Additional Bills Tracked in the 2013 Session
September 4, 2013
Constantly engaged in policy advancement, the Northwest Credit Union Association tracked almost 120 bills that had some impact on credit unions in Oregon. Some bills we supported or opposed through testimony, workgroups, or just by doing some behind-the-scenes lobbying. We have selected to highlight some of the more important bills this session in the following list. The bills are split into two sections—those that were passed and signed by the Governor and those that failed either in committee or on the floor. While much of our time is spent working on the bills we would like to see passed, it is important to note those that did not. In many of these cases, we would talk to a committee chair or legislator expressing our concerns with the bill without testifying. PLEASE TAKE A LOOK AT THE LIST OF BILLS THAT DID NOT PASS!
Note about Impact of Legislation on Federal Credit Unions: Nearly all of the legislation in which NWCUA took an interest this session will (or would, if passed) impact federal- and state-chartered credit unions equally. The major exception to this general rule is SB177, the amendments to the Oregon Credit Union Act.
Selections of Bills Passed and Signed into Law
WHAT THE MEASURE DOES: Permits Director of Department of Consumer and Business Services to specify, by rule, minimum frequency for meetings of boards of directors of banking institutions. Allows banking institutions to give Director uncertified copies of audit committee reports.
WHAT THE MEASURE DOES: Specifies financial holding company or bank holding company is not mortgage broker or mortgage banker, for purposes of licensing, so long as holding company does no more than control subsidiary or affiliate and does not engage in business of a mortgage banker or mortgage broker.
WHAT THE MEASURE DOES: Establishes Oregon Growth Board Task Force. Specifies 10 member task force including: two appointees from the Senate President; two appointees from the Speaker of the House; four appointees from the Governor with one from banking, one from credit unions, one from managing investments, and one with small business employment experience; one appointee from the Treasurer’s Office; and one appointee from the Oregon Business Development Department; requires the task force to make recommendations to the Legislative Assembly.
WHAT THE MEASURE DOES: Allows participants in the Senior and Disabled Property Tax Deferral Program who were disqualified in 2011 solely due to having a reverse mortgage, or not meeting the 5-year residency requirement, or both, to participate in the program again for the tax year beginning July 1, 2014.
WHAT THE MEASURE DOES: Removes $100,000 cap on loan amount to borrower in definition of “real estate loan agreement” or “real estate loan” for purposes of earning interest on required mortgage escrow accounts and lender required security protection deposits.
WHAT THE MEASURE DOES: Clarifies respective applications of the Uniform Commercial Code and the federal Electronic Fund Transfer Act to certain fund transfers.
WHAT THE MEASURE DOES: Prohibits neglect of foreclosed residential property by owner. Allows local government to remedy neglect, should owner fail to do so, and provides local government with lien upon property. Requires owner provide local government or neighborhood association with owner’s contact information and post durable notice on residential real property of telephone number to call to report neglect. Allows local government to notify owner of neglect of property and require remedy of neglect.
WHAT THE MEASURE DOES: Allows exemption from mortgage loan originator’s licensing requirement for individual who acts as seller on no more than three residential mortgage loans during any twelve-month period, unless specified as mortgage loan originator by federal law. Specifies person may not claim exemption if person holds more than eight residential mortgage loans.
WHAT THE MEASURE DOES: Allows trustee to rescind trustee’s sale of foreclosed property if, within ten days of trustee’s sale, trustee asserts bona fide error occurred in specifying opening bid, providing legal description of property, or complying with other legal requirement of trustee’s sale, or if grantor or beneficiary agree to foreclosure avoidance measure, or beneficiary accepts funds to reinstate trust deed, even if beneficiary did not have legal duty to do so.
WHAT THE MEASURE DOES: Allows eligible employees to take up to two weeks of family leave following death of family member. Specifies bereavement leave must be taken within 60 days of notice of death of family member. Requires bereavement leave be counted toward 12 weeks of authorized family leave.
