Minnesota Legislature
HF 2305
as introduced - 85th Legislature (2007 - 2008) Posted on 12/15/2009 12:00am
1.13 1.14
1.15 1.16 1.17 1.18 1.19 1.20 1.21 1.22 1.23
1.24 1.25 1.26 1.27 2.1 2.2 2.3 2.4 2.5 2.6 2.7 2.8 2.9
2.10 2.11 2.12 2.13 2.14 2.15 2.16 2.17 2.18 2.19 2.20 2.21 2.22 2.23 2.24 2.25 2.26 2.27 2.28 2.29 2.30 2.31 2.32 2.33 3.1 3.2 3.3 3.4 3.5 3.6 3.7 3.8
3.9 3.10 3.11 3.12 3.13 3.14 3.15 3.16 3.17 3.18 3.19 3.20 3.21 3.22 3.23 3.24 3.25 3.26 3.27 3.28 3.29 3.30 3.31 3.32 3.33 3.34 4.1 4.2 4.3
4.4 4.5 4.6 4.7 4.8 4.9 4.10 4.11 4.12 4.13 4.14 4.15 4.16 4.17 4.18 4.19 4.20 4.21 4.22 4.23 4.24 4.25 4.26 4.27 4.28 4.29
4.30
4.31 4.32
4.33 5.1 5.2 5.3 5.4 5.5 5.6 5.7 5.8 5.9 5.10 5.11 5.12 5.13 5.14 5.15 5.16 5.17 5.18 5.19 5.20 5.21 5.22 5.23 5.24 5.25 5.26 5.27 5.28 5.29 5.30 5.31 5.32 5.33 5.34 5.35 5.36 6.1 6.2 6.3 6.4 6.5 6.6 6.7 6.8 6.9 6.10
6.11 6.12 6.13 6.14 6.15 6.16 6.17 6.18 6.19 6.20 6.21 6.22 6.23 6.24 6.25 6.26 6.27 6.28 6.29
6.30 6.31 6.32 6.33 6.34 7.1 7.2 7.3 7.4 7.5 7.6
7.7 7.8 7.9 7.10 7.11 7.12 7.13 7.14 7.15 7.16 7.17 7.18 7.19 7.20 7.21 7.22 7.23 7.24 7.25 7.26 7.27 7.28 7.29 7.30 7.31 7.32 7.33 7.34 7.35 8.1 8.2 8.3 8.4 8.5 8.6 8.7 8.8 8.9 8.10 8.11 8.12 8.13 8.14 8.15 8.16 8.17 8.18 8.19 8.20 8.21 8.22 8.23 8.24 8.25 8.26 8.27 8.28 8.29
8.30 8.31 8.32 8.33 8.34 8.35
9.1 9.2 9.3 9.4
9.5 9.6 9.7 9.8 9.9 9.10 9.11 9.12 9.13
9.14 9.15 9.16 9.17
9.18 9.19 9.20 9.21
9.22 9.23 9.24 9.25 9.26 9.27 9.28 9.29 9.30 9.31 9.32 10.1 10.2 10.3 10.4 10.5 10.6 10.7 10.8 10.9 10.10 10.11 10.12 10.13 10.14 10.15 10.16 10.17 10.18 10.19 10.20 10.21 10.22 10.23 10.24 10.25 10.26 10.27 10.28 10.29 10.30
10.31 10.32 10.33
10.34 11.1 11.2 11.3 11.4 11.5 11.6 11.7 11.8 11.9 11.10 11.11 11.12 11.13 11.14 11.15 11.16 11.17 11.18 11.19 11.20 11.21 11.22 11.23 11.24 11.25 11.26 11.27 11.28 11.29 11.30 11.31 11.32 11.33 11.34 11.35 11.36 12.1 12.2 12.3 12.4 12.5 12.6 12.7 12.8 12.9 12.10 12.11 12.12
12.13 12.14 12.15
12.16 12.17
A bill for an act
relating to appropriations; appropriating money to Department of Commerce and
Public Utilities Commission to finance energy-related activities; providing for
grants and fund transfers; modifying provisions relating to mortgage companies
and licensees; increasing registration fee for credit services organizations;
prohibiting residential mortgage fraud; providing civil penalties; amending
Minnesota Statutes 2006, sections 58.04, subdivisions 1, 2; 58.05; 58.06,
subdivision 2, by adding a subdivision; 58.08, subdivision 3; 58.10, subdivision
1; 80A.28, subdivision 1; 332.54, subdivision 7; proposing coding for new law
in Minnesota Statutes, chapters 58; 609; repealing Minnesota Statutes 2006,
section 58.08, subdivision 1.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:
ARTICLE 1
ENERGY APPROPRIATIONS
Section 1. new text begin SUMMARY OF APPROPRIATIONS.
