TO: | Honorable Burt R. Solomons, Chair, House Committee on Financial Institutions |
FROM: | John Keel, Director, Legislative Budget Board |
IN RE: | HB1079 by Wise (Relating to certain exemptions from the regulation of mortgage brokers.), As Introduced |
Fiscal Year | Probable Net Positive/(Negative) Impact to General Revenue Related Funds |
---|---|
2004 | $0 |
2005 | $0 |
2006 | $0 |
2007 | $0 |
2008 | $0 |
Fiscal Year | Probable Revenue Gain/(Loss) fromGENERAL REVENUE FUND 1 |
Probable Savings/(Cost) fromGENERAL REVENUE FUND 1 |
Change in Number of State Employees from FY 2003 |
---|---|---|---|
2004 | $495,019 | ($495,019) | 9.9 |
2005 | $742,528 | ($742,528) | 14.9 |
2006 | $742,528 | ($742,528) | 14.9 |
2007 | $742,528 | ($742,528) | 14.9 |
2008 | $742,528 | ($742,528) | 14.9 |
The bill would remove the exemption for mortgage bankers from being licensed as mortgage brokers by the Savings and Loan Department.
The bill would take effect September 1, 2003.
The Savings and Loan Department estimates that inclusion of mortgage bankers as mortgage brokers would increase the license population by approximately 10,000 in fiscal year 2004 and a total of 15,000 each year thereafter. This would be almost double the approximately 18,000 mortgage brokers currently licensed by the agency.
It is assumed that the agency's costs and FTE needs would double along with the population. The agency would require $495,019 and 9.9 FTEs in fiscal year 2004 and $742,528 and 14.9 FTEs in fiscal years 2005-8 in order to perform background checks, license, inspect, and investigate complaints related to mortgage bankers.
Source Agencies: | 450 Savings and Loan Department, 451 Department of Banking
|
LBB Staff: | JK, JRO, RT, RB
|