Amend CSHB 2779 as follows:                                                  

(1)  Strike page 3, line 20, through page 4, line 16, and 	substitute the following:
	SECTION 4.  Section 157.004, Finance Code, is amended to 
read as follows:    
	Sec. 157.004.  EXEMPTIONS.  This chapter does not apply to:                    
		(1)  a federally insured bank, savings bank, savings 
and loan association, Farm Credit System Institution, or credit 
union;
		(2)  a [an affiliate or] subsidiary of a federally 
insured bank, savings bank, savings and loan association, Farm 
Credit System Institution, or credit union;
		(3)  a person licensed as a mortgage broker under 
Chapter 156; [or]
		(4)  an authorized lender licensed under Chapter 342; 
or             
		(5)  the state or a governmental agency, political 
subdivision, or other instrumentality of the state, or an employee 
of the state or a governmental agency, political subdivision, or 
instrumentality of the state who is acting within the scope of the 
person's employment [if:
			[(A)  the authorized lender includes with an 
application for a mortgage loan a notice that is substantially 
similar to the notice required by Section 157.007 and provides the 
method of submitting complaints to the consumer credit 
commissioner;
			[(B)  the authorized lender uses the forms adopted 
by the Finance Commission of Texas under Section 157.011(b); and
			[(C)  the Finance Commission of Texas determines 
by rule that the consumer credit commissioner may suspend or revoke 
a license issued under Chapter 342 if the authorized lender engages 
in unlawful or unfair practices while making a mortgage loan].
	(2)  On page 6, strike lines 22-27.