March 13, 2013
Legislation Filed to Streamline and Improve the Title Industry
TLTA is pleased to report that sponsors have been secured in both chambers and legislation has been filed to address each item in our affirmative legislative agenda. Our lobbying team is working around the clock to move our agenda forward through the committee process and onto the Governor's desk for his signature into law.
The deadline to file bills was March 8, and the TLTA Legislative Committee and Board of Directors will soon be reviewing a group of bills that could affect the industry. At this point, we have flagged approximately 150 bills for careful review. This number will likely go up as we continue to digest the many bills filed at the last minute on the filing deadline. We will provide an update next week when we expect the Board to take positions on a group of these bills, and we will also post more information to our legislative Web page.
The Board has already taken an official position to oppose
HB 2384 filed by Rep. Matt Schaefer, which would dramatically alter the way title insurance rates are set in Texas. The bill would change the long-standing and successful system of promulgated rates set by the commissioner of insurance to a file and use system. Under this proposed system, each underwriter would file rates with the department, along with a justification of those rates. Our leadership and legislative team will hold a series of meetings with Rep. Schaefer, as well as members of the House Insurance Committee, to express our concerns and strong opposition to this potentially detrimental legislation. We will keep you posted as any developments happen.
More on TLTA's affirmative legislative agenda:
Correction Instruments
SB 887 and
HB 1940 would clarify that the date of a correction instrument relates back to the original filing date. These bills would also provide the clear ability to treat an inadvertently omitted attachment as a nonmaterial correction. The Senate bill has been referred to the Intergovernmental Relations Committee, and the House bill has been referred to the Business & Industry Committee.
Deceased Borrower Streamlining
SB 1770 and
HB 2795 would provide for a more efficient procedure to address a default by a deceased borrower. Both pieces of legislation have been filed and are awaiting referral to committees.
Ad Valorem Assessment Mistakes
SB 1657 and
HB 1913 would amend the statute to provide for the ability of tax assessor collectors to waive certain interest and penalties related to ad valorem taxes. This would create an equitable situation for new property owners while helping ensure taxing authorities receive the original amount of any back taxes owed. The bill has been referred to the Ways & Means Committee.
Track the Progress of Legislation and Stay Informed
Stay tuned to this newsletter and the Legislative page on our Web page for updates on the progress of our affirmative agenda, as well as other legislation we're tracking that could impact the industry. If you would like to receive email notifications with links to live legislative hearings, please email
[email protected] to get added to the list.
TLTA Suggests Improvements to CFPB's Testing of Proposed Forms
TLTA recently submitted a
letter to the Consumer Financial Protection Bureau (CFPB) detailing our suggested improvements to the Bureau's plan to test proposed mortgage loan disclosure forms. The forms that will be tested are part of the CFPB's proposed rule that was published in August 2012. One suggestion is that testing should take place at a live closing so the Bureau can engage actual consumers who are making a real estate purchase. Consumers should also be asked which forms they prefer and be informed that the cost of settlement will likely increase with the advent of these new integrated forms. Read more about these and our other suggestions in our full letter to the CFPB
here. You may also read the letter submitted by the American Land Title Association
here.
Lawmakers Grill Cordray in Duel Over Consumer Watchdog
CBS News | March 12, 2013
Richard Cordray's turn before Senate lawmakers to consider whether he deserves more time as head of the Consumer Financial Protection Bureau was less about his qualifications than about the ongoing fight over how to improve the nation's financial system. That fight flared even before Cordray, who President Barack Obama installed as head of the CFBP by recess appointment in January 2012, had uttered a word. Decrying a pledge by Republicans to block Cordray's nomination unless the bureau is overhauled, Sen. Sherrod Brown, D-Ohio, said in a Senate Banking Committee hearing that GOP "senators are blocking a nominee because they simply don't like the agency that he will lead."
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Freddie Mac's Mortgage Portfolio Continues to Shrink
HousingWire | March 7, 2013
Freddie Mac bought $43.1 billion worth of loans in January, but sold or liquidated $46.9 billion, causing its mortgage portfolio to shrink at an annualized rate of 4.8% in January, according to its monthly volume summary report. The ongoing reduction shows Freddie Mac gradually decreasing its presence in the mortgage finance space, which is in line with housing officials plan to shrink the government-sponsored enterprises' share of the sector.
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A Challenge to All Escrow Officers!
The TLTAPAC Board of Trustees has issued a challenge this year to every escrow officer in the state to contribute a minimum donation of $25 to the TLTAPAC. With almost 6,000 escrow officers currently licensed in Texas, a $25 contribution from each would raise $150,000 for the PAC from escrow officers alone! With the 83rd Legislative Session under way, our industry needs your support more than ever! Please donate online today or send a personal check payable to the TLTAPAC.