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A MEMORIAL

REQUESTING THE NEW MEXICO LEGISLATIVE COUNCIL TO CREATE A

LEGISLATIVE INTERIM "FINANCIAL INSTITUTIONS AFFAIRS

COMMITTEE".

WHEREAS, the regulatory framework for financial

institutions at federal and state levels is complex and

overlapping, and the extent to which New Mexico can regulate

financial institutions operating in New Mexico is unclear; and

WHEREAS, problems arising in areas such as mortgage

lending, small loans and title insurance illustrate the

concern that the present regulatory framework for financial

institutions at the state level may be inadequate to protect

the interests of New Mexico residents; and

WHEREAS, because the present state regulatory framework

for financial institutions in New Mexico was enacted piecemeal

over the years and has not been subjected to a comprehensive

review, that framework may be inefficient and conflicting and

in need of a comprehensive update; and

WHEREAS, modern and evolving technology has given rise

to new institutions, such as the internet, that may not be

adequately overseen by the current regulatory framework; and

WHEREAS, legislation introduced during recent

legislative sessions has addressed different parts of the

regulatory framework for financial institutions but has not

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been coordinated to address the industry as a whole;

NOW, THEREFORE, BE IT RESOLVED BY THE HOUSE OF

REPRESENTATIVES OF THE STATE OF NEW MEXICO that the New Mexico

legislative council be requested to appoint a legislative

interim "financial institutions affairs committee" to study

legislative issues relating to financial institutions,

including a potential reorganization of the constitutional and

statutory framework for regulating financial institutions

subject to state law in New Mexico, and to the interplay

between federal and state regulation of financial

institutions; and to recommend appropriate actions to address

relevant related issues; and

BE IT FURTHER RESOLVED that the newly created

legislative interim committee report its findings and make its

recommendations to the legislature by November 30, 2008; and

BE IT FURTHER RESOLVED that copies of this memorial be

transmitted to the co-chairs of the New Mexico legislative

council.