FALL 2006

Legislative Session Considered Successful
for OLTA
by Clayton Taylor, OLTA Legislative Liaison

The Oklahoma legislature finally ended its
2006 legislative year after failed budget negotiations between House and Senate leadership forced a Special Session in late June. Lawmakers had over one billion dollars in new revenue to appropriate and spent the entire Regular Session arguing and disagreeing on how to spend it.

With only one week remaining in the fiscal year, the legislative leadership passed a consensus budget agreement that included a reduction in the state income tax, elimination of the estate tax, a pay increase for teachers and for state employees, more than doubling the state's investment in roads and bridges, and record investment in education and research.

Aside from the on-going budget negotiations which took center stage throughout much of the session, legislators accomplished much during their four-plus months at the capitol this year. Most of all this included passing legislation introduced at the request of the Oklahoma Land Title Association.House Bill 3009 by Rep. Fred Morgan, R-OKC and Senator Brian Crain, R-Tulsa was proposed by OLTA in an effort to pre-empt some of the criticisms that we were starting to hear more frequently about our business. Our strategy was to be able to address some of these criticisms by attempting to reach a compromise on legislative language between the OLTA and the Oklahoma Association of Realtors (OAR). Specifically, HB 3009 focused on efforts to ensure that the abstracting industry provided efficient and fast service, appropriate pricing, and was open to competition.


We worked very hard throughout the months leading up to the Legislative Session and then throughout the Session itself to:

1. Develop legislative language that accomplished our legislative goals, but that still protected and maintained the integrity of the abstract industry;

2. Reach a compromise agreement with the OAR on language to be included in HB 3009; and,

3. Keep OLTA members apprised of efforts that were taking place and what was being proposed in the legislation.

This effort additionally resulted in several months of on-going meetings and negotiations with the OAR to reach an agreement on language on which both sides could agree and support. We were successful in reaching an agreement and final language was ultimately included in HB 3009.

With HB 3009 written, we then lobbied the entire membership of the state House and Senate to urge support for our legislation. We identified certain Legislators whom we believed needed additional lobbying “encouragement” by activating a targeted grass-roots contact effort by OLTA members. Our coordinated efforts proved successful as the bill passed both the House and Senate with large margins and was signed into law by the Governor.

Overall, the activities and efforts surrounding the passage of HB 3009 proved the effectiveness of the OLTA legislative efforts, the positive impacts of Okie TiPAC and the importance of strong one-on-one relationships between OLTA members and their local legislators. Additionally, the coordinated efforts between OLTA and the OAR were very positive and provided encouragement for the future!

Other legislation introduced early in the session included several bills that we identified that could be used for language to call for the elimination of abstracts. Each time we responded very quickly and used our array of lobbying resources and tactics to respond. Our efforts were successful in keeping any of these bills from ever getting out of committee!

Other highlights of the 2006 Regular Legislative Session included:

Funding for Roads and Bridges:
In an agreement reached early in the session, SB 1288, by Senator Johnnie Crutchfield, D-Ardmore, and Rep. Chris Benge, R-Tulsa, made a supplemental appropriation of $125 million to repair, renovate, and rehabilitate the states roads and bridges.

Kelsey’s Law:
HB 2840 by Rep. Kris Steele, R-Shawnee, and Senator Harry Coates, R-Seminole, is named after Kelsey Briggs, the Meeker, Okla. two-year old who died last year from blunt force trauma. The law is designed to protect children from abuse and neglect.

Kyle Williams Boating Safety Education Act:
SB 1495 by Senator Kenneth Corn, D-Howe and Rep. Ken Miller, R-Edmond, is named in honor of a 12-year old boy who died in a jet-ski accident. The law establishes new requirements for children under 16 years old to operate certain types of watercrafts.

Legalization of Tattoos:
SB 806 by Senator Frank Shurden, D-Henryetta, and Rep. Al Lindley, D-Oklahoma City, will legalize tattooing in the state. Prior to the Governor signing SB 806, Oklahoma was the only state in the country that banned tattooing.

African-American Centennial Plaza:
SB 1919 by Senator Connie Johnson, D-OKC and Rep. Jabar Shumate, D-Tulsa, clears the way for developing the African-American Centennial Plaza on the grounds of the state capitol. A committee will oversee the design, funding and construction of the plaza, which will be built off Lincoln Blvd. south of the State Capitol.

Tax Credit Loophole Corrected:
SB 1577 by Senator Ted Fisher, D-Sapulpa, and Rep. Curt Roggow, R-Enid, will close a tax loophole that could have cost the state millions of dollars. Investment programs became subject to abuse when investors figured out they could obtain tax credits that greatly exceeded the amounts of their investments by taking advantage of borrowing schemes.

The Special Session called by Governor Brad Henry in June to address the state budget certainly had its own set of highlights.

They included:

Reduction in the state’s personal income tax to be implemented over the next 4 years. The current income tax of 6.25% will be reduced down to 5.25 %.

More than doubling thestate's investment in roads and bridges with an increase in the annual road budget from $200 million to $470 million per year. Additionally, funding for county roads and bridges will increase from $85 million to $170 million per year.

Increased funding to Department of Human Services for 100 new caseworkers to protect children against abuse and neglect.

$3,000 per year increase for public school teachers.

A deposit of $150 million into the Economic Development Generating Excellence (EDGE) Research Endowment fund, and $95 million into state research infrastructure needs, principally at OU and OSU.

