December 2007

Highlights of the 2006 Rule Hearing proposed amendments:

As we reported in the Breaking News on December 11 the Commissioner has published notice of proposed amendments to the Basic Manual as a result of the 2006 Biennial Rule Hearing that was held on September 5, 2007. TLTA submitted a number of items which have preliminary approval from the Commissioner that we believe will be beneficial to the industry. The TLTA Regulatory committee and Board of Directors worked hard on all of these items and we would like to thank them for all their efforts on behalf of the TLTA membership. These items were submitted to help make your job easier and to cure problems that existed. We are disappointed about a couple of items that were not approved but we will continue to work with the department on those and try to resolve them before the next hearing.

Overall, we view this hearing as a success for the industry and believe that the changes (once approved) will benefit you and your employees. Below are some bullet points to assist you in understanding the proposed changes. Some items were not approved since there were multiple agenda items submitted on the same subject matter.

Please note: If you wish to make comments on these items they must be submitted in writing no later than 5:00 p.m. on January 21, 2008, to Gene C. Jarmon, General Counsel and Chief Clerk, Mail Code 113-2A, Texas Department of Insurance, P.O. Box 149104, Austin, Texas, 78714-9104.

Highlights:
  1. The Commissioner proposes to adopt an amended version of Agenda Item 2006-27 relating to the renaming of the "Owner Policy" and the "Mortgagee Policy" to coincide with the terminology utilized in the corresponding ALTA policies and to provide that the new terminology be incorporated into newly printed or electronically generated forms submitted by TLTA. Because of this he is proposing not to adopt Agenda Item 2006-11 dealing with the same subject matter. 
  2. The Commissioner proposes to adopt Agenda Item 2006-24, an amended version of the Owner's Policy and Agenda Item 2006-6, an amended version of the Loan Policy, both of which were submitted by TLTA. Because of this, he is proposing not to adopt Agenda Item 2006-23 and Agenda Item 2006-25, also dealing with the same subject matter respectively.
  3. The Commissioner proposes to adopt Agenda Item 2006-29 (which was amended by TLTA) revising P-32 to clarify time periods for retention of documents and to conform this rule to the provisions of UETA and E-Sign. Because of this, he is proposing not to adopt Agenda Item 2006-28, dealing with the same subject matter.
  4. TLTA previously withdrew Agenda Items 2006-18, 2006-20 and 2006-21 dealing with agent and escrow officer licensing procedures. The items were withdrawn in light of the efforts of TLTA and the TDI staff to explore the implementation of a more comprehensive approach that could involve needed legislative changes. The Commissioner proposes to adopt Agenda Item 2006-19, also submitted by TLTA and relating to a different aspect of agents licensing, but with some modifications to the proposal.
  5. Agenda Items 2006-41 and 2006-67 were originally proposed by TDI staff and have been withdrawn, presumably by TDI staff, from further consideration in this proceeding, presumably by TDI staff.
Proposed Uniform Closing Instructions – Your feedback is requested!
  
The American Land Title Association along with the Mortgage Bankers Association and the American Escrow Association are proposing "new" uniform closing instructions to become effective in early spring of 2008. TLTA President Sheri Asbell appointed a small task force to draft comments on the proposed instructions so that we will have the opportunity to address our concerns. Since the proposed instructions will change the way you conduct business, we ask that you take a close look at the drafts and send us your feedback. In order for the task force to have ample time to review all comments and for the TLTA Board to approve, please send your comments by January 8, 2008. Click here to read Uniform Specific Closing Instructions and here to read Uniform General Closing Instructions.