16a-6-104.   (UCCC) Powers of administrator; relianceon rules andregulations; written administrative interpretations; nationwide mortgagelicensing system and registry.This act shall be administered by the consumer credit commissioner of Kansaswho is also referred to as the administrator. (1) In addition to otherpowers granted by this act, the administratorwithin the limitations provided by law may:

      (a)   Receive and act on complaints, take action designed to obtainvoluntary compliance with the provisions of K.S.A. 16a-1-101 to16a-9-102, inclusive, and amendments thereto,or commenceproceedings on the administrator's own initiative;

      (b)   counsel persons and groups on their rights and duties underK.S.A. 16a-1-101 to 16a-9-102, inclusive, andamendments thereto;

      (c)   establish programs for the education of consumers with respectto credit practices and problems and as a condition in settlements ofinvestigations or examinations, the administrator may receive a paymentdesignated for consumer education to be expended as directed by theadministrator for such purpose;

      (d)   make studies appropriate to effectuate the purposes and policiesof K.S.A. 16a-1-101 to 16a-9-102, inclusive, and amendments thereto;

      (e)   adopt, amend and revoke rules and regulations tocarry out thespecific provisions of K.S.A. 16a-1-101 to 16a-9-102, inclusive, and amendmentsthereto, and to implement the requirements of the secure and fairenforcementfor mortgage licensing act of 2008 (P.L. 110-289);

      (f)   issue, amend and revoke written administrative interpretations. Suchwritten administrative interpretations shall be approved by the attorneygeneral and published in the Kansas register within 15 days of issuance. Theadministrator shall annually publish all written administrative interpretationsin effect;

      (g)   maintain offices within this state; and

      (h)   appoint any necessary attorneys, hearing examiners, clerks,andother employees and agents and fix their compensation, and authorizeattorneys appointed under this section to appear for and represent theadministrator in court;

      (i)   examine periodically at intervals the administrator deems appropriatethe loans, business and records of every licensee, registrant or personfilingnotification pursuant to K.S.A. 16a-6-201 through 16a-6-203, and amendmentsthereto, except licensees which aresupervised financial organizations. The official or agency responsible for thesupervision of each supervised financial organization shall examine the loans,business and records of each such organization in the manner and periodicallyat intervals prescribed by the administrator. In addition, for the purpose ofdiscovering violations of K.S.A. 16a-1-101 through 16a-9-102, and amendmentsthereto, or securing information lawfully required, the administrator or theofficial or agency to whose supervision the organization is subject to K.S.A.16a-6-105, and amendments thereto, may at any time investigate the loans,business and records of any supervised lender. For examination purposes theadministrator shall have free and reasonable access to the offices, places ofbusiness and records of the lender, registrant or person filingnotification and theadministrator may control access to any documents and records of a licensee,registrant or person filing notification under examination;

      (j)   refer such evidence as may be available concerning violations of this actor of any rule and regulation or order to the attorney general or the propercounty or district attorney, who may in the prosecutor's discretion, with orwithout such a reference, institute the appropriate criminal proceedings underthis act. Upon receipt of such reference, the attorney general or the countyattorney or district attorney may request that a duly employed attorney of theadministrator prosecute or assist in the prosecution of such violation onbehalf of the state. Upon approval of the administrator, suchemployee shall be appointed special prosecutor for the attorney general or thecounty attorney or district attorney to serve without compensation from theattorney general or the county attorney or district attorney. Such specialprosecutor shall have all the powers and duties prescribed by law for assistantattorneys general or assistant county or district attorneys, and such otherpowers and duties as are lawfully delegated to such special prosecutors by theattorney general or the county attorney or district attorney;

      (k)   if deemed necessary by the administrator, require fingerprinting of anyapplicant, licensee, members thereof if acopartnership or association, or officers and directors thereof if acorporation, or any agent or other person acting on their behalf. Theadministrator, or theadministrator'sdesignee, may submit such fingerprints to the Kansas bureau of investigation,federal bureau of investigation, or other law enforcement agency for thepurposes of verifying the identity of such persons and obtainingrecords of their criminal arrests and convictions.For purposes of this section and in order to reduce the points of contactwhich the federalbureau of investigation may have to maintain with the individual states, theadministratormay use the nationwide mortgage licensing system and registry as a channelingagent forrequesting information from and distributing information to the department ofjustice or anygovernmental agency;

