e. A person who holds or is owed an obligation secured by a lien on any residence in foreclosure when the person performs services in connection with this obligation or lien if the obligation or lien did not arise as the result of or as part of a proposed foreclosure reconveyance.
f. A person or entity doing business under any law of this state, or of the United States, relating to a financial institution, as defined in s. 214.01 (1) (jn), to a lender licensed under s. 138.09, to an insurance company, or to a mortgagee that is a federal department of housing and urban development approved mortgagee; a subsidiary or affiliate of any of these persons or entities; or an agent or employee of any of these persons or entities while engaged in the business of these persons or entities.
g. A person registered under s. 224.72 as a mortgage banker, loan originator, or mortgage broker, when acting under the authority of that registration.
h. A judgment creditor of the foreclosed homeowner, to the extent that the judgment creditor's claim accrued prior to the recording of the lis pendens in the foreclosure action.
i. A foreclosure purchaser.
j. An adjustment service company licensed under s. 218.02, but only when engaged in business unrelated to real estate.
(d) "Foreclosure purchaser" has the meaning given in s. 846.40 (1) (c).
(e) "Foreclosure reconveyance" has the meaning given in s. 846.40 (1) (d).
(f) "Person" means any individual, partnership, corporation, limited liability company, association, or other group, however organized.
(g) "Residence in foreclosure" has the meaning given in s. 846.40 (1) (h).
(h) "Service" includes any of the following:
1. Debt, budget, or financial counseling of any type.
2. Receiving money for the purpose of distributing it to creditors in payment or partial payment of any obligation secured by a lien on a residence in foreclosure.
3. Contacting creditors on behalf of a foreclosed homeowner.
4. Arranging or attempting to arrange for a delay or postponement of the time of sale of the residence in foreclosure.
5. Advising the filing of any document, or assisting in any manner in the preparation of any document for filing, with a bankruptcy court.
6. Giving any advice, explanation, or instruction to a foreclosed homeowner that in any manner relates to curing a default in or reinstating an obligation secured by a lien on the residence in foreclosure, the full satisfaction of that obligation, or the postponement or avoidance of a sale of a residence in foreclosure, under a power of sale contained in any mortgage.
(2) Cancellation of foreclosure consultant contract. (a) In addition to any other right under law to rescind a contract, a foreclosed homeowner has the right to cancel a contract until midnight of the 3rd business day after the day on which the foreclosed homeowner signs a contract that complies with sub. (3).
(b) 1. Cancellation occurs when the foreclosed homeowner delivers, personally or by certified mail, written notice of cancellation to the foreclosure consultant at the foreclosure consultant's address specified in the contract.
2. If notice of cancellation is given by certified mail, cancellation is effective when the notice is deposited in the U.S. mail, properly addressed with postage prepaid. If notice of cancellation is personally delivered, the foreclosure consultant must give the foreclosed homeowner a receipt. Cancellation, if personally delivered, is effective when the foreclosed homeowner hands the notice to the foreclosure consultant.
(c) Notice of cancellation given by the foreclosed homeowner need not take the particular form provided with the contract under sub. (3) (e). However expressed, notice is effective if it indicates the intention of the foreclosed homeowner not to be bound by the contract.
(3) Contract. (a) Every contract must be in writing and must fully disclose the exact nature of the foreclosure consultant's services and the total amount and terms of compensation.
(b) The following notice, printed in not less than 14-point boldface type and completed with the name of the foreclosure consultant, must be printed immediately above the statement required by par. (c):
NOTICE REQUIRED BY WISCONSIN LAW
.... (name of foreclosure consultant) or anyone working for him or her CANNOT do any of the following:
1. Take any money from you or ask you for money until .... (name of foreclosure consultant) has completely finished doing everything he or she said he or she would do.
2. Ask you to sign or have you sign any lien, mortgage, or deed.
(c) The contract must be written both in English and in the same language as principally used by the foreclosure consultant to describe his or her services or to negotiate the contract if other than English, must be dated and signed by the foreclosed homeowner, and must contain in immediate proximity to the space reserved for the foreclosed homeowner's signature, in not less than 10-point boldface type, the following statement: "You, the owner, may cancel this transaction at any time prior to midnight of the 3rd business day after the date of this transaction. See the attached notice of cancellation form for an explanation of this right."
(d) The notice of cancellation form under par. (e) must contain, and the contract must contain on the first page, in a type size that is no smaller than that generally used in the body of the document, both of the following:
1. The name and street or physical address of the foreclosure consultant to which the notice of cancellation is to be mailed by certified mail or personally delivered. A post office box does not constitute a physical address. A post office box may be designated for delivery by certified mail only if it is accompanied by a street or physical address at which the notice may be personally delivered.
