:31 PM Vice-Chair Thomas withdrew the objection. Co-Chair Hawker pointed out that the fiscal note is funded by receipt services. Ms. Walsh added that the $5000 fee allows for the background check prior to licensing of the mortgage brokers. She noted that application of licensure. Co-Chair Hawker asked how the information relates to the fiscal note. Ms. Walsh responded that the division must up front the cost to the DPS. Co-Chair Hawker asked if the item is included in the change of revenues line. Ms. Walsh stated that the item was found in other receipts. Co-Chair Hawker asked what drives the additional $500 thousand in state revenues. Ms. Walsh responded that the division is anticipating additional licensees with the new bill. Ms. Hovanec explained that the $60 thousand in funding source for other receipt services indicate that the expenditures will be covered by other the receipt services. She noted that the move from a biannual to an annual fee increases revenue. The addition of licensing for loan modification and servicing companies as well as additional internet business required increases. Co-Chair Hawker understood that enough revenues exist to meet the increased cost shown as other receipt services. Greater revenues are anticipated shown in the change of revenues line. LUANNE WEYRAUCH, DIVISION OF BANKING SECURITIES, stated that the Department of Law supports the legislation. Vice-Chair Thomas MOVED to report HCS CSSB 279(FIN) out of Committee with individual recommendations and the accompanying fiscal note. There being NO OBJECTION, it was so ordered. HCS CSSB 279(FIN) was REPORTED out of Committee with a "do pass" recommendation and with attached previously published fiscal note: FN1 (CED).
Document Name | Date/Time | Subjects |
---|---|---|
K version CE Workdraft.pdf |
HFIN 4/15/2010 8:30:00 AM |
CS WORKDRAFT Kversion SB 305 SB 305 |
Summary of Changes to SC workdraft K SB 305.pdf |
HFIN 4/15/2010 8:30:00 AM |
SB 305 |
sb13_2009 summary 3-9-09[1].pdf |
HFIN 4/15/2010 8:30:00 AM |
SB 13 |
SB 13 - Sponsor Statement 2-10-09 (H)FIN.pdf |
HFIN 4/15/2010 8:30:00 AM |
SB 13 |
SB 13 Sectional Summary 26-LS0076A (H)FIN.pdf |
HFIN 4/15/2010 8:30:00 AM |
SB 13 |
CS SB 83 (L&C) section analysis.pdf |
HFIN 4/15/2010 8:30:00 AM |
SB 83 |
SB 83 Gov Transmittal Letter.pdf |
HFIN 4/15/2010 8:30:00 AM |
SB 83 |
Explanation of Changes between SB 83 and CSSB 83.pdf |
HFIN 4/15/2010 8:30:00 AM |
SB 83 |
SB139 Sponsor Statement Revised.PDF |
HFIN 4/15/2010 8:30:00 AM |
SB 139 |
SB 139 Data Health Care Professions Loan Repayment Program Concept Proposal.PDF |
HFIN 4/15/2010 8:30:00 AM |
SB 139 |
SB 159 Sponsor Statement H FIN.pdf |
HFIN 4/15/2010 8:30:00 AM |
SB 159 |
SB172 Sectional.PDF |
HFIN 4/15/2010 8:30:00 AM |
SB 172 |
SB172 Sponsor Statement.PDF |
HFIN 4/15/2010 8:30:00 AM |
SB 172 |
Sectional Analysis.pdf |
HFIN 4/15/2010 8:30:00 AM |
SB 174 |
Changes to SB 220 in SB 220 FIN[1].pdf |
HFIN 4/15/2010 8:30:00 AM |
SB 220 |
Sectional on SB 220, version Y.doc |
HFIN 4/15/2010 8:30:00 AM |
SB 220 |
Sponsor Statement for SB 220.docx |
HFIN 4/15/2010 8:30:00 AM |
SB 220 |
HCS CSSB 234 Sponsor Statement.docx |
HFIN 4/15/2010 8:30:00 AM |
SB 234 |
Summary of Changes to HCS CSSB 234.docx |
HFIN 4/15/2010 8:30:00 AM |
SB 234 |
Sponsor Statement[1] SB 258.pdf |
HFIN 4/15/2010 8:30:00 AM |
SB 258 |
Support Documents[1] SB258.pdf |
HFIN 4/15/2010 8:30:00 AM |
SB 258 |
Sponsor Statement - SB 266.doc |
HFIN 4/15/2010 8:30:00 AM |
SB 266 |
HCS for CS for SB 279_LC_ Sectional Analysis.pdf |
HFIN 4/15/2010 8:30:00 AM |
SB 279 |
SB 279 Sponsor Statement.pdf |
HFIN 4/15/2010 8:30:00 AM |
SB 279 |
SB 279 Back-Up.pdf |
HFIN 4/15/2010 8:30:00 AM |
SB 279 |
2010 04 12 SB312 Port of Call Payments.pdf |
HFIN 4/15/2010 8:30:00 AM SFIN 4/14/2010 9:00:00 AM |
SB 312 |
SB 312 Sectional Analysis.docx |
HFIN 4/15/2010 8:30:00 AM SFIN 4/5/2010 10:00:00 AM |
SB 312 |
SB 312 Sponsor Statement.docx |
HFIN 4/15/2010 8:30:00 AM SFIN 4/5/2010 10:00:00 AM |
SB 312 |
SB 305 SECTIONAL for CS.pdf |
HFIN 4/15/2010 8:30:00 AM |
SB 305 |
SB305 sponsor statement.docx |
HFIN 4/15/2010 8:30:00 AM |
SB 305 |
HCS CSSB305(RES)(title am)-REV-TAX-04-13-10 decoupling.pdf |
HFIN 4/15/2010 8:30:00 AM |
SB 305 |
2010 04 15 Historical Rev Distribution 3Yrs.pdf |
HFIN 4/15/2010 8:30:00 AM |
SB 312 |
2010 03 02 D Wood Calculations FY2008_09.pdf |
HFIN 4/15/2010 8:30:00 AM |
|
SB 13 Support Letter.pdf |
HFIN 4/15/2010 8:30:00 AM |
SB 13 |
SB 220 Amendments #2 3 4.pdf |
HFIN 4/15/2010 8:30:00 AM |
SB 220 |
SB 305 Amendment Hawker.pdf |
HFIN 4/15/2010 8:30:00 AM |
SB 305 |
SB 172 Amendment #1 Hawker.pdf |
HFIN 4/15/2010 8:30:00 AM |
SB 172 |
Sponsor Statement 243.docx |
HFIN 4/15/2010 8:30:00 AM |
|
Corrected Sectional Analysis Sb 243 version P.docx |
HFIN 4/15/2010 8:30:00 AM |
SB 243 |
H FIN Comments on SB 305 4-15-10 FINAL.pdf |
HFIN 4/15/2010 8:30:00 AM |
SB 305 |
Qualifying For the AGIA Tax Inducement - H FIN 4-15-10.pdf |
HFIN 4/15/2010 8:30:00 AM |