Finance Commission Meeting - August 16, 2019

Location:
Finance Commission Building | William F. Aldridge Hearing Room,
2601 N. Lamar Blvd. | Austin, Texas 78705

Time:
8:00 a.m.

Section A.3 will take up agenda items A1, B6 – B9, and D2 – D5 with NO DISCUSSION as notated in bold and italicized

Public comment on any agenda item or issue under the jurisdiction of the Finance Commission agencies is allowed unless the comment is in reference to a rule proposal for which the public comment period has ended. However, upon majority vote of the Commission, public comment may be allowed related to final rule adoption.

A. Finance Commission Matters

  1. Review and Approval of the Minutes of the June 21, 2019 Finance Commission Meeting
     
  2. General Public Comment
     
  3. Consent Agenda
     
  4. Finance Commission Operations
     
  5. Audit Committee Report
     
    1. Discussion of and Possible Vote to Recommend that the Finance Commission Take Action on the Agencies’ 2019 Third Quarter Investment Officer Reports
       
      1. Department of Savings and Mortgage Lending
      2. Office of Consumer Credit Commissioner
      3. Texas Department of Banking
         
    2. Discussion of and Possible Vote to Recommend that the Finance Commission Take Action on the Agencies’ Re-adoption of the Investment Polices for:
       
      1. Department of Savings and Mortgage Lending
      2. Office of Consumer Credit Commissioner
      3. Texas Department of Banking
         
    3. C. Discussion of and Possible Vote to Recommend that the Finance Commission Take Action on the Department of Savings and Mortgage Lending’s Information Technology Change Management Program Audit Report as Prepared and Presented by McConnell & Jones LLP
       
    4. Discussion of and Possible Vote to Recommend that the Finance Commission Take Action on the Department of Savings and Mortgage Lending’s 2019 Annual Internal Audit Report as Prepared and Presented by McConnell & Jones LLP
       
    5. Discussion of and Possible Vote to Recommend that the Finance Commission Take Action on the Office of Consumer Credit Commissioner’s Information Technology Change Management Program Audit Report as Prepared and Presented by McConnell & Jones LLP
       
    6. Discussion of and Possible Vote to Recommend that the Finance Commission Take Action on the Office of Consumer Credit Commissioner’s 2019 Annual Internal Audit Report as Prepared and Presented by McConnell & Jones LLP
       
    7. Discussion of and Possible Vote to Recommend that the Finance Commission Take Action on the Texas Department of Banking’s Information Technology Change Management Program Audit Report as Prepared and Presented by McConnell & Jones LLP
       
    8. Discussion of and Possible Vote to Recommend that the Finance Commission Take Action on the Texas Department of Banking’s Fines, Penalties and Restitution Audit Report as Prepared and Presented by McConnell & Jones LLP
       
    9. Discussion of and Possible Vote to Recommend that the Finance Commission Take Action on the Texas Department of Banking’s 2019 Annual Internal Audit Report as Prepared and Presented by McConnell & Jones LLP
       
    10. Discussion of and Possible Vote to Recommend that the Finance Commission Take Action on the Agencies’ 2019 Third Quarter Financial Statements
       
      1. Department of Savings and Mortgage Lending
      2. Office of Consumer Credit Commissioner
      3. Texas Department of Banking
         
    11. Discussion of and Possible Vote to Recommend that the Finance Commission Take Action on the Agencies’ Fiscal Year 2020 Operating Budgets
       
      1. Department of Savings and Mortgage Lending
      2. Office of Consumer Credit Commissioner
      3. Texas Department of Banking
         
    12. Discussion of and Possible Vote to Recommend that the Finance Commission Take Action on the Department of Savings and Mortgage Lending’s contribution of $750,000 to the Texas Financial Education Endowment Fund.
       