2. The date the foreclosed homeowner signed the contract.
(e) The contract must be accompanied by a completed form in duplicate, captioned "Notice of cancellation." This form must be attached to the contract, must be easily detachable, and must contain, in not less than 10-point type and written in the same language or languages as used in the contract, the following statement:
NOTICE OF CANCELLATION
(Enter date of transaction)
1. You may cancel this transaction, without any penalty or obligation, within 3 business days from the above date.
2. To cancel this transaction, you may either mail by certified mail or personally deliver a signed and dated copy of this notice of cancellation, or any other written notice of cancellation, to .... (name of foreclosure consultant) at .... (street or physical address of foreclosure consultant's place of business) NOT LATER THAN MIDNIGHT OF .... (date). If you personally deliver a notice of cancellation, .... (name of foreclosure consultant) must give you a receipt.
3. I hereby cancel this transaction.
(Date) ....
(Owner's signature) ....
(f) The foreclosure consultant shall provide the foreclosed homeowner with a copy of the contract and the attached notice of cancellation immediately upon execution of the contract.
(g) The 3 business days during which the foreclosed homeowner may cancel the contract shall not begin to run until the foreclosure consultant has complied with this subsection.
(4) Violations. It is a violation of this section for a foreclosure consultant to do any of the following:
(a) Claim, demand, charge, collect, or receive any compensation until after the foreclosure consultant has fully performed each and every service the foreclosure consultant contracted to perform or represented that he or she would perform.
(b) Claim, demand, charge, collect, or receive any fee, interest, or any other compensation for any reason that exceeds 8 percent per year of the amount of any loan that the foreclosure consultant may make to the foreclosed homeowner. Any loan may not, as provided in par. (c), be secured by the residence in foreclosure or any other real or personal property.
(c) Take a wage assignment, a lien of any type on real or personal property, or any other security to secure the payment of compensation. Any security taken to secure the payment of compensation is void and unenforceable.
(d) Receive any consideration from any 3rd party in connection with services rendered to a foreclosed homeowner unless the consideration is first fully disclosed to the foreclosed homeowner.
(e) Acquire any interest, directly or indirectly or by means of a subsidiary or affiliate, in a residence in foreclosure from a foreclosed homeowner with whom the foreclosure consultant has contracted.
(f) Except as otherwise provided by law, take any power of attorney from a foreclosed homeowner for any purpose.
(g) Induce or attempt to induce any foreclosed homeowner to enter into a contract that does not comply in all respects with subs. (2) and (3).
(h) Fail to give a receipt to a foreclosed homeowner if the foreclosed homeowner personally delivers timely written notice of cancellation of a contract under sub. (2) (b).
(5) Waiver not allowed. Any waiver by a foreclosed homeowner of this section or of a foreclosed homeowner's rights under this section is void and unenforceable as contrary to public policy. Any attempt by a foreclosure consultant to induce a foreclosed homeowner to waive the foreclosed homeowner's rights is a violation of this section.
(6) Penalties and remedies. (a) The department of agriculture, trade and consumer protection may investigate violations of this section under ss. 93.14 and 93.15.
(b) Any person suffering a pecuniary loss because of a violation of this section may commence an action against the violator. If the court determines that the person suffered a pecuniary loss because of the violation, the court shall award the person twice the amount of the pecuniary loss or $200, whichever is greater, for each violation, together with costs and, notwithstanding s. 814.04 (1), reasonable attorney fees.
(c) The department of agriculture, trade and consumer protection may commence an action to restrain a violation of this section. In addition to providing any equitable relief, the court may award any person who suffered a pecuniary loss because of the violation twice the amount of the pecuniary loss or $200, whichever is greater, for each violation.
(d) The department of agriculture, trade and consumer protection or the district attorney may commence an action to recover a forfeiture of not less than $100 nor more than $10,000 for a violation of this section.
(e) Whoever violates this section may be fined not less than $25 nor more than $10,000 or imprisoned for not more than one year in the county jail, or both.
(7) Contract provision for arbitration voidable. Any provision in a contract entered into on or after the effective date of this subsection .... [LRB inserts date], that attempts or purports to require arbitration of any dispute arising under this section is voidable at the option of the foreclosed homeowner.
(8) Statutory conflicts related to adjustment service companies. To the extent that any provision of this section is inconsistent with s. 218.02 with respect to a foreclosure consultant that is licensed under s. 218.02 and engages in adjustment service company business related to real estate, the provisions of this section shall supersede any conflicting provision of s. 218.02.
