House Bill 680

(As Passed the House)

AN ACT TO CREATE A STUDY COMMITTEE TO STUDY THE CREDIT SERVICES OF THIS STATE AND TO MAKE RECOMMENDATIONS THEREON TO THE 2008 LEGISLATURE; AND FOR RELATED PURPOSES.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MISSISSIPPI:

SECTION 1. (1) There is created a study committee on access to credit enhancement services for unbanked and underbanked Mississippi consumers. The committee shall make a report of its findings and recommendations to the Legislature during the 2008 Regular Session, including any recommended legislation. After making its report, the committee shall be dissolved.

(2) The committee shall be composed of the following ten (10) members: (a) the Chairmen of the House Banking and Financial Services Committee and the Senate Business and Financial Institutions Committee; (b) four (4) members of the House of Representatives appointed by the Speaker of the House; and (c) four (4) members of the Senate appointed by the Lieutenant Governor.

(3) Appointments to the committee shall be made within thirty (30) days after the effective date of this act, and, within fifteen (15) days thereafter on a day to be designated jointly by the Speaker of the House and the Lieutenant Governor, the committee shall meet and organize by selecting from its membership a chairman and a vice chairman. The vice chairman shall also serve as secretary and shall be responsible for keeping all records of the committee. A majority of the members of the committee shall constitute a quorum. In the selection of its officers and the adoption of rules, resolutions and reports, an affirmative vote of a majority of the committee shall be required. All members shall be notified in writing of all meetings, the notices to be mailed at least fifteen (15) days before the date on which a meeting is to be held.

(4) The committee shall study and make recommendations regarding providing access to credit enhancement services for the unbanked and underbanked Mississippi consumer that includes, but is not limited to, providing a mechanism to transition and graduate consumers from sub-prime to prime credit scores in order for them to be able to accumulate wealth; developing a new business model and a set of regulatory policies to provide access to mainstream financial products; requiring financial service organizations to report payment histories to major credit bureaus; and offering credit products to credit challenged consumers that allow for an appropriate return related to the risks associated with extending these services and that promote a competitive regulatory framework.

(5) Members of the committee shall be compensated at the per diem rate authorized by Section 25-3-69 and shall receive mileage and the expense allowance authorized under Section 5-1-47. Members of the committee shall be paid from the contingent expense funds of their respective houses in the same manner as provided for committee meetings when the Legislature is not in session. However, no per diem or expense for attending meetings of the committee will be paid to members of the committee while the Legislature is in session. No committee member may incur per diem, travel or other expenses unless previously authorized by vote, at a meeting of the committee, which action shall be recorded in the official minutes of the meeting.

(6) The committee shall use clerical and legal staff already employed by the Legislature and any other staff assistance made available to it. To effectuate the purposes of this section, any department, division, board, bureau, commission or agency of the state or of any political subdivision thereof shall, at the request of the chairman of the committee, provide to the committee such facilities, assistance and data as will enable the committee to properly carry out its task.

SECTION 2. This act shall take effect and be in force from and after July 1, 2007.