EXPLANATION: CAPITALS INDICATE MAT TER ADDED TO EXISTIN G LAW.
[Brackets] indicate matter deleted from existing law.
Underlining indicates amendments to bill.
Strike out indicates matter stricken from the bill by amendment or deleted from the law by
amendment.
*hb0379*
HOUSE BILL 379
I1 3lr1025
CF SB 929
By: Delegate Jackson
Introduced and read first time: January 26, 2023
Assigned to: Economic Matters
Committee Report: Favorable
House action: Adopted
Read second time: February 26, 2023
CHAPTER ______
AN ACT concerning 1
Commissioner of Financial Regulation – Name and Organization of Office 2
FOR the purpose of establishing the name of a certain office under the Commissioner of 3
Financial Regulation in the Maryland Department of Labor as the Office of Financial 4
Regulation; designating a certain appointee of the Commissioner of Financial 5
Regulation as the Deputy Commissioner for Depository Activities; requiring the 6
Commissioner of Financial Regulation to appoint a Deputy Commissioner for 7
Non–Depository Activities; and generally relating to the name and organization of 8
the office under the Commissioner of Financial Regulation in the Maryland 9
Department of Labor. 10
BY repealing and reenacting, with amendments, 11
Article – Business Regulation 12
Section 7–201 13
Annotated Code of Maryland 14
(2015 Replacement Volume and 2022 Supplement) 15
BY repealing and reenacting, without amendments, 16
Article – Financial Institutions 17
Section 1–101 18
Annotated Code of Maryland 19
(2020 Replacement Volume and 2022 Supplement) 20
BY repealing and reenacting, with amendments, 21
Article – Financial Institutions 22 2 HOUSE BILL 379
Section 2–101, 2–103, 2–110, 2–113(c), 2–119, 11–611, and 12–105.1(a)(5) 1
Annotated Code of Maryland 2
(2020 Replacement Volume and 2022 Supplement) 3
BY repealing and reenacting, with amendments, 4
Article – Real Property 5
Section 7–105.14(i)(1) 6
Annotated Code of Maryland 7
(2015 Replacement Volume and 2022 Supplement) 8
BY repealing and reenacting, with amendments, 9
Article – State Government 10
Section 8–403(22) 11
Annotated Code of Maryland 12
(2021 Replacement Volume and 2022 Supplement) 13
SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 14
That the Laws of Maryland read as follows: 15
Article – Business Regulation 16
7–201. 17
There is a State Collection Agency Licensing Board in the Office of [the 18
Commissioner of] Financial Regulation in the Department. 19
Article – Financial Institutions 20
1–101. 21
(a) In this article, unless the context clearly requires otherwise, the following 22
words have the meanings indicated. 23
(b) “Address” means post office address, including, if applicable, street and 24
number, municipal area or county, state, and, if outside of the United States, country. 25
(c) “Any state” means: 26
(1) Any state, possession, or territory of the United States; 27
(2) The District of Columbia; or 28
(3) The Commonwealth of Puerto Rico. 29
(d) “Banking institution” means an institution that is incorporated under the 30
laws of this State as a State bank, trust company, or savings bank. 31
HOUSE BILL 379 3
(e) “Charter” has the meaning stated in § 1–101 of the Corporations and 1
Associations Article. 2
(f) “Commercial bank” means an institution that is incorporated under the laws 3
of this State as a State bank or trust company. 4
(g) “Commissioner” means the Commissioner of Financial Regulation in the 5
Maryland Department of Labor. 6
(h) “County” means a county of this State and, unless otherwise indicated, 7
Baltimore City. 8
(i) “Credit union” means a credit union that is incorporated under the laws of this 9
State as a credit union. 10
(j) “Financial institution” means any financial institution of the type supervised 11
under this article, whether or not State–chartered. 12
(k) (1) “Foreign bank” means any financial institution or other institution that 13
engages in banking activities that are usual in connection with the business of banking in 14
the nations in which the institution is organized or operates. 15
(2) “Foreign bank” does not include a bank organized under the laws of any 16
state or a national banking association that has its headquarters in any state. 17
(l) “Includes” or “including” means includes or including by way of illustration 18
and not by way of limitation. 19
(m) “Mail” means to deposit in the United States mail, postage prepaid. 20
(n) “Mortgage” includes a deed of trust that secures a debt or the performance of 21
an obligation. 22
(o) “Municipal area” means a municipal corporation or an unincorporated city, 23
town, or village. 24
(p) “National banking association” means an institution that is incorporated 25
under federal law as a bank. 26
(q) “Nationwide Mortgage Licensing System and Registry” or “NMLS” means a 27
multistate uniform licensing system developed and maintained by the Conference of State 28
Bank Supervisors, or by a subsidiary or an affiliate of the Conference of State Bank 29
Supervisors, that may be used for the licensing and registration of persons required to be 30
licensed or registered under this article or the Commercial Law Article. 31
(r) “Other–state bank” means a bank chartered and primarily regulated by 32
another state. 33 4 HOUSE BILL 379
(s) “Other–state credit union” means a credit union chartered and primarily 1
regulated by another state. 2
(t) “Person” means an individual, receiver, trustee, guardian, personal 3
representative, fiduciary, or representative of any kind and any partnership, firm, 4
association, corporation, or other entity. 5
(u) “Political subdivision” means: 6
