Revision: Feb. 10, 2010, midnight
SB 339 – AS INTRODUCED
2010 SESSION
08/03
SENATE BILL 339
AN ACT excluding certain governmental and nonprofit entities from certain licensing requirements as mortgage loan originators.
SPONSORS: Sen. DeVries, Dist 18; Sen. Cilley, Dist 6
COMMITTEE: Commerce, Labor and Consumer Protection
This bill excludes certain governmental and nonprofit entities from certain licensing requirements as mortgage loan originators.
This bill is a request of the banking department.
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Explanation: Matter added to current law appears in bold italics.
Matter removed from current law appears [in brackets and struckthrough.]
Matter which is either (a) all new or (b) repealed and reenacted appears in regular type.
10-2917
08/03
STATE OF NEW HAMPSHIRE
In the Year of Our Lord Two Thousand Ten
AN ACT excluding certain governmental and nonprofit entities from certain licensing requirements as mortgage loan originators.
Be it Enacted by the Senate and House of Representatives in General Court convened:
1 New Paragraph; License Required; Governmental and Certain Nonprofit Entities Licensing. Amend RSA 397-A:3 by inserting after paragraph IV the following new paragraph:
V.(a) In this paragraph, “governmental entities” means federal, New Hampshire state, and New Hampshire municipal governments, and the agencies, instrumentalities and corporations thereof.
(b) In this paragraph, “exempt nonprofit entities” means nonprofit agencies or corporations incorporated under the laws of the state of New Hampshire which (1) have a tax exempt status granted under the provisions of section 501(c)(3) or 501(c)(4) of the Internal Revenue Code and (2) exclusively make or issue commitments for mortgage loans on residential property to be financed by a governmental entity with public funds, or negotiate, place, assist in placement of, find, or offer to negotiate, place, assist in placement of, or find mortgage loans on residential property to be financed with public funds exclusively under a contract with a governmental entity. For purposes of this definition, the making of a mortgage loan includes being named as the lender or mortgagee on the note, mortgage, or other loan documents.
(c) Governmental entities and exempt nonprofit entities may not be required to obtain a mortgage banker or mortgage broker license when such entity:
(1) Is authorized to conduct mortgage banker or mortgage broker business in this state by an order of the commissioner or is authorized by New Hampshire statute to do mortgage lending;
(2) Files as an exempt entity on the Nationwide Mortgage Licensing System and Registry;
(3) Conforms to the requirements of the Nationwide Mortgage Licensing System and Registry including but not limited to the reporting requirements;
(4) Files and maintains a bond in accordance with RSA 397-A:5, III(c) to cover the business conducted by its originators; and
(5) Licenses its originators in this state through the Nationwide Mortgage Licensing System and Registry.
2 New Paragraph; Mortgage Servicing Companies; Governmental and Certain Nonprofit Entities Licensing. Amend RSA 397-B:4 by inserting after paragraph V the following new paragraph:
VI.(a) In this paragraph, “governmental entities” means federal, New Hampshire state, and New Hampshire municipal governments, and the agencies, instrumentalities, and corporations thereof.
(b) In this paragraph, “exempt nonprofit entities” means nonprofit agencies or corporations incorporated under the laws of the state of New Hampshire which (1) have a tax exempt status granted under the provisions of section 501(c)(3) or 501(c)(4) of the Internal Revenue Code and (2) exclusively service government program mortgage loans on residential property by a governmental entity, financed by a governmental entity with public funds.
(c) Governmental entities and exempt nonprofit entities may not be required to register as a mortgage servicing company when such organization:
(1) Is authorized to conduct the business of a mortgage servicing company by an order of the commissioner or is authorized by New Hampshire statute to do mortgage servicing;
(2) Files as an exempt entity on the Nationwide Mortgage Licensing System and Registry;
(3) Conforms to the requirements of the Nationwide Mortgage Licensing System and Registry including but not limited to the reporting requirements;
(4) Files and maintains a bond in accordance with RSA 397-A:5, III(c) to cover the business conducted by its originators; and
(5) Licenses its originators in this state through the Nationwide Mortgage Licensing System and Registry.
3 Effective Date. This act shall take effect 60 days after its passage.