§ 2-130. Responsible lending incentives generally.

(a)

No bidding bank or savings and loan association may be designated as a county depository if it or any of its affiliates is a predatory or high-cost lender. Every bidding bank and loan association shall, prior to any such designation, submit to the county an affidavit that neither it nor any of its affiliates is a predatory or high-cost lender. The affidavit shall be in a form prescribed by the director of finance and shall be sworn by one or more of the officers of the bank or loan association. A bidding bank or savings and loan association may be designated as a county depository if it or any of its affiliates is a threshold lender, as long as it is not a predatory lender.

(b)

No person or business entity shall be awarded a contract with the county if the person or business entity, or any of its affiliates, is a predatory or high-cost lender. Every person or business entity seeking to do business with the county shall submit to the county an affidavit that neither it, nor any of its affiliates is a predatory or high-cost lender. The affidavit shall be in a form prescribed by the director of finance and shall be sworn by the person or one or more authorized officers of the business acceptable to the director of finance. Any contract awarded in violation of this section shall be voidable at the option of the county. A person or business entity may be awarded a contract with the county if the person or business entity, or any of its affiliates, is a threshold lender, as long as it is not a predatory lender.

(1)

The chief executive officer, or his/her designee, may suspend the ineligibility of a person or business entity in order to allow execution of a contract with the person or entity, upon written application by the head of the county department affected by the proposed contract, setting forth facts sufficient in the judgment of the chief executive officer, or his/her designee, to establish:

a.

That the public health or safety of residents of the county requires the goods or services of the person or business entity; and

b.

That the county is unable to acquire the goods or services in sufficient quantity from other sources.

(c)

At the time of affidavit, any person or business entity submitting the affidavit described in subsection (a) or (b) and that, together with its affiliates, made more than five (5) home loans during the year preceding the affidavit, shall report to the director of finance various information described below for the calendar year preceding the affidavit. The person or entity shall report for every following calendar year by March 31 of the subsequent year. The person or entity shall provide separate and distinct reports for each of its affiliate lenders. All data once submitted becomes public information upon submission. The required information includes:

(1)

For each home loan originated in the preceding calendar year:

a.

The location of the loan by census tract;

b.

The date of origination;

c.

The amount of the loan;

d.

The race/ethnicity of borrower (white, black, Hispanic, Asian, American Indian or other);

e.

The age of borrower;

f.

The gender of borrower;

g.

Loan purpose (home purchase, refinance, home improvement, other);

h.

Loan type conventional or government (FHA/VA);

i.

Annual percentage rate of the loan;

j.

The points and fees of the loan;

k.

The amount and term of credit insurance on the loan;

l.

The amount (in percent of principal balance) and term of any prepayment penalty; and

m.

The amount and term of any balloon payment.

(d)

In addition, for each foreclosure filed in the calendar year in which the lender was the originator, assignee, or servicer (at time of foreclosure), the lender shall report the same items as in subsection (d)(1). Two (2) additional items should be reported for each foreclosure:

(1)

The name and address of the originating lender if the reporting lender did not originate the loan; and

(2)

The year of loan origination.

(Ord. No. 01-09, Pt. I, 6-26-01)