MReport May 2018

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TH E M R EP O RT | 61 O R I G I NAT I O N S E R V I C I N G DATA G O V E R N M E N T S E C O N DA R Y M A R K E T THE LATEST GOVERNMENT House Turns Its Focus on TILA Four financial services bills passed recently, two of which would modify the Truth in Lending Act. T he House of Represen- tatives recently passed not one, but four new bipartisan bills affecting the financial services industry. The Portfolio Lending and Mortgage Access Act (H.R. 2226), sponsored by Representative Andy Barr (R-Kentucky), will modify the Truth in Lending Act to "allow certain mortgage loans that are originated and retained in portfolio by an insured depository institution or an insured credit union with less than $10 billion in total consolidated assets be con - sidered as qualified mortgages." The bill passed by a voice vote. Rep. Barry Loudermilk (R-Georgia) sponsored The Comprehensive Regulatory Review Act (H.R. 4607), which amends the Economic Growth and Regulatory Paperwork Reduction Act of 1996 to in - clude both the Consumer Financial Protection Bureau and the National Credit Union Administration, as well as requir - ing reviews of the affected agen- cies to be held every seven years, up from the current standard of every 10. The bill passed the House by a vote of 264-143. Sponsored by Rep. Randy Hultgren (R-Illinois), the Community Bank Reporting Relief Act (H.R. 4725) amends the Federal Deposit Insurance Act so as to "direct federal banking agencies to issue regulations that allow a reduced reporting requirement for depository institutions with $5 bil - lion in consolidated assets or less, and that meet certain other criteria when making the first and third report of condition for a year." H.R. 4725 passed by a voice vote. Finally, H.R 4768, the Strategy for Combating the Financing of Transnational Criminal Organizations Act, "requires the President, through the Secretary of the Treasury, to develop a national strategy to combat the financial networks of transnational criminal organizations (TCOs) not later than one year after the enactment of this Act and every two years thereafter." The bill was sponsored by Rep. David Kustoff (R-Tennessee) and passed by a voice vote. Credit Union National Association (CUNA) President and CEO Jim Nussle said in a state - ment, "Both of the bills are com- mon-sense, pro-consumer pieces of legislation that will facilitate more efficient regulations and increased access to mortgage credit." LOCAL EDITION: California Candidates Sound Off CANDIDATES FOR THE CALIFORNIA GOVERNORSHIP ARE OFFERING SOLUTIONS TO TACKLE THE RISING HOME PRICES IN THE STATE. CALIFORNIA // As home prices in the western U.S. continue to climb, candidates for the California governorship are offering up solutions to tackle the crisis. At a recent conference in Sacramento hosted by the advocacy group Housing California, six leading gubernatorial candidates spoke on the costs of new homes and rising rates of homelessness in their state. Data from the S&P CoreLogic Case-Shiller National Home Price Index shows that the western U.S. is home to some of the hottest markets in the country, and the candidates for governor will undoubtedly be expected to address these housing concerns. Former San Francisco Mayor and frontrunner Democratic candidate Gavin Newsom has pushed for 3.5 million homes to be built within seven years, which his rivals have called "unrealistic." "The problem with being audacious is no one thinks it can be done," Newsom said. Other Democratic candidates, including Antonio Villaraigosa and John Chiang, have called for similar dras - tic programs. Villaraigosa suggested increasing the current housing subsidy from $4 billion to $6 billion, while Chiang set a building goal similar to Allen's, which he capped at a more "realistic" 1.6 million units within a decade. Republican candidates John Cox and Travis Allen, however, view government housing subsidies as more det - rimental than helpful, noting the high taxpayer cost such programs would bring. "The California Democrats do not need to saddle Californians with even more debt," said Allen. "This is the entirely wrong approach." Cox proposed that the first step toward more housing was to eliminate some of the environmental and other regulations in order to reduce costs and time involved in construction. "They can subsidize a few thousand homes somewhere and that might help a few thousand people," Cox said, "but it's not going to help the hundreds of thousands who are living day-to-day spending 40 to 50 percent of their income on housing."

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