Fair Lending Oversight and Enforcement Act of 1989

Fair Lending Oversight and Enforcement Act of 1989 - Amends the Home Mortgage Disclosure Act of 1975 to require depository institutions, as part of the required disclosures relating to mortgage loans, to itemize the number and dollar amount of mortgage loans involving mortgagors or mortgage applicants grouped according to income level, racial characteristics, and gender.

Requires depository institutions to include, as part of such disclosures, information concerning mortgage loan applications which were received by the depository institution. (Current law requires disclosure of information concerning only mortgage loans originated, purchased, made, or approved.)

Makes such disclosure requirements applicable to all mortgage lenders.

Requires depository institutions to include information concerning commercial loans as part of such disclosures. Requires that any information relating to commercial loans be itemized to disclose the number and dollar amount of commercial loans: (1) that are small business loans; (2) that are guaranteed or otherwise sponsored by the Small Business Administration or any other Federal agency; and (3) that involve borrowers or applicants grouped according to income level, racial characteristics, and gender.

 
HR 898 IH
101st CONGRESS
1st Session
 H. R. 898
To amend the Home Mortgage Disclosure Act of 1975 to require lenders to
compile and make available mortgage loan and commercial loan information
necessary to assess compliance with nondiscrimination requirements.
IN THE HOUSE OF REPRESENTATIVES
February 7, 1989
Mr. KENNEDY (for himself and Mr. GONZALEZ) introduced the following bill;
which was referred to the Committee on Banking, Finance and Urban Affairs
A BILL
To amend the Home Mortgage Disclosure Act of 1975 to require lenders to
compile and make available mortgage loan and commercial loan information
necessary to assess compliance with nondiscrimination requirements.
  Be it enacted by the Senate and House of Representatives of the United
  States of America in Congress assembled,
SECTION 1. SHORT TITLE.
  This Act may be cited as the `Fair Lending Oversight and Enforcement Act
  of 1989'.
SEC. 2. INFORMATION REGARDING INCOME LEVEL, RACIAL CHARACTERISTICS, AND
GENDER OF MORTGAGORS AND MORTGAGE APPLICANTS.
  Section 304(b) of the Home Mortgage Disclosure Act of 1975 (12
  U.S.C. 2803(b)) is amended--
  (1) in paragraph (2), by striking `and' after the semicolon at the end;
  (2) in paragraph (3), by striking the period at the end and inserting `;
  and'; and
  (3) by adding at the end the following new paragraph:
  `(4) the number and dollar amount of mortgage loans involving mortgagors
  or mortgage applicants grouped according to income level, racial
  characteristics, and gender.'.
SEC. 3. INFORMATION REGARDING LOAN APPLICATIONS.
  (a) GENERAL REPORTING REQUIREMENT- Section 304(a)(1) of the Home Mortgage
  Disclosure Act of 1975 (12 U.S.C. 2803(a)(1)) is amended by inserting after
  `that institution' the following: `(or for which the institution received
  applications)'.
  (b) CONFORMING AMENDMENTS-
  (1) The last sentence of section 304(a)(2) of the Home Mortgage Disclosure
  Act of 1975 (12 U.S.C. 2803(a)(2)) is amended by inserting after `originated
  or purchased' the following: `(or for which applications were received)'.
  (2) Section 304(g)(1) of the Home Mortgage Disclosure Act of 1975 (12
  U.S.C. 2803(g)(1)) is amended by inserting after `made' the following:
  `(or for which applications are received)'.
  (3) Section 304(g)(2) of the Home Mortgage Disclosure Act of 1975 (12
  U.S.C. 2803(g)(2)) is amended by inserting after `approved' the following:
  `(or for which applications are received)'.
  (4) The first sentence of section 311 of the Home Mortgage Disclosure
  Act of 1975 (12 U.S.C. 2810) is amended by inserting after `approved'
  the following: `(or for which applications are received)'.
SEC. 4. APPLICABILITY OF REPORTING REQUIREMENTS TO ALL MORTGAGE LENDERS.
  Section 303(2) of the Home Mortgage Disclosure Act of 1975 (12
  U.S.C. 2802(2)) is amended--
  (1) by striking `, or' and inserting a comma; and
  (2) by inserting before the semicolon at the end the following: `, or
  any person not otherwise referred to in this paragraph who originates or
  purchases mortgage loans'.
SEC. 5. COMMERCIAL LOAN REPORTING REQUIREMENT.
  (a) REPORTING OF TOTAL AMOUNTS- Section 304(a) of the Home Mortgage
  Disclosure Act of 1975 (12 U.S.C. 2803(a)) is amended--
  (1) in paragraph (1), by inserting `and commercial loans' after `mortgage
  loans';
  (2) in subparagraphs (A) and (B) of paragraph (2), by inserting before
  `mortgage' each place it appears the following: `commercial loans to
  borrowers whose principal place of business is located and'; and
  (3) in the last sentence, by inserting `or commercial loans' after
  `mortgage loans'.
  (b) REQUIRED ITEMIZATION- Section 304(b) of the Home Mortgage Disclosure
  Act of 1975 (12 U.S.C. 2803(b)), as previously amended by this Act, is
  further amended--
  (1) by inserting `(1)' after the subsection designation;
  (2) by redesignating paragraphs (1) through (4) as subparagraphs (A)
  through (D), respectively; and
  (3) by adding at the end the following new paragraph:
  `(2) Any item of information relating to commercial loans required to
  be maintained under subsection (a) shall be further itemized in order to
  disclose for each such item--
  `(A) the number and dollar amount of commercial loans that are small
  business loans, as defined by the Board;
  `(B) the number and dollar amount of commercial loans that are guaranteed
  or otherwise sponsored by the Small Business Administration or any other
  Federal agency; and
  `(C) the number and dollar amount of commercial loans involving borrowers
  or applicants grouped according to income level, racial characteristics,
  and gender.'.
  (c) DEFINITIONS- Section 303 of the Home Mortgage Disclosure Act of 1975
  (12 U.S.C. 2802), as previously amended by this Act, is further amended--
  (1) in paragraph (2), by inserting `or commercial loans' after `mortgage
  loans' each place it appears;
  (2) in paragraph (3), by striking `and' after the semicolon at the end;
  (3) in paragraph (4), by striking the period at the end and inserting `;
  and'; and
  (4) by adding at the end the following new paragraph:
  `(5) the term `commercial loan' means a loan that is reportable as a
  commercial or industrial loan in the report of condition required by the
  Board of Governors of the Federal Reserve System, the Comptroller of the
  Currency, the Federal Deposit Insurance Corporation, or the Federal Home
  Loan Bank Board, or in a statement of financial condition required by the
  National Credit Union Administration Board.'.
SEC. 6. EFFECTIVE DATE.
  The amendments made by this Act shall be applicable to the portion of
  calendar year 1989 that begins 60 days after the date of the enactment of
  this Act, and to each calendar year beginning after December 31, 1989.