|
new text begin
The amounts shown in this section summarize direct appropriations, by fund, made
in this article.
new text end
|
new text begin
2008 new text end |
new text begin
2009 new text end |
new text begin
Total new text end |
||||
|
new text begin
General new text end |
new text begin
$ new text end |
new text begin
37,994,000 new text end |
new text begin
$ new text end |
new text begin
26,417,000 new text end |
new text begin
$ new text end |
new text begin
64,411,000 new text end |
|
new text begin
Petroleum Tank Cleanup new text end |
new text begin
1,084,000 new text end |
new text begin
1,084,000 new text end |
new text begin
2,168,000 new text end |
|||
|
new text begin
Workers' Compensation new text end |
new text begin
835,000 new text end |
new text begin
835,000 new text end |
new text begin
1,670,000 new text end |
|||
|
new text begin
Special Revenue new text end |
new text begin
7,500,000 new text end |
new text begin
7,500,000 new text end |
new text begin
15,000,000 new text end |
|||
|
new text begin
Total new text end |
new text begin
$ new text end |
new text begin
47,413,000 new text end |
new text begin
$ new text end |
new text begin
35,836,000 new text end |
new text begin
$ new text end |
new text begin
83,249,000 new text end |
Sec. 2. new text begin ENERGY FINANCE APPROPRIATIONS.
|
new text begin
The sums shown in the columns marked "Appropriations" are appropriated to the
agencies and for the purposes specified in this article. The appropriations are from the
general fund, or another named fund, and are available for the fiscal years indicated
for each purpose. The figures "2008" and "2009" used in this article mean that the
appropriations listed under them are available for the fiscal year ending June 30, 2008, or
June 30, 2009, respectively. "The first year" is fiscal year 2008. "The second year" is fiscal
year 2009. "The biennium" is fiscal years 2008 and 2009. Appropriations for the fiscal
year ending June 30, 2007, are effective the day following final enactment.
new text end
|
new text begin
APPROPRIATIONS new text end |
||||||
|
new text begin
Available for the Year new text end |
||||||
|
new text begin
Ending June 30 new text end |
||||||
|
new text begin
2008 new text end |
new text begin
2009 new text end |
|||||
Sec. 3. new text begin DEPARTMENT OF COMMERCE.
|
||||||
new text begin Subdivision 1. new text end
new text begin
Total Appropriation
|
new text begin
$ new text end |
new text begin
42,145,000 new text end |
new text begin
$ new text end |
new text begin
30,494,000 new text end |
||
|
new text begin
Appropriations by Fund new text end |
||
|
new text begin
2008 new text end |
new text begin
2009 new text end |
|
|
new text begin
General new text end |
new text begin
32,726,000 new text end |
new text begin
21,075,000 new text end |
|
new text begin
Petroleum Cleanup new text end |
new text begin
1,084,000 new text end |
new text begin
1,084,000 new text end |
|
new text begin
Workers' Compensation new text end |
new text begin
835,000 new text end |
new text begin
835,000 new text end |
|
new text begin
Special Revenue new text end |
new text begin
7,500,000 new text end |
new text begin
7,500,000 new text end |
new text begin
The amounts that may be spent for each
purpose are specified in the following
subdivisions.
