WASHINGTON — Among the recommendations made by the Treasury Department's Blueprint to overhaul financial services regulation, the key change with regard to mortgage products and services would be the creation of a new Mortgage Origination Commission.

This commission would evaluate, rate and report on the "adequacy of each state's system for licensing and regulating participants in the mortgage origination process." Federal legislation must be passed to provide authority for this commission to develop "uniform licensing qualification standards for state mortgage market participant licensing systems," said the Treasury. While the Federal Reserve would continue to write regulations implementing national mortgage lending laws, Treasury would clarify and enhance the enforcement authority over those laws, according to the Blueprint.

Because market participants without any federal oversight, both brokers and some lenders, were responsible for a "substantial portion of the mortgages and more than half the subprime mortgages originated" nationwide, they are subject to "uneven degrees of state level oversight," said Treasury. In some cases, it noted, there was limited or no oversight at all.