House of Representatives
State of Utah
Mr. Speaker:
The Business and Labor Committee reports a favorable recommendation on H.B. 466, TITLE
INSURANCE RECOVERY, EDUCATION, AND RESEARCH FUND ACT, by Representative M.
Morley, with the following amendments:
(3)(a)
Respectfully,
Stephen D. Clark
Voting: 8-0-5
1. Page
7, Lines 195 through 212
:
195
(2) Beginning January 1, 2009, an individual who applies for a license or renewal of
a
196
license as a title insurance producer, shall pay in addition to any other fee required by this
title,
197
an assessment
no
}
not
to exceed $20, as determined by the commission by rule
made in accordance
198
with Title 63, Chapter 46a, Utah Administrative Rulemaking Act, except that if the
individual
199
holds more than one license, the total of all assessments under this Subsection (2) may not
200
exceed $20 in a fiscal year.
201
(3) (a) Subject to Subsection (3)(b), a title insurance licensee licensed on
July 1, 2008
202
shall pay to the department an assessment equal to the greater of:
203
(i) $1,000; or
204
(ii) 2% of the balance as of July 1, 2008 in the title insurance licensee's reserve
account
205
required under Subsection
31A-23a-204
(3).
206
(b) If the aggregate amount collected from title insurance licensees under
Subsection
207
(3)(a) exceeds $250,000, the commission may reduce the assessment by an equal
percentage
208
for all title insurance licensees required to pay the assessment under Subsection
(3)(a).
209
(c) A title insurance licensee required to pay an assessment under Subsection
210
shall pay the assessment to the department by no later than August 1, 2008.
}
(b)(i) By no later than July 15, 2008, the department shall assess on a title insurance
agency licensed as of June 30, 2008, an amount equal to the greater of:
(A) $1,000; or
(B) subject to Subsection (3)(b)(ii), 2% of the balance as of December 31, 2007, in
the title insurance agency's reserve account required under Subsection 31A-23a-
204(3).
(ii) The department may assess on a title insurance agency an amount less than 2%
of the balance described in Subsection (3)(b)(i)(B) if:
(A) before issuing the assessments under this Subsection (3)(b) the department
determines that the total of all assessments under Subsection (3)(b)(i) will exceed
$250,000;
(B) the amount assessed on the title insurance agency is not less than $1,000; and
(C) the department reduces the assessment in a proportionate amount for title
insurance agencies assessed on the basis of the 2% of the balance described in
Subsection (3)(b)(i)(B).
(iii) A title insurance agency assessed under this Subsection (3)(b) shall pay the
assessment by no later than August 1, 2008.
211
(4) The department may not assess a title insurance licensee an assessment for
212
purposes of the fund if that assessment is not expressly provided for in this section.
2. Page
8, Lines 216 through 228
:
216
(2) (a) Except as limited by Subsection (2)(b), monies in the fund in excess of
217
$250,000 may be used by the commissioner, with the consent of the commission, to:
218
(i) investigate violations of this chapter related to fraud by a title insurance licensee;
219
(ii) conduct education and research in the field of title insurance; or
220
(iii)
audit or review
}
examine
a title insurance licensee's:
221
(A) escrow and trust account;
222
(B) financial condition;
}
223
(C)
}
(B)
search and examine procedures; or
224
(D)
}
(C)
compliance with applicable statutes and rules.
225
226
chapter in a fiscal year from assessments and interest for the purposes outlined in this
227
Subsection (2).
228
(3)
An audit
}
The disclosure of an examination
conducted under this
section is
{
confidential
}
governed by Section 31A-2-204
.
Committee Chair
3 HB0466.HC1.wpd 2/22/08 9:00 am anicholson/AMN PO/AMN
Bill Number
*HB0466*
HB0466