new text end
new text begin Subd. 2. new text end
new text begin
Financial Examinations
|
new text begin
6,309,000 new text end |
new text begin
6,426,000 new text end |
||||
new text begin Subd. 3. new text end
new text begin
Petroleum Tank Release Cleanup
|
new text begin
1,084,000 new text end |
new text begin
1,084,000 new text end |
||||
new text begin
This appropriation is from the petroleum
tank release cleanup fund.
new text end
new text begin Subd. 4. new text end
new text begin
Administrative Services
|
new text begin
4,477,000 new text end |
new text begin
4,540,000 new text end |
||||
new text begin Subd. 5. new text end
new text begin
Market Assurance
|
new text begin
6,894,000 new text end |
new text begin
6,991,000 new text end |
||||
|
new text begin
Appropriations by Fund new text end |
||
|
new text begin
General new text end |
new text begin
6,059,000 new text end |
new text begin
6,156,000 new text end |
|
new text begin
Workers' Compensation new text end |
new text begin
835,000 new text end |
new text begin
835,000 new text end |
new text begin Subd. 6. new text end
new text begin
Energy and Telecommunications
|
new text begin
23,381,000 new text end |
new text begin
11,453,000 new text end |
||||
|
new text begin
Appropriations by Fund new text end |
||
|
new text begin
General new text end |
new text begin
15,881,000 new text end |
new text begin
3,953,000 new text end |
|
new text begin
Special Revenue new text end |
new text begin
7,500,000 new text end |
new text begin
7,500,000 new text end |
new text begin
$12,000,000 the first year must be spent for
E85 cost-share grants. This is a onetime
appropriation. Notwithstanding Minnesota
Statutes, section 16A.28, this appropriation
is available until June 30, 2011.
new text end
Sec. 4. new text begin TRANSFER; RENEWABLE
|
||||||
new text begin
The utility subject to Minnesota Statutes,
section 116C.779, shall transfer $2,500,000
in fiscal year 2008 and $2,500,000 in fiscal
year 2009 to the Department of Commerce
on a schedule to be determined by the
commissioner of commerce. The funds must
be deposited in the special revenue fund
and are appropriated to the commissioner
for grants to promote renewable energy
projects and community energy outreach and
assistance. Of the amounts identified:
new text end
new text begin
(1) $500,000 each year for capital grants for
on-farm biogas recovery facilities; eligible
projects will be selected in coordination
with the Department of Agriculture and the
Pollution Control Agency;
new text end
new text begin
(2) $500,000 each year to provide financial
rebates to new solar electricity projects;
new text end
new text begin
(3) $500,000 each year for continued funding
of community energy technical assistance
and outreach on renewable energy and
energy efficiency; and
new text end
new text begin
(4) $1,000,000 each year for technical
analysis and demonstration funding for
automotive technology projects, with a
special focus on plug-in hybrid electric
vehicles.
new text end
Sec. 5. new text begin TRANSFER; RENEWABLE ENERGY
|
||||||
new text begin
The utility subject to Minnesota Statutes,
section 116C.779, shall transfer $5,000,000
in fiscal year 2008 and $5,000,000 in fiscal
year 2009 to the Department of Commerce
on a schedule to be determined by the
commissioner of commerce. The funds must
be deposited in the special revenue fund and
are appropriated to the commissioner for
grants to provide competitive, cost-share
grants to fund renewable energy research in
Minnesota.
new text end
new text begin
These grants must be awarded by a
three-member panel made up of the
commissioners of commerce, pollution
control, and agriculture, or their designees.
Grant applications must be ranked and grants
issued according to how well the applications
meet state energy policy research goals
established by the commissioners, the quality
and experience of the research teams, the
cross-interdisciplinary and cross-institutional
nature of the research teams, and the ability
of the research team to leverage nonstate
funds.
new text end
Sec. 6. new text begin PUBLIC UTILITIES COMMISSION
|
new text begin
$ new text end |
new text begin
5,268,000 new text end |
new text begin
$ new text end |
new text begin
5,342,000 new text end |
||
ARTICLE 2
COMMERCE
Section 1.
