HARRY HUGHES, Governor                                       3617

(2) TREATMENT WITHIN THIS PERIOD OF TIME WAS
NECESSARY TO SAVE THE LIFE OF THE PATIENT.

SECTION 2. AND BE IT FURTHER ENACTED, That the provisions

of Section 1 of this Act that add new § 20-113 of the Health -

General Article shall be regarded as supplemental and additional
to the requirements established by other laws upon a physician
and may not be regarded as in derogation or substitution of any
requirement now existing upon a physician.

SECTION 2 3. AND BE IT FURTHER ENACTED, That this Act
shall take effect July 1, 1986 1987.

May 27, 1986
The Honorable Melvin A. Steinberg
President of the Senate
State House
Annapolis, Maryland 21404

Dear Mr. President:

In accordance with Article II, Section 17 of the Maryland
Constitution, I have today vetoed Senate Bill 129.

While I am in complete support of the underlying policy
objective of this legislation to require fuller disclosure to a
borrower under an adjustable rate mortgager, a technical
provision of the bill inadvertently imposes additional
non-disclosure related substantive requirements on a lender
making first mortgages on residential real property, the effect
of these new requirements on the secondary mortgage market in
Maryland is uncertain and could have a potentially adverse impact
on the home buying consumer in this State.

Specifically, Senate Bill 129 amends Section 12-118 of the
Commercial Law Article to require a lender making an adjustable
rate loan under certain provisions of the Annotated Code to send
the borrower written notice of a change in the periodic payment
amount or interest rate. the required notification also must
include the calculation showing each change. This reflects the
original purpose of the legislation to require lenders to
disclose changes in the payment amounts or interest rates on
adjustable rate mortgages, so that the borrower could assure that
adjustments were made correctly.

As stated in the bill review letter of the Attorney General,
dated May 23, 1986, the technical provisions on page 3, lines 5
and 6 of the enrolled bill superimpose all of the substantive
requirements of Section 12-118, applicable to certain types of
adjustable rate loans, on an adjustable rate loan secured by