N.C. saluted for ban on predatory lenders

A new report from the Department of Defense praises North Carolina as one of the strongest states in the country in protecting military members from predatory lending.

But it also says Congress and individual states could do more to prevent the practice of targeting troops.

The report, released this month, was requested last year by U.S. Sen. Elizabeth Dole, a Salisbury Republican and member of the Senate Armed Services Committee.

Predatory lending includes practices such as payday loans, car loans, rent-to-own programs and other temporary loans that can charge service members triple-digit annual percentage rates.

In 2001, North Carolina became one of a few states to prohibit payday lending companies, the report said.

The report said the armed services should do more to educate service members about predatory lending practices.

But, it added, "education does not trump the marketing of these loans and the easy availability of quick cash with few questions asked."

The report recommends that Congress and individual states put caps on annual percentage rates, require more disclosure, force lenders to consider borrowers' ability to pay and allow service members legal recourse in disputed cases.

Dole said she will look closely at the report's recommendations.

"This report presents a powerful picture of the extensive problems brought about by predatory lenders that target military families," she said in a release.

Dole said she plans to introduce legislation based on the department's report. The chairman of the Senate's banking committee, of which Dole is a member, has pledged to hold a hearing on the issue.

Dockham eyes speaker job

State Rep. Jerry Dockham, a Republican from Davidson County, said Thursday that he will run for House speaker if Republicans have the majority next year.

Dockham's name was floated about four years ago as a possible alternative to Rep. Leo Daughtry, a Smithfield Republican. The Republican House caucus backed Daughtry to run the 2003 session, but he could not scrape together the 61 votes needed to become speaker of the 120-member House.

Rep. Ed McMahan, a Charlotte Republican, would have been a candidate for speaker next year, Dockham said. Now that McMahan has decided not to seek re-election, Dockham says he'll try for the post.

"If Republicans have a majority, I would certainly pursue the office," said Dockham, an insurance agent.

Democrats hold a 63-57 edge in the House.

Ethics board expands staff

The N.C. Board of Ethics is looking to hire people to help enforce new ethics rules that will go into effect in January. The board has posted job notices seeking a lawyer, paralegal and administrative assistant. Two more will be posted soon.

The board made a request Thursday for two more positions now under the control of the state budget office. They are needed to deal with lobbying law issues under the board's new responsibilities, said Perry Newson, the board's director.

It's not clear whether the ethics board will get the two positions. They might end up under the secretary of state, who also deals with the lobbying laws.

Newson told board members that he wants to do what he can to secure the positions -- one is for a lawyer who would focus on lobbying -- and $135,000 that goes with them. The board agreed to endorse his request.