Minnesota Statutes 2006, section 58.04, subdivision 1, is amended to read:
Subdivision 1.
Residential mortgage originator licensing requirements.
(a)
deleted text begin Beginning August 1, 1999,deleted text end No person shall act as a residential mortgage originator, or
make residential mortgage loans without first obtaining a license from the commissioner
according to the licensing procedures provided in this chapter.
(b) new text begin A licensee must be either a partnership, limited liability partnership, association,
limited liability company, corporation, or other form of business organization, and must
have and maintain at all times one of the following: approval as a mortgagee by either the
federal Department of Housing and Urban Development or the Federal National Mortgage
AssociationI? a minimum net worth, net of intangibles, of at least $250,000I? or a surety bond
or irrevocable letter of credit in the amount of $100,000. Net worth, net of intangibles,
must be calculated in accordance with generally accepted accounting principles.
new text end
new text begin (c) new text end The following persons are exempt from the residential mortgage originator
licensing requirements:
deleted text begin
(1) an employee of one mortgage originator licensee or one person holding a
certificate of exemption;
deleted text end
deleted text begin
(2) a person licensed as a real estate broker under chapter 82 who is not licensed to
another real estate broker;
deleted text end
deleted text begin
(3) an individual real estate licensee who is licensed to a real estate broker as
described in clause (2) if:
deleted text end
deleted text begin
(i) the individual licensee acts only under the name, authority, and supervision of the
broker to whom the licensee is licensed;
deleted text end
deleted text begin
(ii) the broker to whom the licensee is licensed obtains a certificate of exemption
according to section deleted text begin 58.05, subdivision 2deleted text end ;
deleted text end
deleted text begin
(iii) the broker does not collect an advance fee for its residential mortgage-related
activities; and
deleted text end
deleted text begin
(iv) the residential mortgage origination activities are incidental to the real estate
licensee's primary activities as a real estate broker or salesperson;
deleted text end
deleted text begin
(4) an individual licensed as a property/casualty or life/health insurance agent under
chapter 60K if:
deleted text end
deleted text begin
(i) the insurance agent acts on behalf of only one residential mortgage originator,
which is in compliance with chapter 58;
deleted text end
deleted text begin
(ii) the insurance agent has entered into a written contract with the mortgage
originator under the terms of which the mortgage originator agrees to accept responsibility
for the insurance agent's residential mortgage-related activities;
deleted text end
deleted text begin
(iii) the insurance agent obtains a certificate of exemption under section deleted text begin 58.05,
subdivision 2deleted text end ; and
deleted text end
deleted text begin
(iv) the insurance agent does not collect an advance fee for the insurance agent's
residential mortgage-related activities;
deleted text end
deleted text begin (5)deleted text end new text begin (1)new text end a person who is not in the business of making residential mortgage loans and
who makes no more than three such loans, with its own funds, during any 12-month period;
deleted text begin (6)deleted text end new text begin (2)new text end a financial institution as defined in section 58.02, subdivision 10;
deleted text begin (7)deleted text end new text begin (3)new text end an agency of the federal government, or of a state or municipal government;
deleted text begin (8)deleted text end new text begin (4)new text end an employee or employer pension plan making loans only to its participants;
deleted text begin (9)deleted text end new text begin (5)new text end a person acting in a fiduciary capacity, such as a trustee or receiver, as a result
of a specific order issued by a court of competent jurisdiction; or
deleted text begin (10)deleted text end new text begin (6)new text end a person exempted by order of the commissioner.
Sec. 2.
Minnesota Statutes 2006, section 58.04, subdivision 2, is amended to read:
Subd. 2.
Residential mortgage servicer licensing requirements.
(a) deleted text begin Beginning
August 1, 1999,deleted text end No person shall engage in activities or practices that fall within the
definition of "servicing a residential mortgage loan" under section 58.02, subdivision
22, without first obtaining a license from the commissioner according to the licensing
procedures provided in this chapter.