    13. Discussion of and Possible Vote to Recommend that the Finance Commission Take Action on the Internal Auditor Function for the Finance Commission Agencies for Fiscal Year 2020
       
  6. Discussion of and Possible Vote to Take Action on the Agency Priorities for Fiscal Year 2020 for the Commissioners of the Department of Savings and Mortgage Lending, Office of Consumer Credit Commissioner and the Texas Department of Banking
     
  7. Discussion of and Possible Vote to Take Action Regarding Personnel Matters Pursuant to   §551.074, Texas Government Code: Deliberations with Respect to the Duties and Compensation of a Person Holding the Position of Executive Director of the Finance Commission, Deliberations with Respect to the Duties and Compensation of Persons Holding the Position of Agency Commissioner Positions, and Other Staff
     
  8. Discussion of and Possible Vote to Take Action Regarding Facility Planning and Real Property Matters Pursuant to §551.072, Texas Government Code: Deliberations Regarding the Purchase, Exchange, Lease or Value of Real Property
     
  9. Discussion and Consultation with Attorney and Possible Vote to Take Action Pursuant to §551.071, Texas Government Code, for the purpose of seeking the advice or attorney-client privileged communications from our attorneys, including matters related to the potential financial exposure of the Finance Commission Agencies and their officers and the Finance Commission and its officers and including matters of pending and contemplated litigation
     
  10. Discussion of and Consultation on Security Audit, possible issue related to confidential or sensitive information, security breach audit and assessment, or security assessments or deployment related to information resources technology as authorized by Tex. Govt. Code Secs. 551.076 and 551.089

B. Department of Savings and Mortgage Lending

  1. Industry Status and Departmental Operations – State Savings Bank Activity: a) Industry Status; and b) State Savings Bank Charter and Application Activity
     
  2. Industry Status and Departmental Operations – Mortgage Lending Activity: a) Residential Mortgage Loan Originators; b) Mortgage Examination; and c) Consumer Complaints
     
  3. Fiscal and Departmental Operations: a) Funding Status/Audits/Financial Reporting; and b) Staffing
     
  4. Legal Activity: a) Enforcement; b) Gift Reporting; and c) Legislative Activities
     
  5. Discussion of and Possible Vote to Take Action on the Adoption of New 7 TAC, Part 4, Chapter 52 as found in the following sections: §52.10 Definitions, §52.11 Complaint Processing, §52.12 Complaint Resolution and Disposition, §52.13 Complaint Review and Reporting
     
  6. Discussion of and Possible Vote to Take Action on the Adoption of Amendments to 7 TAC, Part 4, Chapter 61, §61.1, Concerning Hearings Officer
     
  7. Discussion of and Possible Vote to Take Action on the Adoption of Amendments to 7 TAC, Part 4, Chapter 64, §64.10, Concerning Savings and Loan Association Complaint Notices
     
  8. Discussion of and Possible Vote to Take Action on the Adoption of Amendments to 7 TAC, Part 4, Chapter 76, §76.71, Concerning Hearings Officer and §76.122, Concerning Savings Bank Complaint Notices
     
  9. Discussion of and Possible Vote to Take Action on the Adoption of Amendments to 7 TAC, Part 4, Chapter 81, §81.301, Concerning Investigations and §81.302, Concerning Hearings and Appeals
     
  10. Discussion of and Possible Vote to Take Action on the Proposal and Publication for Comment of New 7 TAC, Part 4, Chapter 81, §81.110 Concerning Licensing of Military Service Members, Military Veterans, and Military Spouses
     
  11. Discussion of and Possible Vote to Take Action on Anticipated and Pending Litigation

C. Office of Consumer Credit Commissioner

  1. Industry Status and Departmental Operations: a) Consumer Protection and Assistance Division Activities; b) Licensing Division Activities; c) Administration Division Activities; d) Financial Division Activities; e) Legal Division Activities; and f) Legislative Activities
     
  2. Discussion of and Possible Vote to Take Action on the Adoption of Amendments, New Rules, and a Repeal in 7 TAC, Part 1, Chapter 2, and Part 5, Chapters 82, 83, 84, 85, 86, 87, 88, and 89, Concerning Licensing, Registration, Administration, Complaints, and Appeals
     
  3. Discussion of and Possible Vote to Take Action on the Adoption of Amendments to 7 TAC, Chapter 85, Subchapter A, Concerning Rules of Operation for Pawnshops
     
  4. Discussion of and Possible Vote to Take Action on the Proposal and Publication for Comment of Amendments to §83.501 in 7 TAC, Part 5, Chapter 83, Subchapter A, Concerning Rules for Regulated Lenders, and to §90.203 in 7 TAC, Part 5, Chapter 90, Concerning Chapter 342, Plain Language Contract Provisions
     
