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cdb://enews Volume I, Issue 3
August 6, 2008
States Adopt eRecording Data Standards
by Carmelo D. Bramante
Property Records Industry Association (PRIA)
PRIA Technology Committee Member
Managing Director, cdb consultancy LLC
The following is an article authored by Carmelo D. Bramante in the 2008 Spring Issue of Property Records Industry Association's (PRIA) FOR THE RECORD:
Pictured from left to right: Michelle Clayton, Legislative Counsel, Uniform Law Commission; John L. Jones, President, Arion Zoe, Inc.; Lee Newcom, Recorder, Mclean County, Illinois; and Carmelo D. Bramante, Managing Director, cdb consultancy LLC
URPERA eRecording Commissions Publish Reports
Seven states - North Carolina, Virginia, Kansas, Arizona, Florida, Wisconsin and New Mexico - have adopted the PRIA eXtensible Mark-up Language (XML) eRecording data standards under the authority given to their respective Electronic Recording Commission or Council (ERC). North Carolina, Virginia and Arizona have published final reports that reference the PRIA standards, while the remaining four commissions are awaiting pro forma approval from either a state agency or the state legislature. ERCs are statewide standard-setting bodies authorized when states enacted the Uniform Real Property Electronic Recording Act (URPERA).
Over 37 percent of the jurisdictions, or a total of 18 states and the District of Columbia, have enacted the uniform act since 2005. In addition to the seven states discussed earlier, Arkansas, Delaware, Idaho, Illinois, Nevada, Tennessee, Texas and Washington are in various stages of URPERA standards development. Minnesota has recently enacted URPERA while enactment awaits the respective governors' signatures in South Carolina and Connecticut. Other state legislatures deliberating passage of URPERA in 2008 are Hawaii, Kentucky, Massachusetts, Oklahoma and West Virginia.
The National Perspective
National uniform eRecording standards are becoming a reality. PRIA President Carol Foglesong observed,
"It is gratifying to see that states adopting eRecording standards are relying on PRIA's published eRecording standards. PRIA set out to develop standards and guidelines that could work around the country, and clearly
PRIA's goal as a standard-setting organization is being recognized."
How PRIA connects with the rest of the real estate finance industry is also crucial and is accomplished by its alliance with the Mortgage Industry Standards Maintenance Organization (MISMO). Harry Gardner, MBA's
Vice President of Industry Technology and head of MISMO, acknowledged, "It is great to see more states recognizing and supporting the tremendous value of technology standards for the mortgage industry by adopting the PRIA eRecording standards. As alliance partners, MISMO and PRIA have worked together closely for several years, publishing standards and guidance for eMortgage and eRecording that allow everyone to save time and money through open interoperability."
invites prospective clients to visit the cdb consultancy site
or contact Carmen
to discuss an engagement or project.
- Carmelo D. Bramante of cdb consultancy has joined the Mortgage Bankers Association's (MBA) eMortgage Adoption Task Force (eMATF) and is actively participating on its steering committee. The eMATF's goal is to increase eMortgage adoption throughout the industry. The task force is an initiative of the MBA Residential Technology Committee.
- H.R. 3221 - The Housing and Economic Recovery Act of 2008 - was signed into law last week. This sweeping piece of legislation covers foreclosure prevention through an expanded role of the FHA and additional backing of Freddie Mac and Fannie Mae. The new law also reforms the FHA and places a new independent regulator for Fannie, Freddie and the Federal Home Loan Banks. Learn more:
Growth in Electronic Signatures and Records Usage!
by Margo Tank and Jerry Buckley
Partners, Law Firm of Buckley Kolar LLP
Counsels, Electronic Signatures and Records Association (ESRA)
On June 5, the Electronic Signature and Records Association held a press conference at the National Press Club in Washington, DC to discuss trends in business and consumer adoption of electronic signatures, and to announce a new Congressional Research Study, requested by Congressman Jay Inslee (D-WA) as a result of these trends.
The following was part of a presentation given by Jerry Buckley and Margo Tank, Counsels to The Electronic Signatures and Records Association (ESRA), at the National Press Club.
This year (2008) marks a significant turning point in the adoption of electronic signatures. The statistics are compelling:
- eMortgages up six-fold in the last year (from approximately 500 in December 2007 to 16,753* in May 2008)
- $12 billion in electronic automobile finance contracts have been consummated and over $2 billion of these
have been securitized, reflecting acceptance by the capital markets
- Billions of dollars in student loan transactions signed electronically
- Of relevance to our environment, the Government Printing Office estimates that it saves 20 tons of paper
and roughly 480 trees by electronically distributing just one annually published document, the National
As of July 31st, there are 21,820 eNotes registered with the MERS® eRegistry.
In the face of rising fuel costs, there is a growing recognition that producing and moving paper is an energy intensive process. A convergence of market, economic and regulatory forces has elevated the use of electronic signatures and records from a future investment to a business necessity.
The legal infrastructure is in place, including court precedent, and the technology necessary to enable the fully electronic transaction is ready and available.
The use of electronic signatures and records is fast becoming a business differentiator as businesses continue to work through current market conditions and the demand for environmental responsibility.
Congressional Research Study
Recognizing this trend, Congressman Jay Inslee (D-WA), a principal architect of the federal ESIGN Act, (this week) announced that he has requested a study by the Congressional Research Service on the impact of ESIGN, focusing on these key goals:
- The economic benefits that have been and can be achieved as a result of the enactment of the federal
ESIGN Act and related state adoption of the Uniform Electronic Transactions Act (UETA).
- What legislative and regulatory hurdles (at both the state and federal levels) need to be cleared to realize
the full benefits of ESIGN and UETA
- What pending major legislative initiatives have the potential to have ESIGN-related benefits strengthened
through legislative language?
thanks Margo Tank and Jerry Buckley for contributing this article.
cdb://eNews - Previous Issues
Volume I, Issue 1 - I Want My eMortgage!
Volume I, Issue 2 - Striking Gold & Adopting eMortgages
The views and opinions expressed by the authors of the articles in this newsletter are those of the authors or the organizations they represent and not necessarily those of cdb consultancy. Readers of this newsletter should not infer endorsement of cdb consultancy by these organizations, nor does cdb consultancy make any endorsement of the contributors or their organizations.