(b) The following persons are exempt from the residential mortgage servicer
licensing requirements:
(1) a person licensed as a residential mortgage originator;
deleted text begin
(2) an employee of one licensee or one person holding a certificate of exemption
based on an exemption under this subdivision;
deleted text end
deleted text begin (3)deleted text end new text begin (2)new text end a person servicing loans made with deleted text begin itsdeleted text end new text begin the person's new text end own funds, if no more
than three such loans are made in any 12-month period;
deleted text begin (4)deleted text end new text begin (3)new text end a financial institution as defined in section 58.02, subdivision 10;
deleted text begin (5)deleted text end new text begin (4)new text end an agency of the federal government, or of a state or municipal government;
deleted text begin (6)deleted text end new text begin (5)new text end an employee or employer pension plan making loans only to its participants;
deleted text begin (7)deleted text end new text begin (6)new text end a person acting in a fiduciary capacity, such as a trustee or receiver, as a result
of a specific order issued by a court of competent jurisdiction; or
deleted text begin (8)deleted text end new text begin (7)new text end a person exempted by order of the commissioner.
Sec. 3.
Minnesota Statutes 2006, section 58.05, is amended to read:
58.05 EXEMPTIONS FROM LICENSE.
Subdivision 1.
Exempt person.
An exempt person as defined by section 58.04,
subdivision 1, paragraph deleted text begin (b)deleted text end new text begin (c)new text end , and subdivision 2, paragraph (b), is exempt from the
licensing requirements of this chapter, but is subject to all other provisions of this chapter.
Subd. 3.
Certificate of exemption.
A person must obtain a certificate of exemption
from the commissioner to qualify as an exempt person under section 58.04, subdivision
1, paragraph deleted text begin (b)deleted text end new text begin (c)new text end , deleted text begin as a real estate broker under clause (2), an insurance agent under
clause (4),deleted text end a financial institution under clause deleted text begin (6)deleted text end new text begin (2)new text end , or by order of the commissioner
under clause deleted text begin (10)deleted text end new text begin (6)new text end ; or under section 58.04, subdivision 2, paragraph (b), as a financial
institution under clause deleted text begin (4)deleted text end new text begin (3)new text end , or by order of the commissioner under clause deleted text begin (8)deleted text end new text begin (7)new text end .
Sec. 4.
Minnesota Statutes 2006, section 58.06, subdivision 2, is amended to read:
Subd. 2.
Application contents.
new text begin (a) new text end The application must contain the name and
complete business address or addresses of the license applicant. deleted text begin Ifdeleted text end The license applicant deleted text begin isdeleted text end new text begin
must benew text end a partnership, limited liability partnership, association, limited liability company,
corporation, or other form of business organization, new text begin and new text end the application must contain the
names and complete business addresses of each partner, member, director, and principal
officer. The application must also include a description of the activities of the license
applicant, in the detail and for the periods the commissioner may require.
new text begin
(b) An applicant must submit one of the following:
new text end
new text begin
(1) evidence which shows, to the commissioner's satisfaction, that either the federal
Department of Housing and Urban Development or the Federal National Mortgage
Association has approved the applicant as a mortgagee;
new text end
new text begin
(2) a surety bond or irrevocable letter of credit in the amount of not less than
$100,000 in a form approved by the commissioner, issued by an insurance company
or bank authorized to do so in this state. The bond or irrevocable letter of credit must
be available for the recovery of expenses, fines, and fees levied by the commissioner
under this chapter and for losses incurred by borrowers. The bond or letter of credit must
be submitted with the license application, and evidence of continued coverage must be
submitted with each renewal. Any change in the bond or letter of credit must be submitted
for approval by the commissioner within ten days of its execution; or
new text end
new text begin
(3) a copy of the applicant's most recent audited financial statement, including
balance sheet, statement of income or loss, statements of changes in shareholder equity,
and statement of changes in financial position. Financial statements must be as of a date
within 12 months of the date of application.