2,853
Section
853. 943.62 (2m) of the statutes is amended to read:
943.62 (2m) This section does not apply to a savings and loan association, credit union, bank, savings bank, or a mortgage banker, mortgage loan originator, or mortgage broker registered licensed under s. 224.72 or 224.725.
2,9110
Section 9110.
Nonstatutory provisions; Commerce.
(1)
Tenant resource center grant. In fiscal year 2008-09, the department of commerce shall award to the Tenant Resource Center in Madison from the appropriation under section 20.143 (2) (b) of the statutes, as affected by this act, a grant not to exceed $200,000, for providing foreclosure education and assistance to tenants throughout the state.
(2)
Wisconsin regional training partnership/building industry group skilled trades employment program. In fiscal year 2008-09, from the appropriation account under section 20.143 (1) (c) of the statutes, as affected by this act, the department of commerce shall award $1,000,000 in grant moneys to expand the Wisconsin Regional Training Partnership/Building Industry Group Skilled Trades Employment Program if, as a condition of receiving the award, the Wisconsin Regional Training Partnership/Building Industry Group Skilled Trades Employment Program enters into a contract with the department that specifies permissible uses of the grant moneys and that requires the Wisconsin Regional Training Partnership/Building Industry Group Skilled Trades Employment Program to comply with the reporting and accountability measures established by the department by rule under section 560.01 (2) (ae) 3., 6., and 7. of the statutes.
(3)
Grants to organizations in specific building trades for green job training and retraining.
(a) Grants. Subject to paragraph (b), in fiscal year 2008-09, from the appropriation account under section 20.143 (1) (c) of the statutes, as affected by this act, the department of commerce shall distribute all of the following grants:
1. Painters and Allied Trades, District Council 7; Leadership in Energy and Efficiency Design certification. A grant of $150,000 to Painters and Allied Trades, District Council 7, to train workers in the construction industry on the Leadership in Energy and Efficiency Design certification process so that the workers will understand green building practices, principles, and certification requirements and be qualified to bid on green building projects.
2. Painters and Allied Trades, District Council 7; National Association of Corrosion Engineers, International, and the Society for Protective Coatings certification. A grant of $175,000 to Painters and Allied Trades, District Council 7, to certify individuals to provide instruction to workers in the construction industry on standards established by the National Association of Corrosion Engineers, International, and by the Society for Protective Coatings so that workers are trained for remediation services such as lead paint abatement on bridges and overpasses.
3. Wisconsin State Council of Carpenters; alternative energy systems installation. A grant of $175,000 to the Wisconsin State Council of Carpenters to train carpenters in the installation of windmills and other alternative energy systems.
4. Wisconsin State Council of Carpenters; sustainable green building practices. A grant of $72,000 to the Wisconsin State Council of Carpenters to train carpenters in sustainable green building practices.
5. Wisconsin Pipe Trades Association, Local 75; mobile worker training facility. A grant of $248,000 to the Wisconsin Pipe Trades Association, Local 75, to build, using green building practices, a mobile training facility to be used in connection with training programs for workers in the pipe trades. Training programs shall be provided across the state and on new building codes, environmentally sound construction practices, and new initiatives for green construction.
6. Wisconsin Laborers' District Council. A grant of $265,000 to the Wisconsin Laborers' District Council. The grant moneys awarded under this subdivision shall be used as follows:
a. A grant of $132,000 to provide safety instruction under guidelines established by the occupational safety and health administration in the federal department of labor to new workers hired to meet labor demand for incoming federal stimulus or other projects.
b. A grant of $80,000 to provide training to workers on proper handling of hazardous wastes while conducting site reclamation on brownfields.
c. A grant of $53,000 to provide training on proper methods for removing asbestos to workers hired to meet labor demands for incoming federal stimulus or other projects.
7. Wisconsin Operating Engineers; geothermal energy and wind energy technologies. A grant of $275,000 to the Wisconsin Operating Engineers to train workers in the construction of geothermal energy and wind energy systems.
8. International Brotherhood of Electrical Workers; solar electricity installation. A grant of $210,000 to the International Brotherhood of Electrical Workers to purchase equipment for three laboratories to be established in the state for training workers in the installation of solar electricity systems.
9. International Brotherhood of Electrical Workers; solar electricity installation. A grant of $60,000 to the International Brotherhood of Electrical Workers for instructor training and start-up costs in connection with the laboratories described in subdivision 8
.
