SENATE BILL No. 826

 

 

October 16, 2007, Introduced by Senators RICHARDVILLE, ANDERSON, SANBORN, KAHN, GLEASON, SCHAUER, BIRKHOLZ, STAMAS, CLARKE, OLSHOVE, BROWN, CASSIS and HUNTER and referred to the Committee on Banking and Financial Institutions.

 

 

 

     A bill to amend 1987 PA 173, entitled

 

"Mortgage brokers, lenders, and servicers licensing act,"

 

by amending section 33 (MCL 445.1683).

 

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

 

     Sec. 33. This act shall not take effect unless all of the

 

following bills of the 84th Legislature are enacted into law:

 

     (a) House Bill No. 4702.

 

     (b) House Bill No. 4703.

 

     (1) The mortgage industry advisory board is created.

 

     (2) All of the following apply to the board:

 

     (a) The board shall consist of 7 individuals, appointed by the

 

commissioner. The term of a board member is 4 years, except that

 

for the first board, the commissioner shall appoint 3 individuals


 

for 2-year terms so that the terms of office of board members are

 

staggered.

 

     (b) The board shall consist of the following:

 

     (i) Five individuals who are employees of, are directors of, or

 

have at least a 25% ownership interest in licensees or registrants

 

that are members of a trade association operating in this state

 

that represents mortgage brokers, mortgage lenders, or mortgage

 

servicers. The trade associations may recommend candidates for the

 

board to the commissioner.

 

     (ii) Two individuals who are employees of, are directors of, or

 

have at least a 25% ownership interest in business entities that

 

provide services to or purchase services from licensees or

 

registrants.

 

     (c) An individual may not serve more than 2 consecutive 4-year

 

terms, and the commissioner may not reappoint an individual who

 

serves 2 consecutive 4-year terms on the board for at least 12

 

months after the end of those consecutive terms.

 

     (d) The board shall not include more than 1 member who is

 

employed by, is a director of, or has more than a 1% ownership

 

interest in the same licensee, registrant, affiliate, or other

 

person.

 

     (3) The board shall review and make recommendations to the

 

commissioner concerning all of the following:

 

     (a) Course sponsors or providers, course instructors, and the

 

content of and materials for courses provided to loan officers and

 

loan officer applicants under section 2a or 2b.

 

     (b) If the commissioner indicates that he or she is


 

considering contracting with an outside contractor to process loan

 

officer registration applications on behalf of the commissioner, 1

 

contractor capable of providing that processing.

 

     (c) Content and procedures for examinations given to loan

 

officers under section 2a.

 

     (d) Procedures for enforcement of this act.

 

     (e) Rules proposed under this act.

 

     (f) Procedures to verify attendance at and participation in

 

courses conducted electronically under section 2b(3)(e).

 

     (g) Procedures for maintaining the confidentiality of personal

 

identifying information and other information concerning licensees,

 

registrants, and applicants for license or registration.

 

     (h) Any other issue referred to the board by the commissioner.

 

     Enacting section 1. This amendatory act does not take effect

 

unless all of the following bills of the 94th Legislature are

 

enacted into law:

 

     (a) Senate Bill No.828.                                    

 

         

 

     (b) House Bill No. 5288.             

 

         

 

     (c) Senate Bill No. 829.                                  

 

         

 

     (d) House Bill No. 5289.           

 

         

 

     (e) Senate Bill No. 830.                                   

 

         

 

     (f) Senate Bill No. 831.                                   


 

         

 

     (g) House Bill No. 5287.            

 

         

 

     (h) House Bill No. 5290.           

 

         

 

     (i) House Bill No. 5291.           

 

         

 

     (j) Senate Bill No. 833.                                  

 

         

 

     (k) Senate Bill No. 832.