new text end
new text begin (c)new text end The application must also include all of the following:
deleted text begin (a)deleted text end new text begin (1)new text end an affirmation under oath that the applicant:
deleted text begin
(1) will maintain competent staff and adequate staffing levels, through direct
employees or otherwise, to meet the requirements of this chapter;
deleted text end
new text begin
(i) is in compliance
with the requirements of section 58.125I?
new text end
new text begin
(ii) will maintain a perpetual roster of individuals employed as residential mortgage
originators, including employees and independent contractors, which includes the date that
mandatory initial education was completed. In addition, the roster must be made available
to the commissioner on demand, within three business days of the commissioner's request;
new text end
deleted text begin (2)deleted text end new text begin (iii)new text end will advise the commissioner of any material changes to the information
submitted in the most recent application within ten days of the change;
deleted text begin (3)deleted text end new text begin (iv)new text end will advise the commissioner in writing immediately of any bankruptcy
petitions filed against or by the applicant or licensee;
deleted text begin
(4) is financially solvent;
deleted text end
new text begin
(v) will maintain at all times either a net worth, net of
intangibles, of at least $250,000 or a surety bond or irrevocable letter of credit in the
amount of at least $100,000I?
new text end
deleted text begin (5)deleted text end new text begin (vi)new text end complies with federal and state tax laws;new text begin and
new text end
deleted text begin (6)deleted text end new text begin (vii)new text end complies with sections 345.31 to 345.60, the Minnesota unclaimed property
law; deleted text begin anddeleted text end
deleted text begin
(7) is, or that a person in control of the license applicant is, at least 18 years of age;
deleted text end
deleted text begin (b)deleted text end new text begin (2)new text end information as to the mortgage lending, servicing, or brokering experience
of the applicant and persons in control of the applicant;
deleted text begin (c)deleted text end new text begin (3)new text end information as to criminal convictions, excluding traffic violations, of persons
in control of the license applicant;
deleted text begin (d)deleted text end new text begin (4)new text end whether a court of competent jurisdiction has found that the applicant or
persons in control of the applicant have engaged in conduct evidencing gross negligence,
fraud, misrepresentation, or deceit in performing an act for which a license is required
under this chapter;
deleted text begin (e)deleted text end new text begin (5)new text end whether the applicant or persons in control of the applicant have been the
subject of: an order of suspension or revocation, cease and desist order, or injunctive
order, or order barring involvement in an industry or profession issued by this or another
state or federal regulatory agency or by the Secretary of Housing and Urban Development
within the ten-year period immediately preceding submission of the application; and
deleted text begin (f)deleted text end new text begin (6)new text end other information required by the commissioner.
Sec. 5.
Minnesota Statutes 2006, section 58.06, is amended by adding a subdivision to
read:
new text begin Subd. 3. new text end
new text begin Waiver. new text end
new text begin
The commissioner may, for good cause shown, waive any
requirement of this section with respect to any license application or to permit a license
applicant to submit substituted information in its license application in lieu of the
information required by this section.
new text end
Sec. 6.
Minnesota Statutes 2006, section 58.08, subdivision 3, is amended to read:
Subd. 3.
Exemption.
deleted text begin Subdivisions 1 anddeleted text end new text begin Subdivisionnew text end 2 deleted text begin dodeleted text end new text begin doesnew text end not apply to
mortgage originators or mortgage servicers who are approved as seller/servicers by the
Federal National Mortgage Association or the Federal Home Loan Mortgage Corporation.
Sec. 7.
Minnesota Statutes 2006, section 58.10, subdivision 1, is amended to read:
Subdivision 1.
Amounts.
The following fees must be paid to the commissioner:
(1) for an initial residential mortgage originator license, deleted text begin $850deleted text end new text begin $5,000new text end , $50 of which
is credited to the consumer education account in the special revenue fund;
(2) for a renewal license, deleted text begin $450deleted text end new text begin $2,500new text end , $50 of which is credited to the consumer
education account in the special revenue fund;
(3) for an initial residential mortgage servicer's license, $1,000;
(4) for a renewal license, $500; and
(5) for a certificate of exemption, $100.
