BEFORE THE BOARD OF HOUSING

DEPARTMENT OF COMMERCE

OF THE STATE OF MONTANA

 

In the matter of the amendment of ARM 8.111.202, 8.111.305, and 8.111.305A pertaining to procedural rules and qualified lender requirements

) ) ) ) )

NOTICE OF PROPOSED AMENDMENT   NO PUBLIC HEARING CONTEMPLATED

 

TO:  All Concerned Persons

 

1.  On June 13, 2011, the Board of Housing proposes to amend the above-stated rules.

 

2.  The Board of Housing will make reasonable accommodations for persons with disabilities who wish to participate in this rulemaking process or need an alternative accessible format of this notice.  If you require an accommodation, contact Department of Commerce no later than 5:00 p.m. on May 18, 2011, to advise us of the nature of the accommodation that you need.  Please contact Paula Loving, Board of Housing, Department of Commerce, 301 South Park Avenue, P.O. Box 200528, Helena, Montana, 59620-0528; telephone (406) 841-2840; fax (406) 841-2841; TDD (406) 841-2702; or e-mail [email protected].

 

3.  The rules as proposed to be amended provide as follows, new matter underlined, deleted matter interlined:

 

8.111.202  MEETINGS OF THE BOARD  (1)  All meetings of the board are open to the public pursuant to 90-6-105, MCA.  Notice of the board's regular meetings shall be given by:

(a)  posting a statement of the time, and place, and agenda of the meeting on a the state's electronic bulletin board at the entrance to the board's offices; and

(b)  mailing the said notice to a newspaper of general circulation in Helena, Montana, and

(c) remains the same, but is renumbered (b).

(2)  Notice of the board's special or emergency meetings and notice of committee meetings shall be given by posting a statement of the time, place, and nature of the meeting on a the state's electronic bulletin board at the entrance to the board's offices.

(3)  In the case of matters determined by the board to be of significant interest to the public, adequate and appropriate notice shall be given in accordance with 2-3-101 through 2-3-114, MCA by any of the means in (1), and by any additional appropriate means of notice, given sufficiently prior to a final decision to permit public comment on the matter.    

 

 

AUTH:  90-6-104, 90-6-106, MCA

IMP:  90-6-105, MCA

 

            8.111.305  APPROVED LENDERS  (1) remains the same.

            (2)  All applications must include:

            (a) and (b) remain the same.

            (c)  evidence of errors and omissions insurance and fidelity insurance, each of which must be in the an amount currently required by the FHA but not less than $300,000;

            (d) through (3) remain the same.

            (4)  Each year or as may be requested by the board, an approved lender participating in the board's programs shall submit:

            (a) and (b) remain the same.

            (c)  an updated list of the personnel required under (2)(b); and

            (d)  an updated list of the offices required under (2)(f).; and

            (e)  evidence of continuing compliance with (2)(c).

            (5) and (6) remain the same.

 

AUTH:  90-6-104, 90-6-106, MCA

IMP:  90-6-106, 90-6-108, MCA

 

8.111.305A  APPROVED LOAN SERVICERS  (1) remains the same.

(2)  All applications shall be in writing and include the following:

(a) through (d) remain the same.

(e)  evidence of errors and omissions insurance and fidelity insurance, each of which must be in the an amount required by the FHA but not less than $300,000;

(f) through (4) remain the same.

            (5)  Each year or as may be requested by the board, an approved servicer shall submit:

(a) through (c) remain the same.

(d)  an updated list of the personnel required under (2)(d); and

(e)  evidence demonstrating that the servicer has internal controls providing for security of board funds and confidentiality of information related to board mortgagors, which evidence can be the servicer's most recent Statement of Auditing Standard 70 Report, equivalent regulatory agency report, or an equivalent report from an outside auditor.; and

(f)  evidence of continuing compliance with (2)(e).

(6) through (8) remain the same.

 

AUTH:  90-6-104, 90-6-106, MCA

IMP:  90-6-106, 90-6-108, MCA

 

REASON:  These proposed changes to the Administrative Rules for the Montana Board of Housing are housekeeping in nature, updating the rules to fit current practice.  Provisions concerning how to contact the Board of Housing and notification of meetings of the Board of Housing are updates.  The provision to include the requirement for errors and omission coverage for renewal of existing lenders is not a new requirement; the Montana Board of Housing has been requiring this coverage of renewing lenders since the early 1990s.

 

4.  Concerned persons may submit their data, views, or arguments concerning the proposed actions in writing to: Nancy Leifer, Board of Housing, Department of Commerce, 301 South Park Avenue, P.O. Box 200528, Helena, Montana, 59620-0528; telephone (406) 841-2849; fax (406) 841-2841; or e-mail [email protected], and must be received no later than 5:00 p.m., May 26, 2011.

 

5.  If persons who are directly affected by the proposed actions wish to express their data, views, or arguments orally or in writing at a public hearing, they must make written request for a hearing and submit this request along with any written comments to Nancy Leifer at the above address no later than 5:00 p.m., May 26, 2011.

 

6.  If the agency receives requests for a public hearing on the proposed action from either 10 percent or 25, whichever is less, of the persons directly affected by the proposed action; from the appropriate administrative rule review committee of the Legislature; from a governmental subdivision or agency; or from an association having not less than 25 members who will be directly affected, a hearing will be held at a later date.  Notice of the hearing will be published in the Montana Administrative Register.  Ten percent of those directly affected has been determined to be six persons based on the number of potential participating lenders.

 

7.  The department maintains a list of interested persons who wish to receive notices of rulemaking actions proposed by this agency.  Persons who wish to have their name added to the list shall make a written request that includes the name, e-mail, and mailing address of the person to receive notices and specifies for which program the person wishes to receive notices.  Notices will be sent by e-mail unless a mailing preference is noted in the request.  Such written request may be mailed or delivered to the contact person in 4 above or may be made by completing a request form at any rules hearing held by the department.

 

8.  An electronic copy of this proposal notice is available through the Secretary of State's web site at http://sos.mt.gov/ARM/Register. The Secretary of State strives to make the electronic copy of this notice conform to the official version of the notice, as printed in the Montana Administrative Register, but advises all concerned persons that in the event of a discrepancy between the official printed text of the notice and the electronic version of the notice, only the official printed text will be considered. In addition, although the Secretary of State works to keep its web site accessible at all times, concerned persons should be aware that the web site may be unavailable during some periods, due to system maintenance or technical problems.

 

9.  The bill sponsor contact requirements of 2-4-302, MCA, do not apply.

 

 

/s/  G. MARTIN TUTTLE                               /s/  DORE SCHWINDEN    

G. MARTIN TUTTLE                                     DORE SCHWINDEN

Rule Reviewer                                               Director

                                                                        Department of Commerce

           

Certified to the Secretary of State April 18, 2011.