What a busy week! Prosperity Indiana worked with our colleagues on three bills this week dealing with consumer lending, landlord tenant issues and land contracts. Here is where things stand on those bills:
SB395 Uniform Consumer Credit Code (Sen. Eric Bassler) –
This bill was heard in Senate Insurance and Financial Institutions Committee on Wednesday and Mindi Goodpaster testified in opposition on behalf of Prosperity Indiana. The bill would create a flat 36% rate on any loan regardless of size (think auto loans and second mortgages) and does not address a 36% cap on payday loans, which is what we have been advocating for. The committee is holding the bill and considering three possible amendments introduced by Senator Walker for vote next week. One of the amendments would create an annual cap of four payday loans per year and a maximum of eight in a lifetime. We will wait to see how the bill will be amended before refining our position.
SB391 Property Matters (Sen. Mike Bohacek) –
SB 391 was supposed to be heard in Senate Judiciary on Wednesday, but at the last minute was held and the committee is considering amendments for hearing and discussion next week. The bill contains several concerning provisions that look to limit tenants’ rights and processes for complaints about habitability. Prosperity Indiana is working with Senator Bohacek to make changes to the bill that address those provisions.
HB1191 Land Contracts and Landlord-tenant Matters (Rep. Ed Clere) –
HB1191 is scheduled for a hearing on Monday, Jan 27 at 10:00 a.m. in House Judiciary Committee. The bill is a streamlined version of HB1495, which passed out of the House in 2019 but died in the Senate. In an effort to address some of the concerns that killed the bill last year, the main provisions of HB1191 include disclosures by landlords to tenants on liens, habitability issues, etc. and recording requirements so that tenants will be able to make better informed decisions about the property they want to buy and give them further legal recourse in case issues arise with the property. HB1191 will be amended to take out the landlord-tenant provisions to streamline the bill to improve its likelihood for passage. Jessica Love will be testifying on behalf of Prosperity Indiana in support of the bill.
With the end of the first half of session nearing, committees will be wrapping up their hearings next week. This means that those bills that have been heard will be voted on in their chamber of origin and moving on to the second chamber for consideration. Those bills that did not receive a hearing will be considered dead. While not all of Prosperity Indiana’s priorities received hearings thus far, we are encouraged that HB1191 is moving forward and are hopeful about its passage this session. We will continue to keep you informed and will let you know how you can take action to make this happen.
Click here to read our Priority Legislation Report 1-24-2020.pdf