Sec. 8.
new text begin
[58.115] EXAMINATIONS.
new text end
new text begin
The commissioner has under this chapter the same powers with respect to
examinations that the commissioner has under section 46.04, including the authority to
charge for the direct costs of the examination, including travel and per diem expenses.
new text end
Sec. 9.
new text begin
[58.126] EDUCATION REQUIREMENT.
new text end
new text begin
No person shall serve as a residential mortgage originator before the completion
of 16 hours of educational training which has been approved by the commissioner, and
covering state and federal laws concerning residential mortgage lending.
new text end
Sec. 10.
Minnesota Statutes 2006, section 80A.28, subdivision 1, is amended to read:
Subdivision 1.
Registration or notice filing fee.
(a) There shall be a filing fee of
$100 for every application for registration or notice filing. There shall be an additional fee
of one-tenth of one percent of the maximum aggregate offering price at which the securities
are to be offered in this state, and the maximum combined fees shall not exceed $300.
(b) When an application for registration is withdrawn before the effective date or a
preeffective stop order is entered under section 80A.13, subdivision 1, all but the $100
filing fee shall be returned. If an application to register securities is denied, the total of all
fees received shall be retained.
(c) Where a filing is made in connection with a federal covered security under
section 18(b)(2) of the Securities Act of 1933, there is a fee of $100 for every initial filing.
If the filing is made in connection with redeemable securities issued by an open end
management company or unit investment trust, as defined in the Investment Company
Act of 1940, there is an additional annual fee of 1/20 of one percent of the maximum
aggregate offering price at which the securities are to be offered in this state during the
notice filing period. The fee must be paid at the time of the initial filing and thereafter
in connection with each renewal no later than July 1 of each year and must be sufficient
to cover the shares the issuer expects to sell in this state over the next 12 months. If
during a current notice filing the issuer determines it is likely to sell shares in excess of
the shares for which fees have been paid to the commissioner, the issuer shall submit an
amended notice filing to the commissioner under section 80A.122, subdivision 1, clause
(3), together with a fee of 1/20 of one percent of the maximum aggregate offering price
of the additional shares. Shares for which a fee has been paid, but which have not been
sold at the time of expiration of the notice filing, may not be sold unless an additional fee
to cover the shares has been paid to the commissioner as provided in this section and
section 80A.122, subdivision 4a. If the filing is made in connection with redeemable
securities issued by such a company or trust, there is no maximum fee for securities filings
made according to this paragraph. If the filing is made in connection with any other
federal covered security under Section 18(b)(2) of the Securities Act of 1933, there is an
additional fee of one-tenth of one percent of the maximum aggregate offering price at
which the securities are to be offered in this state, and the combined fees shall not exceed
$300. Beginning with fiscal year 2001 and continuing each fiscal year thereafter, as of the
last day of each fiscal year, the commissioner shall determine the total amount of all fees
that were collected under this paragraph in connection with any filings made for that fiscal
year for securities of an open-end investment company on behalf of a security that is a
federal covered security pursuant to section 18(b)(2) of the Securities Act of 1933. To the
extent the total fees collected by the commissioner in connection with these filings exceed
deleted text begin $25,000,000deleted text end new text begin $25,600,000new text end in a fiscal year, the commissioner shall refund, on a pro rata
basis, to all persons who paid any fees for that fiscal year, the amount of fees collected by
the commissioner in excess of deleted text begin $25,000,000deleted text end new text begin $25,600,000new text end . No individual refund is required
of amounts of $100 or less for a fiscal year.
Sec. 11.
Minnesota Statutes 2006, section 332.54, subdivision 7, is amended to read:
Subd. 7.
Fees.
The fee for a credit services organization's registration is deleted text begin $100deleted text end
new text begin $1,000 new text end for issuance or renewal for each location of business.
