SRC-AMY S.B. 1667 78(R)   BILL ANALYSIS


Senate Research Center   S.B. 1667
By: Averitt
Business & Commerce
4/5/2003
As Filed


DIGEST AND PURPOSE 

H.B. 1493, 77th Legislature, sought to correct deficiencies in the
Mortgage Broker License Act (MLBA) to authorize access to Federal Bureau
of Investigations (FBI) criminal history records on all individuals
applying for a mortgage broker license.  The FBI has stringent
restrictions on who can access such information.  The Texas Savings and
Loan Department's sunset language is unacceptable to the FBI. The Texas
Savings and Loan Department has expressed that access to FBI criminal
history records on applicants is essential to protect consumers and to
enforce compliance with MLBA.  As proposed, S.B. 1667 requires each
applicant to be fingerprinted and submit fingerprints, and other necessary
information, with the application and authorizes the savings and loan
commissioner to submit the fingerprints to the FBI. This bill provides
that the Department of Public Safety is the recipient of the results of
the record check. 

RULEMAKING AUTHORITY

This bill does not expressly grant any additional rulemaking authority to
a state officer, institution, or agency. 

SECTION BY SECTION ANALYSIS

SECTION 1.  Amends Section 156.206(b), Finance Code, as follows:

(b) Requires the savings and loan commissioner (commissioner) to obtain
criminal history record information on an applicant that is maintained by
the Department of Public Safety (DPS) and to obtain criminal history
record information from, rather than on an applicant maintained by, the
Federal Bureau of Investigation (FBI) on each applicant for a mortgage
broker or loan officer license under this chapter.  Requires each
applicant to be fingerprinted and to submit fingerprints and other
necessary information with the application.  Authorizes the commissioner
to submit the fingerprints to the FBI, and provides that DPS is designated
to be the recipient of the results of the record check. Deletes redundant
wording. 

SECTION 2.  Effective date: September 1, 2003.