Senate Begins Debate on Reg Relief Bill

March 7, 2018

The Senate yesterday agreed to begin debate on a sweeping regulatory relief bill. Ahead of the vote, the Mortgage Bankers Association continued to urge senators to approve the bill, saying it would lessen burdens on lenders and enable them to better serve home buyers and homeowners.

The Senate yesterday invoked cloture on S. 2155, the Economic Growth, Regulatory Relief and Consumer Protection Act (https://www.congress.gov/bill/115th-congress/senate-bill/2155), by a 67-32 vote. Cloture limits debate on a bill or set of bills and establishes a time frame for a vote.

The bill, introduced by Senate Banking Committee Chairman Mike Crapo, includes a number of MBA-supported provisions, including:

–SAFE Act amendments to provide mortgage loan originators with 120 days of transitional authority to originate when moving from a federal depository to a non-bank (or across state lines);

–Subjecting Property Assessed Clean Lending (PACE) or property retrofit loans to Truth In Lending Act consumer protections;

–Exempting financial institutions originating fewer than 500 closed-end mortgages from Home Mortgage Disclosure Act reporting requirements; and

–Targeted TILA/RESPA Integrated Disclosure fixes.

Other issues involving Qualified Mortgage portfolio relief, Systematically Important Financial Institution thresholds, veterans’ credit reports and the Volcker rule. MBA continues to pursue addition of other favorable provisions to the bill within a “Manager’s Amendment” to S. 2155 expected to be introduced later this week.

On Monday, the Mortgage Bankers Association’s grassroots advocacy arm, the Mortgage Action Alliance, issued a Call to Action (https://action.mba.org/mba/app/write-a-letter?0&engagementId=446314) urging its members to contact their senators to support the bill. MBA Senior Vice President of Legislative and Political Affairs Bill Killmer said MAA members have already collectively contacted 94 Senate offices in support of the legislation.

The Senate is expected to vote on the bill this week.