Sec. 12.
new text begin
[609.614] RESIDENTIAL MORTGAGE FRAUD.
new text end
new text begin Subdivision 1. new text end
new text begin Residential mortgage fraud prohibited. new text end
new text begin
Whoever with the intent to
defraud for the purpose of depriving another of property or for pecuniary gain, commits,
or permits its employees or its agents to commit, any of the following acts, is guilty of
residential mortgage fraud and may be sentenced as provided in subdivision 2:
new text end
new text begin
(1) knowingly makes any deliberate misstatement, misrepresentation, or omission
during the mortgage lending process with the intention that it be relied on by a mortgage
lender, borrower, or any other party to the mortgage lending processI?
new text end
new text begin
(2) knowingly uses or facilitates the use of any deliberate misstatement,
misrepresentation, or omission, knowing the same to contain a misstatement,
misrepresentation, or omission, during the mortgage lending process with the intention
that it be relied on by a mortgage lender, borrower, or any other party to the mortgage
lending processI?
new text end
new text begin
(3) receives any proceeds or any other funds in connection with a residential
mortgage closing that such person knew resulted from a violation of clause (1) or (2)I?
new text end
new text begin
(4) conspires to violate any of the provisions of clause (1), (2), or (3)I? or
new text end
new text begin
(5) files or causes to be filed with the official registrar of deeds of any county
of this state any document such person knows to contain a deliberate misstatement,
misrepresentation, or omission. An offense of residential mortgage fraud must not be
predicated solely upon information lawfully disclosed under federal disclosure laws,
regulations, and interpretations related to the mortgage lending process.
new text end
new text begin Subd. 2. new text end
new text begin Sentence. new text end
new text begin
Whoever violates this provision may be sentenced as provided
in section 609.52, subdivision 3, based on the greater of (1) the value of property, services,
or other benefit wrongfully obtained or attempted to obtain, or (2) the aggregate economic
loss suffered by any person as a result of the violation. A person convicted of a violation
of this section must be ordered to pay restitution to persons aggrieved by the violation.
Restitution must be ordered in addition to a fine or imprisonment but not in lieu of a
fine or imprisonment.
new text end
new text begin Subd. 3. new text end
new text begin Definitions. new text end
new text begin
(a) "Mortgage lending process" means the process through
which a person seeks or obtains a residential mortgage loan including, but not limited
to, solicitation, application, or origination, negotiation of terms, third-party provider
services, underwriting, signing and closing, and funding of the loan. Documents involved
in the mortgage lending process include, but are not limited to, uniform residential loan
applications or other loan applicationsI? appraisal reportsI? HUD-1 settlement statementsI?
supporting personal documentation for loan applications such as W-2 forms, verifications
of income and employment, bank statements, tax returns, and payroll stubsI? and any
required disclosures.
new text end
new text begin
(b) "Pattern of residential mortgage fraud" means one or more misstatements,
misrepresentations, or omissions made during the mortgage lending process that involve
two or more residential properties, which have the same or similar intents, results,
accomplices, victims, or methods of commission or otherwise are interrelated by
distinguishing characteristics.
new text end
new text begin
(c) "Person" means a natural person, corporation, company, limited liability
company, partnership, trustee, association, or any other entity.
new text end
new text begin
(d) "Residential mortgage loan" means a loan or agreement to extend credit made to
a person, which loan is secured by a deed to secure debt, security deed, mortgage, security
interest, deed of trust, or other document representing a security interest or lien upon any
interest in one-to-four family residential property located in Minnesota including the
renewal or refinancing of any such loan.
new text end
Sec. 13. new text begin LICENSE RENEWAL EXTENSION.
new text end
new text begin
The July 31, 2007, renewal date for mortgage originators is extended to October 30,
2007, because of the changes to the licensing requirements made by this act.
new text end
Sec. 14. new text begin REPEALER.
new text end
new text begin
Minnesota Statutes 2006, section 58.08, subdivision 1,
new text end
new text begin
is repealed.
new text end