                                 CODE OF VIRGINIA

REGULATIONS; AGREEMENTS BETWEEN COMMISSION AND REGISTRY (§ 6.2-1720)

A. The Commission shall adopt such regulations as it deems appropriate to effect
the purposes of this chapter. Before adopting any such regulations, the
Commission shall give reasonable notice of their content and shall afford
interested parties an opportunity to present evidence and be heard, in
accordance with the Commission&#8217;s Rules.

B. The Commission shall, to the extent practicable, include in any written
memorandum of understanding or other written agreement between the Commission
and the Registry provisions substantially similar to the following:

   1. Any organization serving as the administrator of the Registry or any
   officer or employee of any such entity shall implement and maintain an
   information security program that meets or exceeds federal and state standards
   pursuant to &#xA7; 18.2-186.6 and that complies with the regulation guidelines
   promulgated under the Gramm-Leach-Bliley Act (15 U.S.C. &#xA7; 6801 et seq.)
   for safeguarding personal information of mortgage loan originators and
   applicants;

   2. The Registry shall not under any circumstances disclose to any third party
   any information pertaining to any pending or incompletely adjudicated
   regulatory matters;

   3. The Registry shall develop, as requested by the Commission, a mortgage loan
   originator licensing test that may be limited to specific products and
   services; and

   4. The Registry shall provide to the Commission summary statistical
   information by March 31 of each year relating to loan originator examinations
   taken by applicants for a mortgage loan originator license in the Commonwealth
   during the preceding calendar year.

C. Except as otherwise provided in the Act or this chapter, any requirement
under federal or state law regarding the privacy or confidentiality of any
information or material provided to the Registry, and any privilege arising
under federal or state law, including the rules of any federal or state court,
with respect to such information or material, shall continue to apply to such
information or material after the information or material has been disclosed to
the Registry. Such information and material may be shared with all state and
federal regulatory officials with mortgage industry oversight authority without
the loss of privilege or the loss of confidentiality protections provided by
federal or state law. In addition:

   1. Information or material that is subject to privilege or confidentiality
   under this subsection shall not be subject to: (i) disclosure under any
   federal or state law governing the disclosure to the public of information
   held by an officer or an agency of the federal government or the Commonwealth
   or (ii) subpoena or discovery, or admission into evidence, in any private
   civil action or administrative process, unless with respect to any privilege
   held by the Registry with respect to such information or material, the
   individual to whom such information or material pertains waives, in whole or
   in part, in the discretion of such individual, that privilege;

   2. Any provision of the laws of the Commonwealth relating to the disclosure of
   confidential supervisory information or any information or material described
   in this subsection that is inconsistent with this subsection shall be
   superseded by the requirements of this subsection to the extent that such
   provision provides less confidentiality or a weaker privilege; and

   3. This subsection shall not apply with respect to the information or material
   relating to the employment history of, and publicly adjudicated disciplinary
   and enforcement actions against, mortgage loan originators that is included in
   the Registry for access by the public.

D. The Commission shall:

   1. Annually review the proposed budget, fees, and audited financial statements
   of the Registry;

   2. Annually, to the extent practicable, report to the House Committee on Labor
   and Commerce and the Senate Committee on Commerce and Labor on the operations
   of the Registry, including compliance with its established protocols for
   securing and safeguarding personal information in the Registry;

   3. To the extent practicable, prepare, publicly announce, and publish a
   report, by no later than July 1 of each year, that summarizes statistical test
   results and demographic information to be prepared by the Registry or its test
   administrator; and

   4. Report violations of this chapter, any enforcement actions thereunder, and
   other relevant information to the Registry on a regular basis.

HISTORY: 2009, cc. 273, 453, § 6.1-431.21; 2010, c. 794; 2012, cc. 52, 187.