  5. Discussion of and Possible Vote to Take Action on the Proposal and Publication for Comment of Amendments to §86.201 in 7 TAC, Part 5, Chapter 86, Concerning Retail Creditors
     
  6. Discussion of and Possible Vote to Take Action on the Proposal and Publication for Comment of New §2.108 in 7 TAC, Part 1, Chapter 2, Concerning Residential Mortgage Loan Originators
     
  7. Discussion of and Possible Vote to Take Action on the Proposal and Publication for Comment of New §85.309 in 7 TAC, Part 5, Chapter 85, Subchapter A, Concerning Rules of Operation for Pawnshops
     
  8. Discussion of and Possible Vote to Take Action on Anticipated and Pending Litigation

    Ernest Polk v. Texas Office of Consumer Credit Commissioner; Cause No. 2018-04375, in the 281st Judicial District Court of Harris County, Texas

    State of Texas v. Cash Auto Sales, Inc. f/k/a Larry Lake d/b/a Cash Auto Sales and VIP Finance of Texas, Inc. f/k/a Travis Lake d/b/a VIP Finance; Cause No. 05-18-00198-CV, in the Court of Appeals for the Fifth Judicial District, Dallas, Texas

D. Texas Department of Banking

  1. Industry Status and Departmental Operations: a) Current Issues Affecting Department’s Regulated Entities; b) Bank and Trust Division Activities; c) Corporate Division Activities; d) Special Audits Division Activities; e) Administrative, Staffing and Fiscal Division Activities; f) Strategic Support Division Activities including Consumer Complaint Data; g) Legal Division Activities including Enforcement Activity and Gift Reporting; and h) Legislative Activities
     
  2. Discussion of and Possible Vote to Take Action on the Adoption of New 7 TAC, Part 2, Chapter 11, §§11.10, 11.11 and 11.12 Concerning Complaint Handling Procedures
     
  3. Discussion of and Possible Vote to Take Action on the Adoption of Amendments to 7 TAC, Part 2, Chapter 25, §§25.13, 25.23, and 25.24 Concerning Assessments on Prepaid Funeral Contract Sellers
     
  4. Discussion of and Possible Vote to Take Action on the Adoption of Amendments to 7 TAC, Part 2, Chapter 26, §§26.1 Concerning Assessments on Perpetual Care Cemeteries
     
  5. Discussion of and Possible Vote to Take Action on the Adoption of Repeal of 7 TAC, Part 2, Chapter 24, §§24.1 – 24.4 Concerning Cemetery Brokers
     
  6. Discussion of and Possible Vote to Take Action on the Proposal and Publication for Comment of Repeal of 7 TAC, Chapter 31, Part 2, §§31.1 – 31.115 Concerning Private Child Support Enforcement Agencies
     
  7. Discussion of and Possible Vote to Take Action on the Proposal and Publication for Comment of Repeal of 7 TAC, Chapter 33, Part 2, §§33.71 – 33.75 Concerning Bullion Depository Agents
     
  8. Discussion of and Possible Vote to Take Action on the Proposal and Publication for Comment of Amendments to 7 TAC, Chapter 33, Part 2, §§33.3, 33.13, 33.15, 33.27, 33.51 Concerning Bullion Depository Agents
     
  9. Discussion of and Possible Vote to Take Action on Anticipated and Pending Litigation

    E. Mex. Financial Services, Inc. v. Charles G. Cooper, Texas Banking Commissioner; Cause No. D-1-GN-19-003237, in the 200th District Court of Travis County, Texas

 

Note: The Finance Commission may go into executive session (close its meeting to the public) on any agenda item if appropriate and authorized by the Open Meetings Act, Texas Government Code, Chapter 551.

Meeting Accessibility: Under the Americans with Disabilities Act, the Finance Commission will accommodate special needs. Those requesting auxiliary aids or services should notify Brenda Medina, Texas Finance Commission, 2601 North Lamar Boulevard, Austin, Texas 78705, (512) 936-6222, as far in advance of the meeting as possible.