      (l)   exchange information regarding the administration of this actwith any agency of theUnited States or any state which regulates the licensee,registrant or person required tofile notification, or who administers statutes, rules and regulations or otherprograms relatedto consumer creditand to enter into information sharingarrangements with othergovernmental agencies or associations representing governmental agencies whicharedeemed necessary or beneficial to the administration of this act;

      (m)   require that any applicant, licensee, registrant or other person completea minimumnumber of prelicensing education hours and complete continuing educationhours on anannual basis. Prelicensing and continuing education courses shall be approvedby theadministrator or the administrator's designee and may be made a condition oftheapplication approval and renewal;

      (n)   require that any applicant, licensee, registrant or other personsuccessfully pass astandardized examination designed to establish such person's knowledge ofresidentialmortgage loan origination transactions and all applicable state and federallaw. Suchexaminations shall be created and administered by the administrator or theadministrator'sdesignee and may be made a condition of application approval;

      (o)   use the nationwide mortgage licensing system and registry as a channelingagent forrequesting and distributing any information regarding residential mortgageloan originator registrationor supervised lender licensing to and from any source so directed by theadministrator;

      (p)   establish relationships or contracts with the nationwide mortgagelicensing system andregistry or other entities to collect and maintain records and processtransaction fees or other feesrelated to applicants, licensees, registrants or other persons subject to theact and to take such otheractions as may be reasonably necessary to participate in the nationwidemortgage licensing systemand registry. The administrator shall regularly report violations of law, aswell as enforcement actionsand other relevant information, to the nationwide mortgage licensing system andregistry,and makepublicly available the proposed budget, fees, and audited financial statementsof the nationwidemortgage licensing system and registry as may be prepared by the nationwidemortgage licensingsystem and registry and provided to the administrator;

      (q)   requirethat any residential mortgage loan originator applicant, registrant or otherperson successfully pass a standardized examination designed to establishsuch person'sknowledge of mortgage transactions and all applicable state andfederal law. Suchexaminations shall be created and administered by the administrator or theadministrator'sdesignee, and may be made a condition of application approval or applicationrenewal;

      (r)   require that any mortgage loan originatorapplicant, registrant or other personcomplete a minimum number of prelicensing education hours and completecontinuing education hours on an annualor biannual basis. Prelicensing and continuing educationcourses shall be approved by the administrator or the administrator'sdesignee and may bemade a condition of application approval and renewal; and

      (s)   require any licensee or registrant to file reports with the nationwidemortgagelicensing system and registry in the form prescribed by the administrator orthe administrator's designee.

      (2)   The administrator shall enforce the provisions ofthis act and the rules and regulations and interpretations adopted thereunderwith respect to a creditor, unless the creditor's compliance is regulatedexclusively or primarily by another state or federal agency.

      (3)   To keep the administrator's rules and regulations in harmonywith the rules of administrators in other jurisdictions which enact therevised uniform consumer credit code, the administrator, so far as isconsistent with the purposes, policies and provisions of K.S.A.16a-1-101 to 16a-9-102, inclusive, and amendmentsthereto, may:

      (a)   Before adopting, amending andrevoking rules and regulations,advise and consult with administrators in other jurisdictions whichenact the uniform consumer credit code; and

      (b)   in adopting, amending and revokingrules and regulations, take intoconsideration the rules of administrators in other jurisdictions whichenact the revised uniform consumer credit code.

      (4)   Except for refund of an excess charge, no liability is imposedunder K.S.A. 16a-1-101 to 16a-9-102, inclusive, and amendments thereto, for anact done or omitted in conformity witha rule and regulation or written administrative interpretation of theadministrator in effect at the time of the act oromission notwithstanding that after the act or omission the ruleand regulation or written administrative interpretation may be determined byjudicial or otherauthority to be invalid for any reason.

      (5)   The administrator prior to December 1 of each year shallestablish such fees as are authorized under the provisions of K.S.A.16a-1-101 to 16a-9-102, inclusive, and amendmentsthereto, for theensuing calendar year in such amounts as the administrator may determineto be sufficient to meet the budget requirements of the administratorfor each fiscal year.

      History:   L. 1973, ch. 85, § 97; L. 1976, ch. 98, § 2; L.1981,ch. 93, § 17;L. 1992, ch. 80, § 3;L. 1999, ch. 107, § 28;L. 2005, ch. 144, § 18;L. 2009, ch. 29, § 21; July 1.