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[Congressional Bills 114th Congress]
[From the U.S. Government Publishing Office]
[H.R. 5108 Introduced in House (IH)]

<DOC>

114th CONGRESS
  2d Session
                                H. R. 5108

     To authorize the Director of the Bureau of Consumer Financial 
     Protection to penalize persons who fail to maintain nuisance 
                              properties.

_______________________________________________________________________

                    IN THE HOUSE OF REPRESENTATIVES

                             April 28, 2016

  Mr. Grayson (for himself and Mr. Conyers) introduced the following 
    bill; which was referred to the Committee on Financial Services

_______________________________________________________________________

                                 A BILL

 
     To authorize the Director of the Bureau of Consumer Financial 
     Protection to penalize persons who fail to maintain nuisance 
                              properties.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Zombie Property Relief Act of 
2016''.

SEC. 2. FINES FOR FAILURE TO MAINTAIN NUISANCE PROPERTIES.

    In the case of a nuisance property subject to a Federally-related 
mortgage, the Director of the Bureau of Consumer Financial Protection 
may assess a fine equal to 3 times the costs that would be incurred as 
a result of maintaining the property against the mortgagee of such 
property if the mortgagee fails to maintain such property until such 
time as ownership has been transferred to a new owner, and the deed for 
such property transfer has been duly recorded.

SEC. 3. REPORTING SYSTEM.

    Not later than 6 months after the date of enactment of this Act, 
the Director of the Bureau of Consumer Financial Protection shall 
establish a system under which a person may report to the Director on 
the existence of a nuisance property.

SEC. 4. DEFINITIONS.

    In this Act:
            (1) The term ``nuisance property'' means residential real 
        property subject to a Federally-related mortgage in 
        foreclosure, in foreclosure proceeding, or if--
                    (A) at least three monthly payments are past due on 
                the mortgage loan or the mortgagor has informed the 
                mortgagee or loan servicing company in writing that the 
                mortgagor does not intend to occupy the property in the 
                future; and
                    (B) either--
                            (i) there is a reasonable basis to believe 
                        that the property is not occupied for three 
                        months; or
                            (ii) such residential real property is a 
                        risk to the health, safety or welfare of the 
                        public or any adjoining or adjacent property 
                        owners, due to acts of vandalism, loitering, 
                        criminal conduct, or physical destruction or 
                        deterioration of the property, or the relevant 
                        governmental authority has declared the 
                        property unfit for occupancy and to remain 
                        vacant and unoccupied or to be demolished.
            (2) The term ``Federally-related mortgage'' means a 
        Federally related mortgage loan, as such term is defined in 
        section 3 of the Real Estate Settlement Procedures Act of 1974 
        (12 U.S.C. 2602).
                                 <all>
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