WHAT THE BILL DOES: Removes the provision of law that enables entities that engage in limited mortgage activities to be exempt from the Oregon corporation excise tax. The Oregon Bank Act is periodically reviewed and revised. For example, it was revised by the Legislature in 1997, 1987, and 1973. The specific exemption repealed by HB 3477 was created by the 1999 Legislature (SB 26) and, according to legislative history, was created to correct an omission in the 1997 revision of the Oregon Bank Act. Some form of the provision has been in statute since 1953 (SB 385). These institutions are required to pay an annual fee of $200 to the Department of Consumer and Business Services.
WHAT THE BILL DOES: Creates two exceptions to the garnishment statutes for the Department of Revenue functions. Removes the requirements that a warrant be attached to the notice of garnishment and that notices of garnishment be hand-signed. Under current law the Department of Revenue is required to attach a previously issued warrant to notices of garnishment. They are also required to have the notices of garnishment be hand signed. The original bill created garnishment statutes specifically for the Department of Revenue that lacked the two previously mentioned requirements. This bill establishes the same policy but instead creates two exceptions to the existing garnishment statutes.
WHAT THE MEASURE DOES: Prohibits public agency or public official from allowing person or entity to use seal or letterhead of agency or official in collection of debt, and from receiving fee in exchange for such use. Prohibits district attorney from authorizing debt collector to use seal, letterhead, or name of district attorney or district attorney’s office pursuant to bad check diversion program. Creates unlawful collection practice of using seal or letterhead of public official or public agency.
WHAT THE MEASURE DOES: Requires residential trust deed beneficiary to request resolution conference prior to foreclosing residential trust deed. Provides exemption. Specifies required contents of request. Allows grantor to request resolution conference in certain circumstances. Allows beneficiary to request resolution conference while maintaining exemption. Specifies timeline and other requirements for resolution conference and participating parties. Requires beneficiary to notify grantor found ineligible for foreclosure avoidance measure, and Department of Justice, within 10 days of determination with certain information. Makes certain beneficiary violations of measure unlawful trade practices. Establishes maximum fees for beneficiary and grantor. Directs Attorney General to adopt rules and take certain other actions to implement program. Aligns liability and confidentiality of facilitator with current law for mediators. Repeals provisions of existing law superseded by measure.
WHAT THE MEASURE DOES: Authorizes representative to request security freeze of protected consumer’s consumer report or protective record, if proper identification, any required fee and sufficient proof of authority are provided. Requires consumer reporting agency to create protective record if security freeze is requested for protected consumer for whom no consumer report exists. Requires removal of security freeze in order to access information in protective record and specifies protective record is not subject to temporary lift of security freeze. Requires agency to remove freeze within 30 business days of request from consumer or representative.
WHAT THE MEASURE DOES: Directs the Department of Transportation to issue driver card, which is to be subject to same statutes and procedures as driver licenses and permits save for not requiring proof of legal presence in the United States. Outlines eligibility requirements for driver card. Specifies features that must appear on driver card. Specifies ways in which driver card may be used as identification.
More background and details on any operation and compliance requirements will be issued by the NWCUA Regulatory Affairs department as appropriate.
Selection of 2013 Bills that Died in Committee
HB2383 – Prohibits merchant from requiring statement of account as condition for cardholder to obtain refund of amount in payment card transaction.
HB2826 – Establishes requirements under which debt buyer may bring legal action to collect debt.
HB3174 – Allows Oregon resident filing for bankruptcy to either claim exemptions established by federal law or claim exemptions established by state law.
HB3274 – Permits credit union to conduct savings promotion raffle, prized linked savings programs.
HB3370 – Disallows, for purposes of personal income taxation, mortgage interest deduction for residence other than taxpayer’s principal residence, if taxpayer’s federal adjusted gross income exceeds $125,000, or $250,000 if reported on joint return.
HB3485 – Prohibits person from sending advertisement that is for mortgage loan services or other extensions of credit that are secured by real property and that has certain characteristics unless person has previous business relationship with recipient or unless advertisement meets certain criteria.
HB3499 – Requires notice of trustee’s sale in connection with foreclosure of residential property to include language that warns prospective purchasers that residential property may have been used in manufacturing methamphetamines.
HB3520 – Allows Oregon resident filing for bankruptcy to claim either exemptions established by federal law or exemptions established by state law.
SB805 – Revises definition of “beneficiary.” Modifies requirements for trustee to foreclose a trust deed by advertisement and sale.
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