Creation of an Economic Opportunity Fund for additional incentives for recruitment of job-producing business to the state, with a deposit of $45 million into this fund.

President's Message

Dear OLTA Members:

As I write this letter, it is primary election day. I encourage each of you to be involved and supportive in the election process. With so many of our friends not returning to the Capitol, we are faced with issues affecting our industry with new legislators. Our association must be committed to networking with our legislators and developing new relationships. It is very important for each of you to develop friendships with your local senators and representatives.

The Governor signed HB 3009 on June 7, 2006. It will go into effect July 1, 2007. We will be discussing how the new law affects you during the Regional Meetings beginning September 18 in Bartlesville. Once again, the Board will caravan around the state together to discuss this and other issues affecting our industry. Tim Arbaugh with the State Auditor and Inspector’s office will be joining us to talk about issues from his office. Please plan to join us in your area for an evening of dinner and fellowship.

The Summer Meeting in Branson was wonderful. What a great turnout! A big thanks to Jan Loftis, Kay Bibens, Catherine Blakley and all the wonderful volunteers from our membership who made this meeting a success. It is always a good time for us to relax and enjoy each other in an informal atmosphere. It makes for great friendships and memories!

Most of you have received phone calls from time to time from Gary Goetzinger soliciting contributions for Okie TiPAC. It is a hard job to have to call people and ask for money – but Gary does it without hesitation. Thank you, Gary, for all your hard work and thank you to all who have contributed. I wish I could say we had raised enough money to do us for the next legislative session, but that is not the case. We need your help! Please do your part and contribute to Okie TiPAC, so we can continue to protect our interest at the Capitol.
Please remember that this Board is here to serve you, its members. We want your input and involvement. If there is anything we can do for you, please do not hesitate to contact any one of us.

I hope you have all had a great summer and I look forward to seeing you at the Regional Meetings!

Respectfully,

Danita Francis, OLTA President

DON’T BE LEFT OUT!

You don’t want to miss getting your company in the 100 YEAR ANNIVERSARY HISTORY BOOK

Deadline for your information is September 16, 2006

ABSOLUTE LAST DEADLINE is October 1, 2006

Please send your information to:

Donna Schmulbach
Warranty Title & Abstract Inc.
108 N. Rock Island
El Reno, OK 73036
OR email to
dschmulbach@firstam.com

You can also send the information to the
OLTA office.

Two New Videos in
OLTA Lending Library

If you’ve ever come up short on CE credits and need them fast, why not try out the OLTA Video Lending Library? Along with our current titles in the library, we have two new ones for your viewing pleasure!

“Check Fraud, Check 21”
The explosion in check fraud and identity theft has caused prudent financial managers to implement tighter controls to protect themselves and their companies. The liability for check fraud losses has shifted due to revisions in the Uniform Commercial Code, which imposes liability for fraud losses on both the bank and its customers. R. Gregory Litster, president of SafeCheck, focuses on prevention strategies, emphasizing new technologies and products. This two hour video is replete with real-life crimes and scams, and includes recent check fraud cases that banks have won. (Presented at the OLTA 2006 Annual Convention)

Cost:
Members $100.00
Non-members $200.00

“Hollywood Squares 2006”
You’ve seen it on television. Now, experience the excitement of Hollywood Squares in this fun and educational two hour video. You’ll see special guest appearances by Cher, Dr. Ruth, Donald Trump, Charo, Andy Rooney and many other famous people. This hilarious skit is an ideal way to refresh you knowledge about closings and escrow, search and exam, and commitments and policies, among many other valuable topics. (Presented at the OLTA 2006 Annual Convention)

Cost:
Members $100.00
Non-members $200.00


To learn more about the videos that are available and how to go about checking one out, just log on to the OLTA website at www.oklahomalandtitle.com

CE Opportunities
in the Coming Year

Dear OLTA Members:

Your Education Committee has been hard at work planning and preparing for education during the upcoming months. We just recently finished providing four hours of continuing education at our 2006 Summer Meeting in the lovely Chateau on the Lake in Branson, Missouri. If you weren’t able to attend, we have plenty more coming up.

On Tuesday, September 12 at OSU in Oklahoma City, we will be providing seven hours, at our Basic Title Insurance School. The topics will include Real Estate Ownership, Legal Descriptions, Title Insurance Terms and Concepts, Oklahoma Statutes, Access and Easements and Claims Issues. Pending OBA approval.

On Wednesday, October 18 at Tulsa Technology Training Center in Tulsa, we will be providing two separate sessions that will total seven hours. Four of the hours will cover Basic Escrow and Closing and will include one hour of ethics, with the final three hours including topics related to closings such as RESPA and execution of documents. These same topics will be offered at OSU/OKC on Tuesday, February 13, 2007.

Additional hours will be offered at the OLTA Annual Convention to be held at the Sheraton Hotel and Convention Center in Oklahoma City on April 12–14, 2007 and at our 2007 Summer Meeting scheduled for July 6 and 7, 2007.

If you have anyone in your office that would benefit from attending our Basic Abstractor’s School, please mark your calendar for January 17 and 18, 2007. As in the past, the school will be held at OSU in Oklahoma City, and the State Auditor and Inspector’s office will be providing the exam on the final afternoon.

We have a great crew working for you this year, and we are looking forward to seeing you at one or more of our classes. If you have any topics you would like to see included in future schools, please send an email to cblakley@southernabstract.com.

Here’s looking toward a great year!

Catherine L. Blakley, OLTA Vice President