HB-6562, As Passed House, November 13, 2008
October 15, 2008, Introduced by Rep. Calley and referred to the Committee on Banking and Financial Services.
A bill to amend 1987 PA 173, entitled
"Mortgage brokers, lenders, and servicers licensing act,"
by amending section 33 (MCL 445.1683), as amended by 2008 PA 64.
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
Sec. 33. (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 as follows:
(i) Two individuals who are employees of, are directors of, or
have at least a 25% ownership interest in a licensee or registrant,
selected by the commissioner from a list of at least 3 nominees
provided to the commissioner by the Michigan mortgage brokers
association.
(ii) Two individuals who are employees of, are directors of, or
have at least a 25% ownership interest in a licensee or registrant,
selected by the commissioner from a list of at least 3 nominees
provided to the commissioner by the Michigan mortgage lenders
association.
(iii) One employee who is an employee of, a director of, or who
has at least a 25% ownership interest in a licensee or registrant
that is a member of any trade association operating in this state
that represents mortgage brokers, mortgage lenders, or mortgage
servicers. The trade associations may recommend candidates for this
position to the commissioner.
(iv) 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.
(b) 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.
(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.
(e) Each member of the board shall serve without compensation.
However, the office of financial and insurance services shall
reimburse a member of the board for his or her travel and other
expenses incurred in the performance of an official board function
pursuant to the standard travel regulations of the department of
management and budget.
(f) The board shall retain minutes of its meetings and any
other records of the board for at least 10 years. The board shall
make its minutes and any other records prepared, owned, used, in
the possession of, or retained by the board in the performance of
an official function available to the commissioner immediately on
request and make those minutes and records available to the public
in compliance with the freedom of information act, 1976 PA 442, MCL
15.231 to 15.246.
(3) The board shall communicate to the commissioner issues of
concern to the residential mortgage industry and 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 or section 2a or 2c
of the secondary mortgage loan act, MCL 493.52a and 493.52c.
(b) Content and procedures for examinations given to loan
officers under section 2a or section 2a of the secondary mortgage
loan act, MCL 493.52a.
(c) Rules proposed under this act or the secondary mortgage
loan act.
(d) Procedures to verify attendance at and participation in
courses conducted electronically under section 2b(3)(e) or under
section 2c(3)(e) of the secondary mortgage loan act, MCL 493.52c.
(e) Procedures for maintaining the confidentiality of personal
identifying
information and other information concerning licensees,
registrants,
and applicants for license or registration. all of the
following:
(i) Licensees, registrants, and loan officer registrants.
(ii) Applicants for licensure, registration, or loan officer
registration.
(iii) Licensees, registrants, and secondary mortgage loan
officer registrants under the secondary mortgage loan act.
(iv) Applicants for licensure, registration, or secondary
mortgage loan officer registration under the secondary mortgage
loan act.
(f) Any other issue referred to the board by the commissioner.
(4) As used in this section, "secondary mortgage loan act"
means the secondary mortgage loan act, 1981 PA 125, MCL 493.51 to
493.81.
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. 1552 or House Bill No. (request no.
06815'08).
(b) Senate Bill No. 1553 or House Bill No. (request no.
08018'08 *).
(c) Senate Bill No. 1554 or House Bill No. (request no.
08019'08).
(d) Senate Bill No. 1555 or House Bill No. (request no.
08164'08).