(b)
Conditions for receiving a grant. The department of commerce may not award a grant to an organization under this subsection unless the organization, as a condition of receiving the grant moneys, enters into a contract with the department that specifies permissible uses of the grant moneys and that requires the organization to comply with the reporting and accountability measures established by the department by rule under section 560.01 (2) (ae) 3., 6., and 7. of the statutes.
(4) Development zone tax benefit consolidation; emergency rules. The department of commerce may use the procedure under section 227.24 of the statutes to promulgate rules under section 560.706 (2) of the statutes, as created by this act. Notwithstanding section 227.24 (1) (c) and (2) of the statutes, emergency rules promulgated under this subsection remain in effect until July 1, 2010, or the date on which permanent rules take effect, whichever is sooner. Notwithstanding section 227.24 (1) (a) and (3) of the statutes, the department is not required to provide evidence that promulgating a rule under this subsection as an emergency rule is necessary for the preservation of the public peace, health, safety, or welfare and is not required to provide a finding of emergency for a rule promulgated under this subsection.
(5) Development zone tax benefit consolidation; economic impact report. Notwithstanding sections 227.137 (2) and 227.138 (2) of the statutes, if the secretary of administration requires the department of commerce to prepare an economic impact report for the rules required under section 560.706 (2) of the statutes, as created by this act, the department may submit the proposed rules to the legislature for review under section 227.19 (2) of the statutes before the department completes the economic impact report and before the department receives a copy of the report and approval under section 227.138 (2) of the statutes.
2,9117
Section 9117.
Nonstatutory provisions; Financial Institutions.
(1)
Mortgage loan originators, mortgage brokers, and mortgage bankers.
(a) In this subsection, "division" means the division of banking in the department of financial institutions.
(b) Notwithstanding any other provision of subchapter III of chapter 224 of the statutes, as affected by this act, the division shall, by rule, institute any system of initial license issuance or license renewal that it deems advisable for the purpose of implementing an orderly and efficient transition from the registration system under subchapter III of chapter 224, 2007 stats., to the license system under subchapter III of chapter 224 of the statutes, as affected by this act. A transition system adopted under this paragraph may include the requirement that registrants under section 224.72, 2007 stats., apply for a license under section 224.72 of the statutes, as affected by this act, or under section 224.725 of the statutes, as created by this act, and pay any applicable fees, before the scheduled expiration of the registration period under section 224.72, 2007 stats. A transition system adopted under this paragraph may also provide for the initial issuance of licenses under section 224.72 of the statutes, as affected by this act, and under section 224.725 of the statutes, as created by this act, that are valid for an initial period that is greater or less than the ordinary valid period of such licenses. If a transition system adopted under this paragraph results in a shorter registration or license period than that which would ordinarily be applicable, the division shall prorate or rebate fees corresponding to the unused or unexpired portion of the ordinarily applicable registration or license period. For previously registered or licensed individuals the division may establish under the transition system expedited review and licensing procedures.
(c) The division shall submit in proposed form the rules required under paragraph (b
) to the legislative council staff under section 227.15 (1) of the statutes no later than 60 days after the effective date of this paragraph.
(d) Using the emergency rules procedure under section 227.24 of the statutes, the division shall promulgate the rules required under paragraph (b
) for the period before the effective date of the rules submitted under paragraph (c). The division shall promulgate these emergency rules no later than 60 days after the effective date of this paragraph. Notwithstanding section 227.24 (1) (c) and (2) of the statutes, these emergency rules may remain in effect until July 1, 2011, or the date on which permanent rules take effect, whichever is sooner. Notwithstanding section 227.24 (1) (a) and (3) of the statutes, the division is not required to provide evidence that promulgating a rule under this paragraph as an emergency rule is necessary for the preservation of the public peace, health, safety, or welfare and is not required to provide a finding of emergency for a rule promulgated under this paragraph.
2,9122
Section 9122.
Nonstatutory provisions; Health Services.
(1)
Hospital Assessment.
(a) Assessment payment deadlines. Notwithstanding section 50.38 (4) of the statutes, as created by this act, hospitals shall pay the assessment for state fiscal year 2008-09 that is required under section 50.38 (2) of the statutes, as created by this act, in 2 equal amounts. Hospitals shall make the first payment by March 31, 2009, or 10 days after the effective date of this paragraph, whichever is later. Hospitals shall make the 2nd payment by June 30, 2009. At the discretion of the department of health services, a hospital that is unable timely to make a payment by a date specified under this paragraph may be allowed to make a delayed payment. A determination by the department that a hospital may not make a delayed payment under this paragraph is final and is not subject to review under chapter 227 of the statutes.
