Rep. Robertson, having reserved the right to explain his protest against the passage of the bill, made the following statement:
“Mr. Speaker and members of the House:
I must vote NO on HB 5295 and the associated bills in this package HB 5294, HB 5296, HB 5299, HB 5307 and HB 5308. While I support effort to improve the lending climate in Michigan and protect consumers from unscrupulous brokers and lenders, this bill is flawed. This legislation places unworkable regulation on the fees charged by brokers and lenders, It also contains language which is so subjective that it would require omniscience on the part of brokers in determining a borrowers ability to pay. It would subject brokers to legal liability which would make it all but impossible for honest law-abiding brokers to offer loans to homebuyers. Like so much legislation which emanates from the other side of the aisle, this legislation will hurt the very people it is intended to help. Loans for people with less than perfect credit will be even more difficult to obtain and place the dream of home ownership further out of reach. Borrowers with excellent credit, income and employment seeking conforming loans would be hurt by this legislation. The measures we have taken to provide for loan officer licensure, provide greater penalties for assessment fraud and coercion of fraud, coupled with greater resources in the Office of Financial and Insurance Regulation (OFIR) will go a very long way to addressing the current mortgage lending/crisis. These bills miss the target.”