74th OREGON LEGISLATIVE ASSEMBLY--2007 Regular Session
 
 
                            Enrolled
 
                         House Bill 2155
 
Ordered printed by the Speaker pursuant to House Rule 12.00A (5).
  Presession filed (at the request of Governor Theodore R.
  Kulongoski for Department of Veterans' Affairs)
 
 
                     CHAPTER ................
 
 
                             AN ACT
 
 
Relating to amortization of veterans' loans; creating new
  provisions; and amending ORS 407.275.
 
Be It Enacted by the People of the State of Oregon:
 
  SECTION 1. ORS 407.275 is amended to read:
  407.275. (1) Loans may be made bearing interest at the rate per
annum prescribed as provided by ORS 407.325. Loans may be
amortized over a period of not more than   { - 30 - }  { +
40 + } years for homes other than mobile homes   { - and not more
than 40 years for farms - } .  Loans for mobile homes may be
amortized over a period not exceeding the expected life of the
mobile home, as determined by the Department of Veterans'
Affairs. The limitations contained in this subsection
 { - shall - }  { +  do + } not preclude the department from
later extending the amortization period.
  (2) If the ownership of the secured property is transferred by
deed or otherwise to anyone other than   { - the original
borrower - }  { + a veteran eligible for a loan under this
chapter and Article XI-A of the Oregon Constitution + }, the
 { + veteran's + } surviving spouse  { - , - }  { +  or + }
unremarried former spouse,  { + the veteran's + } surviving child
or stepchild   { - of the original borrower - } ,  { + another
veteran eligible for a loan under this chapter and Article XI-A
of the Oregon Constitution who assumes the previous loan for the
property as described in ORS 407.305 or + } a governmental entity
when the secured property is transferred for public use   { - or
a veteran eligible for a loan under this chapter and Article XI-A
of the Oregon Constitution, who assumes the previous loan for the
property as described in ORS 407.305 - } , the interest from the
date of transfer shall be at the rate per annum then fixed as
provided by ORS 407.335. However, the department, during the term
of the loan, may periodically prescribe the interest rates to be
paid by the transferee.
  (3) Ownership of property that constitutes security for a loan
made  { + to a veteran + } under this chapter and Article XI-A of
the Oregon Constitution may not be transferred by deed or
otherwise to anyone other than the { +  veteran's + } surviving
spouse, unremarried former spouse, surviving child or stepchild
 { - of the original borrower, or a - }  { +  or another + }
veteran eligible for a loan under this chapter and Article XI-A
of the Oregon Constitution  { - , - }  who assumes the previous
 
 
Enrolled House Bill 2155 (HB 2155-INTRO)                   Page 1
 
 
 
loan  { + for the property + } as described in ORS 407.305,
unless the property is used primarily as the principal residence
of the transferee for at least two years after the transfer or
such shorter period of time as the department for good cause may
allow.
  (4) Mortgages, trust deeds or security agreements on property
given to secure any loan made under ORS 407.125 or statutes
supplementary thereof may provide that the taxes and insurance
premiums may be paid by the department from the Oregon War
Veterans' Bond Sinking Account. The amount so paid may be added
to and become part of the principal of the loan and be repaid as
prescribed by the department. The department may prescribe any
method or period for repayment of the amount so paid that is not
in conflict with the mortgage, trust deed or security agreement.
The department may prescribe any method or period for repayment
of interest on the amount so paid that is not in conflict with
the mortgage, trust deed, security agreement or a separate
agreement with the borrower.
  SECTION 2.  { + The amendments to ORS 407.275 by section 1 of
this 2007 Act apply to loans or transfers of ownership made on or
after the effective date of this 2007 Act. + }
                         ----------
 
 
Passed by House June 6, 2007
 
 
      ...........................................................
                                             Chief Clerk of House
 
      ...........................................................
                                                 Speaker of House
 
Passed by Senate June 19, 2007
 
 
      ...........................................................
                                              President of Senate
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Enrolled House Bill 2155 (HB 2155-INTRO)                   Page 2
 
 
 
 
 
Received by Governor:
 
......M.,............., 2007
 
Approved:
 
......M.,............., 2007
 
 
      ...........................................................
                                                         Governor
 
Filed in Office of Secretary of State:
 
......M.,............., 2007
 
 
      ...........................................................
                                               Secretary of State
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
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