MBA Advocacy Update

Steve O'Connor soconnor@mba.org; Bill Killmer bkillmer@mba.org  

July 02, 2018

This past week, HUD Secretary Ben Carson testified before the House Financial Services Committee regarding oversight of the agency. In the Senate, a six-month extension of the National Flood Insurance Program was included in the recently-passed version of a bipartisan farm bill.  

Kathy Kraninger, the Trump Administration's nominee as Director of the Consumer Financial Protection Bureau/Bureau of Consumer Financial Protection, will appear before the Senate Banking Committee for a confirmation hearing on July 19. And late last week, President Trump nominated Rae Oliver Davis to serve as HUD's Inspector General.  

GSEs Revise UCD Reporting Requirements

Fannie Mae and Freddie Mac last week announced updated requirements for the Uniform Closing Disclosures reporting program (https://www.fanniemae.com/content/news/ucd-announcement-june-2018.pdf).  

These changes, effective June 24, 2019, will require lenders to provide several additional data points from the Closing Disclosure. Importantly, the announcement stated that the GSEs have eliminated the previously announced requirement to provide information from the Seller version of the Closing Disclosure.  

Final reporting requirements for the Uniform Closing Disclosures have been pared back significantly since first announced almost two years ago, after extensive engagement with MBA. The original requirements included large amounts of data from the Seller version of the Closing Disclosure. MBA informed the GSEs of the significant burden that would fall on the lenders to comply with the original requirement and collaborated with the GSEs to revise the requirements.  

MBA appreciates the collaboration with Fannie Mae and Freddie Mac that resulted in the revised, final reporting requirements.  

For further information on this topic, please contact Rick Hill at 202-557-2718 rhill@mba.org.  

HUD Secretary Carson Testifies Before House Financial Services Committee

HUD Secretary Ben Carson testified before the House Financial Services Committee last week at a hearing, "Oversight of the Department of Housing and Urban Development."   

Carson fielded questions on key topics such as modernizing HUD's antiquated IT Infrastructure, addressing ramifications from passage of S.2155 as it relates to VA loan seasoning requirements, down payment assistance programs, the False Claims Act, the Home Mortgage Disclosure Act, potential Ginnie Mae capital/liquidity requirements that could impact non-bank lenders and general funding for core programs at HUD.  

For more information, please contact Dan Grattan at (202) 557-2712 dgrattan@mba.org; or Kelley Williams at (202) 557-2741 kwilliams@mba.org.  

MBA Submits Comment Letter on CFPB RFI on Inherited Regulations & Rulemaking Authorities

Last week MBA submitted comments on the Consumer Financial Protection Bureau/Bureau of Consumer Financial Protection's Request for Information on Inherited Regulations and Inherited Rulemaking Authorities.  

MBA's comments addressed many of the industry's concerns, raising outstanding regulatory issues arising from recent litigation and legislation. In addition, the letter reiterated MBA's support for a broad reexamination of Bureau practices as detailed in CFPB 2.0: Advancing Consumer Protection (https://www.mba.org/issues/cfpb-20-advancing-consumer-protection).  

MBA appreciates the efforts of Buckley Sandler in assisting in preparation of this comment letter.  

For more information please contact Justin Wiseman at (202) 557-2854 jwiseman@mba.org; or Blake Chavis at (202) 557-2930 bchavis@mba.org.  

MBA Submits Reply Comment Letter on FCC's TCPA Rulemaking

Last week, MBA responded to the Federal Communication Commission's request for comment on the Telephone Consumer Protection Act in light of the D.C. Circuit's decision in ACA Int'l, et al. v. FCC.   The MBA letter addressed three areas: (1) the appropriate definition of "automated telephone dialing system"; (2) how the TCPA should treat reassigned numbers; and (3) the need for defined and clear channels for revocation of consent. In addition, the letter outlines how the TCPA should be understood in relation to other federal statutes that provide protections to consumers from harassment and abuse.  

The comment letter follows a previous petition for declaratory ruling MBA submitted with the U.S. Chamber of Commerce in May seeking a clearer definition of automated telephone dialing system.  

For more information please contact Justin Wiseman at (202) 557-2854 jwiseman@mba.org.  

Flood Insurance Extension Included in Farm Bill

With the July 31 expiration for the National Flood insurance Program quickly approaching, Sens. John Kennedy, R-La., and Bill Cassidy, R-La., successfully included an amendment to the recently passed Senate farm bill (S. 3042), to extend the program for six months.  

This effort will give legislators more time to find consensus on a long-term reauthorization that has eluded Congress to date. Sens. Kennedy, Cassidy and Bob Menendez, D-N.J., also introduced S. 3128, a clean, six-month reauthorization standalone bill as a backup to the amendment (https://www.congress.gov/bill/115th-congress/senate-bill/3128/text?q={"search":["Kennedy"]}).  

For more information, please contact Meghan Sullivan at (202) 557-2866 msullivan@mba.org; or Erin Barry at (202) 557-2913 ebarry@mba.org.  

California Enacts Sweeping Data Privacy Law in Lieu of Worse Ballot Initiative

Last week, California Gov. Jerry Brown (D) signed into law a sweeping new consumer data privacy bill, A.B. 375. The bill was the subject of intense debate in the last week (http://leginfo.legislature.ca.gov/faces/billNavClient.xhtml?bill_id=201720180AB375).  

Working together, MBA and the California MBA alerted the GSEs and the Federal Housing Finance Agency about the potential adverse impact the initiative could have on the industry's ability to conduct routine financial transactions due to the extraordinary limits and opt out rights on data sharing activities. In response, FHFA General Counsel Alfred Pollard wrote a letter at the end of last week to members of the Legislature highlighting the problems with the initiative (http://mba-pc.informz.net/mba-pc/data/images/FHFA.PDF).  

While the new law is an improvement over an earlier withdrawn ballot initiative, there are still many concerns. The law takes effect on January 1, 2020, which offers all parties an opportunity to discuss unintended consequences with legislators during the remainder of this legislative session and in 2019.  

For more information, please contact William Kooper (202) 557-2737 wkooper@mba.org; or Kobie Pruitt (202) 557-2816 kpruitt@mba.org

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