ARNECC Model Operating Requirements and Model Participation Rules open for consultation
The Australian Registrars’ National Electronic Conveyancing Council (ARNECC) has completed its review of the industry feedback on the Version 6 Consultation Drafts and has made further amendments to the Model Participation Rules and Model Operating Requirements.
ARNECC is now seeking feedback on the Version 6.1 Consultation Drafts. The consultation period will close on 6 November 2020.
Both marked-up and clean versions of the Consultation Drafts are available on the ARNECC website and can be accessed using the following links:
Feedback Tables detailing the actions taken by ARNECC in response to the industry feedback received during the first round of consultation have also been published. The Model Participation Rules Feedback Table excludes the proposed amendment to the verification of identity regime which required Subscribers to first apply the Verification of Identity Standard prior to utilising reasonable steps. ARNECC provided notice that this regime will no longer form part of MPR Version 6 in May 2020.
The proposed changes to the Model Operating Requirements include:
- Replacement of the requirement for ELNOs to make new documents and functionality available within a year with a more flexible requirement that aligns more closely with existing processes (see 5.2(c) and (d))
- A new Digital Certificate security requirement for ELNOs (see 7.6.2(c))
- Amendment of the requirement for ELNOs to accept open Digital Certificates (see 7.6.3)
- The addition of a requirement for an ELNO’s Business Plan to include an assessment of the likely costs for development and ongoing expansion of a fully functional ELNO System (see 2.1.2)
The proposed changes to the Model Participation Rules include:
- Amendments to the Client Authorisation form in Schedule 4 relating to personal information
- Amendment confirming that Client Authorisation forms previously signed are not invalidated by the new version of the form (see 6.3)
- Amendments to the Verification of Identity Requirements including removal of the more stringent requirements around applying the Verification of Identity Standard (see 6.5)
- Amendments to the VOI requirements for a transfer of mortgage to align with requirements under each jurisdiction’s legislation (see 6.5)
- Amendment to the VOI requirements to confirm the instances in which re-verification of identity is not required (see 6.5)
- Amendments to security and integrity provisions applicable to Digital Certificates (see 7.5) and Users, including those relating to police background checks (see 7.2)
There have also been significant amendments to definitions and eligibility requirements across both the Model Operating Requirements and Model Participation Rules.
In December 2019, ARNECC released Consultation Drafts for Version 6 of the Model Operating Requirements and the Model Participation Rules and invited feedback on the proposed changes. That consultation period closed on 2 March 2020. In May 2020, ARNECC advised via a notice that it was unlikely that a take-effect date for Version 6 would be implemented in 2020 due to the significant impact of the COVID-19 pandemic on resources and operations for all businesses.
It is now expected that, following review of the feedback received during this second round of consultation, the Model Operating Requirements and Model Participation Rules Version 6 will be published in February 2021 and take effect in March 2021.
The consultation period for Draft Version 6.1 of the Model Operating Requirements and Model Participation Rules closes on 6 November 2020. Please provide your feedback via email to [email protected] prior to close of business on that day.