SB 390-1_ Filed 04/09/2007, 09:00 Murphy


Text Box


    PREVAILED      Roll Call No. _______
    FAILED        Ayes _______
    WITHDRAWN        Noes _______
    RULED OUT OF ORDER


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HOUSE MOTION ____

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MR. SPEAKER:

    I move that Engrossed Senate Bill 390 be amended to read as follows:

SOURCE: Page 8, line 39; (07)MO039001.8. -->     Page 8, between lines 39 and 40, begin a new paragraph and insert:
SOURCE: IC 24-9-3-10; (07)MO039001.3. -->     "SECTION 3. IC 24-9-3-10 IS ADDED TO THE INDIANA CODE AS A NEW SECTION TO READ AS FOLLOWS [EFFECTIVE UPON PASSAGE]: Sec. 10. A creditor who advertises a home loan shall comply with the advertising requirements concerning credit under 12 CFR 226.24 (Regulation Z of the Board of Governors of the Federal Reserve System to implement the federal Truth in Lending Act (15 U.S.C. 1601 et seq.)).
SOURCE: IC 24-9-4.5; (07)MO039001.4. -->     SECTION 4. IC 24-9-4.5 IS ADDED TO THE INDIANA CODE AS A NEW CHAPTER TO READ AS FOLLOWS [EFFECTIVE UPON PASSAGE]:
     Chapter 4.5. Property Tax Disclosures for New Home Construction
    Sec. 1. This chapter applies to a home construction contract entered into after June 30, 2007.
    Sec. 2. As used in this chapter, "authority" refers to the Indiana housing and community development authority created by IC 5-20-1-3.
    Sec. 3. As used in this chapter, "builder" has the meaning set forth in IC 32-27-2-6.
    Sec. 4. As used in this chapter, "home buyer" means a person who enters into a home construction contract with a builder.
    Sec. 5. As used in this chapter, "home construction contract" means a contract:
        (1) that is entered into by a builder and a home buyer; and
        (2) under which the builder agrees to construct a new home that the home buyer will occupy:
            (A) as a residence; and
            (B) as the first occupant of the new home.
    Sec. 6. As used in this chapter, "new home" means a new dwelling occupied for the first time after construction.
    Sec. 7. As used in this chapter, "prospective home buyer" means a person who contemplates entering into a home construction contract with a builder.
    Sec. 8. (a) A builder may not enter into a home construction contract with a prospective home buyer unless the builder first gives the prospective home buyer a written notice containing an estimate of the property taxes that:
        (1) will be owed by the prospective home buyer with respect to the new home that is the subject of the home construction contract; and
        (2) are based on an assessment of the new home made on the first assessment date after the construction of the new home is complete.
The estimate required by this section may not be based on an assessment of unimproved real estate.
    (b) A builder shall give the notice required by subsection (a) on a form prescribed by the authority. The statement of the estimated property taxes described in subsection (a) must be made in at least sixteen (16) point font. The notice shall be signed in duplicate by both the builder and the prospective home buyer. The builder shall:
        (1) give at least one (1) of the signed notices to the prospective home buyer at the time of signing; and
        (2) retain at least one (1) of the signed notices for the file maintained in connection with the home construction contract.
    (c) The authority shall prescribe and make available to builders the form described in subsection (b) not later than June 1, 2007.

SOURCE: IC 24-9-4.6; (07)MO039001.5. -->     SECTION 5. IC 24-9-4.6 IS ADDED TO THE INDIANA CODE AS A NEW CHAPTER TO READ AS FOLLOWS [EFFECTIVE UPON PASSAGE]:
     Chapter 4.6. Educational Materials for At Risk Home Buyers
    Sec. 1. As used in this chapter, "at risk home buyer" means a person who:
        (1) has a credit score that is less than six hundred twenty (620), as determined by one (1) or more consumer reporting agencies (as defined in 15 U.S.C. 1681a(f)); and
        (2) seeks to obtain a home loan from a creditor.
    Sec. 2. As used in this chapter, "authority" refers to the Indiana housing and community development authority created by

IC 5-20-1-3.
    Sec. 3. As used in this chapter, "credit score" has the meaning set forth in 15 U.S.C. 1681g(f)(2)(A).
    Sec. 4. (a) As used in this chapter, "creditor" has the meaning set forth in IC 24-9-2-6.
    (b) The term includes a builder (as defined in IC 32-27-2-6) that enters into a home loan with a borrower in Indiana.
    Sec. 5. Not later than June 1, 2007, the authority shall prepare and make available to creditors written home ownership educational materials for use by at risk home buyers in Indiana.
    Sec. 6. After June 30, 2007, a creditor may not enter into a home loan with an at risk home buyer unless the creditor first gives the at risk home buyer the educational materials prepared by the authority under section 5 of this chapter. The at risk home buyer shall sign a written acknowledgment that the at risk home buyer has received the educational materials. The acknowledgment shall be retained in the file maintained in connection with any home loan issued to the at risk home buyer by or on behalf of the creditor.
".

SOURCE: Page 9, line 32; (07)MO039001.9. -->     Page 9, after line 32, begin a new paragraph and insert:
SOURCE: ; (07)MO039001.7. -->     "SECTION 7. An emergency is declared for this act.".
    Renumber all SECTIONS consecutively.
    (Reference is to ESB 390 as printed April 6, 2007.)

________________________________________

Representative Murphy


MO039001/DI 44     2007