(1) A county or municipal corporation of this State; and 7
(2) Unless the context requires otherwise, a special taxing district of this 8
State. 9
(v) “Real property” includes any interest in real property. 10
2–101. 11
(A) There is a Commissioner of Financial Regulation in the Maryland Department 12
of Labor. 13
(B) THERE IS AN OFFICE OF FINANCIAL REGULATION UNDER THE 14
COMMISSIONER IN THE MARYLAND DEPARTMENT OF LABOR. 15
(C) THE COMMISSIONER IS THE H EAD OF THE OFFICE OF FINANCIAL 16
REGULATION. 17
2–103. 18
(a) With the approval of the Secretary of Labor, the Commissioner shall appoint 19
[a]: 20
(1) A Deputy Commissioner FOR DEPOSITORY ACTIVITIES; AND 21
(2) A DEPUTY COMMISSIONER FOR NON–DEPOSITORY ACTIVITIES. 22
(b) The Deputy [Commissioner serves] COMMISSIONERS APPOINT ED UNDER 23
SUBSECTION (A) OF THIS SECTION SERVE at the pleasure of the Commissioner and [is 24
an employee] ARE EMPLOYEES of the Commissioner’s office. 25
(c) [The Deputy Commissioner shall have at least 5 years of experience in:] 26
(1) [State or national banking regulation or management; or] THE 27
DEPUTY COMMISSIONER FOR DEPOSITORY ACTIVITIES SHALL HAVE AT LEAST 5 28
YEARS OF EXPERIENCE IN THE REGULATION OR MA NAGEMENT OF FINANCIA L 29 HOUSE BILL 379 5
INSTITUTIONS. 1
(2) [The regulation or management of the business of making loans by 2
persons of the type regulated by this article] THE DEPUTY COMMISSIONER FOR 3
NON–DEPOSITORY ACTIVITIES SHALL HAVE AT LEAST 5 YEARS OF EXPERIENCE IN 4
THE REGULATION OR MA NAGEMENT OF PERSONS REQUIRED TO BE LICEN SED OR 5
REGISTERED UNDER THI S ARTICLE OR THE COMMERCIAL LAW ARTICLE. 6
(d) The Deputy [Commissioner is] COMMISSIONERS APPOINTED UNDER 7
SUBSECTION (A) OF THIS SECTION ARE entitled to the salary provided in the State 8
budget. 9
(e) In addition to any other powers and duties set forth in this article[, the]: 10
(1) THE Deputy Commissioner FOR DEPOSITORY ACTIVITIES has the 11
powers and duties of the Commissioner: 12
[(1)] (I) To the extent delegated by the Commissioner; 13
[(2)] (II) If the office of the Commissioner is vacant; and 14
[(3)] (III) If for any reason the Commissioner is unable to perform the 15
duties of the office; AND 16
(2) THE DEPUTY COMMISSIONER FOR NON–DEPOSITORY 17
ACTIVITIES HAS THE POWERS AND D UTIES OF THE COMMISSIONER TO THE E XTENT 18
DELEGATED BY THE COMMISSIONER . 19
2–110. 20
(a) The Commissioner and THE Deputy [Commissioner] COMMISSIONERS 21
APPOINTED UNDER § 2–103 OF THIS SUBTITLE shall devote full time to their duties. 22
(b) The Commissioner and THE Deputy [Commissioner] COMMISSIONERS 23
APPOINTED UNDER § 2–103 OF THIS SUBTITLE may not: 24
(1) Be an officer or director of any State banking institution or national 25
banking association, or in any entity engaged in the business of making loans; or 26
(2) Engage in any other business relating to banks and financial 27
institutions or lending. 28
2–113. 29
(c) For fiscal year 2001 and each fiscal year thereafter, the Governor shall include 30 6 HOUSE BILL 379
in the annual budget bill an appropriation to the [Division] OFFICE of Financial 1
Regulation funding the positions necessary to implement the investigative and enforcement 2
powers authorized under this subtitle. 3
2–119. 4
For fiscal year 2009 and each fiscal year thereafter, the Governor shall include in the 5
annual budget bill an appropriation to the [Division] OFFICE of Financial Regulation for 6
the purpose of regulating banking institutions and credit unions. 7
11–611. 8
For fiscal year 2006 and each fiscal year thereafter, the Governor shall include in the 9
annual budget bill an appropriation to the [Division] OFFICE of Financial Regulation for 10
the purpose of creating necessary positions to [implement the provisions of] CARRY OUT 11
this subtitle. 12
12–105.1. 13
(a) A person may provide check cashing services without obtaining a license 14
under this subtitle by registering each year with the Commissioner under this section if 15
the person: 16
(5) Has conspicuously posted a notice with the following information, in 48 17
point type or larger, at each business location at which the person provides check cashing 18
services: 19
(i) The fees charged for check cashing services; and 20
(ii) How to contact the Office of [the Commissioner of] Financial 21
Regulation with comments or complaints; and 22
Article – Real Property 23
7–105.14. 24
(i) (1) There is a Foreclosed Property Registry Fund in the Office of [the 25
Commissioner of] Financial Regulation. 26
Article – State Government 27
8–403. 28
This subtitle applies only to the following governmental activities and units: 29
(22) Financial Regulation, Office of [the Commissioner of] (§ 2–101 of the 30 HOUSE BILL 379 7
Financial Institutions Article); 1
SECTION 2. AND BE IT FURTHER ENACTED, That it is the intent of the General 2
Assembly that any changes under Section 1 of this Act to § 2–101 of the Financial 3
Institutions Article or other statutory provisions referencing the name of the office 4
established under the Commissioner of Financial Regulation in the Maryland Department 5
of Labor shall be construed as a nonsubstantive revision that does not affect the powers 6
and duties of the Commissioner or the office. 7
SECTION 3. AND BE IT FURTHER ENACTED, That this Act shall take effect July 8
1, 2023. 9
Approved:
________________________________________________________________________________
Governor.
________________________________________________________________________________
Speaker of the House of Delegates.
________________________________________________________________________________
President of the Senate.