S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                  8670--A
 
                             I N  S E N A T E
 
                              March 29, 2022
                                ___________
 
 Introduced  by  Sens. BROOKS, MAY -- read twice and ordered printed, and
   when printed to be committed to the Committee  on  Banks  --  reported
   favorably  from  said  committee  and  committed  to  the Committee on
   Finance -- committee discharged, bill amended,  ordered  reprinted  as
   amended and recommitted to said committee
 
 AN  ACT  to  amend the banking law and the executive law, in relation to
   certain notices and services upon application for a  mortgage  guaran-
   teed under the "Servicemen's Readjustment Act of 1944""; and providing
   for the repeal of certain provisions upon expiration thereof
 
   THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section 1. The banking law is amended by adding a new section  6-p  to
 read as follows:
   §  6-P.  LOAN  COUNSELING FOR MORTGAGES GUARANTEED BY THE SERVICEMEN'S
 READJUSTMENT ACT OF 1944. EVERY MORTGAGE LENDING INSTITUTION  AND  MORT-
 GAGE  BANKER  WHICH  ORIGINATES  LOANS SECURED BY REAL PROPERTY USED FOR
 RESIDENTIAL PURPOSES LOCATED IN THIS STATE WHICH ARE  TO  BE  GUARANTEED
 UNDER THE SERVICEMEN'S READJUSTMENT ACT OF 1944 SHALL PROVIDE A SEPARATE
 DISCLOSURE  FORM  WITH EACH APPLICATION STATING THAT A VETERAN SEEKING A
 HOUSING LOAN UNDER CHAPTER 37 OF TITLE 38 OF THE UNITED STATES CODE  HAS
 BEEN  OFFERED  LOAN  COUNSELING  SERVICES. SUCH LOAN COUNSELING SERVICES
 SHALL BE PROVIDED BY THE DIVISION OF VETERANS'  SERVICES  UNDER  SECTION
 THREE  HUNDRED  FIFTY-FOUR-F  OF  THE  EXECUTIVE  LAW UPON REQUEST OF AN
 APPLICANT.  THE DISCLOSURE FORM REQUIRED BY THIS SECTION SHALL BE SIGNED
 BY EACH APPLICANT AND SHALL INCLUDE INFORMATION DETAILING HOW TO  ACCESS
 SUCH COUNSELING SERVICES.
   §  2.  The  executive  law is amended by adding a new section 354-f to
 read as follows:
   § 354-F. LOAN COUNSELING FOR MORTGAGES GUARANTEED BY THE  SERVICEMEN'S
 READJUSTMENT  ACT OF 1944. UPON THE REQUEST OF ANY VETERAN, THE DIVISION
 SHALL PROVIDE COUNSELING AND ASSISTANCE TO  APPLICANTS  FOR  A  MORTGAGE
 LOAN  GUARANTEED  BY  THE  SERVICEMEN'S READJUSTMENT ACT OF 1944.   SUCH
 SERVICE SHALL BE PROVIDED EITHER DIRECTLY OR THROUGH A CONTRACT  WITH  A
 NOT-FOR-PROFIT  ENTITY  WHICH  HAS  A  COMMERCIAL  AND GOVERNMENT ENTITY
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
              

                                                            LBD14376-03-2
 S. 8670--A                          2
 
 (CAGE) CODE ASSIGNED BY THE FEDERAL  SYSTEM  FOR  AWARD  MANAGEMENT  AND
 WHICH  IS NOT OWNED BY, AFFILIATED WITH OR OPERATED BY A MORTGAGE COMPA-
 NY.  COUNSELORS SHALL BE LICENSED IN THIS STATE AS EITHER A REAL  ESTATE
 BROKER  OR  A  MORTGAGE  BROKER.    LOAN COUNSELING AND ASSISTANCE SHALL
 INCLUDE A REVIEW OF THE TERMS AND RESTRICTIONS OF THE LOAN,  INFORMATION
 DETERMINED BY THE STATE DIRECTOR TO BE APPROPRIATE FOR A VETERAN SEEKING
 A  HOUSING  LOAN UNDER CHAPTER 37 OF TITLE 38 OF THE UNITED STATES CODE,
 AND ANY OTHER INFORMATION WHICH MAY BE REQUIRED UNDER FEDERAL LAW,  RULE
 OR REGULATION.
   §  3.  The  veterans'  services law is amended by adding a new section
 29-a to read as follows:
   § 29-A. LOAN COUNSELING FOR MORTGAGES GUARANTEED BY  THE  SERVICEMEN'S
 READJUSTMENT  ACT OF 1944. UPON THE REQUEST OF ANY VETERAN, THE DIVISION
 SHALL PROVIDE COUNSELING AND ASSISTANCE TO  APPLICANTS  FOR  A  MORTGAGE
 LOAN  GUARANTEED  BY  THE  SERVICEMEN'S  READJUSTMENT  ACT OF 1944. SUCH
 SERVICE SHALL BE PROVIDED EITHER DIRECTLY OR THROUGH A CONTRACT  WITH  A
 NOT-FOR-PROFIT  ENTITY  WHICH  HAS  A  COMMERCIAL  AND GOVERNMENT ENTITY
 (CAGE) CODE ASSIGNED BY THE FEDERAL  SYSTEM  FOR  AWARD  MANAGEMENT  AND
 WHICH  IS NOT OWNED BY, AFFILIATED WITH OR OPERATED BY A MORTGAGE COMPA-
 NY. COUNSELORS SHALL BE LICENSED IN THIS STATE AS EITHER A  REAL  ESTATE
 BROKER  OR  A  MORTGAGE  BROKER.  LOAN  COUNSELING  AND ASSISTANCE SHALL
 INCLUDE A REVIEW OF THE TERMS AND RESTRICTIONS OF THE LOAN,  INFORMATION
 DETERMINED BY THE STATE DIRECTOR TO BE APPROPRIATE FOR A VETERAN SEEKING
 A  HOUSING  LOAN UNDER CHAPTER 37 OF TITLE 38 OF THE UNITED STATES CODE,
 AND ANY OTHER INFORMATION WHICH MAY BE REQUIRED UNDER FEDERAL LAW,  RULE
 OR REGULATION.
   § 4. This act shall take effect on the one hundred twentieth day after
 it  shall  have  become  a law; provided, however, that section three of
 this act shall take effect on the same date and in the  same  manner  as
 section  2  of  part PP of chapter 56 of the laws of 2022, takes effect;
 and provided, further, that section two of this act shall expire and  be
 deemed repealed on the same date such chapter takes effect.