STAND. COM. REP. NO. 2580

Honolulu, Hawaii

RE:    S.B. No. 2763

       S.D. 2

Honorable Shan S. Tsutsui

President of the Senate

Twenty-Sixth State Legislature

Regular Session of 2012

State of Hawaii

Sir:

     Your Committee on Ways and Means, to which was referred S.B. No. 2763, S.D. 1, entitled:

"A BILL FOR AN ACT RELATING TO MORTGAGE LOAN ORIGINATION,"

begs leave to report as follows:

     The purpose and intent of this measure is to amend the Secure and Fair Enforcement for Mortgage Licensing Act to reflect recent federal changes and adjust fees in consideration of new federal requirements.

     Written comments in support of the measure were submitted by the Mortgage Bankers Association of Hawaii.

     Your Committee finds that the measure exempts loan originators who are employed by mortgage servicer companies and nonprofit organizations from the licensure requirements of the State's Secure and Fair Enforcement for Mortgage Licensing Act and makes other amendments to conform state law to federal law.

     Your Committee has amended this measure by:

     (1)  Changing the effective date of the bill to July 1, 2050, to facilitate further discussion; and

     (2)  Making technical nonsubstantive amendments for clarity and consistency.

     As affirmed by the record of votes of the members of your Committee on Ways and Means that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 2763, S.D. 1, as amended herein, and recommends that it pass Third Reading in the form attached hereto as S.B. No. 2763, S.D. 2.

Respectfully submitted on behalf of the members of the Committee on Ways and Means,

____________________________

DAVID Y. IGE, Chair