Our delegates and GA Committee Co-chairs, Doug Braden and Jayne Bail, attended the NAMB Legislation Conference in DC this year.
The NAMB by-laws were revised in Delegate Council in October 2015. This delegate council made a final review and approval of the changes. Mostly, the changes were definitions of the NAMB membership categories. Additionally, NAMB Board of Directors advised that come August 1st 2016 the NAMB membership fee will be $120 for each individual member, for each category of membership.
The conference included classes with Radian regarding the Home Ready program. NAMB Leg 2016 Home Ready - Radian Presentation.pdf.
Freddie Mac came in and showed us their homebuyer initiatives. Namb Leg 2016 Freddie presentation.pdf
Terry Clemans from National Consumer Reporting Association discussed the Trending Data credit report that Fannie Mae is making effective this summer. 2016 NAMB Leg Conf Trended Data.pdf
Paul Mondor from the CFPB spoke at the conference. He answered some questions regarding the rules and regs of the ATR/QM, TRID, MSA’s and the projection of the HMDA rules. Since our conversation with Mr. Mondor (the author of the LO Comp rule) was confidential, no presentation was offered.
We spent the day on Tuesday pounding the halls of the Senate and House of Representatives. Though no congressmen or Senators were available to meet, the time spent with each member’s legislative director was productive. The NAMB bill HR3393 is building traction. The goal was to obtain co-sponsors in the House, and advise the Senate of the sister bill that will be coming with this language. This bill is an amendment to the Truth in Lending Act to simplify the calculations of the QM. This simplification will clarify to the CFPB the way they are to calculate the QM for the mortgage broker since current rule creates a different calculation of the broker versus a lender. So far 2 Colorado Representatives are co-sponsoring the bill. CoAMP is requesting all of our House Representatives to join our efforts and co-sponsor this bill. So far the response has been positive. Our main objective is to add Ed Perlmutter (D) who serves on the Financial Services committee to join Congressman Tipton and Coffman as a co-sponsor. This could help influence the rest of our state representatives to join. Since Diana DeGette and Jared Polis both look to him to lead from their side of the isle, his sponsorship could draw more sponsors from Colorado both Republicans and Democrats.
HR2121 had unanimous positive votes with the House Finance Committee on 3/2/16. The bill was supposed to hit the floor of the House last week, but has been held up and has not yet gone to a vote. This is a transitional licensing bill supported and lobbied heavily by the MBA. The NAMB participants were asked to discuss this bill with the congressmen and request a negative vote. Our objection is that this bill would allow NMLS registered LOs to obtain a “temporary” license while originating loans and they have 120 days to complete all of their education and testing, etc to gain their state licensing. (Note – the registered LOs are not “licensed” and have not passed any NMLS tests or completed any education that is required in the SAFE Act) Not only is this an open door to consumer harm, but it undermines the whole purpose of licensure and the Safe Act. There is a non-legislative fix to this problem and we are working with the congress and the NMLS to have an internal fix versus a legislative fix.
Since we are embroiled in an election year, both of these Bills will probably languish and not be a priority. However they could be included in language as part of the final year bargaining and our intent is to make sure that the language we support in HR3393 finds its way into a passable House and Senate Bill.
Call to action is to call your Congressman and encourage them to co-sponsor HR3393
And make an extra call to Ed Perlmutter’s office and encourage him to Co-Sponsor the Bill as well. Ed Perlmutter DC office 202-225-2645, ask for Noah Marine legislative director.
